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Analyze the Aprons R Us case below and answer these questions: ( 1 ) What is ARU s current production capacity? If ARU is to
Analyze the Aprons R Us case below and answer these questions:
What is ARUs current production capacity? If ARU is to increase its inhouse capacity, where should it invest?
With the current production rate, what is ARUs total cost per apron? To do this you need to include material, freight, contractor, and the labor cost per apron.
Suppose ARU adds a worker at the bottleneck station, what is the total cost per apron now?
Throughout your analysis, assume that workers are not crosstrained, therefore they can only work at their own stations. Also, assume that all the workers are working on ARU orders exclusively.
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