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Operations Management: Sustainability And Supply Chain Management 13th Edition Jay Heizer; Barry Render; Chuck Munson - Solutions

1. Formulate an LP problem to determine the number of guitars GuitarsToday should assemble to maximize their income.Electric guitars made in China are relatively inexpensive and their quality keeps improving. In recent years, several companies realized that if they purchase semi-finished guitars,
• • B.42 Porter Investments needs to develop an investment portfolio for Mrs. Singh from the following list of possible investments:Mrs. Singh has a total of $60,000 to invest. The following conditions must be met: (1) If investment F is chosen, then investment G must also be part of the
Rollins Publishing needs to decide what textbooks from the following table to publishFor each book, the maximum demand, fixed cost of publishing, variable cost, and selling price are provided. Rollins has the capacity to publish a total of 20,000 books.a) Formulate this problem to determine which
• • • • B.40 You have just been hired as a planner for the municipal school system, and your first assignment is to redesign the subsidized lunch program. In particular, you are to formulate the least expensive lunch menu that will still meet all state and federal nutritional guidelines.The
• • • B.38 A car manufacturer has production plants in Germany, the U.K., and France and exports to some other countries.The manufacturer’s supply chain includes manufacturer, distributors, and retailers. The plant in Germany wants to export 5,000 cars, the U.K., 2,500 cars, and France,
• • B.37 Leach Distributors packages and distributes industrial supplies. A standard shipment can be packaged in a class A container, a class K container, or a class T container. A single class A container yields a profit of $9; a class K container, a profit of$7; and a class T container, a
• B.20 Solve the following LP problem graphically. Indicate the corner points on your graph Maximize profit = $3X + $5X2 Subject to: X = 6 3X+2X18 X, X = 0 PX
• B.18 Solve the following LP problem graphically: Maximize Z Subject to: = 4X + 4X2 3, + 5X, = 150 X - 2x2 = 10 5X+3X = 150 X1, X2 0 PX
• B.16 Solve the following linear programming problem graphically Maximize Z3X + 5Y Subject to: 4X + 4Y 48 IX + 2Y 20 Y = 2 X,Y = 0 PXx
• B.12 Par, Inc., produces a standard golf bag and a deluxe golf bag on a weekly basis. Each golf bag requires time for cutting and dyeing and time for sewing and finishing, as shown in the following table:The profits per bag and weekly hours available for cutting and dyeing and for sewing and
• • B.9 Consider the following LP problem developed at Zafar Malik’s Carbondale, Illinois, optical scanning firm:a) What is the optimal solution to this problem? Solve it graphically.b) If a technical breakthrough occurred that raised the profit per unit of X1 to $3, would this affect the
• • B.4 Consider the following LP problem:a) Solve the problem graphically.b) Is there more than one optimal solution? Explain. Maximize profit = 30X + 10X2 Subject to: 3x + X = 300 X + X 200 X 100 X 50 X, X 0
• B.3 Solve the following LP problem graphically: Maximize profit = X + 10Y Subject to: 4X+ 3Y 36 2X + 4Y 40 Y = 3 X, Y 0 PX
• B.2 Solve the following LP problem graphically Maximize profit = 4X+6Y Subject to: X+2Y 8 5X + 4Y 20 X, Y = 0 PX
Holiday Meal Turkey Ranch is considering buying two different types of turkey feed. Each feed contains, in varying proportions, some or all of the three nutritional ingredients essential for fattening turkeys. Brand Y feed costs the ranch$.02 per pound. Brand Z costs $.03 per pound. The rancher
We want to solve the following LP problem for Kevin Caskey Wholesale Inc. using the corner-point method: Objective: Maximize profit = $9X1 + $7X2 Constraints: 2X + 1X2 40 X + 3X = 30 X, X 0 M
Sitka Manufacturing is planning to build at least one new plant, and three cities are being considered:Baytown, Texas; Lake Charles, Louisiana; and Mobile, Alabama. Once the plant or plants have been constructed, the company wishes to have sufficient capacity to produce at least 38,000 units each
Mexico City Bank of Commerce and Industry is a busy bank that has requirements for between 10 and 18 tellers depending on the time of day. Lunchtime, from noon to 2 p.m., is usually heaviest. The following table indicates the workers needed at various hours that the bank is open.The bank now
The Feed ’N Ship feedlot fattens cattle for local farmers and ships them to meat markets in Kansas City and Omaha. The owners of the feedlot seek to determine the amounts of cattle feed to buy to satisfy minimum nutritional standards and, at the same time, minimize total feed costs.Each grain
