Operations Management
17th Edition
ISBN: 9781259142208
Author: CACHON, Gérard, Terwiesch, Christian
Publisher: Mcgraw-hill Education,
expand_more
expand_more
format_list_bulleted
Concept explainers
Videos
Textbook Question
Chapter 7, Problem 8PA
Bruno Fruscalzo decided to set up a small production facility in Sydney to sell to the local restaurants who want to offer gelato on their dessert menu. To start simple, he would offer only three flavors of gelato: fragola (strawberry), chocolato (chocolate), and bacio (chocolate with hazelnut). After a short time, he determined his demand and setup times, listed in Table 7.6.
Bruno first produces a batch of fragola, then a batch of chocolato, then a batch of bacio, and then he repeats that sequence. For example, after producing bacio and before producing fragola, he needs 45 minutes to set up the ice cream machine, but he needs only 10 minutes to switch from chocolato to bacio. When running, his ice cream machine produces at the rate of 50 kgs per hour no matter which flavor it is producing (and, of course, it can produce only one flavor at a time).
- a. Suppose they operate with a production cycle of 150 kgs (50 kg of fragola, 75 kgs of chocolato, and 25 kgs of bacio). What is the capacity of the gelato-making process (in kgs per hr)?
- b. Suppose they operate with a production cycle of 150 kgs (50 kg of fragola, 75 kgs of chocolato, and 25 kgs of bacio). What is the utilization of the gelato-making process?
- c. Suppose they operate with a production cycle of 150 kgs (50 kg of fragola, 75 kgs of chocolato, and 25 kgs of bacio). What is the average inventory of chocolato?
- d. Suppose Bruno wants to minimize the amount of each flavour produced at one time while still satisfying the demand for each of the flavors. (He can choose a different quantity for each flavor.) If we define a batch to be the quantity produced in a single run of each flavor, how many kgs should he produce in each batch?
- e. Given your answer to part (d), how many kgs of fragola should he make with each batch?
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
4. Identify the Order-winners and Order qualifiers for the following business:
A mobile manufacturing company
Car Renting company
Note:
Use the following format for all your MRP matrices:
Gross requirements
Scheduled receipts
Projected on hand
Net requirements
Planned order receipts
Planned order releases
0
1
PERIOD
2
3
4
Q4) A manufacturer provides specialized microchips. During the next 3 months its sales, costs,
and available time are shown in the table.
Month 1
Month 2
Month 3
There are no chips in stock at the beginning of
the first month. It takes 1.5 hr of production
time to produce a chip and costs $5 to store a
chip from one month to the next. Determine a
production schedule that meets the demand
requirements, does not exceed the monthly production time limitations, and minimizes
cost. Note that no chips should be in stock at the end of the 3 months. Use fmincon.
Chips required
Cost regular time ($/chip)
Cost overtime ($/chip)
Regular operation time (hr)
Overtime (hr)
1000
100
110
2500
100
120
2200
120
130
2400
2400
720
2400
720
720
Chapter 7 Solutions
Operations Management
Ch. 7 - Prob. 1CQCh. 7 - Prob. 2CQCh. 7 - Prob. 3CQCh. 7 - Prob. 4CQCh. 7 - Prob. 5CQCh. 7 - Prob. 6CQCh. 7 - Prob. 7CQCh. 7 - Prob. 8CQCh. 7 - Prob. 9CQCh. 7 - Prob. 10CQ
Ch. 7 - Prob. 11CQCh. 7 - Prob. 12CQCh. 7 - Prob. 13CQCh. 7 - Prob. 14CQCh. 7 - Prob. 1PACh. 7 - Prob. 2PACh. 7 - Prob. 3PACh. 7 - Prob. 4PACh. 7 - Sarahs Organic Soap Company makes four kinds of...Ch. 7 - Prob. 6PACh. 7 - Prob. 7PACh. 7 - Bruno Fruscalzo decided to set up a small...Ch. 7 - Prob. 9PACh. 7 - Prob. 10PACh. 7 - Prob. 1CCh. 7 - Prob. 2CCh. 7 - Prob. 3CCh. 7 - Prob. 4C
Additional Business Textbook Solutions
Find more solutions based on key concepts
The Big Black Bird Company (BBBC) has a large order for special plastic-lined military uniforms to be used in a...
