The Canadian government has built a large grain-shipping port at Churchill, Manitoba, on the Hudson Bay. Grain grown in southern Manitoba is carried by rail to Churchill during the open-water shipping season. Unfortunately the port is open only 50 days per year during July and August. This leads to some critical crew staffing decisions by management. The port has the capacity to load up to 7 ships simultaneously, provided that each loading bay has an assigned crew. The remote location and short shipping season results in a very high labor cost for each crew assigned, and management would like to minimize the number of crews. Ships arrive in a random pattern that can be modeled using the Poisson probability model. If a ship arrives and all available loading bays are filled, the ship will be delayed, resulting in a large cost that must be paid to the owner of the ship. This penalty was negotiated to encourage ship owners to send their ships to Churchill.Results of an initial analysis indicate that each ship requires six hours for loading by a single crew. The port can remain open only 50 days per year, and 500 ships must be loaded during this time. Each additional crew costs $180,000, and each boat delay costs $10,000. How many crews should be scheduled?
Critical Path Method
The critical path is the longest succession of tasks that has to be successfully completed to conclude a project entirely. The tasks involved in the sequence are called critical activities, as any task getting delayed will result in the whole project getting delayed. To determine the time duration of a project, the critical path has to be identified. The critical path method or CPM is used by project managers to evaluate the least amount of time required to finish each task with the least amount of delay.
Cost Analysis
The entire idea of cost of production or definition of production cost is applied corresponding or we can say that it is related to investment or money cost. Money cost or investment refers to any money expenditure which the firm or supplier or producer undertakes in purchasing or hiring factor of production or factor services.
Inventory Management
Inventory management is the process or system of handling all the goods that an organization owns. In simpler terms, inventory management deals with how a company orders, stores, and uses its goods.
Project Management
Project Management is all about management and optimum utilization of the resources in the best possible manner to develop the software as per the requirement of the client. Here the Project refers to the development of software to meet the end objective of the client by providing the required product or service within a specified Period of time and ensuring high quality. This can be done by managing all the available resources. In short, it can be defined as an application of knowledge, skills, tools, and techniques to meet the objective of the Project. It is the duty of a Project Manager to achieve the objective of the Project as per the specifications given by the client.
The Canadian government has built a large grain-shipping port at Churchill, Manitoba, on the Hudson Bay. Grain grown in southern Manitoba is carried by rail to Churchill during the open-water shipping season. Unfortunately the port is open only 50 days per year during July and August. This leads to some critical crew staffing decisions by management. The port has the capacity to load up to 7 ships simultaneously, provided that each loading bay has an assigned crew. The remote location and short shipping season results in a very high labor cost for each crew assigned, and management would like to minimize the number of crews. Ships arrive in a random pattern that can be modeled using the Poisson probability model. If a ship arrives and all available loading bays are filled, the ship will be delayed, resulting in a large cost that must be paid to the owner of the ship. This penalty was negotiated to encourage ship owners to send their ships to Churchill.
Results of an initial analysis indicate that each ship requires six hours for loading by a single crew. The port can remain open only 50 days per year, and 500 ships must be loaded during this time. Each additional crew costs $180,000, and each boat delay costs $10,000. How many crews should be
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