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Operations Engineering And Management Concepts Analytics And Principles For Improvement 1st Edition Seyed Iravani - Solutions
Air traffic control of Bizzi airport in Problem 9 is informed by the pilots of the eight flights that they may not have enough fuel to hover above the airport for long time. Thus, air traffic control decides to use two runways for landing of the eight airplanes. How should the airplanes be
The air traffic control of Bizzi airport in Problem 8 needs to schedule landing of eight airplanes that have arrived earlier than scheduled and are hovering above the airport for their turn to land. The following table shows the scheduled arrivals of each airplane and the time each airplane uses a
Bizzi is a small airport that has only one runway for landing and one runway for takeoff. Ten airplanes have finished boarding in six different terminals and are all ready for takeoff. Because of the location of the terminals and the type of the airplanes, the time it takes each airplane to takeoff
A firm that produces soft drinks has just finished making a 30-second TV commercial to promote its new flavored carbonated water. The plan is to show the commercial on Saturday prime time TV between 6:00 pm and 11:00 pm. The marketing department has contacted five major TV stations and got the
Collier Financial (CF) has a tax processing department that does tax document preparation for large corporations. CF needs to assign five of its tax teams to five projects that it got from its five major clients. Because of the size of each team and the type of the project, the time it takes each
L&C, a manufacturer of automotive seats, has just received orders for leather seats from five different auto manufacturers. Each order consists of 7500 sets of seats used in different car models. L&C has five plants P1, P2, P3, P4, and P5 with unused capacities that can be used to make the seats.
Develop a weekly production and ordering schedule for all parts to satisfy MPS. Use lot-for-lot as your lot sizing policy.
Times R Us is a producer of digital and analog clocks. To reduce inventory costs, Times R Us designed its clock such that they use many common components. The firm is planning the production of two of its popular digital clocks—clock C-33 and clock D-33—ahead of Christmas shopping season, which
The supplier is also scheduled to deliver 350 Part C in week 4.Master production schedule (MPS) shows a demand of 800, 1200, 1000, and 1500 units for Product Z in weeks 12, 13, 14, and 15, respectively.a. Draw product structure diagram for the electric kettle.b. Develop a weekly production and
A producer of home appliances is planning the production of its only electric tea kettle, known as Product Z. One unit of Product Z is made of 2 units of subassembly Y and 4 units of subassembly X. One unit of Y, on the other hand, requires 3 units of A and 3 units of B.One unit of A is made of 1
A firm that makes accessories for electronics wants to redesign one of its assembly lines to produce a new TV wall mount brackets. The demand for the bracket is estimated to be about 32 per day. Parts and components of the bracket will be made in the fabrication department and the bracket will be
Ocean Briz is a firm that produces a variety of ceiling and standing fans. Assembling their SF-32 fans requires the following activities:If the demand for SF-32 is about five per hour, design an assembly line with the minimum number of workstations that can achieve the demand of five per hour. How
What does it mean to crash a project? Explain three approaches to crash a project.
How can one estimate the probability that a project is completed by a certain due date?Describe the assumptions that are made to compute this probability.
What are the outputs of CPM analysis and why are they important in managing projects?
What are non-critical activities? Is it possible that they become critical activity as the project progresses?
What is a critical path in a project and why is it important in managing projects?
What are the two main techniques used in scheduling activities in a project process?
Explain when Johnson’s rule can be used to find optimal schedule in an operations?
Explain when each of the following rules must be used to sequence jobs that require processing by a single resource?a. SPTb. WSPTc. EDD
What is the difference between sequencing and scheduling? What are the common assumptions in sequencing analytics for a single resource?
What is material requirement planning (MRP)? How can one incorporate variability into MRP process? How does MRP differ from ERP?
Describe the advantage and disadvantage of forward and backward scheduling?
What is the difference between paced flow lines and unpaced flow lines? What is the main scheduling problem in paced flow lines?
When should a manager use the following criteria to evaluate a scheduling policy: (i) minimizing the maximum tardiness, (ii) minimizing weighted tardiness, and (iii) minimizing weighted number of tardy jobs?
What is makespan and how does it relate to utilization and throughput of a resource?
Describe three main goals of operations scheduling?
What is master production schedule (MPS) and how is it developed?
