Dr.

Burns
Operations Management
PRACTICE EXAM 2

This exam consists of multiple choice and 3 discussion
questions/problems. The multiple choice
questions are worth 50% of the exam grade. The
problems are worth 50% of the exam grade. The exam
is to be taken closed-book closed-notes. !ormulas are
pro"ided on the last page.
#. There are three components to an$ software
application. %hich of the following is not one of the
three.
a. &resentation management
b. 'odule management
c. (usiness logic management
d. )ata management
*. +n the list in # abo"e which resides in the ser"er
,assuming client/ser"er architecture-.
3. in the list in # abo"e which resides either partiall$ or
completel$ in the client.
/. To add a module like suppl$ chain management to
the existing fora$ of modules that make up the 01&
s$stem one must also add what2
a. another database engine
b. another module management engine
c. another client computer
d. nothing
5. 3oldratt has proposed three phases to problem-
sol"ing. %hich of the following is not one of the three.
a. %hat to change.
b. %h$ that is important.
c. %hat to change to.
d. 4ow to cause the change.
5. The integrated group of business processes and
acti"ities that form the suppl$ chain include all of the
following except
a. procurement of ser"ices materials and
components from suppliers
b. production of the products and ser"ices
c. distribution of products to the customers
d. information technolog$
6. +ncreased uncertaint$ and "ariabilit$ in a suppl$ chain
t$picall$ results in
a. faster deli"eries
b. more accurate order fulfillment
c. larger in"entories
d. lower costs
7. 8ll of the following statements concerning in"entor$
management are true except
a- +n the past companies could afford to maintain
generous in"entor$ le"els and not worr$ so much about
cost
b- the cost of in"entor$ has increased largel$ due to
product obsolescence
c- the a"erage annual cost of manufactured goods
in"entor$ in the 9.:. is about 30% of the "alue of the
in"entor$
d- maximi;ing the amount of in"entor$ has become an
important ob<ecti"e of in"entor$ management
=. 'aintaining large in"entories ma$ be appropriate for
all of the following reasons except
a- to meet seasonal peak demand
b- to take ad"antage of price discounts
c- to meet the demands of >+T companies
d- all of the statements abo"e are appropriate reasons
for large in"entories
#0. +n"entor$ costs for such things as rent lighting
securit$ interest and taxes are usuall$ classified as
a- carr$ing costs
b- ordering costs
c- shortage costs
d- continuous costs
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 1
YOUR NAME:
Multiple Choice
_______________________________
Problems
_______________________________
Total__________________________
Adjusted
##. ?osts that are sometimes expressed as a
percentage of the "alue of an item are known as
a- carr$ing costs
b- ordering costs
c- shortage costs
d- continuous costs
#*. +n"entor$ costs related to transportation shipping
recei"ing and inspection are usuall$ classified as
a- carr$ing costs
b- ordering costs
c- continuous costs
d- holding costs
#3. The continuous in"entor$ control s$stem
a- re"iews shelf in"entor$ b$ counting the
number of items of in"entor$ periodicall$
b- reduces the amount of in"entor$ on record in
the computer s$stem e"er$ time a sale occurs
c- orders a different amount e"er$ time an order
goes out.
d- none of the abo"e
e- a and c onl$
#/. +n the 8(? classification s$stem
a- 8 items are low "alue items that are sold
frequentl$
b- ( items are of moderate "alue but sold "er$
infrequentl$
c- ? items are of low "alue and are sold
infrequentl$
#5. +n the 8(? classification s$stem which class
consists of 50 to 50% of all in"entor$ items accounts for
#0% of the total dollar "alue of in"entor$.
a- 8 class
b- ( class
c- ? class
#5. %hich of the following is not an assumption of the
basic 0@A model.
a- )emand is known with certaint$.
b- @rder quantit$ is recei"ed graduall$ o"er time.
c- )emand is relati"el$ constant o"er time.
d- Bead time for receipt of orders is constant.
#6. %hich of the following statements concerning the
basic 0@A model is true.
a- 8 decrease in demand will increase the 0@A
"alue.
b- +f an actual order quantit$ is smaller than the
0@A the annual holding cost is less than the
annual ordering cost.
c- 8n increase in holding cost will increase the
0@A "alue.
d- +n the 0@A formula there is an in"erse
relationship between setup and carr$ing costs.
