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Macon Controls produces three different types of control units used to protect industrial equipment from overheating. Each of these Linus must be processed by a machine that Macon considers to be their process bottle neck. The plant operates on two 8-hour shifts, 5 days per week, 52 weeks per year. Table 4.2 provides the time standards at the bottleneck, lot sizes, and demand
- How many machines are required to meet minimum (pessimistic) demand, expected demand, and maximum (optimistic) demand?
- How many machines are required if the operations manager decides to double lot sizes?
- If the operations manager has three machines and believes that the plant can reduce setup time by 20 percent through process improvement initiatives, does that plant have adequate capacity to meet all demand scenarios without increasing lot sizes?
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