Failsafe Electronics Corporation primarily manufactures four highly technical products, which it supplies to aerospace firms that hold NASA contracts. Each of the products must pass through the following departments before they are shipped: wiring, drilling, assembly, and inspection. The time
LO A.4 What is the EMV for Alternative 1 in the following decision table?a) $15,000b) $17,000c) $17,500d) $18,500e) $20,000 STATE OF NATURE Alternative S1 52 A1 $15,000 $20,000 A2 $10,000 $30,000 Probability 0.30 0.70
2. What other factors should François consider while making the decision?François Caron is considering developing an app for a week-long music festival in southern France, which will have 18 stages on a 2 km2 land and around 200 performers. It generally attracts more than 150,000 visitors. The
1. Which option should François select? Explain.François Caron is considering developing an app for a week-long music festival in southern France, which will have 18 stages on a 2 km2 land and around 200 performers. It generally attracts more than 150,000 visitors. The app will include schedules
• • A.17 Given the following conditional value table, determine the appropriate decision assuming that each state of nature has an equal likelihood of occurring: STATES OF NATURE VERY FAVORABLE AVERAGE UNFAVORABLE ALTERNATIVES MARKET MARKET MARKET Large plant $275,000 $100,000 -$150,000 Small
• A.15 Given the following conditional value table, determine the appropriate decision under uncertainty usinga) maximaxb) maximinc) equally likely VERY FAVORABLE ALTERNATIVES Large plant Small plant Overtime MARKET STATES OF NATURE AVERAGE MARKET UNFAVORABLE $275,000 $100,000 MARKET -$150,000
LO G.4 Which business analytics tool studies the behavior of groups over time?a) cohort analysisb) trackingc) neural networksd) cluster analysise) data mining
LO G.3 Which formatting choice for Excel’s Conditional Formatting tool can be used to create a heat map?a) icon setsb) changing the fill color of cellsc) changing font typed) data barse) color scales
LO G.2 Which Excel Conditional Formatting Rule Type should be used to format values in one column based on the condition of values in another column?a) Format all cells based on their valuesb) Format only cells that containc) Format only top or bottom ranked valuesd) Format only unique or duplicate
LO G.1 Which category of analytics recommends a strategy or action?a) descriptive analyticsb) predictive analyticsc) prescriptive analytics
• G.4 Using Figure G.2, analytics manager Vicky Luo wishes to set up Conditional Formatting in Excel to ensure that all the suppliers have different supplier numbers in column B.Which Conditional formatting ‘Rule Type’ should she select?
Vicky Luo has been asked to identify the number primary (‘P’)suppliers for Thompson Industries (Figure G.5) that are not new and have a quality rating of 4 or 5.
6. Describe the three paths of data mining.
5. Consider Example G1. Think of three additional items for which the manager might want to check to ensure that the data are clean.
4. Describe the purpose of a heat map.
3. What are some ways to use Excel to clean data?
1. Describe the three categories of business analytics.
Supply chain manager Jon Jackson wants to indicate visually the relative values of annual inventory turnover levels of the nine regional distributors in his company’s supply chain (data shown in Figure G.8(b)).APPROACH c A color scale in Excel’s Conditional Formatting changes the Fill color of
Vicky Luo, analytics manager for Thompson Industries, wishes to clean the data in Figure G.2 (p. 816)prior to analyzing it. She wants to check the following four items:1. Any blank entries need to be identified and filled.2. The percentages in columns G and H must be between 0% and 100%.3. The
LO F.4 One important reason that spreadsheets are excellent tools for conducting simulations is that they can:a) generate random numbers.b) easily provide animation of the simulation.c) provide more security than manual simulations.d) prohibit “time compression” from corrupting the results.e)
LO F.3 Two particularly good candidates to be probabilistic components in the simulation of an inventory problem are:a) order quantity and reorder point.b) setup cost and holding cost.c) daily demand and reorder lead time.d) order quantity and reorder lead time.e) reorder point and reorder lead
LO F.2 The five steps required to implement the Monte Carlo simulation technique are _______, _______, _______, _______, and _______.
