Ace Hardware sells spare parts for lawn mowers. The following data were collected for one week in May when replacement lawn-mower blades were in high demand Day……………………………………… Demand 1 ……………………………………………..10 2 ……………………………………………..12 3 ……………………………………………..13 4 ……………………………………………..15 5 ……………………………………………..17 6 …………………………………………….20 7 ……………………………………………..21 a. Simulate a forecast for the week, starting with F1 = 10, T0 = 2, α = .2, and β = .4. Use the trend model given in the chapter supplement. b. Compute the MAD and tracking signal for the data. Use MAD 0 = 0. c. Are the MAD and tracking signal within tolerances? d. Simulate a forecast using simple smoothing for the week, starting with F1 = 10 and α = .2. Plot the forecast and the demand on a graph. Note how the forecast lags behind demand
> What are the main ways in which processes are managed to accommodate environmental regulations?
> Suppose a lean work center is being operated with a container size of 25 units and a demand rate of 100 units per hour. Also assume it takes 180 minutes for a container to circulate. a. How many containers are required to operate this system? b. What is
> Define repetitive manufacturing and compare it with job shop or batch manufacturing
> Suppose a bank clears checks drawn on customers’ checking accounts by using the following process: a. If the capacity for receiving checks is 1000 checks per hour, for sorting checks is 800 checks per hour, and for shipping checks is 12
> Explain how the process view of an organization is likely to uncover the need for greater cross-functional cooperation.
> Locate each of the following services on the service delivery system matrix: a. Vending machine b. Housecleaning service c. Appliance repair
> Why are assembly-line processes usually so much more efficient but less flexible than batch processes? Give three reasons.
> In what circumstances might a market-pull approach or a technology-push approach to new-product design be the best approach?
> Describe a possible operations mission that fits the following business situations: a. Ambulance service. b. Production of hybrid automobile batteries. c. Production of electronics products that have a short product life cycle
> Who are the various stakeholders that need to be considered in resolving these issues?
> Calculate the Net Present Value of the stormwater project, given the financial information in the case.
> In the following operations, isolate a system for analysis and define customers, services produced, suppliers, and the primary process flows. a. A college b. A fast-food restaurant c. A library
> The flow of materials through eight departments is shown as follows. Even though the table shows flows into and out of the different departments, assume that the direction of flow is not important. In addition, assume that the cost of moving material dep
> What should be done based on the calculations from question 1?
> How should the various functional areas in the organization be included in the Lean Six Sigma initiative, and what role should senior and middle management play in this change initiative?
> What were the challenges facing Mayo and the role of leadership?
> What are the pros and cons of the options presented in the case?
> Draw a current state value stream map indicating the customer, supplier, information flow and relevant metrics •What is the takt time? •What is the total lead time (processing + waiting)? •What is the total value added and non-value added time? •What is
> Using the service blueprint, make a list of all the key service failure points and the associated customer expectations. For example a service failure point with expectations is: check-in should be fast and hassle free. You should find 10 to 15 service f
> What action should Rhodes take to solve his problems?
> Prepare a master production schedule for the next 6 weeks using the EOQ's calculated in Question 1 and a work force of 10 employees. What inventory turnover ratio is achieved by this master schedule? How does this turnover compare with past levels and wi
> Evaluate the importance of inventory and inventory management of the Southern Toro distributorship for both irrigation products and spare parts. Should the inventory be cut back?
> Explain the relationship between quality and productivity under the lean philosophy.
> Describe how the system you have designed will help the company meet customer-service and cost objectives.
> 1. Using Exhibit 1.3 as a model, describe the source-make-deliver-return relationships in the following systems: a. An airline b. An automobile manufacturer c. A hospital d. An insurance company Making Sourcing Planning Delivering Returning
> What are the internal strengths and weaknesses of BYD along with external, opportunities and threats (SWOT Analysis)?
> What specific principles, practices, or techniques might be useful to effectively integrate suppliers?
> Would your recommendation change if the foreign exchange rate increased or decreased by 15%?
