Question: The first vending machine that William Kane,

> As an operations management student, you have been hired by a local restaurant to perform a factor-rating analysis to help the restaurant choose an outsourcing provider. You have identified three important factors: quality, taste, and delivery time; givi

> Refer to Problem 4.2. Develop a forecast for years 2 through 12 using exponential smoothing with a = .4 and a forecast for year 1 of 6. Plot your new forecast on a graph with the actual data and the naive forecast. Based on a visual inspection, which for

> The table below shows the activities, immediate predecessors, and activity durations of a project. Draw the AON project network. How long would it take to complete this project? What is the length of the critical path?

> Potamia Construction Co. (PCC) is developing plans to erect a new hospital building. Potamia Construction Co. has established the project activities and their immediate predecessor activities together with their estimated activity durations according to

> Draw the AON project network using the following information: How long would it take to complete this project? Which activities are included on the critical path?

> Thompson Industries’ supply chain manager, Xun Xu, wishes to better understand the quality and on-time performance of his supply base. He suggests that you, using the data in Figure G.5, use Excel to create a PivotTable that displays th

> Thompson Industries’ CEO, Gihan Edirisinghe, wishes to identify the top-performing suppliers to present with a performance award. He suggests that you, using the data in Figure G.5, use Excel to apply Conditional Formatting to the &acir

> Thompson Industries’ supply chain manager, Xun Xu, wishes to identify suppliers with the largest and smallest purchase levels, so he knows where to focus his purchasing resources. He suggests that you, using the data in Figure G.5, use

> Thompson Industries’ supply chain manager, Xun Xu, wishes to understand the makeup of his supply base better. He suggests that you, using the data in Figure G.5, use Excel to create a PivotTable that displays the number of suppliers, gr

> Revenue management was once the exclusive domain of the airline industry. But it has since spread its wings into the hotel business, auto rentals, and now even professional sports, with the San Francisco Giants, Boston Celtics, and Orlando Magic as leade

> Using the data in Figure G.8(b), supply chain manager Jon Jackson wishes to use Excel’s Conditional Formatting to highlight any entries in column B that are at least as large as this year’s threshold level for distribu

> Using Figure G.2, analytics manager Vicky Luo wishes to set up Conditional Formatting in Excel to ensure that all the suppliers have different supplier numbers in column B. Which Conditional formatting ‘Rule Type’ shou

> Using Figure G.2, enter $6,000 into cell E8. In that spreadsheet, any new supplier (with a ‘Y’ in column J) should have its total purchases in column D equal to its change from the previous month in column E. Analytics

> For the ‘RejShip’ column (I) in Figure G.5: a) Determine the upper and lower limits for a 3-standard-deviation accuracy check. b) Which, if any, values fall outside the limits computed in part (a)? Data from Figure G5

> Operations manager Phil Witt wishes to apply the Blue – White – Red color scale using Excel’s Conditional Formatting to the following data: a) Which plant will be coloured the darkest shade of blue? b

> For the ‘Change’ column (E) in Figure G.5: a) Determine the upper and lower limits for a 3-standard-deviation accuracy check. b) Which, if any, values fall outside the limits computed in part (a)? Data from Figure G5:

> Professor Mary Beth Marrs took 6 hours to prepare the first lecture in a new course. Traditionally, she has experienced a 90% learning curve. How much time should it take her to prepare the 15th lecture?