Operations Management: Processes and Supply Chains (12th Edition) (What's New in Operations Management)
Mary Williams, owner of Williams Products, is evaluating whether to introduce a new product line. After thinkin...
Operations Management: Processes and Supply Chains (11th Edition)
Many companies including Company OM tried to implement dynamic pricing in their ticketing system. The dynamic p...
Principles of Operations Management: Sustainability and Supply Chain Management (10th Edition)
2. Identify four people who have contributed to the theory and techniques of operations management.
Operations Management
What is precedent, and how does it affect common law?
Business in Action (8th Edition)
The flowchart for the process at the local car wash. Introduction: Flowchart: A flowchart is a visualrepresenta...
Principles Of Operations Management
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, operations-management and related others by exploring similar questions and additional content below.Similar questions
- 1. Inventory management for a tyre company? 2. Process management for a tyre company?arrow_forwardProblem 11-11 (Algo) Famous Albert prldes himself on being the Cookle King of the West. Small, freshly baked cookles are the specialty of his shop. Famous Albert has asked for help to determine the number of cookles he should make each day. From an analysis of past demand, he estimates demand for cookles as VROBARTLITY OF DENAND 0.04 DEEAND 1,800 dosen 2,000 2,200 0.10 0.20 2,400 2,600 2,000 3,000 0.26 0.15 0.03 0.14 ces Each dozen sells for $0.65 and costs $0.49, which includes handling and transportation. Cookles that are not sold at the end of the day are reduced to $0.30 and sold the following day as day-old merchandise. a. Compute the expected profit or loss for each cookie making decislon quantity. (Round your answer to the nearest whole number. Enter expected losses with a negative sign.) Cookles Baked (Dozen) Probability of Demand Expected Profit/Loss 1,800 0.04 2,000 0.10 2,200 0.28 2,400 0.26 2,600 0.15arrow_forwardDemand for stereo headphones and music players for joggers has caused Nina Industries to grow almost 50 percent over the past year. The number of joggers continues to expand, so Nina expects demand for headsets to also expand, because, as yet, no safety laws have been passed to prevent joggers from wearing them. Demand for the players for this year was as follows: MONTH DEMAND (UNITS) January 4,150 February 4,250 March 3,950 April 4,350 May 4,950 June 4,650 July 5,250 August 4,850 September 5,350 October 5,650 November 6,250 December 5,950 a. Using linear regression analysis, what would you estimate demand to be for each month next year? Using a spreadsheet, follow the general format in Exhibit 3.8. (Do not round intermediate calculations. Round your answers to 2 decimal places.) b. To be reasonably confident of meeting demand, Nina decides to use 3 standard errors of estimate for safety. How many additional units should be held to meet this…arrow_forward
- Musa's Cashmere Sweaters has authorized the following MPS for her exclusive line of cashmere sweaters. She wants to use the MPS record for promising future orders. Current order promises are included. The MPS order quantity is 60 units. Beginning Inventory is 0. Complete the following MPS record. Period 1 2 3 4 5 6 7 8 9 10 11 12 Forecast 15 15 15 15 20 20 20 20 25 25 25 25 Customer orders 12 10 8 25 40 0 15 30 30 0 0 40 Projected available Available-to-promise MPS 60arrow_forwardFigure shows a partially completed MPS record for 2 inch pneumatic control valves. Suppose that you receive the following orders at right for the valves (shown in the order of their arrival). As they arrive, you must decide whether to accept or reject them. Which orders would you accept for shipment?Order Amount (Units) Week Requested1 15 22 30 53 25 34 75 7arrow_forwardWarehouse: 4. What is stock receipt? What consideration should be taken in the stock receipt?arrow_forward
