Create value stream map and calculate total throughput time

Assignment Help Operation Management

Reference no: EM13749500

Q. 1: Select a product of your choice that your firm has decided to produce / manufacture. List AT LEAST five different components / material / parts you will need to source from various suppliers. Thinking about the best possible suppliers (located anywhere in the world), DESCRIBEthe following for EACH component / material / part:

• The chosen product.

• Potential supplier/s (name, location), and why that supplier is a good source for this component / material / part.You cannot choose the same supplier for more than one component.

• What type of supply chain relationship(based on the type of entity as well as the type of relationship) would be ideal and why it would be ideal for EACH supplier.

• What mode of transport would you use for EACH component / material / part and why.

Q. 2: Select a product or service of your choice. List at least five relevant factors that affect the demand for this product or service over time, and explain how each factor affects the demand. Given the nature of the product / service and the factors that affect the demand, choose the most logical way to reconcile capacity and demand, and explain your choice.

How your response will be graded:

a) A concise description of your chosen product:

b) 1 point for listing one factor, 1 point for explaining how this factor affects the demand. Do this for at least five factors:

c) Logical choice of a capacity-demand reconciliation strategy:

d) A thorough explanation of why this strategy is ideal:

e) Quality of writing (well-structured response, absence of spelling and grammar mistakes and typos):

Q. 3:You are the manager of a retail store that sells home security systems among other products. The monthly demand for thesehome security systems is 50. The warehouse you rent to store the inventory of home security systems charges you $1 per week for holding each unit of inventory. You buy thesesystems from a very reliable supplier for $400 per piece and sell each for $700 per piece. Each time you place an order to buy the systems from your supplier, you pay $624 as a fixed fee per order regardless of the quantity. Once the order is placed, the supplier takes exactly 1.5 months to deliver the order regardless of the quantity ordered. Please use this information to answer the following questions:

a) What is the optimal order quantity (i.e. EOQ) that would minimize the total annual ordering and holding costs?

b) What is the reorder level assuming no safety stock (i.e. the inventory level at which you should place the next order to ensure that the replenishment arrives just as your on-hand inventory reaches zero)?

c) What is your annual net profit (revenue minus all the costs specified here) under the optimal order quantity?

d) The warehouse has offered you a 50% reduction in the weekly rent starting next month. How will this (by itself) impact the EOQ (unchanged/increase/decrease) and the reorder level (unchanged/increase/decrease)?

e) The supplier has recently switched to another shipper, and will now deliver the order in just one month after the order is placed. How will this (by itself) impact the EOQ (unchanged/increase/decrease) and the reorder level (unchanged/increase/decrease)?

How your response will be graded:

a) Correct, logical EOQ: 1 point, correct supporting calculation:

b) Correct, logical reorder level: 1 point, correct supporting calculation:

c) Correct annual net profit: 1 point, correct supporting calculation:

d) Correct impact on EOQ: 1 point, correct impact on reorder level:

e) Correct impact on EOQ: 1 point, correct impact on reorder level:

Q. 4:Select an existing product or service of your choice. Think through the process currently used by the provider of this product or service and describe the following:

a) A concise description of your chosen product:

b) What can the provider do to reduce the waste created through over-production? List at least three possible ways:

c) What can the provider do to reduce the waste created through waiting time? List at least three possible ways:

d) What can the provider do to reduce the waste created through unnecessary transport? List at least three possible ways:

e) What can the provider do to reduce the waste created through in-process inventories? List at least three possible ways:

f) What can the provider do to reduce the waste created through defective products? List at least three possible ways:

Q. 5: Create a value stream map and calculate the total throughput time (TTT) as well as the value added time (VAT) for the (fictitious) process described below.

M&M Aluminum Company follows the following steps in the aluminum extraction process: Once an order for the raw material is placed, it takes five days to receive the raw material from the supplier. After the raw material is received, it is taken directly to the furnace where the alumina is melted for 30 minutes. The melted alumina waits for a day before it is taken to the extraction mill where it takes an hour to extract the aluminum. Extracted aluminum waits for 3 days before it is taken to the oven where it is heated for 10 hrs. After the heating, aluminum waits for 2 days before it is passed through the roll corrector for 45 minutes. After this, the aluminum waits for two days before it is cleaned for 15 minutes. Cleaned aluminum is taken directly to edging and is processed there for 2 hrs. Finally, it waits 2 hours before being loaded on the truck.

How your response will be graded:

a) Correct value stream map:

b) Professional and correctly labeled diagram with properly aligned shapes:

c) Correct TTT: 1 point, correct VAT:

Q. 6:Select a product of your choice. Using the quality characteristics listed on slide 8 - sessions21 and 22 as a guide, cover the following in your response:

a) Provide a concise description of your chosen product:

b) List all six quality characteristics listed on slide 8:

c) Explain how important / unimportant EACHquality characteristic is for the chosen product:

Q. 7:Assume that you want to earn an MBA from the Harvard Business School. Prepare a cause-and-effect diagram (also known as a fishbone diagram)showing at least six causes (and at least two unique factors that can contribute to each cause) that can result in you not earning an MBA from the Harvard Business School.

How your response will be graded:

a) One cause = 1 point, two unique factors per cause = 2 points. Do this for six causes:

b) Professionally quality fishbone diagram with adequate and legible labeling, and symmetric shapes:

Reference no: EM13749500

Questions Cloud

The explosion of information sources : How has the media's objectivity been affected by the explosion of information sources? Will individuals increasingly live in worlds of their own ideological and moral construction by further isolating themselves from competing ideas? Are we entering ..

Analyze the world is flat content : These are individual flattener concepts, not chapters. These are the ten flatteners you will analyze. Discuss each of them.

Explain decision making and implementation and evaluation : Where does the strategy consulting firm concentrate its efforts within the processes of strategy assessment, formulation, decision making, implementation, and evaluation

How can the transformation proposed by smith : Case Study-West Jet Airlines: Information Technology Governance and Corporate Strategy, How can the transformation proposed by Smith be managed successfully by westjet

Create value stream map and calculate total throughput time : Create a value stream map and calculate the total throughput time (TTT) as well as the value added time (VAT) for the (fictitious) process described below.

Develop an estimated regression equation : Perform a logarithmic transformation on the dependent variable. Develop an estimated regression equation using the transformed dependent variable. Do the model assump¬tions appear to be satisfied by using the transformed dependent variable?

Here is a description of the project assignment : Here is a description of the project assignment for which you must address all of the following criteria as that is the basis for grading. Project: Project Description (12%)

How and why did the antebellum market revolution : How and why did the antebellum market revolution and the Second Great Awakening affect the evolution of women's role in the family, workplace, and society in the years 1815-1860.

Bm currently keeps 6 tons of dry ink as safety stock : BM's demand for dry ink is 60 tons per year. Currently, BM buys the dry ink from an import merchant that buys the ink from a East Coast U.S. manufacturer. The shipments arrive in lot size of 30 tons by rail. The current cost of dry ink is $C612.22 pe..

User Account

All Pages