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You manage the production process in the high-tech facility of Dale Computers Inc. The facility produces two products (X&Y) - see Product Make Up &

You manage the production process in the high-tech facility of Dale Computers Inc. The facility produces two products (X&Y) - see Product Make Up & Annual Demand table for details. The facility consists of three different assembly lines - see Assembly Capability & Capacity Table below.

The production process begins with the procurement of raw materials from suppliers. Next, the raw materials are processed into six independent subassemblies, AF, in separate work areas within the facility. Each product is then assembled on one of the assembly lines (see Subassembly & Post Assembly Capacity Table for sub assembly details). Following assembly, each product is finished, customized (painted and other options added), packaged and shipped. Current trends indicate that 20% of product X and 50% of product Y are customized.

Product Make Up & Annual Demand

Product

Sub-assemblies required for one unit of product

Annual Unit Sales

X

A= 2, B=1, C=1, E=1

52,000

Y

B=1, C=1, D=2, E=2, F=1

52,000

Notes:

(1) Assume 52 operating weeks/year.

(2) Plan production to meet annual demand (do not overproduce).

Assembly Capability Table

Assembly Line

Capability (Units/Week)

Capacity (Units / Week)

1

Either Product

1200

2

Product X

500

3

Product Y

600

Subassembly & Post Assembly Capacity Table

Subassembly

Capacity (Units/Week)

Subassembly A

2450

Subassembly B

2280

Subassembly C

2400

Subassembly D

2450

Subassembly E

3500

Subassembly F

1200

Finishing

2500

Customizing

820

Packaging

3000

Question #2 - With the current weekly demands of 1000 for each product X and Y, what is the current bottleneck resource? Fill use answer template below.

Question #2

Product

Product X

Product Y

Total

Demand

XX.X%

Resource

Product X

Product Y

Weekly Demand

Capacity

Utilization

Assembly Lines

Subassembly A

Subassembly B

Subassembly C

Subassembly D

Subassembly E

Subassembly F

Finishing

Customizing

Packaging

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