A distant family member has left you a manufacturing plant producing plastic pink flamingos in her will. You Before you decide whether this is your lucky day, you want to determine how many pink flamingos you need to Fixed costs of the facility are US$ 1,000,000 The manufacturing plant operates two 8-hour shifts - five days a week with a total of 8 workers per shift - paid an average of $ 50,000 a year each, including all benefits. With this set up your single machine produces a maximum of 100,000 packs of 10 flamingos. At this production level - material costs are US$ 1,000,000 a year and production energy cost is $ TOTAL COSTS FIXED COST = 1,000,000 VARIABLE COSTS = 8 WORKERS * 2 SHIFTS * 50,000 = 800,000 MATERIALS = 1,000,000 ENERGY = 200,000 NEXT QUESTIONS Your production process has four steps: Step 1 - one worker Drier for the plastics capacity 5000 lbs/hr 1 flamingo = 5.0 lbs Step 2 - two workers Molding machine capacity 50 10 packs per hour Step 3 - three workers Visual inspection and finishing touches 6 sec per flamingo per worker Step 4 -two workers packing in boxes of 10; attaching labels 1 minute per box per worker Slack (sec) Time Idle (%) Output in units (10-packs) per Processing time (sec) hour (10-pack) Takt Time (sec) (10 pack) S1 S2 S3 S4 08. There seems to be a lot of waste and idle time at the plant. How many workers can you let go at station 3 a. none b. one C. two d. you need to add a worker Slack (sec) Time Idle (%) Output in units (10-packs) per Processing time (sec) hour (10-pack) Takt Time (sec) (10 pack) S1 S2 S3 S4 on You donid Icard both 09. a. You decide to let go all the redundant workers, in both shifts. What are the total savings? Remember: your average worker costs you US$ 50,000 a year $ 200,000 per year $ 300,000 per year $ 150,000 per year $ 100,000 per year b. c. d. A distant family member has left you a manufacturing plant producing plastic pink flamingos in her will. You Before you decide whether this is your lucky day, you want to determine how many pink flamingos you need to Fixed costs of the facility are US$ 1,000,000 The manufacturing plant operates two 8-hour shifts - five days a week with a total of 8 workers per shift - paid an average of $ 50,000 a year each, including all benefits. With this set up your single machine produces a maximum of 100,000 packs of 10 flamingos. At this production level - material costs are US$ 1,000,000 a year and production energy cost is $ TOTAL COSTS FIXED COST = 1,000,000 VARIABLE COSTS = 8 WORKERS * 2 SHIFTS * 50,000 = 800,000 MATERIALS = 1,000,000 ENERGY = 200,000 NEXT QUESTIONS Your production process has four steps: Step 1 - one worker Drier for the plastics capacity 5000 lbs/hr 1 flamingo = 5.0 lbs Step 2 - two workers Molding machine capacity 50 10 packs per hour Step 3 - three workers Visual inspection and finishing touches 6 sec per flamingo per worker Step 4 -two workers packing in boxes of 10; attaching labels 1 minute per box per worker Slack (sec) Time Idle (%) Output in units (10-packs) per Processing time (sec) hour (10-pack) Takt Time (sec) (10 pack) S1 S2 S3 S4 08. There seems to be a lot of waste and idle time at the plant. How many workers can you let go at station 3 a. none b. one C. two d. you need to add a worker Slack (sec) Time Idle (%) Output in units (10-packs) per Processing time (sec) hour (10-pack) Takt Time (sec) (10 pack) S1 S2 S3 S4 on You donid Icard both 09. a. You decide to let go all the redundant workers, in both shifts. What are the total savings? Remember: your average worker costs you US$ 50,000 a year $ 200,000 per year $ 300,000 per year $ 150,000 per year $ 100,000 per year b. c. d
