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5. Macon Controls produces three different types of control units used to protect industrial equipment from overheating. Each of these units must be processed by

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5. Macon Controls produces three different types of control units used to protect industrial equipment from overheating. Each of these units must be processed by a machine that Macon considers to be their process bottleneck. The plant operates on two B-hour shifts, 5 days per week, 52 weeks per year. The table below provides the time standards at the bottleneck, lot sizes, and demand forecasts for the three units. Because of demand uncertainties, the operations manager obtained three demand forecasts (pessimistic, expected, and optimistic). The manager believes that a 30 percent capacity cushion is best. Demand Forecast Lot Size (units/lot) Time Standard Component Processing Setup (hrlunit) (hrllot) 0.05 0.30 0.05 10 Pessimistic 14,000 11.000 18.000 Expected 16,000 12.000 23,000 Optimistic 26,000 17,000 35,000 4.7 80 120 a. How many machines are required to meet minimum (Pessimistic) demand, expected demand, and maximum (Optimistic) demand? (Enter your responses rounded up to the next whole number.) Capacity Demand Forecast Requirement (M) Pessimistic machines Expected machines Optimistic machines b. How many machines are required if the operations manager decides to double lot sizes? (Enter your responses rounded up to the next whole number.) Capacity Demand Forecast Ra Requirement (M) Pessimistic machines Expected machines Optimistic machines c. If the operations manager has four machines and believes that the plant can reduce setup time by 30 percent through process improvement initiatives, does that plant have adequate capacity to meet all demand scenarios without increasing lot sizes? (Enter your responses rounded up to the next whole number.) Demand Forecast Requirement (M) Capacity Pessimistic machines Expected machines Optimistic machines Is capacity sufficient to meet all demand scenarios without increasing lot sizes? O O Yes No 1: If you are copy/pasting this data table into POM for Windows... There is no module in POM for Windows to support this data. Please try pasting into Excel or other spreadsheet applications

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