#7. %arehouse management s$stems are
a. highl$ automated s$stems that run the da$-
toda$- operations and track in"entor$ at distribution
centers
b. s$stems for tracking inbound and outbound
shipments and selecting carriers onl$
c. s$stems that determine the optimal warehouse
slotting for products onl$
d. s$stems that control loading dock operation
onl$
#=. @ptimi;ing the placement of items in a warehouse
based on demand product groupings and the itemsC
ph$sical characteristics is known as
a. cross docking
b. $ard management
c. slotting
d. transportation management
*0. 8 warehouse management s$stem ,%':- might
include all of the following features except
a. transportation management
b. human resource management
c. order management
d. warehouse optimi;ation
*#. %hich of the following is not a t$pical effect of "endor
managed in"entor$ ,D'+-.
a. increased processing speed for manufacturers
and distributors
b. fewer data entr$ errors for manufacturers and
distributors
c. increased stockouts for distributors
d. reduced planning and ordering costs for
distributors
**. The most cost-effecti"e means for transporting low-
"alue high densit$ bulk products is b$
a. trucks
b. air
c. railroads
d. package deli"er$
*3. +n"entor$ turno"er is computed
a. b$ di"iding the cost of goods sold b$ the
a"erage aggregate in"entor$ "alue
b. b$ di"iding the a"erage aggregate in"entor$
"alue b$ costs of goods sold
c. b$ multipl$ing the a"erage aggregate in"entor$
"alue b$ cost of goods sold
d. subtracting cost of goods sold from the a"erage
aggregate in"entor$ "alue
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 2
*/. 8 compan$ that produces small electric motors for
treadmills had cost of goods sold last $ear of
E*/#000000. The a"erage "alue of in"entor$ for raw
materials work-in-process and finished goods are
shown in the table below2
1aw 'aterials E#*36=000
%ork-+n-&rocess E653#000
!inished 3oods E=*65000
8ssuming the compan$ operates 355 da$s a
$ear the number of in"entor$ turns would be
a. 0.#*
b. 5.#*
c. 7.*3
d. #/.53
*5. 8 compan$ that produces printer cartridges had cost
of goods sold last $ear of E5*=/5*/*3. The a"erage
"alue of in"entor$ for raw materials work-in-process
and finished goods are shown in the table below2
1aw 'aterials E63565*7
%ork-+n-&rocess E**7=3*3*
!inished 3oods E#55*3/5#
+f the compan$ operates 50 weeks per $ear then the
weeks of suppl$ in in"entor$ would be
a. 3.6#5
b. *./=3
c. #3./5/5
d. *7.33
*5. The fraction of orders filled b$ a distribution
center or warehouse within a specific time period is
referred to as the
a. in"entor$ turno"er
b. in"entor$ suppl$ time
c. fill rate
d. aggregate orders processed
*6. %hich of the following is a diagnostic tool that
pro"ides a cross-industr$ standard for suppl$ chain
management.
a. enterprise resource planning ,01&-
b. the suppl$ chain operations reference ,:?@1-
model
c. warehouse management anal$sis
d. collaborati"e planning forecasting and
replenishment ,?&!1-
*7. +n global trade the total cost of producing
storing and transporting a product to the site of
consumption or another port is referred to as the
a. landed cost
b. deli"er$ cost
c. "alue-added cost
d. indirect cost
*=. 8n indirect tax assessed on the increase in "alue of
a good at an$ stage of the production process from raw
material to final product is referred to as a
a. landed cost
b. tariff
c. "alue-added tax
d. dut$
30. . %hich of the following is not a strateg$ for
managing demand.
a. shifting demand into other time periods with
incenti"es sales promotions and ad"ertising campaigns
b. offering products or ser"ices with counter-c$clical
demand patterns
c. partnering with suppliers to reduce information
distortion along the suppl$ chain
d. increasing in"entories and la$ing off workers when
demand is soft
3#. !or an 0@A model calculate the optimal order
quantit$ if the annual demand is 3000 the ordering cost
is 50 and the carr$ing cost is 30.
a. *00
b. 300
c. #00
d. none of these
3*. +n problem 3# abo"e assume the number of da$s in
which the facilit$ is open for business is 300 and the lead
time is ten da$s. %hat is the reorder point not
considering safet$ stock.
a. #0
b. 50
c. #00
d. #50
e. none of these
33. +f the work-in-process is #00000 wafers and the
throughput is 5000 wafers per da$ then the FFFFFFF
FFFFFF is FFFFF da$s.
a- c$cle time *0
b- run length *0
c- c$cle time /0
d- run length /0
e- none of these
3/. +n 8(? classification class FFF items constitute 5-
#5% of the items and 60-70% of the total dollar "alue to
the firm
a- 8 b- (
c- ? d- )
e- none of these
35. +f a compan$ places an order for the same quantit$
each time in"entor$ decreases to a reorder point it is
using a
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 3
a- periodic in"entor$ s$stem
b- con"oluted in"entor$ s$stem
c- continuous in"entor$ s$stem
d- discrete in"entor$ s$stem
35. 4olding or carr$ing costs include all of the following
except
a- transportation costs
b- rent of storage
c- interest costs
d- lighting
e- securit$
36. !or a compan$ that uses a periodic in"entor$
s$stem which of the following is true.
a- in"entor$ is counted onl$ at specific time inter"als
b- the order is for a fixed quantit$ which minimi;es
in"entor$ costs
c- the in"entor$ s$stem is also referred to as a perpetual
in"entor$ s$stem
d- the compan$ is using a fixed-order-quantit$ s$stem
37. %hich of the following in"entor$ s$stems gi"es $ou
the highest holding cost.
a- continuous in"entor$ s$stems
b- periodic re"iew in"entor$ s$stems
c- quantit$ discounts
d- instantaneous replenishment s$stems
3=. %hich of the following in"entor$ s$stems utili;es a
"ariable order quantit$ each time an order is submitted.
a- continuous in"entor$ s$stems
b- periodic re"iew in"entor$ s$stems
c- quantit$ discounts
d- instantaneous replenishment s$stems
/0. %hich of the following statements is true.
a- +n a fixed-order-quantit$ in"entor$ s$stem a fixed
quantit$ is ordered after a specific number of da$s
weeks or months has passed.
b- +n a periodic in"entor$ s$stem a fixed quantit$ is
ordered when in"entor$ falls to the reorder point.
c- +n a periodic in"entor$ s$stem a new order quantit$
must be determined e"er$ time an order is made.
d- 8 continuous in"entor$ s$stem requires more safet$
stock than a periodic in"entor$ s$stem.
/#. The information architecture underl$ing 01&
s$stems is known as
a- mainframe
b- glasshouse
c- G-tier distributed
d- client/ser"er
e- none of these
/*. ?arr$ing lots of safet$ stock is a bad thing
becauseFFF
a. it increases the ser"ice le"el
b. it increases in"entor$ and thus in"entor$ cost
c. it increases the ordering cost
d. it increases the carr$ing cost
e. both c and d abo"e
/3. %hich of the following is the best strateg$ for
reducing safet$ stock.
a. reduce the standard de"iation of dail$ demand
b. reduce the lead time
c. reduce the ser"ice le"el and thus the ; "alue
d. all of the abo"e
//. 'odern corporate information infrastructures and
s$stems utili;e FFFFF on users desktops.
a- thin clients
b- thick clients
c- +nternet browsers
d- none of these
e- a and c onl$
/5. Toda$Cs modern 01& architectures are intended to
take ad"antage of
a- reusabilit$
b- ser"ers
c- thin clients
d- all of the abo"e
/5. 8d"antages of the G-tier architecture used in
modern 01& s$stems includes all of the following but
a- data integration
b- better use of '+&: on both &?s and ser"ers
c- elimination of the 35 month backlog of the centrali;ed
'+: shop
d- faster de"elopment times of new software because of
reuse
e- diminished "isibilit$ across the enterprise
/6. %hich of the following statements concerning small
lot production is true.
a- :mall-lot production allows processes to be ph$sicall$
closer together.
b- %orkers producing units in small lots tend to let poor
qualit$ pass.
c- :mall lot production makes processes more
independent of each other.
d- +n small lot production qualit$ problems are more
difficult to detect.
