What is the maximum inventory level of orange juice

Assignment Help Operation Management

Reference no: EM132208834

1) You are a supplier of printed circuit boards (PCBs). Production of the circuit boards consists of several steps – Surface Mounting, Baking, and Final Assembly. Surface Mounting puts integrated circuits (ICs) and other components on a PCB. These PCBs are then Baked as a batch and kept in an oven for some time so that the ICs are soldered onto the PCBs. Finally, these PCBs are taken and manually assembled into a case, and wired with connectors. The processing rate at the Surface Mounting station is 15 PCBs/minute, the processing rate for Baking is 5 PCBs/minute, and the processing rate for Final Assembly is 3 PCBs/minute.

If there are on average 24 units of (work in process) inventory and the system is working at capacity, what is the flow (throughput) time for PCBs?

2) Steel City Juice is a local company that makes two kinds of juice: orange juice and apple juice. Demand for orange juice is 60 barrels/hr, while demand for apple juice is 40 barrels/hr. The company only has one machine to extract juice from raw fruit. The machine can extract orange juice at a speed of 150 barrels/hr, or apple juice at 120 barrels/hr. Switching from one type to the other requires 30 minutes cleanup time.

a. Please provide a production schedule and an associated process flow diagram that

(i) cycles repeatedly through the two kinds,

(ii) meets the required demand, and

(iii) minimizes the amount of inventory held. (Here it is assumed that the production machine runs 24 hours a day, 7 days a week)

b. What is the maximum inventory level of orange juice?

3) In 2006, Shouldice Hospital admitted 14,965 patients. In 2007, a 20% increase in admissions is expected. Currently the hospital has 390 beds. Assume the hospital operates 365 days a year (and, please assume one patient per bed!).

i. If the average patient stays in the hospital 8 days, how many beds were empty, on average, in 2006?

ii. On average, how many beds do you expect to be empty in 2007?

Reference no: EM132208834

Questions Cloud

Design changes might be undertaken to improve operations : What structural design changes might be undertaken to improve the operations at the company?

Project management process for new product development : The Keflavik Paper Company is a case with a problem in determining a project management process for new product development.

Learning team business scenario : Identify the fallacious statements in the selected Learning Team business scenario. Describe how your logical reasoning counteracts the fallacious statements.

What is the science of statistics : What is the science of statistics? Why is it important in quality management. Cite your answer.

What is the maximum inventory level of orange juice : Steel City Juice is a local company that makes two kinds of juice: orange juice and apple juice. What is the maximum inventory level of orange juice?

Disadvantages of using surveys to collect data from subjects : Discuss the advantages and disadvantages of using surveys to collect data from subjects. Why does the response rate to surveys matter?

Role of supervisor as an enabler is to allow employees : The role of a supervisor as an enabler is to allow employees to be average so that they have no work-related stress.

Differences between the responsibilities of cmt and ert : What are the significant differences between the responsibilities of the CMT and the ERT?

Discuss how you can use quality function deployment : Discuss how you can use Quality Function Deployment (QFD) to capture the voice of customers at your current job.

User Account

All Pages