> Elizabeth Perry, a student at SUNY, bought 6 bookcases for her dorm room. Each required unpacking of parts and assembly, which included some nailing and bolting. Elizabeth completed the first bookcase in 5 hours and the second in 4 hours. a) What is her

> Manceville Air has just produced the first unit of large industrial compressor that incorporated new technology in the control circuits and a new internal venting system. The first unit took 112 hours of labor to manufacture. The company knows from past

> Refer to Problem E.5. Beth Zion Hospital has just been informed that only the first 10 transplants must be performed at the hospital’s expense. The cost per hour of surgery is estimated to be $5,000. Again, the learning rate is 80% and the first surgery

> Andrew-Carter, Inc. (A-C), is a major Canadian producer and distributor of outdoor lighting fixtures. Its products are distributed throughout South and North America and have been in high demand for several years. The company operates three plants to man

> Beth Zion Hospital has received initial certification from the state of California to become a center for liver transplants. The hospital, however, must complete its first 18 transplants under great scrutiny and at no cost to the patients. The very first

> If it took 563 minutes to complete a hospital’s first cornea transplant, and the hospital uses a 90% learning rate, what is the cumulative time to complete: a) the first 3 transplants? b) the first 6 transplants? c) the first 8 transplants? d) the first

> Using the accompanying log-log graph, answer the following questions: a) What are the implications for management if it has forecast its cost on the optimum line? b) What could be causing the fluctuations above the optimum line? c) If management forecast

> If the first unit of a production run takes 1 hour and the firm is on an 90% learning curve, how long will unit 100 take?

> It takes 80,000 hours to produce the first jet engine at T.R.’s aerospace division and the learning factor is 90%. Help production manager Gopal Easwaran determine how long it takes to produce the eighth engine.

> If Professor Laurie Macdonald takes 15 minutes to grade the first exam and follows an 80% learning curve, how long will it take her: a) to grade the 25th exam? b) to grade the first 10 exams?

> Professor Hayes took 20 minutes to grade the first exam. He estimates that it will take him two hours to grade all 10 exams. What learning factor is he assuming?

> Cleaning a toxic landfill took EPA contractor, Henry Garcia, 300 labor-days. If Garcia follows an 85% learning rate, how long will the firm take, in total, to clean the next five (that is, landfills two through six)?

> If the fourth oil change and lube job at Trendo-Lube took 18 minutes and the second took 20 minutes, estimate how long a) the first job took. b) the third job took. c) the eighth job will take. d) the actual learning rate is.

> Dr. Che Mahmood took 563 minutes to complete a hospital’s first cornea transplant, and the hospital uses a 90% learning rate. How long should a) the third transplant take? b) the sixth transplant take? c) the eighth transplant take? d) the sixteenth tran

> Controlling inventory is one of Wheeled Coach’s toughest problems. Operating according to a strategy of mass customization and responsiveness, management knows that success is dependent on tight inventory control. Anything else results in an inability to

> An aircraft engine manufacturing company spent 68,000 man-hours to produce the first unit of a turbo engine; 40,000 man-hours were spent on the 27th production. Calculate the learning curve rate using log formula method.

> If the first unit of a production run takes 1 hour and the firm is on an 80% learning curve, how long will unit 100 take?

> The service times for a new data entry clerk have been measured and sequentially recorded as shown below: a) What is the learning curve rate, based on this information? b) Using an 85% learning curve rate and the above times, estimate the length of time

> A manufacturer of special petrochemical equipment with a proven track record of 80% learning has estimated that it spent 12,000 labour-hours at $25.00 per labour-hour on the production of the first unit of a customized equipment. However, the company has

> Girish Shambu and William Reisel are teammates at a discount store; their new job is assembling bicycles for customers. Assembly of a bike has a learning rate of 90%. They forgot to time their effort on the first bike, but spent 4 hours on the second set

> As the estimator for Rajendra Tibrewala Enterprises, your job is to prepare an estimate for a potential customer service contract. The contract is for the service of diesel locomotive cylinder heads. The shop has done some of these in the past on a spora

> Temple Trucking Co. just hired Ed Rosenthal to verify daily invoices and accounts payable. He took 9 hours and 23 minutes to complete his task on the 1st day. Prior employees in this job have tended to follow a 90% learning curve. How long will the task

> Richard Dulski’s firm is about to bid on a new radar system. Although the product uses new technology, Dulski believes that a learning rate of 75% is appropriate. The first unit is expected to take 700 hours, and the contract is for 40 units. a) What is

> If it took Boeing 28,718 hours to produce the eighth 787 jet and the learning-curve factor is 80%, how long did it take to produce the tenth 787?