- Demand for stereo headphones and MP3 players for joggers has caused Nina Industries to grow almost 50 percent over the past year. The number of joggers continues to expand, so Nina expects demand for headsets to also expand, because, as yet, no safety laws have been passed to prevent joggers from wearing them. Demand for the players for last year was as follows: MONTH DEMAND (UNITS) January February 4,100 4,200 March 3,900 April 4,300 May 4,900 June 4,600 July 5,200 August 4,800 September 5,300 October 5,600 November 6,200 December 5,900arrow_forwardProduct categories usually listed in the master production schedule contain all of the following except: Question 7 options: a. firm customer orders b. sales forecasts c. spare parts d. production ratesarrow_forwardQ3: FIND INITIAL FEASIRLE SOLUTION COST FOR GIVEN PROBLEM by using A north-west oomer rule Bleast cost method e-Vogels approvimation method D1 D2 D3 D4 SUPPLE P1 2. 11 P2 1. 1. Pa 8. 15 6. 10 Demand 2. A* JIS O 11600 O 11300 O 11200 O 11000arrow_forward
- Assume that you are the manager of a shop that assembles power tools. You have just received an order for 52 chain saws, which are to be shipped at the start of week 8. Pertinent information on the saws is Item Lead Time (weeks) On Hand Components Saw 2 15 A(2), B(1), C(4) A 1 10 E(3), D(1) B 2 5 D(2), F(3) C 2 65 E(2), D(2) D 1 20 E 1 10 F 2 30 Develop the material requirements plan for component E using lot-for-lot ordering.arrow_forwardAssume that you are the manager of a shop that assembles power tools. You have just received an order for 52 chain saws, which are to be shipped at the start of week 8. Pertinent information on the saws is Item Lead Time (weeks) On Hand Components Saw 2 15 A(2), B(1), C(4) A 1 10 E(3), D(1) B 2 5 D(2), F(3) C 2 65 E(2), D(2) D 1 20 E 1 10 F 2 30 Develop the material requirements plan for component E using lot-for-lot ordering. (Leave no cells blank - be certain to enter "0" wherever required.) Item: E(3) & E(2) LT = 1 wk. Beg. Inv. 1 2 3 4 5 6 7 8 Gross requirements Scheduled receipts Projected on hand Net requirements Planned order receipt Planned order releasearrow_forwardDemand for stereo headphones and MP3 players for joggers has caused Nina Industries to grow almost 50 percent over the past year. The number of joggers continues to expand, so Nina expects demand for headsets to also expand, because, as yet, no safety laws have been passed to prevent joggers from wearing them. Demand for the players for last year was as follows: MONTH DEMAND (UNITS) January 4,240 February 4,340 March 4,040 April 4,440 May 5,040 June 4,740 July 5,340 August 4,940 September 5,440 October 5,740 November 6,335 December 6,030 a. Using linear regression analysis, what would you estimate demand to be for each month next year? (Do not round intermediate calculations. Round your answers to 2 decimal places.) b. To be reasonably confident of meeting demand, Nina decides to use 4 standard errors of estimate for safety. How many additional units should be held to meet this level of confidence? (Do not round intermediate calculations. Round…arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,
Operations ManagementOperations ManagementISBN:9781259667473Author:William J StevensonPublisher:McGraw-Hill Education
Operations and Supply Chain Management (Mcgraw-hi...Operations ManagementISBN:9781259666100Author:F. Robert Jacobs, Richard B ChasePublisher:McGraw-Hill Education
Purchasing and Supply Chain ManagementOperations ManagementISBN:9781285869681Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. PattersonPublisher:Cengage Learning
Production and Operations Analysis, Seventh Editi...Operations ManagementISBN:9781478623069Author:Steven Nahmias, Tava Lennon OlsenPublisher:Waveland Press, Inc.
Practical Management Science
Operations Management
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:Cengage,
Operations Management
Operations Management
ISBN:9781259667473
Author:William J Stevenson
Publisher:McGraw-Hill Education
Operations and Supply Chain Management (Mcgraw-hi...
Operations Management
ISBN:9781259666100
Author:F. Robert Jacobs, Richard B Chase
Publisher:McGraw-Hill Education
Purchasing and Supply Chain Management
Operations Management
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Cengage Learning
Production and Operations Analysis, Seventh Editi...
Operations Management
ISBN:9781478623069
Author:Steven Nahmias, Tava Lennon Olsen
Publisher:Waveland Press, Inc.
Inventory Management | Concepts, Examples and Solved Problems; Author: Dr. Bharatendra Rai;https://www.youtube.com/watch?v=2n9NLZTIlz8;License: Standard YouTube License, CC-BY