What are self-directed work teams? What are some potential benefits of using these teams?
> A clothing manufacturer produces women’s clothes at four locations in Mexico. Relative locations have been determined, as shown in the table below. The location of a central shipping point for bolts of cloth must now be determined. Week
> A toy manufacturer produces toys in five locations throughout the country. Raw materials (primarily barrels of powdered plastic) will be shipped from a new, centralized warehouse whose location is to be determined. The monthly quantities to be shipped to
> What are the trade-offs that occur when a process layout is used? What are the trade-offs that occurwhen a product layout is used?
> A manager has received an analysis of several cities being considered for a new office complex. The data (10 points maximum) are as follows: a. If the manager weights the factors equally, how would the locations stack up in terms of their composite facto
> Answer these questions about inspection: a. What level of inspection is optimal? b. What factors guide the decision of how much to inspect? c. What are the main considerations in choosing between centralized inspection and on-site inspection? d. What poi
> a. Determine an A-B-C classification for these items: b. Find the EOQ given this information: D = 4,500 units/year, S = $36, and H = $10 per unit per year. c. Find the economic production quantity given this information. D = 18,000 units/year, S = $100
> Prepare a cause-and-effect diagram to analyze the possible causes of late delivery of parts ordered from a supplier.
> Determine which location has the highest composite score: Factor Weight East #1 East #2 West Initial cost 8 100 150 140 Traffic 10 40 40 30 Maintenance 20 25 18 Dock space 6 25 10 12 Neighborhood 4 12 8 15
> Using the following factor ratings, determine which location alternative (A, B, or C) should be chosen on the basis of maximum composite score. Location Score Factor (100 points each) Weight A B Convenience .15 80 70 60 Parking facilities .20 72 76
> For each of the four types of organizations shown, rate the importance of each factor in terms of making location decisions using L = low importance, M = moderate importance, and H = high importance. Factor Local Bank Steel Mill Food Warehouse Publi
> A retired auto mechanic hopes to open a rustproofing shop. Customers would be local new-car dealers. Two locations are being considered, one in the center of the city and one on the outskirts. The central city location would involve fixed monthly costs o
> A firm that has recently experienced enormous growth is seeking to lease a small plant in Memphis, TN; Biloxi, MS; or Birmingham, AL. Prepare an economic analysis of the three locations given the following information: Annual costs for building, equipmen
> Town residents, and residents of nearby towns how might a Walmart representative respond to the negative criticisms that might be brought up, and what other benefits could the representative offer the planning board to bolster Walmart’s case of gaining t
> Walmart is one of the largest corporations in the world, and it has obviously enjoyed tremendous success. But while many welcome its location in their communities, others do not. Some complain that its presence has too many negative effects on a communit
> What are the potential benefits of locating in foreign countries? Potential drawbacks?
> A new order has come into your department. The capability of the process used for this type of work will enable virtually all of the output to be well within the specs. a. What benefits might be derived from this situation? b. What alternatives might be
> How are manufacturing and nonmanufacturing location decisions similar? Different?
> Offwego Airlines has a daily flight from Chicago to Las Vegas. On average, 18 ticket holders cancel their reservations, so the company intentionally overbooks the flight. Cancellations can be described by a normal distribution with a mean of 18 passenger
> Why might the choice of equipment that provides flexibility sometimes be viewed as a management cop-out?
> Suppose that a table lamp fails to light when turned on. Prepare a simple cause-and-effect diagram to analyze possible causes.
> Respond to this statement: “The importance of the location decision is often vastly overrated; the fact that virtually every type of business is located in every section of the country means there should be no problem in finding a suitable location.”
> Discuss recent trends in location and possible future strategies.
> What are the basic assumptions in locational cost-profit-volume analysis?
> Outline the general approach for developing location alternatives.
> What is factor rating, and how does it work?