> Regional Power owns 25 small power generating plants. It has contracted with Genco Services to overhaul the power turbines of each of the plants. The number of hours that Genco billed Regional to complete the third turbine was 460. Regional pays Genco $6

> Sandwiched between mass-market cruise line players such as Carnival and Disney, and luxury cruise lines such as Crystal Cruises, Celebrity is making a name for itself in the “premium” market, offering both an upscale e

> Central Electronics Corp. produces semiconductors and has a learning curve of .7. The price per bit is 100 Millicent’s when the volume is .7 × 1012 bits. What is the expected price at 1.4 × 1012 bits? What is the expected price at 89.6 × 1012 bits?

> Using the data from Problem E.14, how long will it take to complete the 12th plane? The 15th plane? How long will it take to complete planes 12 through 15 inclusive? At $40 per hour, what can Alwan, as purchasing agent, expect to pay for planes 12 throug

> Suad Alwan, the purchasing agent for Dubai Airlines, is interested in determining what he can expect to pay for airplane number 4 if the third plane took 20,000 hours to produce. What would Alwan expect to pay for plane number 5? Number 6? Use an 85% lea

> The better students at Providence Assessment Center have an 80% learning curve and can do a task in 20 minutes after just six times. You would like to weed out the weak students’ sooner and decide to evaluate them after the third unit. How long should th

> Providence Assessment Center screens and trains employees for a computer assembly firm in Boston. The progress of all trainees is tracked, and those not showing the proper progress are moved to less demanding programs. By the tenth repetition trainees mu

> D. Shimshak Systems is installing networks for Advantage Insurance. The first installation took 46 labor-hours to complete. Estimate how long the 4th and the 8th installations will take for each of the following learning rates: a) 92% b) 84% c) 77%

> Susan Sherer, an IRS auditor, took 45 minutes to process her first tax return. The IRS uses an 85% learning curve. How long will the: a) 2nd return take? b) 4th return take? c) 8th return take?

> An equipment manufacturer wants to decide on the location of a new facility. Currently, the company has a plant in Egypt and a plant in Turkey. The company is deciding where to build a new plant—Morocco or United Arab Emirates. Use the

> The Donna Mosier Clothing Group owns factories in three towns (W, Y, and Z), which distribute to three retail dress shops in three other cities (A, B, and C). The following table summarizes factory availabilities, projected store demands, and unit shippi

> Frito-Lay has flourished since its origin—the 1931 purchase of a small San Antonio firm for $100 that included a recipe, 19 retail accounts, and a hand-operated potato ricer. The multi-billion- dollar company, headquartered in Dallas, now has 41 products

> In Solved Problem C.1, Williams Auto Top Carriers proposed opening a new plant in either New Orleans or Houston. Management found that the total system cost (of production plus distribution) would be $20,000 for the New Orleans site. What would be the to

> A commercial bakery in Dubai has three production lines that supply baked goods to four stores. The cost of shipment from each production line to each store (in AED per 1,000 pieces) is shown in the table below. How many units should be shipped from each

> The following table is the result of one or more iterations. a) Complete the next iteration using the stepping-stone method. b) Calculate the “total cost” incurred if your results were to be accepted as the final solut

> Consider the transportation table below. The solution displayed was obtained by performing some iterations of the transportation method on this problem. What is the current cost of the plan that would be obtained by performing one more iteration of the s

> Refer to the table that follows. a) Use the northwest-corner method to find an initial feasible solution. What must you do before beginning the solution steps? b) Use the intuitive lowest-cost approach to find an initial feasible solution. Is this approa

> Consider the transportation table at right. Unit costs for each shipping route are in dollars. What is the total cost of the basic feasible solution that the intuitive lowest-cost method would find for this problem?

