OPERATION MANAGEMENT
2nd Edition
ISBN: 9781260242423
Author: CACHON
Publisher: MCG
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Chapter 6, Problem 9PA
Summary Introduction
To determine: The costs for making 5 units.
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The total time taken to manufacture the first unit of Product A by Beta, Inc., was 80 hours. The
learning rate applicable to Beta, Inc., was 90% . Determine the time taken to manufacture the
second unit of Product A using the incremental unit - time learning curve model. a. 72 hours b
64 hours c. 70 hours d. 60 hours
.
A learning curve of 80% assumes that direct labor costs are reduced by 25% for each doubling of output. What is the cost of the sixteenth unit produced?
Suad Alwan, the purchasing agent for Dubai Airlines, has determined that the
second
plane took
18,000
hours to produce. Using an
85%
learning curve and a
$35-per-hour
labor charge, he wants to determine the cost of the
six
additional planes.
Part 2
Time required for the
sixth
unit =
13900
hours (round your response to the nearest whole number).
Part 3
Cost of the
sixth
unit =
486500
dollars (round your response to the nearest whole number).
Part 4
Time required for the
seventh
unit =
enter your response here
hours (round your response to the nearest whole number). Part 5. Cost of the seventh unit?
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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- Suppose a manufacturer of copiers has concluded that a 70 percent learning curve applies to the time a beginning service technician takes to install copy machines. Use the Learning Curve Excel template to answer the following questions: If the time required to install the first copy machine is estimated to be five hours, what is an estimate of the time required by a new technician to install the second and third copiers? Round your answers to one decimal place. For x = 2 it takes hours For x = 3 it takes hours If the learning rate changes to 65 or 95 percent, what is an estimate of the time required by a new technician to install the second and third copiers? Round your answers to one decimal place. For x = 2 and a 65% LC, it takes hours For x = 3 and a 65% LC, it takes hours For x = 2 and a 95% LC, it takes hours For x = 3 and a 95% LC, it takes hoursarrow_forwardAqeel bought 6 bookcases for his place. Each required unpacking of parts and assembly, which included some nailing and bolting. Aqeel completed the first bookcase in 5 hours and the second in 4 hours. 1-What is his learning rate (k)? 2-What is his learning-curve value of b? 3-Assuming that the same rate continues, how long will the 3rd, 4th, 5th, and 6th bookcases take? Y3 = hours Y4 = hours Y5 = hours Y6 = hours 5-How long will take him to finish all the 6 cases? It will take him hours.arrow_forwardCumulative Average-Time Learning CurvePohlman Company makes aircraft engines. Pohlman has noticed that, in general, each new engine design is subject to an 80 percent learning rate. Assume that the first unit produced takes500 hours, and direct labor is paid an average of $30 per hour. Required:1. Set up a table with columns showing: the cumulative number of units, cumulative average time per unit in hours, and cumulative total time in hours. Show results by row for total pro-duction of: one engine, two engines, four engines, eight engines, sixteen engines, and thirty-two engines. (Round hour answers to two significant digits.) 2. What is the total labor cost if Pohlman manufactures the following number of engines: one,four, or sixteen? What is the average cost per engine for the following number of engines:one, four, or sixteen? (Round your answers to the nearest dollar.)3. What if Pohlman is preparing a bid to build 16 engines? Calculate budgeted labor cost for anengine design which…arrow_forward
- Maxera Corporation has designed a new video game controller. It took the company 52 minutes to produce the first unit. If the company uses a 75% learning rate for this task, how long should it take the company to produce the 6th unit? the 18th unit? the 30th unit? the first 6 units? the first 18 units? the first 30 units? the units 7th through 18th? the units 19th through 30th?arrow_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_forwardA manager wants to estimate the remaining time that will be needed to complete a five-unit job. The initial unit of the job required 18 hours, and the work has a learning percentage of 83. Estimate the total time remaining to complete the job. (Round your intermediate calculations to 4 decimal places. Round your "Estimated time" and final answer to 2 decimal places.) Total time remaining hoursarrow_forward
- The first item of a batch took 5 hours to produce. If the learning parameter is 80%, how much time would it take to produce the first seven items.arrow_forwardThe most important factor(s) effecting the learning curve rate include(s): Select one: A. Complexity of the task B. Percentage of mechanical input C. Percentage of human input D. Only A and C Yield management, also known as revenue management is the amount of output of acceptable quality emerging from a production system compared with the amount that entered it. Select one: True False Obtaining lower unit costs through the use of larger facilities is called economies of scope. Select one: True False It is not unusual for fire departments to use “slack months” for building inspections, conducting prevention programs and giving talks as a way to have anticyclic outputs. Select one: True False In addition to showing time schedules, Gantt charts can also be used for capacities of facilities, workers, jobs,activities, and so forth. Select one: True Falsearrow_forwardA manufacturer of diesel locomotives needs 50,000 hours to produce the first unit. Based on past experience with similar products, the rate of learning is 80 percent. a. Use the logarithmic model to estimate the direct labor required for the 40th diesel locomotive and the cumulative average number of labor hours per unit for the first 40 units. b. Draw a learning curve for this situation.arrow_forward
- The personnel manager of Powerwest Inc. wants to estimate the direct and cumulative average direct labor hours for producing 30 locomotive train units during the next year. He estimates from past experience that the learning rate is 90 percent. The production department estimate that manufacturing the first unit will take 30,000 hours. Each employee averages 200 hours per month. The production rate forecast is as follows: Month Production Rate (units) Month Production Rate (units) January 2 July 2 February 3 August 4 March 2 September 3 April 4 October 3 May 3 November 1 June 2 December 1 Show/explain step by step, so I fully understand the process. How many direct hours are required to produce the 30th unit? How many total hours are needed to produce all 30 units? What is the maximum number of employees required next year? If the learning rate were to change to 0.85, what would be the impact on the total hours…arrow_forwardRecall 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.arrow_forwardCompany Z is just starting to make a brand new product it has never made before. It has completed two units so far. The first unit took 29 hours to complete and the next unit took 22 hours. Based only on this information, what would be the estimate of the learning percentage in this process? (Round your answer to 1 decimal place.) Estimated learning percentage %arrow_forward
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