> A company is considering the relocation of its manufacturing plant and administrative offices from a small city in the Midwest to a similar-sized city in the South. Approximately 20 percent of the residents of the city are employed by the company, and ma
> A customer has recently tightened the specs for a part your company supplies. The specs are now much tighter than the machine being used for the job is capable of. Briefly identify alternatives you might consider to resolve this problem.
> Give three examples of unethical behavior involving location selection, and indicate which ethical principle is violated.
> Corruption and bribery are common in some countries. Would you avoid locating in such a country,or locate there and deal with it? If the latter, how would you deal with it?
> A Las Vegas supermarket bakery must decide how many wedding cakes to prepare for the upcoming weekend. Cakes cost $33 each to make, and they sell for $60 each. Unsold cakes are reduced to half-price on Monday, and typically one-third of those are sold. A
> The owner of a fast-food franchise has exclusive rights to operate in a medium-sized metropolitanarea. The owner currently has a single outlet open, which has proved to be very popular, and thereare often waiting lines of customers. The owner is therefor
> What are the trade-offs in the following? a. Using self-directed teams instead of a more conventional approach with occasional use of teams. b. Deciding how often to update standard times due to minor changes in work methods. c. Choosing between time stu
> Prepare a run diagram for this emergency call data. Use five-minute intervals (i.e., count the calls received in each five-minute interval. Use intervals of 0 to 4, 5 to 9, etc.). Note: Two or more calls may occur in the same minute; there were three ope
> Why is management of technology important?
> In what ways does technology have an impact on job design?
> Who uses the results of work measurement in an organization, and how do they use them?
> Explain the term knowledge-based pay system.
> Select one of the quality gurus and briefly describe his major contributions to quality management.
> a. What is ergonomics and why is it important in job design? b. Explain how it can relate to quality of work life.
> a. Contrast the meanings of the terms job enlargement and job enrichment. b. What is the purpose of approaches such as job enlargement and job enrichment?
> What are some of the main advantages and disadvantages of specialization from a management perspective? From a worker’s perspective?
> A manager is going to purchase new processing equipment and must decide on the number of spare parts to order with the new equipment. The spares cost $200 each, and any unused spares will have an expected salvage value of $50 each. The probability of usa
> What is work sampling? How does it differ from time study?
> Comment on the following: “At any given instant, the standard times for many jobs will not be strictly correct.” a. Why is this so? b. Does this mean that those standards are useless? Explain.
> Name some reasons why methods analyses are needed. How is methods analysis linked to productivity improvements?
> What are the main advantages of a process layout? The main disadvantages?
> Some Japanese firms have a policy of rotating their managers among different managerial jobs. In contrast, American managers are more likely to specialize in a certain area (e.g., finance or operations). Discuss the advantages and disadvantages of each o
> Briefly describe the five process types, and indicate the kinds of situations in which each would be used.
> Define and contrast control limits, specifications, and process variability.
> Explain briefly how techniques described in this chapter could be used to improve operations. Be specific about which techniques could be used, how they could be used, and why you think those techniques would be helpful.
> Healthy Hots, a fast-food restaurant that offers heart-healthy food, is experiencing several difficulties with operations. Although customers like the idea of heart-healthy foods, and surveys indicate that customers find the food to be tasty and appealin
> Name three major trade-offs in process selection.
> Demand for rug-cleaning machines at Clyde’s U-Rent-It is shown in the following table. Machines are rented by the day only. Profit on the rug cleaners is $10 per day. Clyde has four rug-cleaning machines. Demand ………………..Frequency 0 …………………………………..…..30
> In what ways does technology have an impact on process selection? How can technology impact layout decisions?
> Who needs to be involved in layout design?
> Who needs to be involved in process selection?
> Many companies outsourced their manufacturing activities to Foxconn due to its low labor costs. Does Foxconn’s shift to automation make it likely that some of those companies will reconsider outsourcing in favor of shifting to automation? What are some r
> Prepare a run chart similar to Figure 9.11 for the occurrences of defective computer monitors based on the following data, which an analyst obtained from the process for making the monitors. Workers are given a 15-minute break at 10:15 a.m. and 3:15 p.m.
