Operations Management
11th Edition
ISBN: 9780132921145
Author: Jay Heizer
Publisher: PEARSON
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Textbook Question
Chapter 7, Problem 10P
Ski Boards, Inc., wants to enter the market quickly with a new finish on its ski boards. It has three choices: (a) Refurbish the old equipment at a cost of $800, (b) make major modifications at a cost of $1,100, or (c) purchase new equipment at a net cost of $1,800. If the firm chooses to refurbish the equipment, materials and labor will be $1.10 per board. If it chooses to make modifications, materials and labor will be $0.70 per board. If it buys new equipment, variable costs are estimated to be $.40 per board.
- a. Graph the three total cost lines on the same chart.
- b. Which alternative should Ski Boards, Inc., choose if it thinks it can sell more than 3,000 boards?
- c. Which alternative should the firm use if it thinks the market for boards will be between 1,000 and 2,000?
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Salomon Alpine, Inc., wants to enter the market quickly with a new finish on its ski
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make major modifications at a cost of $13,000; or (c) purchase new equipment at a cost
of $20,000. If the firm chooses to refurbish the equipment, materials and labor will be
$12 per board. If it chooses to make modifications, materials and labor will be $8 per
board. If it buys new equipment, materials and labor will be $4 per board.
Which option should the firm choose if it thinks it can sell 1400 boards at a
price of $50 apiece?
alternative a (refurbish)
alternative c (new equipment)
alternative b (major modification)
None of the above
Six Sigma has a lot of tools Johnny can use. Be the community college professor in Oxbow, Texas, and explain which tool or tools you would use and in what order. What would each tool enable Johnny to do?
Description: A role-playing exercise that allows participants to practice translating high-level,expressed customer needs into measurable Critical to Quality (CTQ) product attributes.Purpose:
Provide participants with a learning environment to practice translating high-level expressions ofneed into measurable product attributes.Process:1. You are an automotive design engineer. They have been given instructions to design a car that is:• Exciting• Comfortable• Prestigious• Attractive
2. Develop measurable attributes of a new car that will fulfill these needs. (Hint: develop a CTQTree).
Discussion Questions:• Did your group find it difficult to agree on which attributes would fulfill a particular need?• Do some attributes fulfill more than a single need?• What needs not explicitly stated above are customers likely to have?• Was it difficult to develop measurable attributes?• Why?• What techniques can you use to move from subjective to measurable descriptions?
Chapter 7 Solutions
Operations Management
Ch. 7.S - Prob. 1DQCh. 7.S - Prob. 2DQCh. 7.S - Prob. 3DQCh. 7.S - How is actual, or expected, output computed?Ch. 7.S - Explain why doubling the capacity of a bottleneck...Ch. 7.S - Distinguish between bottleneck time and throughput...Ch. 7.S - Prob. 7DQCh. 7.S - Prob. 8DQCh. 7.S - Prob. 9DQCh. 7.S - Prob. 10DQ
Ch. 7.S - Explain how net present value is an appropriate...Ch. 7.S - Prob. 12DQCh. 7.S - What are the techniques available to operations...Ch. 7.S - Amy Xias plant was designed to produce 7,000...Ch. 7.S - For the past month, the plant in Problem S7.1,...Ch. 7.S - If a plant has an effective capacity of 6,500 and...Ch. 7.S - Prob. 4PCh. 7.S - Material delays have routinely limited production...Ch. 7.S - Prob. 6PCh. 7.S - Southeastern Oklahoma State Universitys business...Ch. 7.S - Under ideal conditions, a service bay at a Fast...Ch. 7.S - A production line at V. J. Sugumarans machine shop...Ch. 7.S - A work cell at Chris Ellis Commercial Laundry has...Ch. 7.S - The three-station work cell Illustrated in Figure...Ch. 7.S - The three-station work cell at Pullman Mfg., Inc....Ch. 7.S - The Pullman Mfg., Inc., three-station work cell...Ch. 7.S - Klassen Toy Company, Inc., assembles two parts...Ch. 7.S - Prob. 15PCh. 7.S - Prob. 16PCh. 7.S - Markland Manufacturing intends to increase...Ch. 7.S - Using the data in Problem S7.17. a. What is the...Ch. 7.S - Given the data in Problem S7.17, at what volume...Ch. 7.S - Janelle Heinke, the owner of HaPeppas!, is...Ch. 7.S - Prob. 21PCh. 7.S - Prob. 22PCh. 7.S - Prob. 23PCh. 7.S - Prob. 24PCh. 7.S - Prob. 25PCh. 7.S - As a prospective owner of a club known as the Red...Ch. 7.S - Prob. 27PCh. 7.S - James Lawsons Bed and Breakfast, in a small...Ch. 7.S - Prob. 29PCh. 7.S - Prob. 30PCh. 7.S - Prob. 31PCh. 7.S - What is the present value of 5,600 when the...Ch. 7.S - Prob. 33PCh. 7.S - Prob. 34PCh. 7.S - Bolds Gym, a health club chain, is considering...Ch. 7.S - Prob. 1VCCh. 7.S - Prob. 2VCCh. 7.S - Prob. 3VCCh. 7 - What is process strategy?Ch. 7 - Prob. 2DQCh. 7 - Prob. 3DQCh. 7 - What is process redesign?Ch. 7 - Prob. 5DQCh. 7 - Name the tour quadrants of the service process...Ch. 7 - Prob. 7DQCh. 7 - Prob. 8DQCh. 7 - Identify manufacturing firms that compete on each...Ch. 7 - Identify the competitive advantage of each of the...Ch. 7 - Prob. 11DQCh. 7 - Identify the competitive advantage of each of the...Ch. 7 - Prob. 13DQCh. 7 - Prob. 14DQCh. 7 - Prob. 15DQCh. 7 - Explain what a flexible manufacturing system (FMS)...Ch. 7 - Prob. 17DQCh. 7 - Prepare a flowchart tor one of the following: a....Ch. 7 - Prob. 2PCh. 7 - Prepare a time-function map for one of the...Ch. 7 - Prepare a service blueprint for one of the...Ch. 7 - Prob. 5PCh. 7 - Prob. 6PCh. 7 - Prob. 7PCh. 7 - Prob. 8PCh. 7 - Prob. 9PCh. 7 - Ski Boards, Inc., wants to enter the market...Ch. 7 - Prob. 11PCh. 7 - Prob. 12PCh. 7 - Using Figure 7.6 in the discussion of value-stream...Ch. 7 - Metters Cabinets, Inc., needs to choose a...Ch. 7 - Rochester Manufacturings Process Decision...Ch. 7 - Prob. 2CSCh. 7 - Prepare the case for an optimistic sales manager...Ch. 7 - Prob. 1.1VCCh. 7 - Prob. 1.2VCCh. 7 - Prob. 1.3VCCh. 7 - Prob. 1.4VCCh. 7 - Prob. 2.1VCCh. 7 - Prob. 2.2VCCh. 7 - Process Strategy at Wheeled Coach Video Case Video...Ch. 7 - Prob. 2.4VC
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Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, operations-management and related others by exploring similar questions and additional content below.Similar questions
- Consider a local business you've visited in the past and describe one job to be done, the workers needed for the entire business, and how the workers help achieve the objectives of the business. Describe factors affecting the work environment of the business selected in Q1 that must be considered in improving their existing work systems design.arrow_forwardDraw a fishbone diagram (Ishikawa Diagram) to determine the possible causes and effects of the problem that students do not attend online classes. Use the following categories: Methods, Material, Manpower (People) and Environment. Identify at least TWO causes for each category.arrow_forwardPlease add one SPM tool per category: Web-based, mobile, and desktop applications Compare three goods in each category using at least five features. Choose the best option in each area and rationalize your choice.arrow_forward
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- Which of the following are components of the compensation package for members of camera/drone PATS? Weekly salary, the cost of a PAT member's fringe benefits package, weekly bonuses for meeting or beating the PAT's weekly assembly quota, overtime pay, and a monthly allowance for living expenses the daily wage paid to each PAT member, the costs of company-paid fringe benefits, a bonus of $4.00 per camera/drone assembled by each camera/drone PAT (which is subject to change), and a weekly allowance for living costs The dollar-cost of a PAT member's fringe benefit package, assembly quality incentives ($ per unit assembled divided equally among PAT members), year-end bonus for perfect attendance, and annual base wage Monthly salary, the cost of a PAT's fringe benefits package, year-end awards of 10 shares of common stock for perfect attendance, weekly bonuses for meeting or beating the PAT's weekly assembly quota, and a monthly allowance for living expenses O Annual base wage, assembly…arrow_forwardPrepare a list of selection criteria arranged in order of priority with reference to customer requirement : -The closing system is easy to open/close -Stable and not easy to fall -Beautiful and elegant exterior appearance -The main material must be plastic -Safe and easy to clean (hygiene)arrow_forwardHow important is matching process capabilities to product requirements?arrow_forward
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