Question: A manufacturing process for a widget has four stages and involves 4 parts. In Section A parts 1 and 2 are assembled. In Section B
A manufacturing process for a widget has four stages and involves parts. In Section A parts and are assembled. In Section B parts and are assembled. In Section C the two assemblies are welded together and finally in Section D the widget is painted and packaged. Sections A and B have assembly machines each. Each assembly machine in Section A has an output of parts per hour and each machine in section B has an output of parts per hour. Section C has welding machines each of which has an output of parts per hour and Section D has painting machines each of which has an output of parts per hour. All machines need one worker each to operate. Purchase costs of the parts are follows:
Cost of purchasing part $
Cost of purchasing part $
Cost of purchasing part $
Cost of purchasing part $
Cost of assembly in section A is part cost of assembly in section B is part cost of welding is part and cost of painting is part
At present, the manufacturing process runs for hours a month excluding scheduled maintenance times.
aWhat is the output of this process? What is the bottleneck? What is the total cost of the process? What is the cost per unit?
bIf we can add another shift to one section in the process to increase its capacity, where would it be What is the output of this process? What is the new bottleneck? What is the total cost of the process? What is the cost per unit?
cIf on top of doubling the shift as discussed in part b if we add four extra assembly machines to Section B and extra welding machines to section C what is the output of this process? What is the bottleneck? What is the total cost of the process? What is the cost per unit?
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