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NMIMS 2019 unique assignments - Discuss the factors that affect plant location decisions.

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Operations Management

1. What is the need of Materials Requirement Planning (MRP) in a manufacturing company? Select any manufacturing company of your choice, and do a detailed study of its MRP process. (10 Marks)
2. Define aggregate operations planning. With the help of one example for each strategy, distinguish between the different aggregate operations planning strategies. (10 Marks)
3. US is set to construct the world’s largest ethane cracker plant in the US Gulf Coast region. Qatar Petrochemical (QP) and Chevron Phillips(CP) Chemical have signed an agreement to jointly develop the project. The complex is expected to comprise a 1,900-kiloton-per-annum (KTA) ethane cracker and two high-density polyethylene (HDPE) units with a combined capacity of 1,680 KTA. QP will own a 70% majority share in the joint venture and CP Chem will hold the remaining 30% stake. Chevron Phillips will also provide project management and oversight, and it will be responsible for operation and management of the facility.
The plant’s location will give it access to significant quantities of ethane produced by US shale basins, including the prolific Permian Basin. The facility will raise Qatar’s polyethylene production capacity by 82%. It will support an estimated 9,000 jobs during construction period, and once operational the facility is expected to provide 600 full-time jobs.
(Source: US to build world’s largest ethane cracker plant by Teresia Njoroge - Jul 15, 2019https://constructionreviewonline.com/2019/07/us-to-build-worlds-largest-ethane-cracker-plant/ )
a. Discuss the factors that affect plant location decisions. What are the key factors that may affect the ethane cracker plant? (5 Marks)
b. Name the four major types of plant layout. For the above project, what should be the ideal plant layout? (5 Marks)

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