Operations and Supply Chain Management 9th edition
9th Edition
ISBN: 9781119320975
Author: Roberta S. Russell, Bernard W. Taylor III
Publisher: WILEY
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Question
Chapter 6, Problem 9P
Summary Introduction
To draw: The process that should be chosen at each level of demand.
Introduction The way in which the production of a product takes place or a service is provided to the consumers is known as process planning. It helps in determining from where the components of production will be arranged. The process planning also helps in documentation and development of specification for manufacturing and delivery purpose.
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Soft Key is trying to determine how best to produce its newest product, DVORK keyboards. The keyboards could be produced in
house using either Process A or Process B or purchased from a supplier. For what levels of demand should each process be chosen?
O
O
Fixed Cost
Variable Cost
per unit
Process A
$8,000
$10
Process B
$20,000
$4
A From 0-800 Supplier, From 800 to 2000 Process A, From 2000 to infinity Process B
Supplier
$0
$20
B From 0-800 Process A, From 800-2000 Process B, From 20000 to infinity Supplier
C From 0-2000 Supplier, From 2000 to infinity Process B, and Never Process A
D From 0-2000 Process A, From 2000 to infinity Process B, and Never Supplier
E Always use Supplier, Never use Process A, Never use Process B
ד ח
A company has two alternatives for meeting a customer requirement for 830,000 units of a part used in office printers. done in-house, fixed cost would be $1,400,000 with variable cost at $2.40 per unit. Alternative two is to
outsource for a total cost of $3.20 per unit. Determine the break-even point. Round your answer to the nearest whole number.
units
Determine if they should make the item in-house or outsource it. Round your answers to the nearest dollar.
Total cost done in-house: $
Total cost if outsourced: $
So, the company should -Select-
Select
do the work in-house
outsource the work
and save $
Given the preceding information, what are Jerry’s options? How should they be evaluated? Make assumptions where necessary.
Chapter 6 Solutions
Operations and Supply Chain Management 9th edition
Ch. 6 - Prob. 1.1ASCCh. 6 - Prob. 1.2ASCCh. 6 - Prob. 1.3ASCCh. 6 - Discuss the types of decisions that are involved...Ch. 6 - Prob. 2QCh. 6 - Describe the four basic types of production...Ch. 6 - What are the major cost factors considered in...Ch. 6 - What kind of information do the following...Ch. 6 - What does process planning entail? How would...Ch. 6 - Explain the basic steps involved in process...
Ch. 6 - Our thinking process, limited by the paradigms...Ch. 6 - Describe the factors often overlooked in the...Ch. 6 - Briefly discuss the components of digital or smart...Ch. 6 - Create a flowchart for the process of building...Ch. 6 - Prob. 13QCh. 6 - Construct a process flowchart of a process with...Ch. 6 - Create an operations chart for making pancakes.Ch. 6 - Prob. 3PCh. 6 - T.W. Smitty is confident that demand for his Smart...Ch. 6 - Patricia Zell, a dollmaker from Olney, Maryland,...Ch. 6 - Although it will fulfill her lifelong dream,...Ch. 6 - Prob. 7PCh. 6 - The school cafeteria can make pizza for...Ch. 6 - Prob. 9PCh. 6 - NanoTech is ready to begin production of its...Ch. 6 - Creative Designs makes intricate jewelry out of...Ch. 6 - Prob. 12PCh. 6 - Prydain Pharmaceuticals is reviewing its employee...Ch. 6 - Gemstone Quarry is trying to decide whether to...Ch. 6 - Tribal Systems, Inc., is opening a new plant and...Ch. 6 - Lydia and Jon order their holiday gifts online....Ch. 6 - Prob. 17PCh. 6 - Three Bags Full is a small grocery store chain in...Ch. 6 - Prob. 19PCh. 6 - Prob. 20PCh. 6 - Sized Rite is trying to determine how best to...Ch. 6 - Prob. 22PCh. 6 - Devonte Price is a self-published author finishing...Ch. 6 - Prob. 1.1CPCh. 6 - Prob. 2.1CPCh. 6 - Prob. 2.2CPCh. 6 - Prob. 2.3CPCh. 6 - Prob. 2.4CP
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