Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

P1 has a production rate of 20 units/hour, P2=30 units/hour, P3=10 units per hour, P4=4 units/hour, P5=1 unit(s) per hour for each P5 and P6=5

image text in transcribedimage text in transcribed P1 has a production rate of 20 units/hour, P2=30 units/hour, P3=10 units per hour, P4=4 units/hour, P5=1 unit(s) per hour for each P5 and P6=5 units per hour. Operation P4 occurs seperately from and simultaneously with operations P1-P3. Operation P5 has three parallel and identical lines; therefore, each part only needs to go through one of the three lines. Consider the following two independent improvements: Improvement 1: Change station P4 into two connected stations (P4-1 and P4-2, connected in series) that have process times of 4min/ unit and 6min/ unit respectively. Improvement 2: Add two additional P5 stations to give you 5 parallel and identical lines. a) Which of the two improvements will provide the largest increase in capacity? What is the yearly capacity of the system with the improvement you suggested? Assume the process runs 40 hours per weeks and 48 weeks per year. a) Which of the two improvements will provide the largest increase in capacity? What is the yearly capacity of the system with the improvement you suggested? Assume the process runs 40 hours per weeks and 48 weeks per year. Improvement increases capacity because it improves the bottleneck. The new bottleneck is station P since the original bottleneck has a process time of minutes per unit now. The new yearly capacity would be units per year. b) Which of the two improvements will provide the biggest decrease in throughput time? What is the new throughput with the improvement you suggested? Improvement decreases throughput time to minutes per unit. c) Which of the two would you recommend implementing? Why? I recommend Improvement because it improves our (bottleneck/throughput time) and increases our capacity. Therefore, we also increase the number of potential sales, and thus revenue

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Management Fundamentals

Authors: Robert N. Lussier

9th Edition

154438419X, 978-1544384191

More Books

Students also viewed these General Management questions