1.Case Study 6.1 - Hudson Guitars (5 points)

Given the description of the product and the work that will occur in the guitar factory, which production process layouts could be considered? Which do you recommend? Explain.

2.Case Study 8.1 - Telco Corporation (10 points)

i) How should Telco approach segmenting its customers? That is, on what basis (cost to service, profitability, etc.) should the customers be segmented?

ii)How should Telco tailor its service offerings to each customer segment?

iii)Should certain customers be asked to take their business elsewhere?

iv)Each division has its own sales force, manufacturing facilities, and logistics network. As such, common customers (those who buy from more than one division) place separate orders with each division, receive multiple shipments, and receive multiple invoices. Would it make sense for Telco to organize around customer rather than around product? If so, how would this be done? What would the new organizational metrics look like?

3.Case Study 9.2 Baseball Card Emporium (Chapter 9) (15 points)

What is the economic order quantity for BBE in units? In pounds?

What is the total cost (not considering transportation-related costs) of the EOQ?

What is the total cost for using motor carrier transportation?

What is the total cost for using air carrier transportation?

Which alternative should BBE use?