• • A.10 Consider the following decision table, which Joe Blackburn has developed for Vanderbilt Enterprises:Which decision alternative maximizes the expected value of the payoff ? DECISION ALTERNATIVES LOW STATES OF NATURE MEDIUM HIGH A $40 $100 $60 B $85 $ 60 $70 C $60 $ 70 $70 D $65 $ 75 $70
LO F.1 Which of the following is not an advantage of simulation?a) Simulation is relatively straightforward and flexible.b) Good simulation models are usually inexpensive to develop.c) “Time compression” is possible.d) Simulation can study the interactive effects of individual variables.e)
• • A.9 Zhu Manufacturing is considering the introduction of a family of new products. Long-term demand for the product group is somewhat predictable, so the manufacturer must be concerned with the risk of choosing a process that is inappropriate.Faye Zhu is VP of operations. She can choose
• • F.21 Repeat the simulation in Problem F.20, assuming that the reorder point is 4 units rather than 2. Compare the costs for these two situations. Use the same random numbers as in Problem F.20.
• F.13 Adventure Rafting runs rafts on the Colorado River.It has eight rafts in its inventory. The demand for rafts during the busy months of June and July has been either 4, 5, 6, 7 or 8, with probabilities of 0.1, 0.3, 0.3, 0.2, or 0.1, respectively. Use Table F.4 to simulate the number of
Random numbers may be used to simulate continuous distributions.As a simple example, assume that fixed cost equals $300, profit contribution equals $10 per item sold, and you expect an equally likely chance of 0 to 99 units to be sold. That is, profit equals −$300 + $10X, where X is the number
• A.8 Leah Johnson, director of Urgent Care of Brookline, wants to increase capacity to provide low-cost flu shots but must decide whether to do so by hiring another full-time nurse or by using part-time nurses. The following table shows the expected costs of the two options for three possible
11. In the simulation of an order policy for drills at Simkin’s hardware (Example F2, pp. 833–835), would the results (of Table F.7) change significantly if a longer period were simulated?Why is the 10-day simulation valid or invalid?
10. What are the advantages of special-purpose simulation languages (see below)?
• A.7 The following payoff table provides profits based on various possible decision alternatives and various levels of demand at Robert Klassan’s print shop:The probability of low demand is 0.4, whereas the probability of high demand is 0.6.a) What is the highest possible expected monetary
9. Why is simulation such a widely used technique?
8. List six ways that simulation can be used in business.
Simkin’s Hardware Store, in Reno, sells the Ace model electric drill. Daily demand for this particular product is relatively low but subject to some variability. Lead times tend to be variable as well. Mark Simkin wants to develop a simulation to test an inventory policy of ordering 10 drills,
Barry’s Auto Tire wants to simulate 10 days of demand for radial tires.APPROACH c Earlier, we went through Steps 1 and 2 in the Monte Carlo method (in Table F.2)and Step 3 (in Table F.3). Now we need to generate random numbers (Step 4) and simulate demand(Step 5).
List the advantages and disadvantages of modeling with simulation
LO E.4 Which one of the following courses of action would not be taken by a firm wanting to pursue a learning curve steeper than the industry average?a) Following an aggressive pricing policyb) Focusing on continuing cost reductionc) Keeping capacity equal to demand to control costsd) Focusing on
LO E.3 The first transmission took 50 hours to rebuild at Bob’s Auto Repair, and the learning rate is 80%. How long will it take to rebuild the third unit? (Use at least three decimals in the exponent if you use the formula approach.)a) under 30 hoursb) about 32 hoursc) about 35 hoursd) about 60
LO E.2 A surgical procedure with a 90% learning curve required 20 hours for the initial patient. The fourth patient should require approximately how many hours?a) 18b) 16.2c) 28d) 30e) 54.2
LO E.1 A learning curve describes:a) the rate at which an organization acquires new data.b) the amount of production time per unit as the total number of units produced increases.c) the increase in production time per unit as the total number of units produced increases.d) the increase in number of
3. What are the limitations of the learning curve in this case?IBM asked SMT and one other, much larger company to bid on 80 more units of a particular computer product. The request for quote (RFQ) asked that the overall bid be broken down to show the hourly rate, the parts and materials component
2. How does SMT’s proposed learning rate compare with that of other industries?IBM asked SMT and one other, much larger company to bid on 80 more units of a particular computer product. The request for quote (RFQ) asked that the overall bid be broken down to show the hourly rate, the parts and
1. What are the advantages and disadvantages to IBM and SMT from this approach? IBM asked SMT and one other, much larger company to bid on 80 more units of a particular computer product. The request for quote (RFQ) asked that the overall bid be broken down to show the hourly rate, the parts and
• • E.31 If the first unit of a production run takes 1 hour and the firm is on an 90% learning curve, how long will unit 100 take?(Hint: Apply the coefficient in Table E.3 twice.)
