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- Sprocket manufacturing. The manager of this production firm is faced with a potential problem: shortages in the supply of a vital gear sprocket. He is considering the development of an in-house capability to make the sprockets, knowing that the firm needs 35,000 such sprockets each year. If the firm elects to make the sprockets internally, then it must select one of the three possible production processes. Each has different costs, as shown in Table 10.17. Adopting a manual process may lead to union problems. The manager estimates the probability of these problems as 25%, and knows that if they do occur, then the variable cost will increase by $0.50 per sprocket. Further, if the semi-automatic or fully automatic option is selected, then additional training of personnel will be required. The amount and therefore the cost of training are uncertain. For the semi-automatic process, the fixed cost of basic training will add $15,000. However, there is a 20% chance the workers will need extra…4AlwaysRain Irrigation, Inc. would like to determine capacity requirements for the next four years. Currently, two production lines are in place for making bronze and plastic sprinklers. Three types of sprinklers are available in both bronze and plastic: 90- degree nozzle sprinklers, 180-degree nozzle sprinklers, and 360-degree nozzle sprinklers. Management has forecast demand for the next four years as follows: Plastic 90 Plastic 180 Plastic 360 Bronze 90 Bronze 180 Bronze 360 1 (IN 0005) 33 14 51 6 4 10 YEARLY DEMAND 2 (IN 000s) 3 (IN 000s) 4 (IN 0005) 42 15 54 6 4 Plastic Demand for plastic sprinklers Percentage of capacity used Machine requirements Labor requirements Bronze Demand for bronze sprinklers Percentage of capacity used Machine requirements Labor requirements 12 54 18 61 5 6 14 Both production lines can produce all the different types of nozzles. The bronze machines needed for the bronze sprinklers require four operators and can produce up to 15,000 sprinklers. The plastic…
- Prepare a full decision table for the following case and then simplify. Credit card operations are approved when the bank account is real and active, amount is within limit and the location is correct. Cardholder is called when the bank account is real and active, and either amount is not within limit or location is not correct. Cardholder is also called when the bank account is real and not active, and either amount is not within limit or location is not correct. Vendor is called in two situations: 1. when the account is not real 2. when the account is real and not activeMazoon, a four-wheeler company, is a leading company in Shalala manufacturing chassis of bus/lorry, in 300 acres of land with 200 employees. The annual production capacity of the plant is 40,000 chassis. The market research department projected its future demand to be 1.5 times the present capacity of the plant. So, the company took a decision to set up another plant in Nizwa with a capacity of 100,000 chassis. It is in the process of procurement of the required land of 800 acres. The projected number of employees in the new factory would be 1,000. The productivity of any company mainly depends on the type of layout that is used to carry out the activities to produce the product. So, the industrial engineering department of the exiting company is given the task of design the right type of layout for the new company. All the sections of the automobile company will not have the same type of layout. The final assembly of chassis is done on a powered conveyer belt. This part of the company…The Acme Company operates four factories that ship products to five warehouses. The shipping costs, requirements capacities, and optimal allocations are shown in Figure. What is the total cost of the optimal solution?
- Ana Chavarria, front office manager at The Times Hotel, has completed a yield management seminar at Keystone University and is preparing an argument to adopt this concept at The Times Hotel to present to Margaret Chu, general manager. She begins by com- piling a history of room occupancy and ADRs, which she hopes will reveal areas in which yield management could help. She prepares an electronic spreadsheet that lists rooms sold with corresponding room rates and correlates the data to tourism activities in the area. Ana sends an analysis of revenue realized and revenue potential to Ms. Chu for review prior to their discussion. After reviewing the analysis, Ms. Chu concludes, “This is just another scam; the industry is slow to adopt this,” and disregards the entire report. She knows that occupancy percentage, ADR, and RevPAR are all that you need to be efficient today, so why change? Ana passes Ms. Chu in the lobby, and Ms. Chu indicates her distrust of the yield management concept but…A council has a brown-field sites designated for social housing. After allowing for roads and parks it has an area of 150000 m² for social housing. The housing association intends to build a mixture of flats, two-bedroom houses, three-bedroom houses, and shops (which include a living space) on this site. The housing association wishes to maximise the number of people that can be housed but has strict housing requirements: • there must be at least twice as many two-bedroom houses as three-bedroom houses; • at least 10% of the total housing units excluding shops (i.e. flats and houses) must be flats; • buildings containing the flats (i.e a "block") must have two storeys and every flat must have the same floor space; • shops must be provided at a rate of at least one per 1500 inhabitants. The average number of inhabitants per housing unit and the ground floor area of each are given in the following table. Housing type Flat Two-bedroom house Three-bedroom house Shop Average number of…Three graduates who recently graduated from the College of Law are considering opening a law office in that would make inexpensive legal services available to those who could not afford these services elsewhere. The intent is to provide easy access for their clients by having the office open 300 days a year, 8 hours each day from 8 A.M. to 4 P.M. The office will be staffed by a lawyer, assistant, secretary, and receptionist. To assist with market projections and to determine the feasibility of this project, the three graduates hired a management accountant who graduated from the College of Business and Economics of 8 years ago. The results of this market study show that if the firm spends USD 500,000 on advertising in the first year, the number of new clients expected each day may have the following probability distribution: Number of new clients per day Probability Expected Outcome 20 0.1 2 30…