18/hr 1 4 10/hr 20/hr Current capacity 5 12/hr 19/hr 8/hr The diagram describes a service process where customers go through either of two parallel three-step processes and then merge into a single line for two final steps. Capacities of each step are shown on the diagram. a. What is the current capacity of the entire system? 36/hr units per hour Operation to improve How much additional capacity to strive for Resulting capacity of the process 36/hr b. If you could increase the capacity of only one operation through process improvement efforts, which operation would you select, how much additional capacity would you strive for, and what would the resulting capacity of the process be? units per hou units per hou
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- IIn a job shop, effective capacity is only 69 percent of design capacity, and actual output is 76 percent of effective output. What design capacity would be needed to achieve an actual output of 13 jobs per week? What is its effective capacity? a. The Design Capacity needed to achieve the required actual job outputs =Blank 1 (round to whole number) b. The Effective Capacity needed to achieve the required actual job outputs = Blank 2 (round to whole number) Blank 1 Blank 2 Add your answer Add your answerA. What is capacity? B. Why is process capacity a limiting factor in all business processes and systems? Which one isbetter: too much capacity or too little capacity? What would be the conclusiNumber of Processing Time for A Processing Time for B Processing Time for C (minutes) Resource Workers (minutes) (minutes) 1 2 2 2 4 4 5 1 15 3 2 6. 4
- A process currently services an average of 42 customers per day. Observations in recent weeks show that its utilization is about 90 percent, allowing for just a 10 percent capacity cushion. If demand is expected to be 60 percent of the current level in five years and management wants to have a capacity cushion of just 4 percent, what capacity requirement should be planned? The needed capacity requirement is ____________________ customers per day. (Enter your response rounded up to the next whole number.)Avis Company is a car rental company that is located three miles from the Los Angeles airport (LAX). Avis is dispatching a bus from its ofi ces to the airport every 2 minutes. The average traveling time (round-trip) is 20 minutes.a. How many Avis buses are traveling to and from the airport?b. The branch manager wants to improve the service and suggests dispatching busesevery 0.5 minutes. She argues that this will reduce the average traveling time from theairport to Avis ofi ces to 2.5 minutes. Is she correct? If your answer is negative, thenwhat will the average traveling time be?Suppose it takes a color printer 12 minutes to print a design logo on a T-shirt. What is the capacity of the printer expressed in T-shirt per hour? Select one: a. 12 T-shirts per hour b. 60 minutes per hour c. 5 T-shirts per hour d. 5 minutes per T-shirt Product design and process selection are examples of. decisions. Select one: a. System Design b. Tactical Plans c. Financial Design d. System Operation
- To meet holiday demand, Penny’s Pie Shop requires a pro-duction line that is capable of producing 50 pecan pies perweek, while operating only 40 hours per week. There areonly four steps required to produce a single pecan pie withrespective processing times of 5 minutes, 5 minutes, 45 min-utes, and 15 minutes.a. What should be the line’s cycle time?b. What is the smallest number of workstations Penny couldhope for in designing the line considering this cycletime?c. Suppose that Penny finds a solution that requires onlyfour stations. What would be the efficiency of this line?Up, Up, and Away is a producer of kites and wind socks.Relevant data on a bottleneck operation in the shop for theupcoming fiscal year are given in the following table:Item Kites Wind SocksDemand forecast 30,000 units/year 12,000 units/yearLot size 20 units 70 unitsStandard processing time 0.3 hour/unit 1.0 hour/unitStandard setup time 3.0 hours/lot 4.0 hours/lotThe shop works two shifts per day, 8 hours per shift, 200 daysper year. Currently, the company operates four machines,and desires a 25 percent capacity cushion. How many ma-chines should be purchased to meet the upcoming year’s de-mand without resorting to any short-term capacity solutions?Analyzing Operations at the Casa Vana Inn” The reservations office at the Casa Vana Inn is so busy that the reservations agents do not use the computer system to check room availabilities before recording reservation requests. Their standard procedure is to jot down all the relevant reservation information on a pad of paper, record the information when call volume slows, and then call the guest back to confirm the reservation. Given the fact that the reservations manager, Bradley Lawrence, doesn’t trust the computer system, he insists that his staff maintain a reservations rack using typed reservation slips and a set of wooden pockets. Each morning, the reservations agents transfer the reservation slips for those guests expected to arrive that day to the front desk to facilitate a faster check-in. Upon arrival at the front desk, each guest is asked to complete a registration card. The front desk agent matches the information on this card with the reservation slip to ensure proper…
- A manager must whether to buy machine A or B. Machine costs are as follows: A $52,000 each; B $100,000 each Product forecast and processing times on the machines are as follows Processing Time per unit (minutes) Product Annual Demand A B 1 8,000 2 18,000 3 10,000 Assume that only purchasing costs are being considered. Which machine would have the lowest purchase cost and how many of that machine would be need? Machines operate 8 hours a day 250 days per year. The machines differ in hourly operation costs. The A machines have an hourly operating cost of $12 each and B machines have an hourly operating cost of $30 each. What is the operating cost per year and which alternative should be selected to minimize total cost (for the first year) while satisfying the processing requirements? Edit Format Table 12pt v Paragraph v BIUA ev T?v||: MacBook Air esc 80 888 DII F1 F2 F3 F4 F5 F6 F7 FR @ # $ % 1 2 3 4 5 7 8. Q W E R T Y A S D F G < COCharles Lackey operates a bakery in Idaho Falls, Idaho. Because of its excellent product and excellent location, demand has increased by % in the last year. On far too many occasions, customers have not been able to purchase the bread of their choice. Because of the size of the store, no new ovens can be added. At a staff meeting, one employee suggested ways to load the ovens differently so that more loaves of bread can be baked at one time. This new process will require that the ovens be loaded by hand, requiring additional manpower. This is the only thing to be changed. The bakery currently makes loaves per month. The pay will be $ per hour for employees and each employee works 160 hours per month.Charles Lackey can also improve the yield by purchasing a new blender. The new blender will mean an increase in his investment. This new blender will mean an increase in his costs of $ per month, but he will achieve the same new output (an increase to ) as the change in labor…Type the correct answer in the box. Spell all words correctly. Valerie is in the business of selling toys. She has noticed that the sale of toys increases on long holiday weekends. She has instructed her staff to work for extra hours on these days to manage the demand. What strategy is Valerie using to adjust her capacity to the demand? Valerie is using the strategy to adjust the capacity to the demand.