> If both run tests are used, and neither reveals non randomness, does that prove that the process is random? Explain.
> A large law firm uses an average of 40 boxes of copier paper a day. The firm operates 260 days a year. Storage and handling costs for the paper are $30 a year per box, and it costs approximately $60 to order and receive a shipment of paper. a. What order
> If small samples can reveal something that large samples might not, why not just take small samples in every situation?
> Assuming the problem can be found and corrected, what impact do you think this would have on the capability of the process? Compute the potential process capability using the second data set.
> What action would you suggest to avoid the problem of workarounds?
> a. What is ISO 9000, and why is it important for global businesses to have ISO 9000 certification? b. Compare the Baldrige Award and ISO certification. If an organization were going to seek both, which one should it seek first? Why?
> What trade-offs are involved in deciding on whether to offer a product or service guarantee?
> Many product reviews are available on the Internet. Two examples are reviews on electronics productssuch as DVD players and high-definition televisions. There are often both positive and negativereviews. a. Do such reviews (positive and negative) influen
> Use the dimensions of quality to describe typical characteristics of these products and services: a. A television set b. A restaurant meal (product) c. A restaurant meal (service) d. Painting a house e. Surgery and post surgery care
> What are some possible consequences of poor quality?
> Name several ways that technology has had an impact on quality.
> As a manager, how would you deal with the possibility that customer satisfaction does not always lead to customer retention?
> A bakery buys flour in 25-pound bags. The bakery uses 1,215 bags a year. Ordering cost is $10 per order. Annual carrying cost is $75 per bag. a. Determine the economic order quantity. b. What is the average number of bags on hand? c. How many orders per
> Suppose you are going to have a prescription filled at a local pharmacy. Referring to the dimensions of service quality for each dimension, give an example of how you would judge the quality of the service.
> A shop works a 400-minute day. The manager of the shop wants an output of 200 units per day for the assembly line that has the elemental tasks shown in the table. Do the following: a. Construct the precedence diagram. b. Assign tasks according to the mos
> A small grocery store sells fresh produce, which it obtains from a local farmer. During the strawberry season, demand for fresh strawberries can be reasonably approximated using a normal distribution with a mean of 40 quarts per day and a standard deviat
> Skinner’s Fish Market buys fresh Boston bluefish daily for $4.20 per pound and sells it for $5.70 per pound. At the end of each business day, any remaining bluefish is sold to a producer of cat food for $2.40 per pound. Daily demand can be approximated b
> A public utility intends to buy a turbine as part of an expansion plan and must now decide on the number of spare parts to order. One part, no. X135, can be purchased for $100 each. Carrying and disposal costs are estimated to be 145 percent of the purch
> Demand for jelly doughnuts on Saturdays at Don’s Doughnut Shoppe is shown in the following table. Determine the optimal number of doughnuts, in dozens, to stock if labor, materials, and overhead are estimated to be $3.20 per dozen, doug
> Given the following list of items, a. Classify the items as A, B, or C. b. Determine the economic order quantity for each item (round to the nearest whole unit). Holding Cost Estimated Annual Unit Ordering Cost Item Demand (%) Price H4-010 20,000 50
> A manager must set up inventory ordering systems for two new production items, P34 and P35. P34 can be ordered at any time, but P35 can be ordered only once every four weeks. The company operates 50 weeks a year, and the weekly usage rates for both items
> A drugstore uses fixed-order cycles for many of the items it stocks. The manager wants a service level of .98. The order interval is 14 days, and lead time is 2 days. Average demand for one item is 40 units per day, and the standard deviation of demand i
> Caring Hospital’s dispensary reorders doses of a drug when the supply on hand falls to 18 units. Lead time for resupply is three days. Given the typical usage over the last 10 days, what service level is achieved with the hospitalâ
> A service station uses 1,200 cases of oil a year. Ordering cost is $40, and annual carrying cost is $3 per case. The station owner has specified a service level of 99 percent. a. What is the optimal order quantity? b. What level of safety stock is approp
> The county sheriff’s department responded to an unusually large number of vehicular accidents along a quarter-mile stretch of highway in recent months. Prepare a cause-and-effect diagram for this problem.