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 4
/7. %hen new applications are built in an 01&
en"ironment what component in"ariabl$ gets reused in
its entiret$.
a. module management
b. data management
c. presentation management
d. business logic management
/=. 1euse of existing software in an$ new de"elopment
context helps to
a. reduce de"elopment costs
b. shorten time to completion
c. impro"e qualit$
d. all of the abo"e
50. The following transportation table shows the cost of shipping one unit from each source to each destination in the
upper right hand corner of each cell as well as the suppl$ capacities and demand requirements2
The optimal solution is2
The total cost of the shipping plan is2
a. E#6000
b. E*5000
c. E50000
d. E55000
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 5
&roblems/0xercises ,50 points-
&roblem # ,*0 points- +n"entor$ in"ol"ing independent demand
:outhwest 8irlines is tr$ing to de"elop an in"entor$ polic$ for maintaining its tires on its fleet of (oeing 636Cs. 8nnual
demand for tires runs 35500 per $ear and the ordering cost is E#000.00 per order. The carr$ing cost is 30% of the
purchase price and each tire costs E*000. Bead times on orders are three weeks and the compan$ insists on a safet$
stock of *000 tires. :ince the compan$ flies 355 da$s a $ear assume e"er$ da$ is a business da$.
,3- %hat is the optimal 0@A.
,3- %hat is the optimal total in"entor$ cost.
,3- %hat is the reorder point assuming *000 tires in safet$ stock.
,3- 4ow man$ orders go out in a $ear. %hat is the a"erage time in da$s ,assuming 355 da$s/$r- between orders.
,3- :uppose the standard de"iation of dail$ demand on tires is #0 tires. +n $our opinion is *000 tires too much safet$
stock if the compan$ wants to be ==% certain it has sufficient tires on hand. %h$ or wh$ not.
,5- !ind the optimal order quantit$ if the supplier is willing to pro"ide a discount for higher-"olume purchases as follows2
'inimum order quantit$ 9nit price
0-500 *000
50#-#000 #700
#00#H #500
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 6
&roblem * ,#/ points-
!ashion 8pparel )irect ,!8)- out-sources production of its line of womenCs clothing to three ma<or suppliers. The
planning process at !8) consists of purchasing capacit$ at each supplier and submitting specific orders during the
$ear to utili;e the capacit$. ?osts and a"ailable capacit$ differ b$ supplier and time of $ear. 3arments ma$ be
produced in ad"ance of need but the carr$ing cost is E# per month. 9se the demand and cost information gi"en
below to design a purchase plan for !8). 'onthl$ demand must be met but capacit$ ,suppl$- does not ha"e to be
entirel$ used.
Table 2
Supplier Suppl Supplier ! Suppl ! Supplier" Supp "
Mo#th $EMAN$ Capacit% Cost Capacit% Cost Capacit% Cost
September &''' ''' ' !''' ''' (
October "''' !''' ) ''' ' !''' )
No*ember +''' !''' , !''' ) ''' ,
$ecember -''' !''' ' ''' !''' '
.) poi#ts/
?ost ?ost ?ost ?ost 8llocation 8llocation 8llocation 8llocation
:ept @ct Go" )ec :ept @ct Go" )ec :uppl$
sup # :ept #000
sup * :ept *000
sup 3 :ept #000
sup # @ct *000
sup * @ct #000
sup 3 @ct *000
sup # Go" *000
sup * Go" *000
sup 3 Go" #000
sup # )ec *000
sup * )ec #000
sup 3 )ec *000
)emand /000 3000 5000 5000 19,000
,/ points- %hat is the formula for ,use actual numbers taken from the table abo"e- as well as the total cost of $our
allocation plan.
,* points- +n words explain what the allocation plan that $ou came up with is.
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 7
&roblem 3 ,#5 points-
,/ points- ?irca #==* describe what was basicall$ wrong with mainframe/glasshouse architecture.
,3 points- )raw the diagram representing mainframe/glass house architecture. !or each application software package
$ou include show and label its three components explicitl$.
,3 points- )raw the diagram representing G-tier distributed information architecture. )escribe what changed with respect
to the three components that make up each application. :how where each component resides within the G-tier distributed
architecture.
,* points- )efine what is meant b$ 01&. )iscuss how the implementation of an 01& s$stem should proceed.
,/ points- )iscuss the ad"antages that 01&
#
holds o"er mainframe/glasshouse architecture.

0nterprise 1esource &lanning

ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 8
&roblem / ,#/ pointsIextra credit-
The 4ousehold 1obotic ?ompan$ ,41?- produces a domestic robot at two plants on the east coast. These de"ices are
shipped to two more centrall$ located warehouses. The costs to manufacture the unit at the plant are shown below for
the months of @ctober and Go"ember. Gotice that manufacturing costs are expected to increase as a new labor contract
goes into effect at the end of @ctober.
