Question: use these workings for bolded question below: Consider a process consisting of three tasks in a machine-paced (conveyor) line and a wage rate of $15
use these workings for bolded question below:
Consider a process consisting of three tasks in a machine-paced (conveyor) line and a wage rate of $15 per hour. Each task is assigned to a single worker. Assume there is unlimited demand for the product.
| Tasks | Processing time (minutes) |
| 1 | 10 |
| 2 | 12 |
| 3 | 8 |
- How much is the process capacity, in units per hour?
Task 2 having the highest cycle time is the bottleneck and its capacity = 60/12 = 5 units per hour.
- How much is the total idle time?
Idle time in task 1 = 12 - 10 = 2 minutes Idle time in task 2 = 12 - 12 = 0 minutes Idle time in task 3 = 12 - 8 = 4 minutes
total idle time in a cycle = 2+0+4 = 6 minutes
- Compute the average utilization of the line.
Efficiency = 1 - idle time / (no of stations x cycle time) = 1 - 6/(3*12) = 5/6 = 0.833 or 83.33%
- What is the cost of direct labor ($/unit)?
Cost of direct labor = total wages per unit of time / the flow rate
= ($15 x 3) / 5 = $9 per unit
Now task 1 is assigned to 2 workers, and tasks 2 and 3 are combined and assigned to 4 workers, as shown below:
| Tasks | Number of workers |
| 1 | 2 |
| 2, 3 | 4 |
- How much is the process capacity, in units per hour?
- How much is the total idle time?
- Compute the average utilization of the line.
- What is the cost of direct labor ($/unit)?
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