Notes MFM 108

MFM 108 Sustainable Operations Management Notes for GGSIPU MBA (FM) Sem 2

MFM 108 Sustainable Operations Management Notes cover all four units of the GGSIPU MBA (Financial Management) Semester 2 paper. The printed English notes include 19 solved numericals, 23 labelled diagrams, 32 short-answer questions, 31 long-answer questions and a quick revision table for every unit. Topics include sustainable operations, product and process design, line balancing, material requirements planning, lean and JIT, inventory control, statistical quality control and total quality management. The notes follow the MBA (FM) scheme for batches admitted from 2021-22 onwards.

Written by Prateek Talwar, Founder, Unnati Educations · Reviewed by Prateek Talwar, Associate Company Secretary (ACS), ICSI · Checked against the MBA (Financial Management) Scheme and Syllabus, 2021-22 onwards · Updated 14 October 2026 · Editorial policy

Scheme: MBA (FM) scheme 2021-22 onwards | Applies to: batches admitted from 2021-22 onwards | Verified against: MBA (Financial Management) Scheme and Syllabus, identified in the supplied record as dated 20 May 2022

MFM 108 Sustainable Operations Management at a glance: GGSIPU MBA (FM) Sem 2 credits, units and exam pattern

MFM 108 Sustainable Operations Management: scheme facts for MBA (FM), 2021-22 onwards
Code and titleMFM 108 Sustainable Operations Management
Course and semesterMBA (Financial Management), Semester 2
Category and creditsCore & Interdisciplinary, 3 credits; L-T-P: 3-0-0
Marks100: 25 internal (15-mark class test and 10 marks for other assessment activities) + 75 external
Pass markNot specified in the supplied scheme details; refer to GGSIPU Ordinance 11 for applicable examination rules
Applies toBatches admitted from 2021-22 onwards under the stated scheme
End-term pattern75 marks; detailed question-paper pattern not specified in the supplied scheme details
Units and hours4 units, 42 teaching hours: Unit I 11, Unit II 11, Unit III 10 and Unit IV 10
Paired labNone
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MFM 108 Sustainable Operations Management: scheme facts for MBA (FM), 2021-22 onwards
Code and titleMFM 108 Sustainable Operations Management
Course and semesterMBA (Financial Management), Semester 2
Category and creditsCore & Interdisciplinary, 3 credits; L-T-P: 3-0-0
Marks100: 25 internal (15-mark class test and 10 marks for other assessment activities) + 75 external
Pass markNot specified in the supplied scheme details; refer to GGSIPU Ordinance 11 for applicable examination rules
Applies toBatches admitted from 2021-22 onwards under the stated scheme
End-term pattern75 marks; detailed question-paper pattern not specified in the supplied scheme details
Units and hours4 units, 42 teaching hours: Unit I 11, Unit II 11, Unit III 10 and Unit IV 10
Paired labNone

The syllabus also suggests visits to a manufacturing plant and a service facility. The supplied Semester 2 scheme lists nine papers carrying 28 credits in total.

MFM 108 Sustainable Operations Management Notes unit-wise: 19 solved numericals and 23 diagrams across 4 units

The four units occupy pages 5 to 72, giving 68 documented pages of unit content after the four preliminary pages.

MFM 108 Unit 1: Introduction to Operations Management

Unit 1 (pages 5 to 20) covers the input-transformation-output model, ten operations management decision areas, productivity, historical development of operations management, operations strategy, order qualifiers and order winners, the triple bottom line, the 6Rs and ecological considerations under Indian environmental law. It contains 1 solved numerical, 8 diagrams and 15 exam questions (8 short and 7 long).

Quick look: labour productivity growth at a bakery (from page 8)

  1. Before installing a new mixer: 1,000 loaves ÷ 250 labour-hours = 4 loaves per labour-hour.
  2. After installing the mixer: 1,200 loaves ÷ 240 labour-hours = 5 loaves per labour-hour.
  3. Productivity growth = (5 − 4) ÷ 4 × 100 = 25%.

