Amy Xia$’$s plant produces four different types of photo frames and this was designed to produce $2,150$ frames in total per day. They operate three shifts of eight hours each day.

a$)$ Their daily average production during the month was $1,600$ frames per day. What is the capacity utilization at this plant? $(1$ point$)$

b$)$ When they investigated their operations, they realized that material delays led to some waste of time, and they rectified the issues to ensure on$-$time material availability. This led to an increase in their output to $1,700$ units per day in the subsequent month. What is the capacity utilization now? $(1$ point$)$

c$)$ The industrial engineering team at the plant analyzed the manufacturing process and have observed during the month of March that the changeovers between different models at this plant took about $25$ mins per model changeover. They currently use a Solbridge International School of Business, BBA Section $2,$ Spring $2024$ standard batch size of $90$ frames per batch. Their standard processing time per frame is half a minute. What is the capacity utilization for March? $(2$ points$)$

d$)$ If they wish to achieve a target utilization rate of $90$ percent, how much reduction in changeover time is warranted assuming no changes in the standard batch size and the standard processing time. $(2$ points$)$

Answer rating: 100% (QA)

Amy Xias Plant Capacity Utilization a Initial Capacity Utilization Total designed capacity per day 2150 framesday Average daily production 1600 framesday Capacity Utilization Rate CUR CUR Actual Outpu... View the full answer