OPERATIONS MANAGEMENT LL W/CONNECT CODE
OPERATIONS MANAGEMENT LL W/CONNECT CODE
2nd Edition
ISBN: 9781266520037
Author: CACHON
Publisher: MCG CUSTOM
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Chapter 5, Problem 5CQ
Summary Introduction

To identify: If the given statement is true or false regarding implied utilization.

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1)Which of the following statements will hold good in the case of a system with uncertainty in demand for service and in service times? A)When the utilization of resources fall it is an indication of greater efficiency of the serviceB)It is a good practice to plan for resource utilization levels more than 85%C)Cost of waiting to get serviced is directly proportional to the cost of providing the serviceD)None of the above PS: Option B is wrong!!!
A Printed Circuit Board (PCB) machine installs integrated circuits onto a board. Before starting to produce a board, the PCB machine requires a 16-minute setup. Once in production, the PCB machine requires only 0.19 minute per board. a. Currently, the PCB machine produces 525 boards between setups. Given this operating process, what is the capacity of the PCB machine (in boards per min)? b. Currently, the PCB machine produces 525 boards between setups. Given this operating process, what is the utilization of the PCB machine? c. Say the PCB machine produces 400 boards s between setups and demand is 2 boards per minute. Given the operating process, what is the avergae inventory of boards anf the PCB machine? d. Demand for boards occurs at the rate of 2 boards per minute. What is the smallest batch size such that the PCB machine does not constrain the flow rate through the process?
If the cost of goods manufactured is higher than the cost of goods sold, which of the following is correct? A. Finished Goods Inventory has decreased.   B. Work in Process Inventory has decreased   C. Finished Goods Inventory has increased.   D. Work in Process Inventory has increased.
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