Van Assembly Operation
Stage	A	B	C
Includes:	Internal Items of car: seats, ets	External Painitng	Final finishing, accessories
Capacity:	20 vans/ hour	20 vans/ hour	18 vans/ hour
Notes:	Initial setup time of 20 minutes when changing the van model	must be shut down for cleaning for 30 minutes after every 90 minutes of operation	no setups
8hr/shift Continuous Operation
PART 1:
	NOTES: Single van model with 1 size Stage A - already setup for this model so the 2o minute setup time for Stage A is not relevent here bc we are not changing the van model or size
	QUESTION 1: How many vans can be produced by the system in an 8 hour shift?
	QUESTION 2: We know that Stage A has been setuo for the type of product to be processed in that shift. So how much idle time is there in this stage during that 8 hour shift?
	Question 3: If you add capacity to any of the above stages to increase the overall system output, which stage will you add the capacity to? And by How Much? And Why?
PART 2:
	NOTES: The orginal system does not have any buffers between stages. This means that the finished van moves from one stage to the nexe immediately. It also implie that the stages are connecte to one another and a downtime at a stage (for example at Stage B when it's shut down for 30 minutes) affects the other stages immediately and thereby affects the system output. Let us then allow buffers between the stages representing intermediate storage areas for a van before it is processed at the immediate next stage.
	Question 1: Where would you place the buffers and what should be the buffer capacity in terms of the number of vans
	Question 2: If you add the buffer, how much does the system capacity increase ie. How many vans can you now produce per shift Notes: Cost to establishing each buffer: Assume cost $5,000 per unit of storage capacity ex) if a buffer is built to store 10 semi-finished vans that cost would be $50,000