NATURAL BLENDS Inc
Here we have 3 processes to consider, the Extraction, Filtration and Concentration.
Extraction has a maximum capacity of 20,000 lbs/hr
Filtration has a maximum capacity of 20,000 lbs/hr
Concentration has a maximum capacity of 18,000 lbs/hr
For Extraction we have a setup time of 20 minutes.
For Filtration we have a setup time of 30 minutes after 90 minutes of filtration.
For Concentration there is no setup time loss.
The processes are simultaneous in nature, and there is no buffer in between. So, if there is a shutdown of a single process, the entire system shuts down.
Now, if we do consider a 2 hour time slot, then there will be effectively production for 1 and ½ hours due to filtration setup time:
For
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15,000/hr considering a cycle of 2 hrs the maximum production of Extraction is 40,000 lbs and that of Filtration is 30,000. Thus a tank of capacity 5,000lbs can be added between them. But adding tank between Extraction and Filtration will not increase the daily production.
When a storage tank is added between Filtration and Concentration,
Now for 2 hours slot, we see that there is a processing deficit of 3000(30,000-27,000) lbs. So we install storage of capacity 3000lbs.
This will increase the daily production.
Daily production= 30,000x4= 120,000 lbs
Thus there is increase of 12,000lbs/day after adding a storage tank.
3a. Additional fixtures of $20,000 for Filtration process and $10,000 for Extraction should be done to maximize the output.
3b.As discussed in question 2a and 2b the capacity of storage tank, which can be added between Filtration and Concentration should be 3,000lbs. The cost of construction of tank is given as $30/lbs. Hence the total cost for construction of storage tank will be 30 x 3000= $90,000, and the production will increase to 120,000 lbs/day. When additional fixtures are added in Filtration and Extraction process the setup time will reduce by 50% i.e. the setup time for Extraction will be 10 min and that for Filtration will be 15 min.
So our 2 hour cycle will be reduced to 1 hr 45min cycle. So an additional 1 hr will be available for production.
Now
Remaining berries will be on truck, it means trucks will have to wait for (12600-5216)*(15.24-10.03)/2/75 = 256. 5 truck hours
2. At a steady state we'd be able to produce 6 (process capacity) x 4 (hours) = 24 dozen per night. At a starting state, assuming that 1st dozen takes 26 minutes, and we move into a steady state of production, we
• Capacity would not increase significantly; it would increase by 20,000 immediately, and could be brought up to 48,000 in twelve months
We will now calculate the costs and benefits, if any, from resizing the facility to process a total of 41,000 bbl/day (i.e. increase of 5,000 bbl/day).
Then, you will have to organize you time better and rearrange the idle periods to locate additional 10.5 hour ((64 minus 43)x1/2 hour) per month for blowing and finishing additional Vases.
with no work stoppage · · Increase capacity by 44,800 wafers Have control of wafer manufactured
6) What benefits would you expect if processing time were moved up from 11:00 am to 07:00 am during the peak period? Should this be done for the entire season?
We would recommend a price of 34,99$ for the system as the market simulation learned us that unit sales and perceptions are strong. Further we would spend very high advertising ($ 15 million) and high promotion ($ 3 million) to attract approach about 1,205,000 first year unit sales. We want to get into the market quickly and steel m/s. Therefore people need to be aware that Brita launched a faucet mounted filter system.
* From 9/1~12/15, RP1 Process requires 27 or 53 workers per week according to the amount of berries
If the company is adamant at meeting the 5,000 sample a day mark and removing demand variability it may be worthwhile to look into holding off on samples arriving later in the day as to have immediate work for testers and the latter steps at the beginning of the next day. Samples from the second 8-hour shift of a certain day that are processed during the first 8-hour shift of the following day will still meet the objective of communicating results within the 24-hour limit. This technique could also potentially decrease standard deviation as it tries to evenly control the sample flow and demand variability in the daily process. Routine delivery times for satellite and external labs could also lead to more consistency within the process.
The bigger overall solution, though, is to start the plant’s operations at 7:00 AM instead of 11:00 AM, and this will be the basis for most of the following analysis [see Exhibit 7]. If employees start coming in at 7:00 AM and work eight-hour shifts, RP1 will be much better off and will be able to not only limit overtime costs, but
Secondly, purchasing one additional dryer would cost $60,000. Then, the process capacity would increase to 800 bbls/hr. The dry berries (375bbls/hr) and the wet berries (800bbls/hr) would now sum up to 1175 bbls/hr, which will increase the utilization rate of separators to 97.91%. The resulting increase in flow rate could reduce the overtime labor as much as $78,000 (assuming 12,000 over time hours of all workers * $6.5/hr) and the return on the investment would be 0.3 (18,000/60,000).
According our estimation from day 640 to 730, we had the mean 14.098 drums. Hence, we set the capacity number to 15 and let the production non-stop by adjusting higher order number and 200 quantity per truck. Let’s summary our work as the following: Our process: figure out whether we should build factory and warehouse in specific region. estimate the demand of four region and Fargo region, change capacity, adjust order point, quantity, and priority order, check and adjust parameters from time to time
placed in the basement. It was sufficient to supply the initial order for 20 gallons of a microbicide,
| This fits our production system adequately. Since our assumed working cycle time is 6sec(=10 cycles/min) and it meets the requirement of 1300cars/day. On the other side, this is capital intensive but not as expensive as the first one.