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

Productivity -numerically defined, Productivity -Numerically Defined T...

Productivity -Numerically Defined Total factor productivity (TFP) = Pt = Ot/(L+C+R+Q)  Partial factor productivity (PFP) = Ot/L or C or Ot/a combination of  inputs   Pt

Explain what are best practices of college, What are Best Practices of coll...

What are Best Practices of college/university communications to students

Computer the reorder point, (b) Suppose Norwitch has worked out a new contr...

(b) Suppose Norwitch has worked out a new contract, accepted by all its customers, of being allowed up to one week to satisfy each demand. Norwitch still uses a 99% "fill rate" as

Linear programming, A paper mill produces two grades of paper viz, x and y....

A paper mill produces two grades of paper viz, x and y. Because of raw material restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of grade Y paper in

Explain when managing organizational change, When managing organizational c...

When managing organizational change, which would be more effective in overcoming resistance to change: rational persuasion, leader-follower relationship, both, or something else

Explain important in work-center scheduling, Why is managing bottlenecks so...

Why is managing bottlenecks so important in work-center scheduling?

Explain statistical cost estimation technique, The technique that estimates...

The technique that estimates long-run costs and the minimum efficient scale by determining the scale of operation at which most firms in an industry are concentrated is called the-

Define how you might take production line approach, Q1: Explain how you mig...

Q1: Explain how you might take production line approach (transferring the concepts and methodologies of operations management) to a service organization such as a branch bank. Q

Explain marketing infant formula in a developing country, Under what circum...

Under what circumstances, if any, would a firm be justified in marketing infant formula in a developing country?

Explain what are the four main reasons for holding inventory, 1. What facto...

1. What factors enter into the choice of a value for the smoothing constant in exponential smoothing? 2. Name at least 3 competitive advantages of concurrent engineering? 3.

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