Because of the high quality of Ceramico’s products, retail stores who ordered mugs in Problem 6 are willing to wait for their orders to be delivered later than delivery dates. In fact, Ceramico has told them that it will give them $1 discount for each month that a mug is delivered late. If
Ceramico in Problem 6—in addition to overtime—can increase its production capacity by hiring new temporary workers to use for one or more months. Hired workers start their jobs at the beginning of a month. A hired worker is fired at the end of a month, if the worker’s service is not needed in
Ceramico is a firm that produces a variety of ceramic mugs, bowls, plates, and so on. Its customers are major retail stores that place orders for Ceramico’s products months in advance.One of its factories that is devoted to producing mugs has 32 workers and works 8 hours a day and 25 days a
CT decides to use overtime to increase its production capacity next month. While workers are paid $12 per hour for working in regular hours, the hourly pay for overtime is $18. Also, CT does not want to ask workers to work more than 3 hours of overtime each day, since it may affect the quality of
Consider the Creative Toys (CT) case in Problem
Creative Toys (CT) is a manufacturer of toys with an innovative product development team that designs new toys for children of 10 years old or younger. The team has just finished the design of three different remote control toy cars, that is, Car-TA, Car-TB, and Car-TC. There is an electronic
Office Tools (OT) in Problem 2 has the option of subcontracting the production (i.e., welding and painting) of the parts used in making each desk to another manufacturer. The manufacturer will deliver the parts to the finishing department and OT then makes the final product.It takes the finishing
Managers of OT would like to increase their production through overtime. The maximum overtime hours allowed per day is 3 hours. Worker’s wage for overtime hour is $14. In order to maximize its profit,a. How many hours of overtime should OT ask each worker in the welding, painting, and finishing
Consider Office Tool’s (OT) production planning in Problem
Office Tools (OT) produces adjustable height desks in three different sizes of small, medium, and large. Its production process consists of three departments: welding, painting, and finishing. The main production resource in these three departments is labor. The welding department has 12 workers,
What are aggregate unit of production and aggregate resources? Provide examples for each one and explain why aggregate planning models are established based on these two concepts.
What are the goals of aggregate planning?
Provide five strategies that are commonly used to adjust the supply of a product to match with its demand.
Provide two strategies that are commonly used to adjust the demand of a product (goods or service) to match with the supply of the product.
The movie studio in Problem 7 informs you that another firm has offered to make the T-shirt for $20. However, they are willing to work with you, if you sell the T-shirt for $20.a. What would be your expected profit, if you sell your T-shirts for $20 to get the movie studio’s contract?b. Design a
You work in the marketing department of a clothing company. A large movie studio is planning to release its highly anticipated movie in the beginning of summer—3 weeks before the release of the new Star Wars movie. One of the movie’s promotional product is a T-shirt with the picture of the main
Billy Bookstore would like to centralize the ordering process of its 10 stores in Seattle for ordering marble bookends through its Distribution Center (DC) in Columbus Ohio. Currently, each store orders bookends separately from a supplier in Alabama at the price of $28 with order lead time of 4
Stores have inventory carrying rate of 25 percent and their demands are independent of each other.Which one of the two ovens would you recommend to be kept in the store in downtown?Assume 52 weeks in a year.
On the other hand, all stores purchase Oven-BT at price $1400 with order lead time of 1 week. Their order setup cost is $850. The weekly demand for the oven at each of the 10 stores is Normally distributed with mean 3 and standard deviation
Before implementing their plan for Oven-SX, one of the Mabt managers in Problem 4 recommends implementing the plan for another oven, that is, Oven-BT, which has lower sales in the 10 stores and is ordered from a manufacturer in Atlanta. All stores purchase Oven-SX at price $800 with order lead time
Mabt, the retailer in Problem 2, has 10 stores in Chicago area. One of their product is OvenSX, which is a gas oven that is ordered from a manufacturer in Los Angeles. Each store faces similar demand and has been ordering the oven according to a (Q, R) policy to achieve cycle-service level of 95
Precision Golf (PG) is a manufacturer of golf clubs. The production manager of PG is struggling with its inventory of parts and material used to make clubs. He often faces the shortage of some parts that interrupts production, while he has too many of noncritical parts that is increasing his
The store orders refrigerator from a manufacturer at the price of $1200 and sells it at $1300. The manufacturer has lead time which is variable with mean of 5 days and standard deviation of 4 days. The order setup cost is $80 and is independent of the order size. The store has an inventory carrying
Mabt, a large home appliance retailer, has a store in which the daily demand for a refrigerator is Normally distributed with mean 5 and standard deviation
Suppose a supplier delivers a product to your facility every 4 weeks and you need to place your orders 2 weeks before the delivery date. You place orders according to order-up-to policy with order-up-to level 350 to achieve cycle-service level of 95 percent. You would like to reduce your inventory
What is VMI and how can it improve supply chain performance?