This example measures labour productivity, not total-factor productivity or the financial return on the mixer investment.

MFM 108 Unit 2: Product Development & Process Selection

Unit 2 (pages 21 to 38) covers product development, concurrent engineering, quality function deployment (QFD), a laptop-bag House of Quality, design for manufacturing and assembly, reliability, mass customisation, the Hayes-Wheelwright product-process matrix, plant layouts, assembly-line balancing, facility location, work measurement and standard time. It contains 6 solved numericals, 4 diagrams and 16 exam questions (8 short and 8 long).

Quick look: a production line with a 72-second cycle time (from page 33)
Station Tasks Time (seconds) Idle time (seconds)
1A + B702
2C + D702
3E + F702
TotalLine efficiency: 97.2%2106

Quick look: a production line with a 72-second cycle time (from page 33)

Station
1
Tasks
A + B
Time (seconds)
70
Idle time (seconds)
2
Station
2
Tasks
C + D
Time (seconds)
70
Idle time (seconds)
2
Station
3
Tasks
E + F
Time (seconds)
70
Idle time (seconds)
2
Station
Total
Tasks
Line efficiency: 97.2%
Time (seconds)
210
Idle time (seconds)
6

Line efficiency = 210 ÷ (3 × 72) × 100 = 97.22%, rounded to 97.2%. Balance delay = 6 ÷ 216 × 100 = approximately 2.78%. The calculation assumes that the task assignments satisfy the required precedence constraints.

MFM 108 Unit 3: Operation Planning & Control

Unit 3 (pages 39 to 55) covers capacity strategies, level and chase aggregate planning, material requirements planning (MRP), scheduling, Johnson's rule, Theory of Constraints, drum-buffer-rope, lean management and its eight wastes, just-in-time (JIT), Kanban, sustainable supply chain management, economic order quantity (EOQ) and ABC inventory control. It contains 7 solved numericals, 5 diagrams and 16 exam questions (8 short and 8 long).

Quick look: EOQ and reorder point for annual demand of 12,000 units (from page 53)

  1. Annual demand D = 12,000 units; ordering cost S = ₹500 per order; unit price = ₹60; annual holding rate = 20%.
  2. Annual holding cost H = 20% × ₹60 = ₹12 per unit.
  3. EOQ = √(2DS ÷ H) = √(2 × 12,000 × 500 ÷ 12) = 1,000 units.
  4. Orders per year = 12,000 ÷ 1,000 = 12. Annual ordering cost = 12 × ₹500 = ₹6,000; annual cycle-stock holding cost = (1,000 ÷ 2) × ₹12 = ₹6,000.
  5. With daily demand of 40 units, lead time of 5 days and safety stock of 100 units, reorder point = (40 × 5) + 100 = 300 units.

The EOQ result assumes the standard deterministic model with constant demand and lead time. The ₹6,000 holding-cost calculation excludes the additional holding cost of safety stock.

MFM 108 Unit 4: Quality Management

Unit 4 (pages 56 to 72) covers Garvin's eight quality dimensions, SERVQUAL, costs of quality, Kaizen, ISO 9000 and ISO 14000, statistical quality control, X-bar and R charts, p, np and c charts, process capability indices Cp and Cpk, acceptance sampling, operating characteristic (OC) curves, total quality management (TQM), Japanese 5S, business process reengineering (BPR) and operations analytics. It contains 5 solved numericals, 6 diagrams and 16 exam questions (8 short and 8 long).