> The following table presents cost, capacity, and demand data for a transportation problem in Jinfeng Yue’s furniture company. Set up the appropriate transportation table and find the initial solution using the northwest-corner rule.

> For the following Gregory Bier Corp. data, find the starting solution and initial cost using the northwest-corner method. What must you do to balance this problem?

> A juice manufacturer produces juice at plants in Cairo, Alexandria, and Aswan. These are sent to regional distributors in Giza, Tanta, and Sohag. The shipping costs vary, and the company would like to find the least-cost way to meet the demands at each o

> Using the data from Problem C.10 and the unit production costs listed in the following table, show which locations yield the lowest cost.

> Zhou Bicycle Company (ZBC), located in Seattle, is a wholesale distributor of bicycles and bicycle parts. Formed in 1981 by University of Washington Professor Yong-Pin Zhou, the firm’s primary retail outlets are located within a 400-mil

> Randa’s Bakery, Egypt, is considering adding a fourth plant to its three existing facilities in 6th of October, 10th of Ramadan, and Obour. Both Giza and Mokatam are being considered. Evaluating only the transportation costs per unit as

> Find an initial solution to the following transportation problem. a) Use the northwest-corner method. What is its total cost? b) Use the intuitive lowest-cost approach. What is its total cost? c) Using the stepping-stone method, find the optimal solution

> Zhu Manufacturing is considering the introduction of a family of new products. Long-term demand for the product group is somewhat predictable, so the manufacturer must be concerned with the risk of choosing a process that is inappropriate. Faye Zhu is VP

> Leah Johnson, director of Urgent Care of Brookline, wants to increase capacity to provide low-cost flu shots but must decide whether to do so by hiring another full-time nurse or by using part-time nurses. The following table shows the expected costs of

> The following payoff table provides profits based on various possible decision alternatives and various levels of demand at Robert Klassan’s print shop: The probability of low demand is 0.4, whereas the probability of high demand is 0.6

> The Adam Smith Trading Company wants to increase its markets and conduct business in more countries. It has done a pre-study about costs for opening new offices and approximate yearly profits (all numbers in thousands euro). The following table summarize

> Howard Weiss, Inc., is considering building a sensitive new radiation scanning device. His managers believe that there is a probability of 0.4 that the ATR Co. will come out with a competitive product. If Weiss adds an assembly line for the product and A

> A large hypermarket based in Kuwait is considering different plans for expansion. The management has identified three possible alternatives: build two new stores, build one new store, or do nothing. The expected payoff will depend on future demand which

> Chris Suit is an administrator for Lowell Hospital. She is trying to determine whether to build a large wing on the existing hospital, a small wing, or no wing at all. If the population of Lowell continues to grow, a large wing could return $150,000 to t

> Bakery Products is considering the introduction of a new line of pastries. In order to produce the new line, the bakery is considering either a major or a minor renovation of its current plant. Bill Wicker, head of operations, has developed the following

> Arnold Palmer Hospital, one of the nation’s top hospitals dedicated to serving women and children, is a large business with more than 2,000 employees working in a 431-bed facility totalling 676,000 square feet in Orlando, Florida. Like many other hospita

> Andrew Thomas, a sandwich vendor at Hard Rock Cafe’s annual Rockfest, created a table of conditional values for the various alternatives (stocking decision) and states of nature (size of crowd): The probabilities associated with the sta

> In the TV show and game “Who Wants to be a Millionaire?” the participants get four choices for each question and the questions get tougher and tougher the longer a participant stays in the game. A participant can decid

> The Machine Shop is a retailer of tools for carpenters. Their top selling product is a revolutionary saw, which sells for €999. However, they are short on cash and try to hold the storage as short as possible. A customer interested in the saw buys with a

> A construction company wants to decide on whether to bid for a new project or not. If the company decides to bid, there is a KWD 10,000 cost associated with preparing the preliminary proposal. The probability that the company will be shortlisted for the

