OPS 910 Individual Report Case Study: MG Wire Winding - Business report to be submitted on the Moodle site before the due date. - Due date: 2023, before 11:30pm. The Background Ron Smith felt good about his first week as a management trainee at MG Wire Winding. He had not yet developed technical knowledge about the manufacturing process, but he had toured the facility and met many people in various areas of the operation. MG Wire Winding, a Queensland company, is a medium-sized producer of wire windings used in making electrical transformers. Joseph Lowes, the production control manager, described the windings to Ron as being of standardized design. Ron's tour of the plant, which is laid out by process type (See Figure 1), followed the manufacturing sequence for the windings: drawing, extrusion, winding, inspection and packaging. After inspection, good product is packaged and sent to finished product storage; defective product is stored separately until it can be reworked. Figure 1 Plant Layout of MG Wire meeting. "Let's get started with the business at hand", Vivian said, opening the meeting. "Ron studied operations and supply chain management, so I think he can help us with a problem we have been discussing but without resolution." Vivian turned to Joseph Lowes, the production control manager. "Joseph, why don't you describe the problem we are facing?" "Well," Joseph said, "business is very good right now. We are booking more orders than we can fill. We plan to purchase some new equipment, which will take care of our capacity problem, though we haven't decided the type of equipment to purchase, that is, it is not clear which department should get new equipment." "Any plan for new equipment will take months to finalize and implement, so it won't help us next month. I have located some retired employees who used to work in the drawing department, and I'm going to bring them in as temporary employees next month to increase capacity there. Because we are planning to refinance some of our long-term debt, Vivian wants our profit to look as good as possible next month. I'm having a hard time figuring out which orders to run and which to back-order so that I can make the bottom line look as good as possible. Can you help me with this?" Assessment 3 - OPS 910 - Trimester 22023 Ron was surprised and apprehensive to receive such an important task so early in his career. Recording quickly, he said "Give me your data and let me work with it for a couple of days". Having studied business management particularly supply chain management, Ron knew that a good business report is essential for communication with the management team and was keen to do a good job. Data 1. Next month orders Note: Vivian Napoli has given her word to a key customer that MG Wire will manufacture 600 units of product W0007X and 150 units of product W0075C for him next month. 2. Standard cost 3. Selected operating data 4. Plant capacity (hours) Note: Inspection capacity is not a problem: we can work overtime as necessary to accommodate any schedule. 5. Bill of resource (hours/unit) Assessment 3 - OPS 910 - Trimester 22023 Business Report Suppose you are in Ron's position, please conduct relevant analysis and prepare a business report to Joseph and Vivian based on the scenario of MG Wire. The report should contain all aspects listed below. Please use section/subsection headings (which do not need to be the same as the list below) that are meaningful to the topic under discussion. The report should contain all aspects listed below. Please use section/subsection headings (which do not need to be the same as the list below) that are meaningful to the topic under discussion. - Introduction: Clearly define the business problem for MG Wire. - Problem formulation and solution: Formulate and solve the problem, and report the results from the managerial perspective. - Explanation of assumptions, including: > List and justify all assumptions you have made to formulate and solve the problem. This includes all assumptions got directly from the case study description and all additional assumptions you needed to make. - Explain which assumptions are key for formulating and solving the problem. Briefly discuss what conditions would make key assumptions invalid, and, if key assumptions are invalid, how the results could change if relevant. - Sensitivity analysis: If relevant, discuss the results from the sensitivity report, and identify relevant information that could be help with decision making in MG Wire. - Discussions and recommendations, including but not limited to: > Discuss MG Wire's options for next month. - Comment on the need for temporary workers in the drawing department. > Does this analysis help decide which department needs new equipment? If yes, please explain your answer. If not, please describe the appropriate analysis technique to answer the question about new equipment, and discuss what additional data is needed. Make recommendations with justifications. Important note: - To complete the report, you will need to solve one or more linear program problems and/or decision trees, interpret the results, and make use of the sensitivity analysis results. - You may make reasonable assumptions and informed judgements as needed, but make sure to state them clearly in your report. Do not make assumptions merely to by-pass the challenges faced. - You may not need all the given data to formulate the problem, but they may be helpful for your follow-on analysis and discussions. - This is a business report for your manager. Please write the report in a business setting and make it accessible and easy to understand for the management who may not know a lot about analytics