Quick look: approximate OC curve values for the acceptance plan n = 50, c = 2 (from page 65)
Lot percentage defective Poisson mean λ = np Probability of acceptance P(X ≤ 2)
2% (illustrative AQL)10.920
4%20.677
6%30.423
10% (illustrative LTPD)50.125

Quick look: approximate OC curve values for the acceptance plan n = 50, c = 2 (from page 65)

Lot percentage defective
2% (illustrative AQL)
Poisson mean λ = np
1
Probability of acceptance P(X ≤ 2)
0.920
Lot percentage defective
4%
Poisson mean λ = np
2
Probability of acceptance P(X ≤ 2)
0.677
Lot percentage defective
6%
Poisson mean λ = np
3
Probability of acceptance P(X ≤ 2)
0.423
Lot percentage defective
10% (illustrative LTPD)
Poisson mean λ = np
5
Probability of acceptance P(X ≤ 2)
0.125

These acceptance probabilities use the Poisson approximation to the binomial distribution. At the stated AQL of 2%, the approximate producer's risk is 1 − 0.920 = 8.0%. At the stated LTPD of 10%, the approximate consumer's risk is 12.5%. Exact binomial probabilities differ slightly.

Theory of Constraints and the five focusing steps in operations planning: excerpt from page 47 of the MFM 108 notes

Excerpt from page 47

5.1 Theory of Constraints (TOC)

The Theory of Constraints is associated with Dr. Eliyahu M. Goldratt and his business novel The Goal (1984). It focuses on the constraint that limits the performance of a system. Improving a non-constraining resource does not necessarily increase the throughput of the overall system.

Types of constraints

  • Physical: machine capacity, labour, materials or available space.
  • Market: insufficient customer demand limits sales and output.
  • Policy: organisational rules, such as mandatory full-batch production or restrictions on overtime.
  • Behavioural: practices and attitudes that encourage local utilisation rather than system-wide performance.

Five focusing steps (Figure 3.4)

The five steps form a repeating improvement cycle:

  1. Identify the system's constraint.
  2. Exploit the constraint by making effective use of its existing capacity and avoiding preventable losses.
  3. Subordinate other activities to the needs and pace of the constraint.
  4. Elevate the constraint when necessary, such as through additional capacity, overtime or outsourcing.
  5. Repeat the process after the constraint changes, and avoid allowing inertia to become the next constraint.

TOC performance measures

  • Throughput (T): the rate at which the system generates money through sales, commonly expressed as sales less totally variable costs in TOC accounting.
  • Inventory or investment (I): money invested in items the system intends to sell.
  • Operating expense (OE): money spent to turn inventory into throughput.
  • Net profit: T − OE.
  • Return on investment: (T − OE) ÷ I, using the simplified TOC measures presented here.

TOC connects operations decisions with financial performance. Managers examine how changes affect throughput, investment and operating expense instead of judging success only by the utilisation of individual machines. Improvements must be evaluated together because a change that raises throughput may also require additional investment or expense.

MFM 108 exam corner: 32 short-answer and 31 long-answer practice questions by unit

MFM 108 notes: exam questions and solved numericals per unit
Unit Short-answer questions (2–5 marks) Long-answer questions (10–15 marks) Solved numericals
Unit 1871
Unit 2886
Unit 3887
Unit 4885
Total323119

MFM 108 notes: exam questions and solved numericals per unit

Unit
Unit 1
Short-answer questions (2–5 marks)
8
Long-answer questions (10–15 marks)
7
Solved numericals
1
Unit
Unit 2
Short-answer questions (2–5 marks)
8
Long-answer questions (10–15 marks)
8
Solved numericals
6
Unit
Unit 3
Short-answer questions (2–5 marks)
8
Long-answer questions (10–15 marks)
8
Solved numericals
7
Unit
Unit 4
Short-answer questions (2–5 marks)
8
Long-answer questions (10–15 marks)
8
Solved numericals
5
Unit
Total
Short-answer questions (2–5 marks)
32
Long-answer questions (10–15 marks)
31
Solved numericals
19

Total: 63 exam-style questions (32 short-answer and 31 long-answer), plus 19 solved numericals. The 2–5-mark and 10–15-mark bands describe the notes' practice format, not a confirmed official end-term paper pattern.

