Explain what is the cost associated, Operation Management

Assignment Help:

Your company, ABC Company, uses 100% inspection for all materials and requires zero defect quality of all its vendors. If bad parts are found, it cost $1.00 per part to inspect the entire lot. A decision then must be made to accept or reject the lot.

Suppose vendor XYZ sends a lot of materials with 5% defective parts to ABC Company although it is required to send "zero defects". ABC inspects the lot and decides to use the materials. However, accepting the bad lot of material causes problems which costs ABC

Company $60 per bad part to correct.

If the lot size is 10,000 pieces then

What is the cost associated with 100% inspection of the lot? =

What is the cost associated with not inspection of the lot? =

PROBLEM 2

If average fraction defect produced in a process is 0.03 and standard deviation of defect is 0.001 then find the upper control limit and lower control limit of the p-chart for process control (see page 315 13th ed for details).

UCL of p = p + 3 x (std. dev). =

LCL of p = p - 3x ( std. dev) =

PROBLEM 3

A lathe machine which has a natural variation due to vibration given by std. dev (sigma) = 0.0001". This machine has been chosen to machine a straight pin of 1.000" diameter (nominal design) with a tolerance of +/- 0 .0001".

45 samples are tested and the grand mean ( x double bar) is determined to be 1.000" . The subgroup size for the test samples is 3. (A2 comes from the table on page 320 for subgroups of 3). R bar for the range is given as .005. Use the formulas on page 320 and 325 to calculate the items below.

Specification limits are the nominal design plus the tolerance (upper specification limit) and the nominal minus the tolerance (lower specification limit)

Determine:

• 1. Upper specification limit =

• 2. Lower specification limit =

• 3. Upper Control Limit (UCL) for X bar =

• 4, Lower Control Limit (LCL) for X bar =

• 5. Process Capability CP= (USL-LSL)/6 (sigma) =


Related Discussions:- Explain what is the cost associated

Succession planning and workforce plan evaluation, Succession Planning and ...

Succession Planning and Workforce Plan Evaluation Develop a succession plan that addresses internal labour needs in the medium to long term, utilising succession planning princ

Challenges for operations managers - operation strategy, Challenges for Ope...

Challenges for Operations Managers - Operation Strategy Most products have several competitors today - from cars to university degrees. Current market forces appears to sugge

Explain creation of a roadmap for a strategic plan, What things should be t...

What things should be taken into consideration in the creation of a roadmap for a strategic plan? What are examples of external and internal change agents? What role do change agen

Define today''s transportation unions, Explain today's Transportation union...

Explain today's Transportation unions with examples (trucker, railway, plane).

The study of global business is relevant to work company, Discuss the follo...

Discuss the following theory: The study of global business is relevant if you work or plan to work in a large multinational company, but it has little or no significance for indivi

Explain the fireside transportation department projects, Fireside Tire Comp...

Fireside Tire Company, a manufacturer of radial tires for sport utility vehicles, sells its products in the automotive aftermarket and distribution them throughout the United State

Explain flowchart uses symbols to represent, A process flowchart uses symbo...

A process flowchart uses symbols to represent which of the following?

Is true or not that demand for product is not a constraint, Which of the fo...

Which of the following is true? Once you complete the five steps, the process is complete. Another constraint will always appear when the original constraint is broken. De

Explain the system utilization rate and the probability, Sid Das Brick Dist...

Sid Das Brick Distributors currently employs 1 worker whose job is to load bricks on outgoing company trucks. An average of 24 trucks per day, or 3 per hour, arrive at the loading

Describe detect the presence of assignable causes, If the time order of pro...

If the time order of production has not been recorded in a set of data from a process is it possible to detect the presence of assignable causes?

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