Operations Management April 2026 Solved Assignments
Description
Operations Management
Applicable for April 2026 Examination
Q1. An apparel retailer operating through both physical stores and online platforms is facing frequent stock-outs of fast-moving fashion items. Customer dissatisfaction has increased due to delays in restocking, particularly during promotional periods and sudden fashion trend changes. The situation is further complicated by volatile demand patterns, short product life cycles, and inconsistent supplier lead times. These challenges make it difficult for the supply chain team to align inventory availability with actual market demand.
In this context, how can inventory management concepts derived from aggregate operations planning be applied to address these challenges, reduce lead times, and improve responsiveness to customers in a fast-changing retail environment? (10 Marks)
Ans 1.
Introduction
In fast fashion, getting inventory right is key to keeping customers happy and staying ahead. Clothing retailers, whether they’re in stores or online, deal with a lot of moving parts. Demand can be unpredictable, products don’t stick around long, and what people want changes fast. If popular items are constantly out of stock, sales disappear, and customers get frustrated and less loyal. Aggregate operations planning offers a way to get a handle on things. It helps retailers find a balance between what people want and what they can provide
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Q2. A fashion startup has developed a limited-edition outerwear collection and initially planned to work with a small set of print-on-demand suppliers to control costs and reduce operational complexity. However, the firm is now facing several challenges, including sharp increases in raw material prices, unreliable supplier performance, and uncertainty in production continuity. While the sourcing team proposes supplier diversification and trade-show-based partnerships to mitigate risk, the marketing team is concerned that sourcing from multiple suppliers may lead to inconsistent product quality and damage brand credibility.
In this situation, evaluate the sourcing strategies available to the startup. How should supplier selection and diversification decisions be guided to ensure cost efficiency without compromising product quality and long-term brand equity? (10 Marks)
Ans 2.
Introduction
In the dynamic and highly competitive fashion sector, sourcing choices are paramount in shaping cost structures, product integrity, and brand perception. A fashion startup, for instance, venturing into a limited-edition outerwear line, might initially find simplicity and cost-effectiveness in a limited number of print-on-demand suppliers. Nevertheless, escalating raw material costs, supplier inconsistencies, and production unpredictability have revealed weaknesses inherent in this model. Consequence
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Q3(A) A public sector bank branch is experiencing long customer waiting times during peak hours. Customers frequently move between enquiry desks, cash counters, and service desks, leading to congestion and confusion. The current layout does not clearly separate quick transactions from time-consuming services, resulting in inefficient customer flow and employee overload.
Which type of plant (service) layout should the bank adopt to reduce customer waiting time, and why would this layout help in avoiding delays? (5 Marks)
Ans 3a.
Introduction
In service-oriented entities like banks, the physical arrangement significantly influences customer movement, service effectiveness, and overall contentment. A suboptimal layout can engender crowding, extended wait periods, and heightened stress for both clientele and staff, particularly during periods of high demand. The public sector bank branch under consideration exhibits operational deficiencies stemming from ambiguous pathways and the amalgamation of straightforward and intricate services. Consequently, the selection of an appropriate service layout is critical for optimising operations,
Q3(B) A leading retail chain is planning to enter a dense urban market marked by intense competition, high real estate costs, limited parking space, and congested traffic conditions. Although the area offers high customer density and strong demand potential, challenges related to site accessibility, last-mile logistics, and operating costs threaten overall profitability. The leadership team is therefore exploring location options.
Think through this situation, identify any 3 location decision criteria you would choose and justify briefly how you see that addressing the question situation challenge? (5 Marks)
Ans 3b.
Introduction
Entering a densely populated urban market poses a strategic dilemma for retail chains. Although high population density and robust demand offer the potential for revenue expansion, factors such as elevated rental costs, traffic congestion, and restricted accessibility can diminish profitability. Consequently, location decisions are of paramount importance; an inappropriate site selection can negate competitive advantages and impede operational efficiency. To thrive in this challenging environment, the retail chain must transcend reliance on intuition and implement explicit, well-articulated location decision criteria. The selection of appropriate criteria facilitates a balance between market potential and operational viability, thereby ensuring that the chosen location fosters customer convenience, cost-effectiveness, and enduring sustainability within a highly competitive urban context.
Concept and Application:
Accessibility and Customer Convenience:
Accessibility denotes the ease with which customers can access a store via existing transportation options. In densely populated urban environments characterised by restricted parking availability, strategically locating stores near public transport terminals, pedestrian areas, or integrated developments fosters consistent customer traffic and
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