One question per unit, with answer pointers:

  1. Unit 1: Explain sustainable operations and the ecological considerations of manufacturing and service firms. Pointer: Discuss the triple bottom line, compare manufacturing and service activities, and use the Environment (Protection) Act, 1986 as a relevant Indian example.
  2. Unit 2: Explain QFD and the House of Quality with a diagram. Pointer: Label the six principal parts of the House of Quality and explain how customer importance and relationship scores contribute to technical priorities.
  3. Unit 3: Discuss priority rules and solve a Johnson's rule problem. Pointer: The worked problem on page 46 gives the sequence T-Q-S-R-P and a reported makespan of 24 hours. Show the machine-time table and scheduling chart when answering.
  4. Unit 4: Distinguish between BPR and TQM. Pointer: Explain BPR as fundamental reconsideration and radical process redesign, then contrast it with TQM's continuing, organisation-wide quality improvement.

Who writes and checks the MFM 108 Sustainable Operations notes?

  • Prateek Talwar, author: Founder, Unnati Educations; Associate Company Secretary (ACS), ICSI, membership no. 58704, since 15 May 2019; B.Com, University of Delhi (School of Open Learning), 2012. Author profile

Prateek Talwar is also identified as the subject reviewer. The supplied editorial mapping aligns the four units with the MBA (FM) scheme for 2021-22 onwards.

The supplied 2026-27 edition also discusses Indian environmental and sustainability regulations, including SEBI's Business Responsibility and Sustainability Reporting (BRSR), extended producer responsibility (EPR) requirements and the Bio-Medical Waste Management Rules, 2016. Readers should check current regulatory applicability and amendments before relying on these topics for compliance decisions.

Last updated 14 October 2026. Read the editorial policy for review and correction information.

Do the MFM 108 notes cover the full GGSIPU syllabus?

The supplied editorial mapping lists coverage of the official topics across all four units. The mapping identifies numbered sections for each unit; independent topic-by-topic verification against the complete printed book remains separate from this page-content audit.

MFM 108 official syllabus topics mapped to the notes
Official unit Official topics In the notes Status
I: Introduction to Operations Management Nature and scope; historical evolution; systems perspective; functional relationships; operations strategy; recent trends; sustainability and ecological considerations in manufacturing and services Sections 1–8, pages 5–18 Mapped in supplied record
II: Product Development & Process Selection Product development; concurrent engineering; QFD; design for manufacturing, assembly and quality; mass customisation; process selection; product-process matrix; layouts; line balancing; location; work measurement; job design; IT and productivity Sections 1–13, pages 21–37 Mapped in supplied record
III: Operation Planning & Control Capacity and resource planning; aggregate planning; MRP; scheduling; Theory of Constraints; synchronous manufacturing; lean; JIT; sustainable supply chains; inventory planning and control Sections 1–9, pages 39–54 Mapped in supplied record
IV: Quality Management Quality dimensions and costs; Kaizen; ISO 9000 and 14000; quality awards; SQC; X-bar, R, p, np and c charts; acceptance sampling; OC curves; AQL, LTPD and associated risks; TQM; 5S; BPR; operations analytics Sections 1–14, pages 56–71 Mapped in supplied record

MFM 108 official syllabus topics mapped to the notes

Official unit
I: Introduction to Operations Management
Official topics
Nature and scope; historical evolution; systems perspective; functional relationships; operations strategy; recent trends; sustainability and ecological considerations in manufacturing and services
In the notes
Sections 1–8, pages 5–18
Status
Mapped in supplied record
Official unit
II: Product Development & Process Selection
Official topics
Product development; concurrent engineering; QFD; design for manufacturing, assembly and quality; mass customisation; process selection; product-process matrix; layouts; line balancing; location; work measurement; job design; IT and productivity
In the notes
Sections 1–13, pages 21–37
Status
Mapped in supplied record
Official unit
III: Operation Planning & Control
Official topics
Capacity and resource planning; aggregate planning; MRP; scheduling; Theory of Constraints; synchronous manufacturing; lean; JIT; sustainable supply chains; inventory planning and control
In the notes
Sections 1–9, pages 39–54
Status
Mapped in supplied record
Official unit
IV: Quality Management
Official topics
Quality dimensions and costs; Kaizen; ISO 9000 and 14000; quality awards; SQC; X-bar, R, p, np and c charts; acceptance sampling; OC curves; AQL, LTPD and associated risks; TQM; 5S; BPR; operations analytics
In the notes
Sections 1–14, pages 56–71
Status
Mapped in supplied record

Official reference: MBA (Financial Management) Scheme and Syllabus, 2021-22 onwards. The supplied source identifies MFM-108 on PDF pages 34–35 and the marks scheme on page 3.

