Operations Management: Processes and Supply Chains, Student Value Edition Plus MyLab Operations Management with Pearson eText -- Access Card Package (12th Edition)
Operations Management: Processes and Supply Chains, Student Value Edition Plus MyLab Operations Management with Pearson eText -- Access Card Package (12th Edition)
12th Edition
ISBN: 9780134855424
Author: Lee J. Krajewski, Manoj K. Malhotra, Larry P. Ritzman
Publisher: PEARSON
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Chapter 4, Problem 6P

Purple Swift manufactures birdhouses in lots of 10. Each birdhouse takes 45 minutes to paint. After 10 birdhouses are painted, the company switches paint color which requires a 1-hour changeover. The company works 8 hours per shift, one shift per day, 220 days per year. Currently the company has one paint booth. What is Purple Swift’s paint capacity cushion if it builds 2,000 birdhouses per year?

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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?
Mack’s guitar fabrication shop produces low cost, highly durable guitars for beginners. Typically, out of the 100 guitars that begin production each month, only 80 percent are considered good enough to sell. The other 20 percent are scrapped due to quality problems that are identified after they have completed the production process. Each guitar sells for $300. Because some of the production process is automated, each guitar only requires 10 labor hours.  Labor is paid at $10/hour, materials cost is $40/guitar, and overhead is $2,000. a) Calculate the labor and multifactor productivities. b) After some study, the operations manager recommends 3 options to improve the company’s multifactor productivity: (1) increase the sales price by 10 percent, (2) improve quality so that only 10 percent are defective, or (3) reduce labor, material, and overhead costs by 10 percent. Which option has the greatest impact on the multifactor productivity measure?

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Operations Management: Processes and Supply Chains, Student Value Edition Plus MyLab Operations Management with Pearson eText -- Access Card Package (12th Edition)

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