Operations Management
Operations Management
11th Edition
ISBN: 9780132921145
Author: Jay Heizer
Publisher: PEARSON
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Chapter 5, Problem 11DQ
Summary Introduction

To determine: Theinformation included in the engineering drawing.

Introduction: A technical image which clearly and completely defines the requirements of engineering items in a diagrammatic form is known as engineering drawing.

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Question 4 b) Company ABC wishes to evaluate whether to produce a component internally or purchase from a vendor. The firm has the following options: Internal Production Process 1 Process 2 Purchase from Vendor Vendor 1 Vendor 2 Vendor 3 Variable cost of $17 per unit; annual fixed cost of $200,000 Variable cost of $14 per unit; annual fixed cost of $240,000 Offers a price of $20 per unit for any volume up to 30,000 units Offers a price of $22 per unit for 1,000 units or less, and $18 per unit for large quantities Offers a price of $21 per unit for the first 1,000 units and $19 per unit for additional units If the annual demand is 10,000 units, which alternative would be best from a cost standpoint? For 20,000 units, which alternative would be best?
QUESTION THREE Mulungushi textiles during its peak days used to manufacture gowns on a produce-to-order basis. The company manufactured three models of gowns on the same final assembly line. The final assembly had 20,000 hours of weekly capacity. The 6-week MPS and the final assembly standard for each model are shown below: Final Assembly Standard Weekly Production (Gowns) Product (hours per gown) | 2 4 |5 1 3 6 200 150 200 | 250 150 250 A 25 B. 30 100 200 350 250 150 250 35 |150 150 150 250 |250 200 a) Compute the actual final assembly hours required at the plant in each week and for the total 6 weeks to produce the MPS. Compare the load to the labour-hours capacity in each week and for the total 6-weeks. b) Does enough production capacity exist to produce the MPS? c) What changes to the MPS would you recommend?
QUESTION 4 a) Assess and discuss the benefits of in-house vs. contracting out maintenance works in term of effectiveness and resource allocation. b) Explain and discuss the concept of Log-Out Tag-Out (LOTO) to reduce safety incidence during maintenance works.
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