A car manufacturer has a painting production line with a design capacity of 100 square metres...

 

 

 

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A car manufacturer has a painting production line with a design capacity of 100 square metres per minute and which operates 24 hours a day, 7 days a week. There are 30 workers employed on the line. Each employee works a 42 hour week and is paid at the rate of £12 per hour. Total overheads for the line average £11400 per week. Where appropriate, answers should be given to two decimal places. Table 1 (overleaf) shows lost production time recorded for last week. Table 1: 1 Product changeovers (set-ups) 20 hours Regular maintenance 15 hours No work scheduled 6 hours 4 Quality sampling checks 8 hours Shift change times 8 hours Maintenance breakdown 16 hours 7 Quality failure investigation 12 hours Paint stock-outs 6 hours Labour shortages 10 hours 10 Waiting for paint 10 hours Total 111 hours i) Calculate the design capacity (in hours) and processing capacity (square metres) per week. [2 marks] ii) Determine the activities for planned and unplanned losses and then calculate the effective capacity and actual output values. [3 marks] iii) Calculate the line's production for last week, in square metres. [1 mark] iv) Calculate the line's utilisation percentage. [1 mark] 2. 3. v) Calculate the line's efficiency percentage. [1 mark] The manager of this line is relatively new to the job. On average, the previous incumbent lost the same amount of time as the current manager in planned loss. However, actual output was on average higher, at 70 hours per week. How do you account for this difference? vi) [5 marks] vii) Based on last week's production figure, calculate the line's single factor labour productivity, both by output per labour hour and output by employee per week. [2 marks] Based on last week's production figure, calculate the line's multi-factor productivity using the wage bill and line overheads. Then, indicate the cost of one square metre of production. vii) [2 marks] A car manufacturer has a painting production line with a design capacity of 100 square metres per minute and which operates 24 hours a day, 7 days a week. There are 30 workers employed on the line. Each employee works a 42 hour week and is paid at the rate of £12 per hour. Total overheads for the line average £11400 per week. Where appropriate, answers should be given to two decimal places. Table 1 (overleaf) shows lost production time recorded for last week. Table 1: 1 Product changeovers (set-ups) 20 hours Regular maintenance 15 hours No work scheduled 6 hours 4 Quality sampling checks 8 hours Shift change times 8 hours Maintenance breakdown 16 hours 7 Quality failure investigation 12 hours Paint stock-outs 6 hours Labour shortages 10 hours 10 Waiting for paint 10 hours Total 111 hours i) Calculate the design capacity (in hours) and processing capacity (square metres) per week. [2 marks] ii) Determine the activities for planned and unplanned losses and then calculate the effective capacity and actual output values. [3 marks] iii) Calculate the line's production for last week, in square metres. [1 mark] iv) Calculate the line's utilisation percentage. [1 mark] 2. 3. v) Calculate the line's efficiency percentage. [1 mark] The manager of this line is relatively new to the job. On average, the previous incumbent lost the same amount of time as the current manager in planned loss. However, actual output was on average higher, at 70 hours per week. How do you account for this difference? vi) [5 marks] vii) Based on last week's production figure, calculate the line's single factor labour productivity, both by output per labour hour and output by employee per week. [2 marks] Based on last week's production figure, calculate the line's multi-factor productivity using the wage bill and line overheads. Then, indicate the cost of one square metre of production. vii) [2 marks]

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