This is a Master's level question

Discussion - Capacity Analysis

Chips-R-Us is large volume potato chips producer, located at Incheon, South Korea.

Its factory was upgraded last year, with a convey belt system that now connects critical machines/stations in potato chips production. These machines/stations include; potato washer, potato slicer, chip fryer and a newly installed automated chip bagging and carton box packing machine. Since, these machines/stations are now connected by a convey belt system, Work-In-Progress inventory (stock) between subsequent machine/station is eliminated.

Listed below are;

1. A diagram illustrating the 5 serial processes of the potato chips production system. Please note that each box represents a parallel machine/station within its respective process.
2. A table indicating the processing time per unit, required by a machine/station for its respective process. Below this table is the assumed operating schedule of Chips-R-Us.

	A	>>>	B	>>>	C	>>>	D	>>>	E
	A		B		C				E
	A				C				E
									E

Process	Processing time
A	6.3 min/ unit
B	4.8 min/ unit
C	9.3 min/ unit
D	2.6 min/ unit
E	9.6 min/ unit
Num of hours per day	15
Num of days per week	6

Prepare a write-up that address the following questions;

1. Capacity Analysis
   1. Base on your assigned case, answer the following questions;
      1. Determine the number of processes in the system
      2. Identify the processes with parallel stations
      3. Determine the systems total processing time
      4. Determine the systems cycle time
      5. Determine the completion time (t) for the 77th output
      6. Determine the system daily capacity
   2. There is no buffer (inventory) between stations is an assumption adopted to determine system capacity in chapter 5. Explain meaning of this assumption. Explain, with example, how this assumption could impact the system capacity, if it is deem invalid.
   3. If the effective processing time of a process within a system is decreased by 200%, what would be the impact towards the system capacity? Justify your conclusion.

Grading criterion

Q3a Assume that that the system starts at t =0

Q3a Please ensure that;

• sufficient calculation steps are shown, for partial credit. Please refer to notes for format of calculation steps
• Excel or writeup, without clear calculation steps is not acceptable
• leave all calculation steps at 1 decimal points

Q3b Ensure your example clearly linking the assumption towards the impact on the system capacity

Q3c Please ensure that your justification clearly link towards your conclusion. If applies, do highlight additional assumptions/ conditions you made in your justification.