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To tap the growing market in China with higher production efficiency, you are trying to improve the layout of its production plant with six departments: 1) Warehousing, 2) Assembling, 3) Molding, 4) Painting, 5) Machining and 6) Staffing.

Question:

1(a) Compute the total traffic costs in $ in the current situation by showing steps.

1(b) Which traffic segment (i.e. between which two departments) created the most traffic load? How much?

1(c) You want to further study the effects of putting the two departments, identified in 1(b) above, together so that the walking distance between them will be reduced to zero and they have the same walking distances to other departments on the assumption that each department is spacious enough to house another department without finding another place to locate both of them.

Show the new DISTANCE table(s) between the combined departments and the other departments and

Find the new traffic cost(s) in $.

1(d) Based on your result in 1(c), what would be your recommendation with reason?

The measured walking distances among the various departments (in metre) are shown in the DISTANCE table below: BEWEEN Warehousing Painting Machining Staffing Assembling Molding 25 Warehousing 10 20 30 40 Assembling 15 30 25 15 Molding 35 30 25 Painting 10 30 Machining 10 Staffing The unit cost is $1 per metre of transport. You have also examined the average traffic loading among various departments over a period of time, and have the hourly traffic volume (in no. of staff) registered as follows: BEWEEN Warehousing Assembling Molding Painting Machining Staffing Warehousing 400 20 0 0 123 Assembling 60 150 0 10 Molding 10 20 12 Painting 15 10 Machining 50 Staffing