+t is possible to manufacture units during @ctober and store them at
the plants for Go"ember shipment but not "ice "ersa. 9nit
monthl$ storage costs are E30 at the plants. The capacities of each the
plants are constant at 30000 units per month per plant. The per unit cost
of distributing the robots from the plant to warehouses 8 and ( are shown below.
!rom/To 8 (
# E50 E50
* E60 E50
)emand for the robots is seasonal and "aries at the distribution points 8 and ( as shown below2
'onth -------
JJJJJJJJJJJJJJJJJJJJJJJJJ
%arehouse
@ctober Go"ember
8 *0000 30000
( 30000 *0000
,7 points- !ormulate a transportation matrix for this problem. ,)ecide what $our sources of suppl$ areIset aside a row for
each source placing the capacit$ of that source at the end of the row. )ecide what $our indi"idual demands are and
create a column for each such demand.- 4ow man$ decision cells are there. 4ow man$ constraints are there.
,5 points- )oes this model ha"e a feasible solution. %h$. !ind a near optimal solution to this model <ust b$ using the
simple heuristic we illustrated in class. 0xamine each row for the minimum cost in that row and allocate the smaller of the
associated suppl$ and demand numbers to the minimum cost cell in that row. ?alculate the o"erall cost for $our
production/transportation/storage schedule.
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 9
&B8GT
?@:T:
@?T@(01 G@D0'(01
# =00 #000
* 700 =00
Answers to Practice Exam II
#- b
*- d
3- a
/- b
5- b
5- d
6- c
7- d
=- d
#0- a
##- a
#*- b
#3- b
#/- c
#5- c
#5- b
#6- b
#7- a
#=- c
*0- b
*#- c
**- c
*3- a
*/- c
*5- a
*5- c
*6- b
*7- a
*=- c
30- d
3#- c
3*- c
33- a
3/- a
35- c
35- a
36- a
37- c
3=- b
/0- c
/#- c
/*- b
/3- b
//- e
/5- d
/5- e
/6- a
/7- b
/=- d
50- d
&roblem # ,*0 points- +n"entor$ in"ol"ing independent demand
:outhwest 8irlines is tr$ing to de"elop an in"entor$ polic$ for maintaining its tires on its fleet of (oeing 636Cs. 8nnual
demand for tires runs 35500 per $ear and the ordering cost is E#000.00 per order. The carr$ing cost is 30% of the
purchase price and each tire costs E*000. Bead times on orders are three weeks and the compan$ insists on a safet$
stock of *000 tires. :ince the compan$ flies 355 da$s a $ear assume e"er$ da$ is a business da$.
,3- %hat is the optimal 0@A. EOQ*=34!
,3- %hat is the optimal total in"entor$ cost. T"* = #209,24!$0
,3- %hat is the reorder point assuming *000 tires in safet$ stock. % = 4100
,3- 4ow man$ orders go out in a $ear. %hat is the a"erage time in da$s ,assuming 355 da$s/$r- between orders.
Or&ers = '(EOQ* = 104!)4
,3- :uppose the standard de"iation of dail$ demand on tires is #0 tires. +n $our opinion is *000 tires too much safet$
stock if the compan$ wants to be ==% certain it has sufficient tires on hand. %h$ or wh$ not.
*es, 2000 tires is wa+ too m,c- sa.et+ stoc/! T-e sa.et+ stoc/ .orm,la 0=3*10*s1rt0233 calls .or onl+ 134!$ tires!
,5- !ind the optimal order quantit$ if the supplier is willing to pro"ide a discount for higher-"olume purchases as follows2
'inimum order quantit$ 9nit price
0-500 *000
50#-#000 #700
#00#H #500
T"0EOQ*3 = #43,209,24
T"0$013 = #)$,923,1$4
T"010013 = #$$,0),4)4 T-e best c-oice 55 or&er in 1,antities o. 1001
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 10
&roblem * ,#/ points-
!ashion 8pparel )irect ,!8)- out-sources production of its line of womenCs clothing to three ma<or suppliers. The
planning process at !8) consists of purchasing capacit$ at each supplier and submitting specific orders during the
$ear to utili;e the capacit$. ?osts and a"ailable capacit$ differ b$ supplier and time of $ear. 3arments ma$ be
produced in ad"ance of need but the carr$ing cost is E# per month. 9se the demand and cost information gi"en
below to design a purchase plan for !8). 'onthl$ demand must be met but capacit$ ,suppl$- does not ha"e to be
entirel$ used.
