Littlefield Technologies Simulation(1)
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School
Brigham Young University, Idaho *
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Course
361
Subject
Industrial Engineering
Date
Dec 6, 2023
Type
docx
Pages
2
Uploaded by logancrooks2011
Littlefield Technologies Simulation
Team 5; lehi05
Logan Crooks
Kevin Murray
As a group we wanted to make sure that we were able to meet to make the most effective decisions.
However, we had some difficulty making this happen and you can see this in our decision making. On day
73.05 we bought an additional machine at station 1 and on day 73.08 we bought an additional machine
at station 2. Before buying these machines, our lead times were 3.28 days and approaching 3.72 at the
highest point on day 74, because we bought the additional machines, we were able to bring our lead
times down to 0.47 by day 82 before they began to rise again. Between the period of day 54 (when we
went over 1 day of lead time) and day 81 (when we were able to fall below 1 day of lead time), we
estimate that Littlefield Technologies lost about $60.487.50 to rebates.
Plot of Number of Jobs Accepted Each Day
Plot of Utilization of Station 1
Moving on in the simulation, as demand continued to increase, we again faced the same issues where
our lead grew to 4.1 days at its height on day 137, between days 122 (where it rose above 1 day of lead
time) and day 146 (where it fell back below 1 day of lead time). We estimate that we lost about
$117,412.50 due to the failures to address the shop floor’s needs. As noted in the figure above, we also
purchased additional machines on day 135 for Station 3 and for Station 1 to help reduce our lead times
and realize better utilization of our capital.
After the height of our demand began to slow down and our product began to be phased out, we saw
that our Utilization of our various stations weren’t as high, and we began to consider the possibility of
retired some machines so we could invest it for Interest Revenues alternatively.
Utilization of Station 1
Utilization of Station 2
Utilization of Station 3
Based on what we saw up to day 214, and the downward trend of demand and order, we opted to sell 1
machine in each station. We believe we made the correct decision as none of the Utilization for any
stations reached full capacity for the rest of the simulation and we were able to make Interest Gains
towards our Bash Balance.
In conclusion we were not able to give the sim the full attention it needed and as such we lost out on
$400,000 worth of revenue that had to be paid back out as rebates due to our long lead times at the
height of our demand. We believe we made the correct decisions regarding our machine purchases and
retiring those machines, although, we realize if had been able to give the sim the attention it needed, we
would have been to make those correct decisions when they needed to occur to minimize our losses
through rebates or to maximize our gains through interest gains alternatively to the loss we could incur
by purchasing additional machines. This was a great learning experience on realizing the analysis needed
to maintain a stable production of orders and on how to minimize loss (or maximize gain) in production.
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