Economic order quantity, Operation Management

Assignment Help:

The Warehouse Company supplies spare parts for its two plants, Plant A and PlantB. Plant A and Plant B do not have any significant storage space. Hence you want carryminimum possible inventory at the plants A, B.

The warehouse W stocks two types ofspare parts, part #A for the Plant A and part #B for the Plant B. The WarehouseCompany uses a state of the art automated retrieval system (ARS) to retrieve parts fromstorage in the warehouse.

Part # A: The retrieval system takes 1 minute/unit to retrieve and send the part to theloading dock.

Part # B: The retrieval system takes 1 minute/unit to retrieve and send the part to theloading dock.

Whenever the retrieval system has to switch from part #A to part #B, there is a "deadloss" of 30 minutes.

Whenever the retrieval system has to switch from part #B to part #A, there is a "deadloss" of 30 minutes.

The demand for A at the Plant A is deterministic and is 15 units /hr. or 360units/day.

The demand for B at the Plant B is deterministic and is 15units /hr. or 360units /day.

Assume that a Day=24hrs. Thus, Plant A, Plant B, and the Warehouse Company are all open around the clock.

Plant A and Plant B and the Warehouse Company are all located in Houston, and hencethe transportation time from the loading dock of the Warehouse Company to the plants isnegligible.

The goal is to use the ARS efficiently so as to keep the plants busy as much as possible. Design a scheme to use the ARS efficiently. Specifically,

a. How many units of part A will be retrieved and shipped before you switch to part B?

b. How many units of part B will be retrieved and shipped before you switch to part A?


Related Discussions:- Economic order quantity

Explain the business-level strategy, Research the corporate-level of strate...

Research the corporate-level of strategies and evaluate the business-level strategy do you believe is appropriate to offset forces in the industry for Victory Motorcycles. Can you

Explain social responsibility, Regarding Social Responsibility, who do you ...

Regarding Social Responsibility, who do you agree with more, Leonard (2013) or Friedman (1970)? Why?

Explain conscience in spite of the consequences, Suggest some reasons why a...

Suggest some reasons why a person may go against his /her conscience in spite of the consequences. Provide examples with your response.

Explain term everybody''s doing it, How common do you think it is for peopl...

How common do you think it is for people to try to justify their conduct by the argument that "Everybody's doing it"? Give examples from your own experience.

Explain what are these other agency relationships, As a top executive, the ...

As a top executive, the only agency relationship I am concerned about is the one between myself and the firms owners. I think that it would be a waste of my time and energy to worr

Explain important part of strategic training, Why is evaluating training an...

Why is evaluating training an important part of strategic training?

Problem, a firm isconsidering replacement of a machien, whoes cost price is...

a firm isconsidering replacement of a machien, whoes cost price is rs 12200 and scrap value is rs 200 the running cost is rupee given below year running cost 1 200 2 50

Explain an intentional relinquishment of a legal right, An intentional reli...

An intentional relinquishment of a legal right is a (n): Answer Infringement Breach of contract Waiver Termination liability

Clean systems disimillar from traditional production systems, Explain how l...

Explain how lean systems differ from traditional production systems?

Explain what prompted the change effort at the irs, What prompted the chang...

What prompted the change effort at the IRS, and what was targeted to change? Why was the proposed change controversial?

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd