A machine cell uses 200 pounds of a certain material each day. Material is transported in vats that hold 20 pounds each. Cycle time for the vats is about two hours. The manager has assigned an inef- ficiency factor of .08 to the cell. The plant operates on an eight-hour day. How many vats will be used?
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- 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?3. At Golf Co. product is automated to load golf balls into packaging. On an average day, the equipmentcan load 25 cases per hour, where each case contains 20 boxes and each box contains 12 balls.After maintenance, the machine is loading a little faster so that it takes 0.2 seconds less time to load onegolf ball into a box compared with the normal speed.How many cases per hour can the machine load at this new rate?A chemical firm produces sodium bisulfatein 100-pound bags. Demand for this product is 20 tons per day. The capacity for producing the product is 50 tons per day. Setup costs $100, and storage and handling costs are $5 per ton a year. The firm operates200 days a year. (Note: 1 ton = 2,000 pounds.)a)How many bags per run are optimal?b)What would the average inventory be for this lot size?c)Determine the approximate length of a production run, in days.d)About how many runs per year would there be?e)How much could the company save annually if the setup cost could be reduced to $25 per run?
- A.J.’s Wildlife Emporium manufactures two unique birdfeed-ers (Deluxe and Super Duper) that are manufactured andassembled in up to three different workstations (X, Y, Z) us-ing a small batch process. Each of the products is producedaccording to the flowchart in Figure 5.14. Additionally, theflowchart indicates each product’s price, weekly demand,and processing times per unit. Batch setup times are neg-ligible. A.J. can make and sell up to the limit of its weeklydemand and there are no penalties for not being able to meetall of the demand. Each workstation is staffed by a workerwho is dedicated to work on that workstation alone and ispaid $16 per hour. The plant operates 40 hours per week,with no overtime. Overhead costs are $2,000 per week. Basedon the information provided, as well as the information con-tained in the flowchart, answer the following questions.a. Using the traditional method, which bases decisionssolely on a product’s contribution to profits and over-head, what is the…A.J.’s Wildlife Emporium manufactures two unique birdfeed-ers (Deluxe and Super Duper) that are manufactured andassembled in up to three different workstations (X, Y, Z) us-ing a small batch process. Each of the products is producedaccording to the flowchart in Figure 5.14. Additionally, theflowchart indicates each product’s price, weekly demand,and processing times per unit. Batch setup times are neg-ligible. A.J. can make and sell up to the limit of its weeklydemand and there are no penalties for not being able to meetall of the demand. Each workstation is staffed by a workerwho is dedicated to work on that workstation alone and ispaid $16 per hour. The plant operates 40 hours per week,with no overtime. Overhead costs are $2,000 per week. Basedon the information provided, as well as the information con-tained in the flowchart, answer the following questions. a. Using the traditional method, which bases decisionssolely on a product’s contribution to profits and over-head, what is the…Purple Swift manufactures birdhouses in lots of 10. Eachbirdhouse takes 45 minutes to paint. After 10 birdhouses arepainted, the company switches paint color which requires aone hour changeover. The company works 8 hours per shift,one shift per day, 220 days per year. Currently the companyhas one paint booth. What is Purple Swift’s paint capacitycushion if it builds 2,000 birdhouses per year?
- Eastwood Cake Factory sells chocolate cakes, birthday cakes, and specialty cakes. The factory is experiencing a bottleneck and is trying to determine which cake is most profitable. Even though Eastwood may have to limit its orders, it is concerned about customer service and satisfaction. Line Item Description Chocolate Cake Birthday Cake Specialty Cake Sales price $20.00 $45.00 $60.00 Variable cost per cake $5.00 $12.00 $20.00 Hours needed to bake, frost, and decorate 1 hour 2.5 hours 2 hours a. Compute the contribution margin per hour per cake. If required, round your answers to two decimal places. Cake Amount Chocolate cake $fill in the blank 1 Birthday cake $fill in the blank 2 Specialty cake $fill in the blank 3 b. Determine which cakes the company should try to sell more of first, second, and then last. Rank Cake 1st: 2nd: 3rd:There is no alternative place inside plant premises to store the increased salt consumption. Also the existing storage area cannot be modified and expanded further. Moreover, with the due expansion coming up in next 1 year, the salt consumption will Increase by approx. 50%. 1) Suggest the solution & Innovative way to better utilize the existing space and alternatives for storage area of Salt avoiding any stock-out situation to arise. Nor the plant capacity to be curtailed due to low stock of Salt. Suggestion can be made in terms of new Technology to be adopted and any other Out of Box thinking!A machine cell uses 194 pounds of a certain material each day. Material is transported in vats that hold 24 pounds each. Cycle time for the vats is about 2.00 hours. The manager has assigned an inefficiency factor of .09 to the cell. The plant operates on an eight-hour day. How many vats will be used?
- How can you ensure that operational scheduling and supply chain sustainability are mutually supportive? It's unclear whether the company has the resources to make use of both.Cost Relationships ChimneySweep provides cleaning services for residential chimneys and fireplaces. The cleaning service requires $35 in variable costs for cleaning materials. The fixed costs oflabor, the company’s truck, and administrative support are $165,000 per year. ChimneySweep averages 100 service calls per month.Required What is the average cost per cleaning service call?Old Pueblo Engineering Contractors creates six-month “rolling” schedules, which are recomputed monthly. For competitive reasons (it would need to divulge proprietary design criteria, methods, and so on), Old Pueblo does not subcontract. Therefore, its only options to meet customer requirements are (1) work on regular time; (2) work on overtime, which is limited to 30 percent of regular time; (3) do customers’ work early, which would costan additional $5 per hour per month; and (4) perform customers’ work late, which would cost an additional $10 per hour per month penalty, as provided by their contract. Old Pueblo has 25 engineers on its staff at an hourly rate of $30. The overtime rate is $45. Customers’ hourly requirements for the six months from January to June are January 5000 February 4000 March 6000 April 6000 May 5000 June 4000 Develop an aggregate plan using a spreadsheet. Assume 20 working days in each month. 12. Alan Industries is expanding its product line to include three…