Find the capacity at each station

Assignment Help Operation Management

Reference no: EM13221138

Flex Electronics Gadget, Inc. produces 4 types of PCB (printed circuit boards), each of which requires different combination of treatment. There are 7 treatment stations and each type of PCB is processed as follows:

A Type 1 PCB goes through Stations A, B, C, E, and G, in that order.
A Type 2 PCB goes through Stations A, B, C, F, and G, in that order.
A Type 3 PCB goes through Stations A, B, D, E, and G, in that order.
A Type 4 PCB goes through Stations A, B, D, F, and G, in that order.

Also, process time at each station is:

Station A can process any type of PCB in 3 minutes.
Station B can process any type of PCB in 2 minutes.
Station C can process any type of PCB in 5 minutes.
Station D can process any type of PCB in 6 minutes.
Station E can process any type of PCB in 5 minutes.
Station F can process any type of PCB in 6 minutes.
Station G can process any type of PCB in 2 minutes.

Demand for each type of PCB has been very stable as follows.

Demand rate for Type 1 PCB is 3 units/hr.
Demand rate for Type 2 PCB is 2 units/hr.
Demand rate for Type 3 PCB is 5 units/hr.
Demand rate for Type 4 PCB is 7 units/hr.

So the total demand rate is 17 units/hr.

Flex Electronics Gadget knows there is a problem in their production process, but they don't know where to look at. You are hired as process consultant.

a) Find the capacity at each station.
b) Does Flex Electronics Gadget have enough capacity? If not, which station is the problem?

You recommended that Flex Electronics Gadget expand the capacity at the station you identified in part b. But they don't have the money to do that. You want to come up with a solution that doesn't require a lot of money. You worked with their marketing department and they agreed to reduce the selling price for Type 1 PCB. As a result, some customers chose to buy Type 1 instead of Type 4 PCBs . Now the demand rates are:

Demand rate for Type 1 PCB is 6 units/hr.
Demand rate for Type 2 PCB is 2 units/hr.
Demand rate for Type 3 PCB is 5 units/hr.
Demand rate for Type 4 PCB is 4 units/hr.

So the total demand rate is stil l the same as before (17 units/hr)

c) Does Flex Electronics Gadget have enough capacity now? What is the utilization rate at each station?

Reference no: EM13221138

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