Subject : BPO Management

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Name : Arnold David Samuel                                                                                                     Marks : 80
Course : Specialisation
Subject : BPO Management

Answer the following question.



Question. 1. Why would a decision maker use expected opportunity loss in an outsource provider selection decision?

Answer: A risk measure, expected opportunity loss (EOL), is introduced to quantify the potential loss of making an incorrect choice in risk-based decision making. Minimax regret principle, EOL can account for the unbounded continuous random outcomes of alternatives and decision makers’ acceptable risk. This article studies the effects of the forms of loss function, correlation among outcomes, and the acceptable risk on the ranking results by considering the loss function in the power form. The results show that the loss functions and the outcomes correlations can significantly influence the rankings of alternatives in risk-based



Question. 2. What is viewed as the basic failure in the current approach to making the international OI decision?

Answer: The failure analysis and management has a strategic dimension from the financial, technical, engineering, social and economical viewpoint in oil and gas industries all around the world. Nowadays using the methodical and algorithms for possible automatic approach for managing of failure data has key role in technical inspection records of world-class companies, and it can make essential improvement in work-flows and in




Question. 3. Why is there a need for differing types of decision variables (i.e., real values, integer values, zeroone values) in LP models?

Answer: OR-Notes are a series of introductory notes on topics that fall under the broad heading of the field of operations research (OR).

Capital budgeting extension

For the integer programming problem given before related to capital budgeting suppose now that we have the additional condition that either project 1 or project 2 must be chosen (i.e. projects 1 and 2 are mutually exclusive). To cope with this






Question. 4. Which of the criteria for making a decision under uncertainty would you choose if you had to select an outsource provider? Justify your selection of a criterion.

Answer: The management of a company that I shall call Stygian Chemical Industries, Ltd., must decide whether to build a small plant or a large one to manufacture a new product with an expected market life of ten years. The decision hinges on what size the market for the product will be.

Possibly demand will be high during the initial two years but, if many initial users find the product unsatisfactory, will fall to a low level thereafter. Or high



Question. 5. How are surrogate measures used in cost/benefit analysis?

Answer: Cost-benefit analysis (CBA or COBA) is a tool employed to evaluate projects by providing with a set of values that are useful to determine its feasibility from an economic standpoint. Conceptually simple, its results are easy for decision makers to comprehend, and therefore enjoys a great deal of favor in project assessments. The end product of the procedure is a benefit/cost ratio that compares the total expected benefits to the total predicted costs. In practice CBA is quite complex, because it raises a number of assumptions about the scope of the assessment, the time-frame, as well as technical issues involved in measuring




Question. 6. If the parameters used in a MCSM are questionable, should the MCSM be used to make an international OI decision?

Answer: Motivation: Mutations play fundamental roles in evolution by introducing diversity into genomes. Missense mutations in structural genes may become either selectively advantageous or disadvantageous to the organism by affecting protein stability and/or interfering with interactions between partners. Thus, the ability to predict the impact of mutations on protein stability and interactions is of significant value, particularly in understanding the effects of Mendelian and somatic mutations on the progression of disease. Here,



Question. 7. How are the disadvantages of outsourcing related to risks run by client firms?

Answer: Outsourcing is a business strategy that moves some of an organization’s functions, processes, activities and decision responsibility from within an organization to outside providers.

This is done through negotiating contract agreements with a vendor who takes on the responsibility for the production process, people management, quality, customer service and key asset management of the function.




Question. 8. What types of cooperative agreements might exist between an outsourcing client and outsourcing provider?

Answer: In business, outsourcing involves the contracting out of a business process (e.g. payroll processing, claims processing) and operational, and/or non-core functions (e.g. manufacturing, facility management, call center support) to another party (see also business process outsourcing). The concept "outsourcing" came from the American Glossary 'outside resourcing' and it dates back to at least 1981. Outsourcing sometimes, though not


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