What is supply chain coordination and what are the two major causes of lack of coordination in supply chains?
Explain how shortage gaming and rationing intensifies bullwhip effect and describe four strategies that can be implemented to diminish their negative impact.
Describe three strategies that can diminish or eliminate the negative impact of price fluctuations and speculation on supply chain performance?
Describe three actions that a firm can take to mitigate the impact of order batching that results in bullwhip effect.
What is “demand forecast updating” and what are the actions that can reduce its negative impact on supply chain inventory costs?
What is “bullwhip effect” and what are the four main causes of bullwhip effect?
What is “component commonality” and how can it decrease production and inventory costs?
What is “customer-driven substitution” and how does it differ from “manufacturer-driven substitution”? Provide an example for each one.
What is “specialization” in the context of demand aggregation? How does it help improving inventory costs?
What is “virtual inventory pooling”? Provide examples of virtual pooling and explain how it helps reducing inventory costs in supply chains?
Besides saving in inventory, describe four other factors that should be considered when making decision to pool inventory.
Explain why pooling inventory allows firms to offer a wide range of products.
What is “cross ducking” and how can it impact inventory costs in supply chains?
Describe three strategies that firms can use to reduce their transportation costs of receiving orders from the suppliers.
A pharmacy in Evanston orders a moisturizing cream from a pharmaceutical firm that has a distribution center in Michigan. The pharmacy purchases each cream for $12 and sells it at$20. The firm makes its deliveries to all pharmacies in Evanston every 10 days. Pharmacies must place their orders for
The Coby Inn manager in Problem 19 calls the distributor and complains about their unreliable delivery schedule.The reason for delay, the distributor explains, is that Cobby Inn places its orders at different times each month. This interrupts the distributor’s delivery schedule to other
Coby Inn is a hotel that offers low-price rooms with free breakfast. One of the popular items in its dinner menu is barbecue ribs. Coby Inn orders frozen ribs from a major distributor at the cost of $9 per pound. The distributor charges the hotel $60 for delivery and shipment cost. Coby Inn stores
DDA is a manufacturer of office furniture that sells its customized adjustable office desk after it receives an order from a customer. Because desks are made in an assemble-to-order process, DDA can finish orders and ship them on the same day, unless one of the components of the desk is not
The supplier of paper cups in Problem 16 offers another ordering option to Sonbox. The supplier offers free shipment if Sonbox agrees to fixed delivery schedule. The supplier would like to deliver cups to Sonbox every 5 weeks and Sonbox must place its order 2 weeks before the delivery day (i.e.,
Sonbox Coffee orders paper cups from a supplier at the price of 20 cents per cup. It takes 3 weeks for the supplier to deliver cups after Sonbox places its order. Order setup cost is$80 which is mainly the shipment cost charged by the supplier and is independent of order size. Data shows that the
Your company has just bought a welding robot to install in its assembly line. One set of components of the robot that are subject to failure and would take a long time to order and install are pneumatics sensors. The manufacturer of the robot is offering a discount on these sensors (as spare
K.G. Electronics is planning the production of its winter Olympic edition of one of its popular smart watches. The watch is expected to be a big hit during winter Olympics. K.G. is planning to produce 50,000 of these watches before winter Olympics. It costs K.G. $120 to make a watch and K.G. has
T.S. Fashion produces fashion clothing and sells it to high-scale fashion retailers. The firm must decide about the production schedule of a newly designed vest that is expected to be the fashion trend in the coming fall season. The total cost of producing a vest is $55 and the firm can sell it
Answer questions in Problem 11, if the demand for mugs follows a Normal distribution with mean 160 and standard deviation 50.
A bookstore is planning to order mugs that are designed for Valentine’s day. The store buys a mug for $7.50 and sells it for $8.99. Because the store asked the manufacturer of the mug to print the bookstore’s logo at the bottom of the mugs, the store needs to place its order 6 weeks in advance.