> Regional Supermarket is open 360 days per year. Daily use of cash register tape averages 10 rolls. Usage appears normally distributed with a standard deviation of 2 rolls per day. The cost of ordering tape is $1, and carrying costs are 40 cents per roll
> For the given set of tasks, do the following: a. Develop the precedence diagram. b. Determine the minimum cycle time and then calculate the cycle time for a desired output of 500 units in a seven-hour day. Why might a manager use a cycle time of 50 secon
> Ned’s Natural Foods sells unshelled peanuts by the pound. Historically, Ned has observed that daily demand is normally distributed with a mean of 80 pounds and a standard deviation of 10 pounds. Lead time also appears normally distributed with a mean of
> A small copy center uses five 500-sheet boxes of copy paper a week. Experience suggests that usage can be well approximated by a normal distribution with a mean of five boxes per week and a standard deviation of one-half box per week. Two weeks are requi
> The manager of a car wash received a revised price list from the vendor who supplies soap, and a promise of a shorter lead time for deliveries. Formerly the lead time was four days, but now the vendor promises a reduction of 25 percent in that time. Annu
> One item a computer store sells is supplied by a vendor who handles only that item. Demand for that item recently changed, and the store manager must determine when to replenish it. The manager wants a probability of at least 96 percent of not having a s
> A company uses 85 circuit boards a day in a manufacturing process. The person who orders the boards follows this rule: Order when the amount on hand drops to 625 boards. Orders are delivered approximately six days after being placed. The delivery time is
> The injection molding department of a company uses an average of 30 gallons of special lubricant a day. The supply of the lubricant is replenished when the amount on hand is 170 gallons. It takes four days for an order to be delivered. Safety stock is 50
> Demand for walnut fudge ice cream at the Sweet Cream Dairy can be approximated by a normal distribution with a mean of 21 gallons per week and a standard deviation of 3.5 gallons per week. The new manager desires a service level of 90 percent. Lead time
> . Given this information: Lead-time demand = 600 pounds Standard deviation of lead time demand = 52 pounds (Assume normality.) Acceptable stockout risk during lead time = 4 percent a. What amount of safety stock is appropriate? b. When should this ite
> College students trying to register for a course sometimes find that the course has been closed, or the section they want has been closed. Prepare a cause-and-effect diagram for this problem.
> Given this information: Expected demand during lead time = 300 units Standard deviation of lead time demand = 30 units Determine each of the following, assuming that lead time demand is distributed normally: a. The ROP that will provide a risk of sto
> A newspaper publisher uses roughly 800 feet of baling wire each day to secure bundles of newspapers while they are being distributed to carriers. The paper is published Monday through Saturday. Lead time is six workdays. What is the appropriate reorder p
> Explain the consequences of task time variability on line balancing.
> A manager just received a new price list from a supplier. It will now cost $1.00 a box for order quantities of 801 or more boxes, $1.10 a box for 200 to 800 boxes, and $1.20 a box for smaller quantities. Ordering cost is $80 per order and carrying costs
> A company will begin stocking remote control devices. Expected monthly demand is 800 units. The controllers can be purchased from either supplier A or supplier B. Their price lists are as follows: Ordering cost is $40 and annual holding cost is 25 perc
> A manufacturer of exercise equipment purchases the pulley section of the equipment from a supplier who lists these prices: less than 1,000, $5 each; 1,000 to 3,999, $4.95 each; 4,000 to 5,999, $4.90 each; and 6,000 or more, $4.85 each. Ordering costs are
