OPERATION MANAGEMENT
2nd Edition
ISBN: 9781260242423
Author: CACHON
Publisher: MCG
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Chapter 6, Problem 6CQ
Summary Introduction
To determine: The cost of the 21st unit.
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Consider the trajectory showing the percentage of customer orders in a restaurant thatwere handled correctly. What shape would a learning curve have in this setting?a. Exponential growthb. Exponential decayc. Diminishing return growth
Consider the trajectory showing the percentage of patient records entered correctly intoa computer by a typist. What shape would a learning curve have in this setting?a. Exponential growthb. Exponential decayc. Diminishing return growth
Recall from the lecture that the functional form for a learning curve (LC) is y = axb where y is time to produce the most recent unit and x is the cumulative production. Here, the coefficient a is the time required to produce the first unit. The exponent (b), which is negative value, represents the learning rate. Consider a production system that needs to produce its main product based on 75% learning curve. It was measured that it took 180 minutes to produce the first unit from this production system.
A. How much time would it take to produce the 20th unit? Show your work.
B. Suppose the 20th unit was just produced and customer placed order of 10 more units. How much time would it take to produce those 10 more units? Use definite integral method with adjusted range. Show your work.
C. What is the production rate for producing 10 units in the above question (#1.B) in the dimension of [parts/hour]? Show your work.
Chapter 6 Solutions
OPERATION MANAGEMENT
Ch. 6 - Prob. 1CQCh. 6 - Prob. 2CQCh. 6 - Prob. 3CQCh. 6 - Prob. 4CQCh. 6 - Prob. 5CQCh. 6 - Prob. 6CQCh. 6 - Prob. 7CQCh. 6 - A learning curve following the power law has what...Ch. 6 - Prob. 9CQCh. 6 - Prob. 10CQ
Ch. 6 - Prob. 11CQCh. 6 - The learning curve coefficient LCC(10, 0.8)...Ch. 6 - Prob. 13CQCh. 6 - Instead of using the learning curve coefficient...Ch. 6 - Prob. 15CQCh. 6 - Prob. 16CQCh. 6 - Prob. 17CQCh. 6 - Prob. 18CQCh. 6 - Prob. 19CQCh. 6 - Prob. 20CQCh. 6 - Prob. 21CQCh. 6 - Prob. 22CQCh. 6 - Prob. 23CQCh. 6 - Prob. 24CQCh. 6 - Prob. 25CQCh. 6 - Prob. 1PACh. 6 - Prob. 2PACh. 6 - Prob. 3PACh. 6 - Prob. 4PACh. 6 - Prob. 5PACh. 6 - Prob. 6PACh. 6 - Prob. 7PACh. 6 - Prob. 8PACh. 6 - Prob. 9PACh. 6 - Prob. 10PACh. 6 - A company has 2200 employees, on average, and it...Ch. 6 - Prob. 12PACh. 6 - Prob. 13PACh. 6 - Prob. 14PACh. 6 - In October 1908, just prior to the launch of his...Ch. 6 - Prob. 2CCh. 6 - Prob. 3C
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- . A lower learning rate corresponds to a steeper slope in a log-log graph of the learningcurve. True or false?a. Trueb. Falsearrow_forwardCompany, is beginning the production of a new product. Management believes that 500 labor hours will be required to complete the new unit. An 85 percent incremental unit-time learning curve model for direct labor hours is assumed to be valid. Assume the q = -0.2345. What is the total hours for 3 units?arrow_forwardLazer Technologies Incorporated (LTI) has produced a total of 20 high-power laser systems that could be used to destroy any approaching enemy missiles or aircraft. The 20 units have been produced, funded in part as private research within the research and development arm of LTI, but the bulk of the funding came from a contract with the U.S. Department of Defense (DoD). Testing of the laser units has shown that they are effective defense weapons, and through redesign to add portability and easier field maintenance, the units could be truck-mounted. DoD has asked LTI to submit a bid for 100 units. The 20 units that LTI has built so far cost the following amounts and are listed in the order in which they were produced: Use Exhibit 4A 5 and Exhibit 4A.6. UNIT COST HUMBER (5 MILLIONS) 10 $12.0 10.0 6.0 6.5 5.0 6.0 5.0 3.6 4.1 Learning rate UNIT COST NUMBER (S MILLIONS) 11 12 13 14 15 16 17. 18 % 19 20 $3.9 3.5 3.0 2.8 2.7 2.7 a. Based on past experience, what is the learning rate? Note: Do…arrow_forward
- Elizabeth Perry, a student at SUNY, bought 6 bookcases for her dorm room. Each required unpacking of parts and assembly, which included some nailing and bolting. Elizabeth completed the first bookcase in 5 hours and the second in 4 hours. a) For Elizabeth, the learning rate = % (enter your response as an integerarrow_forward. The power law describes a learning process with exponential growth in performance.True or false?a. Trueb. Falsearrow_forwardMa1. DRILL is a company specialized in the design and fabrication of oil drilling rigs. The sales department just received two orders from two companies A and B. The production manager of DRILL decided to deliver the first 3 fabricated rigs to Company A and the next 4 fabricated rigs (rigs 4 to 7) to company B. It took DRILL company 50,000 labor-hours to manufacture the first oil drilling rig. Assume that DRILL experiences a learning rate of 90%. At a labor rate of $100 per hour, what is the labor cost that should be charged to each company (A&B)?arrow_forward
- The average labor cost per unit for the first batch produced by a new process is P6,000. The cumulative average labor cost after the second batch is P3,600 per product. Using a batch size of 100 and assuming the learning curve continues, the total labor cost of four batches will be P216,000. P864,000. P144,000. P8,640.arrow_forwardAlthough the learning curve never completely levels off to a horizontal line, if work standards are to be developed, there must be a point at which, for all practical purposes, learning is said to be have stoppped. If we have an 80 percent learning curve and say that the learning effect will be masked by other variables when the improvement in successive units is less than 0.5 percent, at about what unit number can the standard be set?arrow_forwardRichard Dulski's firm is about to bid on a new radar system. Although the product uses new technology, Dulski believes that a learning rate of 85% is appropriate. The first unit is expected to take 760 hours, and the contract is for 13 units. a) The total amount of hours to build the 13 units = 6682 hours (round your response to the nearest whole number). b) The average time to build each of the 13 units = hours (round your response to two decimal places).arrow_forward
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