OPERTATIONS MGMT:SUSTAINABILITY
OPERTATIONS MGMT:SUSTAINABILITY
2nd Edition
ISBN: 9781323751718
Author: HEIZER
Publisher: PEARSON
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Chapter 17, Problem 3CS
Summary Introduction

Case summary:

Company FL produces goods in the high volume and low variety process of models followed to produce baked goods, steel, and in beer industries. The excellence can be attributed to the maintenance department which takes an active role in setting the parameters for preventive maintenance.

They teach the employees to identify and do under specific conditions. The employees in a shift will be responsible for identifying the problem and rectifying it. The personnel hired to perform the maintenance activities all come with multi skills.

To determine: The pros and cons of hiring multi-craft personnel

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q13 A service process has three stages. The error percentages are: 3% at stage one, 1% at stage two, and 6% at stage three. The connection logic of the three stages is that a good overall outcome happens only when all stages individually have good outcomes. (a) What is the probability of being good? (use 4 decimal places; for example: enter 0.8162) (b)What is the probability of being defective? (use 4 decimal places) (c) What is the EPMO of this process? (use 1 decimal place) (d)What is the sigma level of the process? (use 2 decimal places)
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Case study : Eskom Holding company a south african state owned company produces 95% of all electricity utilized in South Africa and 45% of electricity utilized on the African continent. Since November 2007 and due to an ever increasing deficit in electricity supply versus electricity demand, the power utility introduced various stages of forced power interruptions, referred to as loadshedding, to prevent  a total crash in the electricity supply grid. Various adversities have been attributed to these power interruptions including slow or negative national economic growth, employee layoffs, and general discomfort experienced by communities due to frequent power outages. Yet, since 2007 to 2018, Eskom introduced electricity tarrif increases at an annual average rate of 14%, higher than average annual consumer inflation rate of 5.5%. Moody's, one of the main international credit rating agencies regards eskom as a main source of contingent liability risk for the SA Government. The…
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