Table 2
Supplier Suppl Supplier ! Suppl ! Supplier" Supp "
Mo#th $EMAN$ Capacit% Cost Capacit% Cost Capacit% Cost
September &''' ''' ' !''' ''' (
October "''' !''' ) ''' ' !''' )
No*ember +''' !''' , !''' ) ''' ,
$ecember -''' !''' ' ''' !''' '
.) poi#ts/
?ost ?ost ?ost ?ost 8llocation 8llocation 8llocation 8llocation
:ept @ct Go" )ec :ept @ct Go" )ec :uppl$
sup # :ept 10 11 12 13 1000 #000
sup * :ept 11 12 13 14 2000 *000
sup 3 :ept 4 9 10 1000 #000
sup # @ct 1000 9 10 2000 *000
sup * @ct 1000 10 11 12 1000 #000
sup 3 @ct 1000 9 10 2000 *000
sup # Go" 1000 1000 9 10 2000 *000
sup * Go" 1000 1000 9 1000 1000 *000
sup 3 Go" 1000 1000 9 10 1000 #000
sup # )ec 1000 1000 1000 10 2000 *000
sup * )ec 1000 1000 1000 11 1000 #000
sup 3 )ec 1000 1000 1000 10 1000 *000
)emand /000 3000 5000 5000 19,000
,/ points- %hat is the formula for ,use actual numbers taken from the table abo"e- as well as the total cost of $our
allocation plan.
=1000*1062000*1161000*462000*61000*1062000*962000*961000*61000*961000*1062000*1061000*1161000*10
=10,000622,0006400061),000610,00061,00061,0006,00069000610,000620,000611,000610,000
=1)9,000
Gotice in this problem that there is an excess of suppl$ o"er demand b$ #000 units.
,* points- +n words explain what the allocation plan that $ou came up with is.
1000 ,nits o. s,77l+ .rom s,77lier 18s 9e7t s,77l+ :ets allocate& to meet 9e7t &eman&
2000 ,nits o. s,77l+ .rom s,77lier 28s 9e7t s,77l+ :ets allocate& to meet 9e7t &eman&
1000 ,nits o. s,77l+ .rom s,77lier 38s 9e7t s,77l+ :ets allocate& to meet 9e7t &eman&
Etc!
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 11
&roblem 3 ,#5 points-
,/ points- ?irca #==* describe what was basicall$ wrong with mainframe/glasshouse architecture.
13 ;o <isibilit+ across &e7artments an& s,77liers
23 t-irt+5six mont- bac/lo: on mo&i.ications to existin: so.tware a77lications
33 lon:, ex7ensi<e &e<elo7ment times .or new a77lications
43 main.rames were com7,tational bottlenec/s
$3 no =>I inter.ace
)3 re,sabilit+ not 7ossible
,3 points- )raw the diagram representing mainframe/glass house architecture. !or each application software package
$ou include show and label its three components explicitl$.
,3 points- )raw the diagram representing G-tier distributed information architecture. )escribe what changed with respect
to the three components that make up each application. :how where each component resides within the G-tier distributed
architecture.
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 12
?al. o. t-e 7resentation mana:ement resi&es on t-e client 0t-e Internet browser3! T-e ot-er -al. o. t-e
7resentation mana:ement resi&es on t-e a77lication 0t-e 7art t-at ser<es o,t web 7a:es3, as well as t-e
b,siness lo:ic! @inall+, t-e &ata mana:ement resi&es on t-e &ata ser<er!
,* points- )iscuss the opportunities for re-use that exist within the G-tier distributed architecture. )id these opportunities
exist within the mainframe/glasshouse architecture.
"an re5,se all o. t-e 'ata Aana:ement com7onent
"an re5,se t-e Internet browser 7ortion o. t-e Presentation Aana:ement com7onent
Occasionall+ it occ,rs t-at 7ortions o. t-e a77lication ser<er com7onents can be re5,se&!
;one o. t-ese o77ort,nities existe& wit-in t-e main.rame(:lass-o,se arc-itect,re!
,* points- )efine what is meant b$ 01&. )iscuss how the implementation of an 01& s$stem should proceed.
