Reference no: EM133113482

Question - Home Depot sets up a temporary team to assemble emergency relief kits to be sold before hurricane. The team uses the following four-step process to assemble the kits. Step 1 involves assembling material for the kit. Step 2 involves testing the material in the kit to ensure that it is defect-free and uncontaminated. Step 3 involves sealing the kit. Step 4 involves attaching an RFID tag for traceability. There is a storage bin between any two consecutive steps to hold work-in-process inventory. Each storage bin can hold as many kits as needed.

The process time for each worker and the number of workers at each of the four stations are given below. Workers work independently and in parallel.

Step 1 15 mins/kit 2 workers

Step 2 30 mins/kit 3 workers

Step 3 8 mins/kit 2 workers

Step 4 3 mins/kit 1 worker

A regular work day is from 8am to 4pm. All workers report to work at 8am. The workers in Step 1 leaves at 4pm every day. The workers in the other steps stay as long as it takes to process all the kits for the day. Whenever there are kits being processed in a step, all workers in this step stays at work. Each worker is paid at $10/hour during regular hours between 8am to 4pm, and $15/hour for overtime after 4pm. A fraction of an hour is paid as a whole hour.

The demand of the kit is very high, and Home Depot only processes as much as it can with the current schedule.

Required -

1. Draw a process flow diagram. Be sure to mark the capacities of all resource pools, the flow rate into and out of each operation, and the bottleneck of the process.

2. What is the capacity of this four-step process in number of kits per hour? What is the cycle time of the process?

3. What is the utilization of the worker(s) in each step (utilization profile)?