Reference no: EM133042744
1. Provide 2 examples when a qualitative method of forecasting demand might be preferable to a quantitative method of forecasting demand.
2. Wendy's Happy Homes Inc. manufactures Home Appliances. Monthly sales of Wendy's Washers and Dryer Sets for a nine-month period were as follows:
MONTH Washer and Dryer Sales January 490 February 480 March 450 April 500 May 480 June 470 July 490 August 520 September 530
Forecast October sales using:
a) the Naive approach
b) A four-month moving average
c) a six-month moving average
d) a three-month weighted average using .60 for the prior month, .30 for the next prior month, and .10 for the earliest month.
Actual October sales were 520 units.
e) Which two methods were the most accurate?
f) Forecast November and December using the two methods you believe to be the most accurate.
Actual November and December sales were 500 and 490, respectively.
g) Compute the MAD and MSE for each forecast method you used.
h) Based on the MAD and MSE results, which of the two forecasting methods you chose appears to have been the most accurate? Why?
3. Explain the role of capacity planning in operations management
4.Jonathan owns and operates 5 car window tinting shops in the Rio Grande Valley area. Each tint shop has 4 car stalls. Jonathan only operates 3 stalls at a time, leaving the other stall vacant. Based on his latest revenue reports, he is averaging 2 customers at a time receiving tint while the 3rd stall is empty. Each tint shop is open 12 hours per day. Each car or truck requires 2 hours of work.
a) What is Jonathan's daily design capacity?
b) What is Jonathan's daily effective capacity?
c) What is Jonathan's actual output per day?
d) What is Jonathan's utilization rate?
e) What is Jonathan's effective utilization rate?
5.Differentiate between a process layout and a fixed position layout. Provide examples of each.
6. Identify the type of production layouts that would be most recommended for the following operations:
a) a California Winery
b) a Greek Yacht manufacturing port
c) toy cars and toy trucks manufacturing plant in Ohio
d) a computer/laptop/tablet assembly along the US-Mexico border Justify each of your answers.
7. What is the difference between a process flowchart and a service blueprint? Describe and differentiate both.
8.A computer assembly process was timed for 100 cycles and had an average of 3.4 minutes per piece. The performance rating was 90%, and workday allowances are 15 percent. Determine the following:
a) Observed time
b) Normal time
c) Standard time
d) How might this information be used?
9.Lisa's landscaping business has really taken off these past couple of years. She wants to expand her operation by opening a Garden Supply Store. She is putting together a business plan and hopes to present it to her loan officer in a few weeks when applying for a start-up loan. Lisa is having difficulty figuring out how to forecast sales for the first year of operation. Never having operated a store before and not presently selling products to her current customers, Lisa doesn't have any historical data to work from.
What forecasting techniques might you recommend to Lisa (name and describe two)? Be specific about how Lisa would use these techniques for her Garden Supply Store business proposal, what data she would need to collect, and all the steps she would need to take (instructions from start to finish). Ensure your recommendation is thorough and best prepares her for her presentation to the loan officer next month. Remind Lisa, when you tell her your recommendation, how the results from your forecasting recommendation should inform other operational decisions in her business proposal.