Chapter 9.5, Problem 1P

a.

Summary Introduction

Interpretation:The impact of reducing WIP inventory is to be discussed along with its relationship with a job shop performance.

Concept Introduction: Job shop is a manufacturing set up catering to a large variety of products. The products are many times non-repetitive and have different requirements for different machines/equipment in different sequence. Job shop has its own subtle intricacies which are to be managed (even with the help of mathematical modelling) to operate efficiently. The overall equipment efficiencies and worker utilization factors are normally not high.

b.

Summary Introduction

Interpretation:The waya job shop can provide a high level of customer service is to be discussed.

Concept Introduction: Customers expect three parameters viz. quality, cost and delivery. A job shop also has to ensure these parameters, but in their specific case delivery is of maximum criticality (not to say that quality and cost are not critical).

c.

Summary Introduction

Interpretation: Every organization needs to minimize worker idle time (non-value added cost) and job shops are no exception. This objection is to be discussed.

Concept Introduction: Job shop operations are (comparatively) more concerned about labour efficiencies because of the comparative high labour costs involved.On the other hand, a good job shop would like to keep some redundant labour to help cater to peaks so that the customers do not get dissatisfied.

d.

Summary Introduction

Interpretation:The ways and means to improve factory efficiency in job shop operations are to be explained.

Concept Introduction: Efficiency of any unit is output/input. Overall efficiency of a job shop may be measured as output hours (in terms of standard hours produced)/the input hours including direct and indirect hours.

Improving the efficiency is a general concern and all management efforts are concerned with this while maintaining high levels of customer service.