Operations Management: An Introduction to Process Analysis Practice Problem Consider the following process to manufacture bunk beds. Assume that the beds are made in batches of 4, and that there are 40 hours available per week for production. Each bed goes through the following nine steps. Step Setup Time Minutes per Setup Run Time Minutes per Bunk Bed 1. Cut 15 37.5 2. Plane 10 38.4 3. Router 10 48 4. Drill 10 28 5. Sand 25 24 6. Stain 15 12 7. Polyurethane 45 90 8. Kit assembly 0 40 9. Cleating 0 15 1. Assume that there is only one worker in total for building bunk beds (i.e., one worker performs each step). What is the capacity in beds per week for the process? For questions 2 through 7, assume that there is 1 worker at each step in the process and that, on average, there is 1 batch of inventory before each step and 1 batch in process at each step. 2. What is the capacity in beds per week for each step in the process? Which step is the bottleneck? What is the overall capacity of the process? 3. If the demand is 20 bunk beds per week, what is the capacity utilization for each step in the process? 4. How would capacity change if we increased the batch size to 8 bunk beds? 5. List three recommendations for increasing the capacity of the process. What are the potential costs/difficulties of each recommendation? 6. If the demand is 20 bunk beds per week, how long does it take for 1 bunk bed to complete the entire process, from start to finish? 7. List three recommendations for decreasing the throughput time of the process. What are the potential costs/difficulties of each recommendation? For question 8, assume that the batch size is 4 bunk beds and that the process steps must be performed in the order shown in the table. 8. What is the maximum demand the process can meet (in beds per week) if there are only 5 workers with which to staff the line? What if there are only 4 workers? How should the process steps be allocated among the workers