EBK PRINCIPLES OF OPERATIONS MANAGEMENT
11th Edition
ISBN: 9780135175644
Author: Munson
Publisher: VST
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Chapter 14, Problem 30P
Summary Introduction
To determine: The capacity plan for the 10 week period.
Introduction:
Capacity plan:
Capacity plan is the plan determined by a firm to meet its changing demand requirements. The plan is formulated keeping in mind the maximum design capacity of the firm.
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Below is information related to:
historical average processing times for Products A and B
historical percentage of work center load required to produce Produdcts A and B
routing and standard times to produce Product B
• the product structure for Product B
• a MPS covering 3 periods for Products A and B.
MPS in Units
End Product
2
Processing Time
A
50
45
25
Historical %
End Product Hours/Unit
wC
B.
30
25
30
100
40%
A
0.80
200
50%
в
1.6
300
10%
Routing and Standard Time Data
End Product Lot Size Work Center Set Up (Hrs) Run Time/Unit (Hrs) Hrs/Unit
B
40
100
1
1.25
D
(3 required)
D
50
200
0.07
100
200
0.08
F
100
300
0.04
(2 required)
A. Develp a rough cut capacity plan for the three work centers based on historical
factors. Please fill in the table below with your final calculations. Show your work
in the space belov
Historical
Total
Work Center Percentage
1
2
3
Hours
100
200
300
Total Required Capacity
Show any work here:
manufacturer operates 8 hours per day for 340 days per year, and has a demand of 2,000 units per day. There are four production cycles per day. Assume the following: 7,700 units produced per day, holding cost per unit is $5 per year, labor rate to do line set-ups is $13 per hour. With quick set-ups, the production line must be quickly re-organized.
a. What is the target set-up cost?
b. What is the set-up time in minutes?
Eastwood Cake Factory sells chocolate cakes, birthday cakes, and specialty cakes. The factory is experiencing a bottleneck and is trying to determine which cake is most profitable. Even though Eastwood may have to limit its orders, it is concerned about customer service and satisfaction.
Line Item Description
Chocolate Cake
Birthday Cake
Specialty Cake
Sales price
$20.00
$45.00
$60.00
Variable cost per cake
$5.00
$12.00
$20.00
Hours needed to bake, frost, and decorate
1 hour
2.5 hours
2 hours
a. Compute the contribution margin per hour per cake. If required, round your answers to two decimal places.
Cake
Amount
Chocolate cake
$fill in the blank 1
Birthday cake
$fill in the blank 2
Specialty cake
$fill in the blank 3
b. Determine which cakes the company should try to sell more of first, second, and then last.
Rank
Cake
1st:
2nd:
3rd:
Chapter 14 Solutions
EBK PRINCIPLES OF OPERATIONS MANAGEMENT
Ch. 14 - Ethical Dilemma For many months your prospective...Ch. 14 - What is the difference between a gross...Ch. 14 - Prob. 2DQCh. 14 - What are the similarities between MRP and DRP?Ch. 14 - How does MRP II differ from MRP?Ch. 14 - Which is the best lot-sizing policy for...Ch. 14 - What impact does ignoring carrying cost in the...Ch. 14 - MRP is more than an inventory system; what...Ch. 14 - What are the options for the production planner...Ch. 14 - Master schedules are expressed in three different...
Ch. 14 - What functions of the firm affect an MRP system?...Ch. 14 - Prob. 11DQCh. 14 - Prob. 12DQCh. 14 - Prob. 13DQCh. 14 - Prob. 14DQCh. 14 - As an approach to inventory management, how does...Ch. 14 - Prob. 16DQCh. 14 - Use the Web or other sources to: a) Find stories...Ch. 14 - Prob. 18DQCh. 14 - Prob. 19DQCh. 14 - You have developed the following simple product...Ch. 14 - You are expected to have the gift bags in Problem...Ch. 14 - Prob. 3PCh. 14 - Your boss at Xiangling Hu Products, Inc., has just...Ch. 14 - The demand for subassembly S is 100 units in week...Ch. 14 - Prob. 6PCh. 14 - Prob. 7PCh. 14 - Prob. 8PCh. 14 - Prob. 9PCh. 14 - Prob. 10PCh. 14 - Prob. 11PCh. 14 - Prob. 12PCh. 14 - Prob. 13PCh. 14 - Prob. 14PCh. 14 - You are product planner for product A (in Problem...Ch. 14 - Prob. 16PCh. 14 - Prob. 17PCh. 14 - Heather Adams, production manager for a Colorado...Ch. 14 - Prob. 19PCh. 14 - Prob. 20PCh. 14 - Prob. 21PCh. 14 - Prob. 22PCh. 14 - Data Table for Problems 14.22 through 14.25 ...Ch. 14 - Develop a POQ solution and calculate total...Ch. 14 - Using your answers for the lot sizes computed in...Ch. 14 - M. de Koster, of Rene Enterprises, has the master...Ch. 14 - Grace Greenberg, production planner for Science...Ch. 14 - Prob. 28PCh. 14 - Prob. 29PCh. 14 - Prob. 30PCh. 14 - Courtney Kamauf schedules production of a popular...Ch. 14 - Using the data for the coffee table in Problem...Ch. 14 - Prob. 1CSCh. 14 - Prob. 2CSCh. 14 - Prob. 1.1VCCh. 14 - Prob. 1.2VCCh. 14 - Prob. 1.3VCCh. 14 - Prob. 2.1VCCh. 14 - Prob. 2.2VCCh. 14 - Prob. 2.3VC
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