E%P is Enter7rise %eso,rce Plannin:, an o,t:rowt- o. A%P, w-ic- :ot its start in t-e 19408s! It is t-e bac/bone
o. cor7orate com7,tin: to&a+! Im7lementation o. an E%P s+stem s-o,l& start wit- an i&enti.ication o. 7rocesses
an& wit- w-ic- o. t-ese are ba&l+ in nee& o. re<ision(inno<ation!
,/ points- )iscuss the ad"antages that 01&
*
holds o"er mainframe/glasshouse architecture.
E%P ,ses an ;5tier in.ormation arc-itect,re an& o<ercomes all o. t-e 7roblems mentione& in t-e .irst 1,estion
abo<e! 9o E%P creates <isibilit+, eliminates 3) mo! Bac/lo:s, re&,ces &e<elo7ment times an& costs, an&
eliminates t-e main.rame as an ex7ensi<e com7,tational bottlenec/! In a&&ition, E%P allows .or t-e ,se o.
"OT9, w-ic- is m,c- c-ea7er t-an b,il&in: .rom scratc-, an& 7ermits best5o.5bree& c-oices! In s-ort,
Enter7rise <isibilit+C enter7rise inte:rationC 1,ic/er, c-ea7er new a77lication &e<elo7mentC elimination o. 3)
mont- bac/lo:s in t-e centraliDe& AI9 s-o7C better career mana:ement .or t-e IT 7ro.essionalC better
mana:ement o. so.tware mo&,les are all a&<anta:es!
!
0nterprise 1esource &lanning
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 13
&roblem / ,#/ points-
The 4ousehold 1obotic ?ompan$ ,41?- produces a domestic robot at one plant on the east coast. These de"ices are
shipped to two more centrall$ located warehouses. The costs to manufacture the unit at the plant are shown below for
the months of @ctober and Go"ember. Gotice that manufacturing costs are expected to increase as a new labor contract
goes into effect at the end of @ctober.
&B8GT
?@:T:
@?T@(01 G@D0'(01
# =00 #000
* 700 =00
+t is possible to manufacture units during @ctober and store them at the plant for Go"ember shipment but not "ice "ersa.
9nit monthl$ storage costs are E30 at the plant. The capacities of each plant are constant at 30000 units per month. The
per unit cost of distributing the robots from the plant to warehouses 8 and ( are shown below.
!rom/To 8 (
# E50 E50
* E60 E50
)emand for the robots is seasonal and "aries at the distribution points 8 and ( as shown below2
'onth -------
JJJJJJJJJJJJJJJJJJJJJJJJJ
%arehouse
@ctober Go"ember
8 *0000 30000
( 30000 *0000
,5 points- !ormulate a transportation matrix for this problem. ,)ecide what $our sources of suppl$ areIset aside a row for
each source placing the capacit$ of that source at the end of the row. )ecide what $our indi"idual demands are and
create a column for each such demand.-
,7 points- )oes this model ha"e a feasible solution. %h$. !ind a near optimal solution to this model <ust b$ using the
simple heuristic we illustrated in class ,the row minimum method-.
Oct A
'em
Oct B
'em
;o< A
'em
;o< B
'em 9>PP2*
Plant 1 October Pro& #9$0 #9)0 #90 #990 30,000
Plant 1 ;o<ember Pro& #10,000 #10,000 #1,0$0 #1,0)0 30,000
Plant 2 Oct Pr #40 #)0 #900 #90 30,000
Plant 2 ;o< P #10,000 #10,000 #940 #9)0 30,000
'EAA;' 20,000 30,000 30,000 20,000
EEEEEEEEEEEE EEEEEEEE EEEEEEE EEEEEEE EEEEEEE EEEEEEE EEEEEEE
Oct A
'em
Oct B
'em
;o< A
'em
;o< B
'em 9>PP2*
Plant 1 October Pro& 20,000 10,000 30,000
Plant 2 ;o<ember Pro& 30,000 30,000
Plant 2 Oct Pr 20,000 10,000 30,000
Plant 2 ;o< P 10,000 30,000
'EAA;' 20,000 30,000 30,000 20,000
*es, t-is mo&el &oes -a<e a .easible sol,tion
Total cost o. t-is sol,tion is #9$,00,000
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 14
ISQS 5243/5343 Dr. BurnsClosed Book, Closed Notes Page 15