> The pharmaceutical company Neuronome is in late clinical phase of a new cancer treatment. However, their competitor Immunoneuron is also in the late clinical phase of a pharmaceutical for the same treatment. They have to make a decision about increasing

> A large investment firm wants to decide on how to invest one million dollars. The board is considering three options: invest in stocks, invest in T-Bills, or do nothing. There are two possibilities for the market: favourable and unfavourable. The CEO has

> Abdulla wants to decide on the best route to take for work from two possible routes: A and B. The time taken to work on each route depends on the traffic. If Abdulla takes route A, it will take him 25 minutes if the traffic is moderate and 45 minutes if

> A car manufacturer supplies brake pads from two main suppliers. Historical quality information indicates that for Supplier 1, there is a 65% probability that a given lot would contain 3% defects, 25% portability that a given lot would contain 2% defects,

> Ahmed Saif is the manager of a large agriculture firm that owns 100,000 acres in the new valley project of Toshka in the Western desert of Egypt. He now needs to decide on which one of three crops to grow during the upcoming summer season. Ahmed has obta

> Al-Andalus retail store in Saudi Arabia wants to decide on whether to build a large or a small store in the city of Dammam. The expected net present value of the return per month of the decision will depend on the future demand, which is expected to be e

> Like most other manufacturers, Regal Marine finds that it must spend a huge portion of its revenue on purchases. Regal has also found that the better its suppliers understand its end users, the better are both the supplier’s product and Regal’s final pro

> Even though independent gasoline stations have been having a difficult time, Ian Langella has been thinking about starting his own independent gasoline station. Ian’s problem is to decide how large his station should be. The annual retu

> Given the following conditional value table, determine the appropriate decision assuming that each state of nature has an equal likelihood of occurring:

> The following payoff table provides profits based on various possible decision alternatives and various levels of demand: The probability of low demand is 0.4, whereas the probability of medium and high demand is each 0.3. a) What is the highest possible

> Given the following conditional value table, determine the appropriate decision under uncertainty using a) maximax b) maximin c) equally likely

> The city of Belgrade, Serbia, is contemplating building a second airport to relieve congestion at the main airport and is considering two potential sites, X and Y. Hard Rock Hotels would like to purchase land to build a hotel at the new airport. The valu

> The organizing company of the famous rapper Sean Paul’s concert in Dubai has decided to print shirts to be sold in the event. The company decision is to either print 5,000, 10,000, or 20,000 shirts. The expected profit from selling the

> Palmer Jam Company is a small manufacturer of several different jam products. One product is an organic jam that has no preservatives, sold to retail outlets. Susan Palmer must decide how many cases of jam to manufacture each month. The probability that

> A news vendor wants to decide on the number of magazines to order for the next day. Based on his experience, he believes that demand for the magazine would range from 400–900 based on the following probability distribution table: Each m

> Consider the following decision table, which Joe Blackburn has developed for Vanderbilt Enterprises: Which decision alternative maximizes the expected value of the payoff?

> Given the following conditional value table, determine the appropriate decision under uncertainty using: a) Maximax b) Maximin c) Equally likely

> Darden Restaurants, owner of popular brands such as Olive Garden and LongHorn Steakhouse, requires unique supply chains to serve more than 300 million meals annually. Darden’s strategy is operations excellence, and Senior VP Jim Lawrence’s task is to ens

> On any given day, Celebrity Cruises, Inc. has tens of thousands of passengers at sea on more than a dozen spectacular ships, spanning 7 continents and 75 countries. With this level of capital investment along with the responsibility for the happiness and

> A medical control system has three components in series with individual reliabilities (R1, R2, R3) as shown: What is the reliability of the system?

> Merrill Kim Sharp has a system composed of three components in parallel. The components have the following reliabilities: R1 = 0.90, R2 = 0.95, R3 = 0.85 What is the reliability of the system?