• • E.29 Professor Hayes took 20 minutes to grade the first exam. He estimates that it will take him two hours to grade all 10 exams. What learning factor is he assuming?
• • E.24 If the first unit of a production run takes 1 hour and the firm is on an 80% learning curve, how long will unit 100 take?(Hint: Apply the coefficient in Table E.3 twice.)
• • E.18 If it took Boeing 28,718 hours to produce the eighth 787 jet and the learning-curve factor is 80%, how long did it take to produce the tenth 787?
• • E.16 Central Electronics Corp. produces semiconductors and has a learning curve of .7. The price per bit is 100 millicents when the volume is .7 × 1012 bits. What is the expected price at 1.4 × 1012 bits? What is the expected price at 89.6 × 1012 bits?
• • • A.2 Even though independent gasoline stations have been having a difficult time, Ian Langella has been thinking about starting his own independent gasoline station. Ian’s problem is to decide how large his station should be. The annual returns will depend on both the size of his
• • E.15 Using the data from Problem E.14, how long will it take to complete the 12th plane? The 15th plane? How long will it take to complete planes 12 through 15 inclusive? At $40 per hour, what can Alwan, as purchasing agent, expect to pay for planes 12 through 15?
• • E.9 Professor Mary Beth Marrs took 6 hours to prepare the first lecture in a new course. Traditionally, she has experienced a 90% learning curve. How much time should it take her to prepare the 15th lecture?
• E.1 Susan Sherer, an IRS auditor, took 45 minutes to process her first tax return. The IRS uses an 85% learning curve.How long will the:a) 2nd return take?b) 4th return take?c) 8th return take?
If the first time you performed a job took 60 minutes, how long will the eighth job take if you are on an 80% learning curve?
• A.1 Given the following conditional value table, determine the appropriate decision under uncertainty using:a) Maximaxb) Maximinc) Equally likely ALTERNATIVES UNFAVORABLE STATES OF NATURE VERY FAVORABLE MARKET AVERAGE MARKET $240,000 MARKET -$300,000 -$ 20,000 -$ 10,000 0 $ 0 Build new plant
Digicomp produces a new telephone system with built-in TV screens. Its learning-curve rate is 80%.a) If the first one took 56 hours, how long will it take Digicomp to make the eleventh system?b) How long will the first 11 systems take in total?c) As a purchasing agent, you expect to buy units 12
T.S. Amer’s Ski Shop in Nevada has a 100-day season. T.S. has established the probability of various store traffic, based on historical records of skiing conditions, as indicated in the table to the right. T.S. has four merchandising plans, each focusing on a popular name brand. Each plan yields
6. What are the elements that can disrupt the learning curve?
2. Identify three applications of the learning curve.
1. What are some of the limitations of learning curves?
Boeing completed production on its forty-fifth 787 airliner at a cost of $184 million. The first plane off the assembly line cost $448 million. What is Boeing’s learning-curve rate for this model?APPROACH c We use Equation (E-3), with costs for T1 and T45 known, and then find the learningcurve
Great Lakes, Inc., believes that unusual circumstances in producing the first boat (see Example E2) imply that the time estimate of 125,000 hours is not as valid a base as the time required to produce the third boat.Boat number 3 was completed in 100,000 hours. It wants to solve for the revised
Example E2 computed the time to complete the fourth tugboat that Great Lakes plans to buy. How long will all four boats require?APPROACH c We look at the “Total Time Coefficient” column in Table E.3 and find that the cumulative coefficient for 4 boats with an 85% learning-curve factor is 3.345.