How to write MFM 108 answers: diagram-led theory answers and step-wise line balancing, EOQ and control chart numericals

For a long answer on the nature and scope of operations management, draw the input-transformation-output model, explain the ten decision areas and give one manufacturing and one service example. For operations strategy, discuss the strategy hierarchy, competitive priorities, order qualifiers and order winners, trade-offs and formulation steps.

For QFD, draw and label the six principal parts of the House of Quality. For the product-process matrix, use the four-by-four framework discussed in the notes. Explain the implications of process-product fit, including costs and flexibility, rather than treating every mismatch as having the same outcome.

For cost-of-quality answers, distinguish prevention, appraisal, internal failure and external failure costs, with examples. Explain Crosby's quality philosophy in context.

For control-chart numericals, write the formula, identify the correct chart and applicable constants, such as A2, D3 and D4 for appropriate X-bar and R chart calculations. Do not automatically replace every negative lower control limit with zero: a zero lower limit is appropriate for certain non-negative chart statistics, but the treatment depends on the chart and the underlying measurement scale. Interpret the resulting limits and plotted points before concluding whether a process appears statistically in control.

For inventory and JIT answers, connect reduced stockholding to working capital, the cash conversion cycle and return on capital employed. These outcomes depend on service levels, reliability, supply risks and the cost of implementation.

For scheduling, compare the FCFS, SPT and EDD rules using the relevant performance measure. The supplied page 46 example reports an average flow time of 13.0 days under SPT and an average lateness of 1.2 days under EDD. These results require the original processing-time and due-date data for independent recalculation.

Worked example: calculating standard time and shift output (page 35)

  1. Observed time: 4.0 minutes per unit.
  2. Performance rating: 110%, giving normal time = 4.0 × 1.10 = 4.40 minutes.
  3. Allowance: 15% of normal time, under the convention used in this example.
  4. Standard time: 4.40 × 1.15 = 5.06 minutes per unit.
  5. Available shift time: 8 hours × 60 = 480 minutes.
  6. Theoretical output: 480 ÷ 5.06 = approximately 94.86 units.
  7. Complete units: 94 units if only finished whole units count and the 480 minutes are fully available under the stated assumptions.

For sustainability questions, compare factories and service organisations, explain the triple bottom line and cite a relevant Indian environmental law with an appropriately qualified business example.

MFM 108 and the GGSIPU MBA (FM) Sem 2 papers it connects to

Paired lab: None. MFM 108 is a 3-credit Core & Interdisciplinary theory paper.

  • MFM 104 Financial Management: Capacity expansion, facility and process choices can be evaluated through capital budgeting and investment appraisal.
  • MFM 102 Corporate Social Responsibility and Corporate Governance: Triple-bottom-line thinking and sustainability disclosures connect with Unit 1.
  • MFM 112 Human Resource Management: Job design, job enrichment and work measurement connect with Unit 2.
Other MBA (Financial Management) Semester 2 papers in the supplied scheme
GroupPapers
Research and investmentsMFM 106 Business Research; MFM 110 Investment Analysis & Portfolio Management
Project and professional skillsMFM 114 Minor Project; MFM 116 Professional Skill Development (NUES)
ElectiveMFM 118 MOOC/Open Elective

Other MBA (Financial Management) Semester 2 papers in the supplied scheme

Group
Research and investments
Papers
MFM 106 Business Research; MFM 110 Investment Analysis & Portfolio Management
Group
Project and professional skills
Papers
MFM 114 Minor Project; MFM 116 Professional Skill Development (NUES)
Group
Elective
Papers
MFM 118 MOOC/Open Elective

MFM 108 Sustainable Operations notes FAQs

How do I get the full MFM 108 notes?

