Ch15 Case study
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Dec 6, 2023
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Ch 15 Case Study
In 2018, George Wright started the Old Oregon Wood Store to manufacture Old Oregon tables. Each table is carefully constructed by hand using the highest-quality oak. Old Oregon tables can support more than 500 pounds, and since the start of the Old Oregon Wood Store, not one table has been returned because of faulty workmanship or structural problems. In addition to
being rugged, each table is beautifully finished using a urethane varnish that George developed over 20 years of working with wood-finishing materials.
The manufacturing process consists of four steps: preparation, assembly, finishing, and packaging. Each step is performed by one person. In addition to overseeing the entire operation, George does all of the finishing. Tom Surowski performs the
preparation step, which involves cutting and forming the basic components of the tables. Leon Davis is in charge of the assembly, and Cathy Stark performs the packaging.
Although each person is responsible for only one step in the manufacturing process, everyone can perform any one of the steps. It
is George's policy that occasionally everyone should complete several tables on his or her own without any help or assistance. A small competition is used to see who can complete an entire table in the least amount of time. George maintains average total and intermediate completion times. The data are shown in Figure 15.7.
It takes Cathy longer than the other employees to construct an Old Oregon table. In addition to being slower than the
other employees, Cathy is also unhappy about her current responsibility of packaging, which leaves her idle most of the day. Her first preference is finishing, and her second preference is preparation.
In addition to quality, George is concerned with costs and efficiency. When one of the employees misses a day, it causes major scheduling problems. In some cases, George assigns another employee overtime to complete the necessary work. At other times, George simply waits until the employee returns to work to complete his or her step in the manufacturing process. Both solutions cause problems. Overtime is expensive, and waiting causes delays and sometimes stops the entire manufacturing process.
To overcome some of these problems, Randy Lane was hired. Randy's major duties are to perform miscellaneous jobs and to help out if one of the employees is absent. George has given Randy training in all phases of the manufacturing process, and he is pleased with the speed at which Randy has been able to learn how to completely assemble Old Oregon tables. Randy's average total and intermediate completion times are given in Figure 15.8.
2
Answer the following questions here and show your detailed work (solution) below the line for each part. If you worked on a spreadsheet, copy it under each part of your solution. Once finished, create a pdf file, and upload it on Blackboard. Answer the questions on MyLab. Part 1: What is the fastest way to make the tablets using the original crew? Tom – preparations, Cathy – Assembly, George – Finishing, Leon- Packaging
Part 2: Optimally, how many tables can be made per day using the original 4-person crew? (Assume 8 work hours per
day.) 4.8
Part 3: If Randy performed one of the four functions and replaced Cathy (who would then perform miscellaneous duties), what would be the total production time, in minutes, per table? 230
Part 4: Assuming an 8-hour workday, what would the expected daily output of tables be if each of the 4 original crew members separately built entire tables by themselves? 7.02
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