Question:
Yost-Perry Industries (YPI) manufactures a mix of affordable guitars (A, B, C) that are fabricated and assembled at four different processing stations (W, X, Y, Z). The operation is a batch process with small setup times that can be considered negligible. The product information (price, weekly demand, and processing times) and process sequences are shown in Figure 5.16. Raw materials and purchased parts (shown as a per-unit consumption rate) are represented by inverted triangles. YPI is able to make and sell up to the limit of its demand per week with no penalties incurred for not meeting the full demand. Each workstation is staffed by one highly skilled worker who is dedicated to work on that workstation alone and is paid $15 per hour. The plant operates one 8-hour shift per day and operates on a 5-day workweek (i.e., 40 hours of production per person per week). Which of the four workstations, W, X, Y, or Z, has the highest aggregate workload, and thus serves as the bottleneck for YPI?
Transcribed Image Text:
Demand and Sales hformation for Dauson Electronics WATER SAVERGREENER GRASS PROBABILITY OF TABLE 53 With Capecity Expansion Low Demand Madium Demand 2000 High Demand Without Cepecity Expansion Low Demand Madium Demand1000 Eh lel 1000 0.50 5000 1000 113 2000 1 Product A Step 1 at workstation W 12min.] Step 2 at workstation Z 12min.) nish with step 3 at workstaonXPrice: $105 unit Product A 10min.) Demand 60 unlts/wk Raw materials $ Purchased part Product B Step 1 at workstation W 9 min.) Step 2 at workstation Y 15min.) nish wth step 3 at workstation ZPrice: $95/unt Product B $8 10min.) Demand:80 unlts/wk Raw materials $4 Purchased part Product C Step 1 at workstation X 10min. Step 2 at workstation W 20min.) nish with step 3 at workstation YPrice: $110unit Product C $14 5 min.) Demand 60 unlts/wk Raw materials $ Purchased part