MG202: Operations Management

Faculty of Business & Economics

School of Management & Public Administration

FINAL ASSESSMENT

SEMESTER 1 2020

F&B MODE

Instructions:

1. This assessment is worth 50% of the total marks for this course.
2. This assessment takes the place of your usual final exam (there will be no exam).
3. Answer ALL questions focusing on showing your understanding of the course.
4. You must score 20/50 for this assessment to pass this course.
5. Due Date: 19th June (5pm Fiji Time).
6. You will probably not need to write more than 2 pages for each case.
Case 1 – Quality for Success (10 marks)

Tukson Lee recently got access to a F$100,000 trust fund set up by his late father. He has always
dreamt of operating a restaurant like his father did at one time. He decides to open a new Chinese
wine and dine restaurant in Nadi Town. He has conducted research around this business idea and
found that there are 5 other similar retaurants already operating in town. All have good locations
where there are a lot of people passing through. All have almost the same types of items on their
menu and the prices are also very similar. This is because of the tight competition among the 5
existing restaurants. Tukson decides that he will enter the market and compete on the basis of
quality.
1. Outline and discuss how he should go about competing for success on the basis of quality in
this highly-competitive market.

NB. Focus on both product and process in answering this question. Make sure your proposals
are linked to the problem Tukson is faced with. (10 marks)

Case 2 – Forecasting for Stocks (20 marks)

Arjun Pillay has a vegetable stall at the Nausori Market. His business has been plagued with
under-stocking and over-stocking problems for some time now. When he under-stocks, he loses
sales as customers move to competing stalls. When he over-stocks, is left with unsold vegetables.
These are peishable and cannot be kept long for later sales. Pillay is concerned with how he can
minimize these losses stemming from under and over-stocking.
1. Identify and explain how he could use 3 qualitative forecasting methods to improve his
stocking. Note that you will need to justify your proposals and link it to the business being
discussed. (10 marks)

2. Identify and explain how he could use 2 quantitative forecasting methods to improve his
stocking. Note that you will need to justify your proposals and link it to the business being
discussed. (10 marks)
Case 3 – A New Business (20 marks)

Roy Alexander wants to open a new Nakamal (Kava Bar) in Port Vila. He knows he is entering a
highly competitive market, but is determined to give it a go as it is something his family have
always wanted.
There are 96 other Nakamals in Port Vila that Roy will have to compete with. In addition to this,
he does not have an established presence in the market. These are just 2 of his concerns. The
other 5 are required to come from you.

1. List and justify (from an operations perspective) 5 key things that he should consider in
setting up his business. In answering this question, think of the different chapters that have
comprised this course – you should get a point from each chapter. (20 marks)

NB. This question is asking for 5 points of concern – each carries 4 marks.