OPERATIONS MANAGEMENT CONNECT AC
OPERATIONS MANAGEMENT CONNECT AC
14th Edition
ISBN: 9781264592784
Author: Stevenson
Publisher: MCG
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Chapter 7.S, Problem 1CQ
Summary Introduction

To prepare: A list of questions which are needed to be answered to analyze the situation.

Introduction:

An automobile manufacturer is making a product recall due to a defect in the steering mechanism, which would make the automobile to go out of control. The company pays a fair amount to its dealers. After discussion, the engineers came to a conclusion to fix the defect for $88 per repair at an hourly rate of $22 and their learning rate is 90%.

The company received complaints from its dealers related to the rate fixed by the engineers. The dealers claimed that their employees suggested a rate of $110 per repair. Each of three mechanics completed two repairs. Average time taken for repairing the first unit was 9.6 hours and average time for second unit was 7.2 hours.

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Question 6. An electrical engineering company is designing two types of solar panel systems: Standard Panels (S) and High-Efficiency Panels (H). The company has certain constraints regarding the hours of labor and material available for production each week. Each Standard Panel requires 4 hours of labor and 2 units of material and each High-Efficiency Panel requires 3 hours of labor and 5 units of material. The company has a maximum of 60 hours of labor and 40 units of material available per week. The profit from each Standard Panel is GH¢80, and the profit from each High-Efficiency Panel is GH¢100. The company wants to determine how many of each type of panel to produce in order to maximize profit. i) Solve this LPP by using graphical analysis ii) What will be the slack at the optimal solution point? Show calculation.

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OPERATIONS MANAGEMENT CONNECT AC

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