Use the WhatsApp ordering button below. The full MFM 108 notes are supplied as a printed English book, not as a downloadable full-book PDF. A separate sample PDF is planned for preview. Delivery is generally within 5 to 7 days, depending on location.

Is MFM 108 Sustainable Operations Management a core paper, and how many credits does it carry?

Yes. The supplied MBA (Financial Management) scheme for 2021-22 onwards lists MFM 108 as a Core & Interdisciplinary paper in Semester 2. It carries 3 credits, with three lecture hours per week and no separate practical or lab component. The supplied programme summary lists 108 total credits and a minimum of 102 credits for the degree.

What is the passing mark for MFM 108?

The paper carries 100 marks: 25 internal and 75 external. The supplied scheme details do not state a passing percentage. Consult GGSIPU Ordinance 11 for the applicable examination and result rules.

Which MFM 108 unit has the most numericals?

Unit 3, Operation Planning & Control, contains 7 of the 19 solved numericals. They cover capacity utilisation, aggregate planning, MRP, sequencing, Johnson's rule, Kanban and EOQ with reorder point. Unit 2 has 6 numericals, Unit 4 has 5 and Unit 1 has 1.

Do the MFM 108 notes solve control chart and OC curve numericals?

Yes. Unit 4 includes X-bar and R charts, p and np charts, a c chart, Cp and Cpk, and an OC curve for an acceptance sampling plan with n = 50 and c = 2. The notes also provide relevant chart constants such as A2, D3 and D4.

How do the MFM 108 notes cover the sustainable part of the paper?

Each unit addresses sustainability. Unit 1 covers the triple bottom line, 6Rs, carbon-emission scopes and environmental regulation. Unit 2 covers environmentally conscious design and layouts. Unit 3 discusses lean operations, sustainable supply chains and inventory. Unit 4 connects quality systems, ISO 14000 and operational improvement with sustainability.

Get the full MFM 108 Sustainable Operations Management Notes on WhatsApp

The printed English notes book is listed as 73 pages. The supplied page ranges document pages 1 to 72, leaving one page to confirm. The notes contain 19 solved numericals, 23 diagrams and 63 exam-style questions.

MFM 108 printed notes book: documented pages and content per unit
Part Pages Solved numericals Diagrams
Cover and index1–4 (4)——
Unit 1: Introduction to Operations Management5–20 (16)18
Unit 2: Product Development & Process Selection21–38 (18)64
Unit 3: Operation Planning & Control39–55 (17)75
Unit 4: Quality Management56–72 (17)56
Unidentified page73 (1; content pending confirmation)——
Listed book total731923

MFM 108 printed notes book: documented pages and content per unit

Part
Cover and index
Pages
1–4 (4)
Solved numericals
—
Diagrams
—
Pages
5–20 (16)
Solved numericals
1
Diagrams
8
Pages
21–38 (18)
Solved numericals
6
Diagrams
4
Pages
39–55 (17)
Solved numericals
7
Diagrams
5
Pages
56–72 (17)
Solved numericals
5
Diagrams
6
Part
Unidentified page
Pages
73 (1; content pending confirmation)
Solved numericals
—
Diagrams
—
Part
Listed book total
Pages
73
Solved numericals
19
Diagrams
23

The notes also contain nine exam tips within the units.

Delivery: within 5 to 7 days at most; the exact time may vary with your location.

Order the MFM 108 notes book on WhatsApp (4 units, 73 pages)

Unnati Educations is an independent education provider based in Vikaspuri, Delhi. We are not affiliated with, authorised by, or endorsed by Guru Gobind Singh Indraprastha University (GGSIPU). 'GGSIPU' and 'IPU' are used only to describe the syllabus our notes follow. For official information, visit ipu.ac.in.

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