Answer questions in Problem 9, if the order-up-to level of 500 was set to reduce the fraction of customers facing stockout to 10 percent or less.
Consider the hardware store in Problem 8 and assume that the order-up-to level of 500 was set to reduce the possibility of stockout to 10 percent and lower. Considering the new 5-week delivery schedule and lead time of 1 week, which one of the following statements is true. Explain your reasons.a.
A hardware store in a small town orders mold-resistant drywall panels from a supplier out of state. The supplier delivers drywall panels every 4 weeks and the store must place its orders 2 weeks before the delivery date (i.e., order lead time is 2 weeks). The supplier does not charge any shipment
Suppose a firm orders a product for which the demand is well-approximated by Normal distribution. To reduce the possibility of stockout to 5 percent or less, the firm orders 2500 units when its inventory of the product reaches or falls below reorder point 1200. If the average demand is doubled but
Tom and Stacy in Problem 5 come to the conclusion that since the supplier lead time is doubled, they should double their reorder point from 60 to 120 to maintain cycle-service level of 90 percent. The order size remains at 200 pairs. Explain why each of the following statements is true or false.a.
Finally, Tom and Stacy in Problem 3 come to an agreement and decide to place an order for 200 pairs of jeans when their inventory reaches or falls below 60. This results in cycle-service level of 90 percent. However, they get a call from the supplier of jeans in Italy, informing them that the
Tom in Problem 3 argues with Stacy that, if they place an order when the inventory reaches or falls below 50 (as Stacy suggests), then they need to increase their order size to 230. Explain why each of the following statements is true or false.a. Under Tom’s new policy (i.e., ordering 230 when
Tom and Stacy work together to order items for a large clothing retailer. They disagree about ordering a popular jeans brand from Italy. The demand for the jeans is variable and follows Normal distribution. They use (Q, R) policy to manage their inventory. Stacy suggests that they should order 200
Suppose Ravi in Problem 1 calls the manufacturer of the jacket to change his order size. The manufacturer informs Ravi that they have already started making his jackets and it is too late for Ravi to change his order size. Ravi knows that his order size 1600 is not optimal (because demand has lower
Ravi, the manager of a retail store, has placed an order for a limited edition of a sports jacket that is only offered once by the manufacturer this summer. Ravi estimated that the demand for the jacket in summer will follow a Normal distribution with mean 2000. He uses the Newsvendor formula and
What type of policy is appropriate for periodic review inventory systems when order setup cost is zero? How does the policy change if order setup cost is non-zero?
What is periodic review inventory system, and what is protection interval in such systems?
What is the impact of increasing order quantity (Q) on average shortage in an order cycle, average annual shortage cost, and average annual inventory holding cost?
What is the impact of increasing reorder point (R) on average shortage in an order cycle, average annual shortage cost, and average annual inventory holding cost?
What is protection interval in (Q, R) inventory management policy, and why it is the key factor in managing and controlling inventory?
What are the main features of a Newsvendor decision setting? Provide three different examples of Newsvendor problem beyond inventory management.
CCAT in Problem 15 uses a stamping press to make a metal fastener used to fasten hydraulic pipes in its vehicles. CCAT needs 200 fasteners each day and the press has the capacity of producing 500 fasteners a day (assume 360 days in a year). It costs CCAT $2 to make a fastener.This cost includes the
CCAT is a manufacturer of construction vehicles such as loaders and bulldozers. Its transmission plant has the capacity of producing 10,000 transmissions each year. CCAT needs 4000 transmissions each year. Each transmission is valued about $6000.The fixed cost of setting up to produce a batch is
Consider the Bright Desk (BD) in Problem 13 and assume that the supplier does not offer any quantity discount and its price is $2.00 per lamp for any order size. However, the supplier is increasing its shipment cost for large orders. Specifically, for orders of size 6000 or less, the order setup
Bright Desk (BD) is a manufacturer of a variety of desk lamps, all produced on two assembly lines in its Seattle plant. The plant uses 180 LED lamps in its assembly lines each day (assume 360 days in a year). BD orders the lamps from a supplier of electronics at the price of $2.00 per lamp. The
Thomson University hospital orders disposable exam gloves for its doctors and nurses from a supplier at the price of $12 per box. Data shows that hospital uses about 20 boxes per day(assume 360 days in a year) at a steady rate with no significant variability. The hospital has a large supply room
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