It took a Korean shipyard 125,000 labor-hours to produce the first of several tugboats that you expect to purchase for your shipping company, Great Lakes, Inc. Boats 2 and 3 have been produced by the Koreans with a learning factor of 85%. At $40 per hour, what should you, as purchasing agent,
Stella Yan Hua is considering the possibility of opening a small dress shop on Fairbanks Avenue, a few blocks from the university.She has located a good mall that attracts students. Her options are to open a small shop, a medium-sized shop, or no shop at all. The market for a dress shop can be
The learning-curve rate for a typical CPA to conduct a dental practice audit is 80%. Greg Lattier, a new graduate of Lee College, completed his first audit in 100 hours. If the dental offices he audits are about the same, how long should he take to finish his third job?APPROACH c We will use the
Describe the strategic implications of learning curves
Define learning curve
LO D.6 A company has one computer technician who is responsible for repairs on the company’s 20 computers. As a computer breaks, the technician is called to make the repair. If the repairperson is busy, the machine must wait to be repaired.This is an example of:a) a multiple-server system.b) a
LO D.5 If everything else remains the same, including the mean arrival rate and service rate, except that the service time becomes constant instead of exponential:a) the average queue length will be halved.b) the average waiting time will be doubled.c) the average queue length will increase.d) we
LO D.4 Which of the following is not an assumption in a multipleserver queuing model?a) Arrivals come from an infinite, or very large, population.b) Arrivals are Poisson distributed.c) Arrivals are treated on a first-in, first-out basis and do not balk or renege.d) Service times follow the
LO D.3 In performing a cost analysis of a queuing system, the waiting time cost is sometimes based on the time in the queue and sometimes based on the time in the system. The waiting cost should be based on time in the system for which of the following situations?a) Waiting in line to ride an
LO D.2 Customers enter the waiting line at a cafeteria’s only cash register on a first-come, first-served basis. The arrival rate follows a Poisson distribution, while service times follow an exponential distribution. If the average number of arrivals is 6 per minute and the average service rate
LO D.1 Which of the following is not a key operating characteristic for a queuing system?a) Utilization rateb) Percentage of idle timec) Average time spent waiting in the system and in the queued) Average number of customers in the system and in the queuee) Average number of customers who renege
2. If you determined that a “fast checkout” line is not needed, Lesedi Baard is the general manager of Quickmart, a South African convenience store. Quickmart offer a basic selection of items including food and beverages, homecare, household products, apparel, and hardware. Their target market
Getz wants to develop a completed and solved decision tree.APPROACH c The payoffs are placed at the right-hand side of each of the tree’s branches (see Figure A.2). The probabilities (first used by Getz in Example A4) are placed in parentheses next to each state of nature. The expected monetary
1. Which option would you recommend Lesedi choose? Lesedi Baard is the general manager of Quickmart, a South African convenience store. Quickmart offer a basic selection of items including food and beverages, homecare, household products, apparel, and hardware. Their target market includes people
• • D.27 Lobster World stores approximately 1,000 pounds of fish on average. In a typical day, the busy restaurant cooks and sells 360 (raw) pounds of fish. How long do the fish stay in storage on average?
• • • D.19 One mechanic services 5 drilling machines for a steel plate manufacturer. Machines break down on an average of once every 6 working days, and breakdowns tend to follow a Poisson distribution. The mechanic can handle an average of one repair job per day. Repairs follow a negative
• • D.16 Renuka Jain’s Car Wash takes a constant time of 4.5 minutes in its automated car wash cycle. Autos arrive following a Poisson distribution at the rate of 10 per hour. Renuka wants to know:a) The average waiting time in line.b) The average length of the line.
• D.14 Altug’s Coffee Shop decides to install an automatic coffee vending machine outside one of its stores to reduce the number of people standing in line inside. Mehmet Altug charges$3.50 per cup. However, it takes too long for people to make change. The service time is a constant 3 minutes,

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