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 employee types, After an all-night study session the day before the...

After an all-night study session the day before their last final exam, four first-year MBA students decide to stop for some much-needed coffee at the campus Starbucks. They arrive

Labour intensity - operations function, Labour Intensity - Operations Funct...

Labour Intensity - Operations Function Labour intensity is defined as the ratio of the labour cost incurred to the value of the plant and equipment employed. It is important t

Discuss illiteracy and poor diets, Illiteracy and poor diets have been know...

Illiteracy and poor diets have been known to cost countries up to what percent of their productivity?

Define the relationships among the four functions of manage, Explain the re...

Explain the relationships among the four functions of management? Please dont copy paste from google.

How to avoid penalties, Select an article relating to workplace safety and...

Select an article relating to workplace safety and answer the following questions: 1. briefly summarize the article 2. What alternatives could the place of business have taken in o

Calculate the expected value of perfect information, A small building contr...

A small building contractor has recently experienced two successive years in which work opportunities exceeded the firm's capacity. The contractor must now make a decision on capac

Functions of product development team, How is anticipating a material requi...

How is anticipating a material requirement or need through purchasing's involvement on a new-product development team different from reacting to a purchase need?

Describe the differences between a scenario method approach, Can you explai...

Can you explain the differences between a scenario method approach that pre-supposes a classical economic paradigm and a critical scenario method approach? I have tried to find the

Define the worshiping of a deity is required, the worshiping of a deity is ...

the worshiping of a deity is required in order for a belief to be considered a religion.

Employee involvement will enhance decision making quality, As OB practition...

As OB practitioners we know that emotions form preferences before we consciously evaluate those choices and this impacts the quality of the decisions made at the company. The presi

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