> Develop an S&OP plan by month for fiscal 2015. Consider the use of several different production strategies. Which strategy do you recommend? Hint: Use of Excel will greatly save time in making these plans.
> What forecasting methods should the company consider? Please justify.
> The Superior Manufacturing Company wants to make two shipments from Dallas, Texas to Los Angeles, California. The first shipment weighs 10,000 pounds and the second shipment weighs 15,000 pounds. The carrier charges $10 per hundredweight (cwt) if the goo
> Describe the historical development of the logistics field.
> A manufacturing company has the following financial information (in millions of $): Sales ……………………………………………$823 Cost of goods sold Direct labor……….…………………………. 85 Purchased materials ………………. 310 Overhead …………………………………….
> What are some of the barriers to a successful quality implementation effort?
> What do you think are the effects of offshoring on the U.S. economy?
> What is the difference between supply chain management and demand management?
> Why might it be difficult to develop a manufacturing cell?
> The following information is given for a particular part. Using a lead time of two weeks, complete the table. Use L4L with On hand = 80 and SS=0. Week 1 2 3 4 5 100 400 300 Gross requirement Scheduled receipts Projected ending 50 inventory 80 Net req
> In what ways do independent-demand inventories differ from dependent-demand inventories?
> The Always Fresh Grocery Store carries a particular brand of tea that has the following characteristics: Sales = 8 cases per week Ordering cost = $10 per order Carrying charge = 20 percent per year Item cost = $80 per case a. How many cases should be ord
> Identify the different types of inventories (raw materials, work in process, and finished goods) carried in the following organizations: gas station, hamburger stand, clothing store, and machine shop. What functions (purposes) do these inventories perfor
> A public accounting firm requires the following activities for an audit: a. Draw a network for this project. b. Make a forward pass and a backward pass to determine ES, LS, EF, and LF. c. What are the critical path and the project completion time? d. I
> How, precisely, does project scheduling differ from the scheduling of ongoing operations?
> Students must complete two activities to register for class: registration and payment of fees. Because of individual differences, the processing time (in minutes) for each of these two activities for five students varies, as shown below: a. Construct a
> Why should operations be concerned with environmental issues?
> What types of scheduling decisions are management likely to encounter in the following operations? Describe the scheduling decisions in terms of the types of resources to be scheduled and the associated customers or jobs scheduled. a. Hospital b. Univers
> Suppose we are considering the question of how much capacity to build in the face of uncertain demand. Assume that the cost is $20 per unit of lost sales due to insufficient capacity. Also assume that there is a cost of $7 for each unit of capacity built
> Approximately how far ahead would one need to plan for the following types of facilities? a. Restaurant b. Hospital c. Oil refinery d. Toy factory e. Electric power plant f. Public school g. Private school
> What are the implications for cost accounting of lean production?
> Daily demand for marigold flowers at a large garden store is shown below. Compute: a. A three-period moving average for each period. b. A five-period moving average for each period. Period…………………………………Demand 1 …………………………………………….85 2…………………………………………… 92 3
> Is there a difference between forecasting demand and forecasting sales? Can demand be forecast from historical sales data?
> Golden Gopher Airline issues thousands of aircraft boarding passes to passengers each day. In some cases a boarding pass is spoiled for various reasons and discarded by the airline agent before the final boarding pass is issued to a customer. To control
> Why did statistical quality control ideas catch on in the 1940s?
> How can quality be measured for the following? a. Phone service b. Automobile repair c. Ballpoint pens
> Compare the Baldrige-based approach to the use of ISO 9000.
> Give an example of a global business with which you are familiar. How has globalization affected its operations and its supply chain?
> In what ways is purchasing becoming more professional?
> Give some examples of sustainability goals and plans.
> Valley View Hospital faces somewhat seasonal demand. Patients defer elective surgery in the summer and in the holiday season at the end of the year. As a result, the forecast of patient days of demand is as follows (a patient day is one patient staying f
> The Easyfit tire store had demand for tires shown below. Assume F1 = 198. a. Develop a spreadsheet using the first seven days of demand to determine the best exponential smoothing model for values of α = .2, α = .3, and Î
> A certain process is under statistical control and has a mean value of µ = 130 and a standard deviation of σ = 8. The specifications for this process are USL = 150, LSL = 100. a. Calculate Cp and Cpk. b. Which of these indices is a better measure of proc
> If an organization was using neither lean nor Six Sigma, how would you decide which approach to use first?
> Classify the following types of processes as continuous, assembly line, batch, job shop, or project: a. Doctor’s office b. Automatic car wash c. College curriculum d. Studying for an exam e. Registration for classes f. Electric utility
> Why is ISO 9000 considered a first step or a basic approach to quality?
> Identify some of the seven forms of waste in the following situations. a. Restaurant b. Doctor’s office
> Analyze the service blueprints in problem 12 for possible improvements. Use the flow, time, quantity, quality, and cost questions.
> How can we use the service delivery system matrix to improve service operations?
> What are some of the classic signs of an unfocused operation?
> Suppose a car you want to buy has five choices for interior colors, three types of radios, three engine choices, two battery types (regular and heavy duty), 10 exterior colors, two transmission choices, and four types of wheel covers. How many possible c
> Describe how the view of operations as a process can be applied to the following types of work: a. Acquisition of another company. b. Closing the books at the end of the year. c. Marketing research for a new product. d. Design of an information system. e
> What are the keys to supplier relationship management?
> How can a company ensure that its supply chain is resilient to unexpected events?
> For the data in problem 11: a. Calculate the annual turnover as a function of service level. b. If sales were to increase by 50 percent, what would happen to the turnover at a 95 percent service level?
> Why is interfunctional cooperation important for newproduct design? What are the symptoms of a possible lack of interfunctional cooperation?
> The famous Widget Company uses simple exponential smoothing to forecast the demand for its best-selling widgets. The company is considering whether it should use α = .1 or α = .3 for forecasting purposes. Use the following dat
> Under what circumstances might CPFR be useful, and when is it not useful?
> A certain process has an upper specification limit of 220 and a lower specification limit of 160. The process standard deviation is 6, and the mean is 170. a. Calculate Cp and Cpk for this process. b. What could be done to improve the process capability
> How can lean and Six Sigma approaches work together in making process improvements?
> Contrast and compare the Deming and Juran approaches to quality improvement. How different are these two approaches?
> How can lean thinking be applied to accounting, finance, human resources, and marketing processes?
> Draw a service blueprint for the following: a. Pizza delivery b. Automobile repair
> What are the pros and cons of having a service guarantee?
> What is the difference between economies of scale and economies of scope? How do firms consider these when investing in processes?
> An entrepreneur is designing a sub sandwich shop that would be located on campus. Define the CAs that you would like to see for the service (not the product) delivered at this location. Then specify some ECs that can be used for measurement of the servic
> What are the reasons for formulating and implementing an operations and supply chain strategy?
> Give two examples of a distinctive competence that can be sustained and not easily duplicated. Explain why it is hard to copy these distinctive competencies.
> Explain how a distinctive competence in operations can be the basis for competition in the company.
> Find some examples of RFP bidding.
> Explain how companies use order placement and order fulfillment.
> How are MRP and ERP related?
> The Suregrip Tire Company carries a certain type of tire with the following characteristics: Average annual sales = 600 tires Ordering cost = $40 per order Carrying cost = 25 percent per year Item cost = $50 per tire Lead time = 4 days Standard deviation
> How would the theory of constraints be used to improve output for the operations in the following problems? a. Problem 2. b. Problem 3. c. Problem 6.
> What measures can be taken to provide more capacity at a bottleneck work center?
> A small textile company makes several types of sweaters. Demand is very seasonal, as shown by the following quarterly demand estimates. Demand is estimated in terms of standard hours of production required. An hour of regular time costs the company $12
> A barbershop has been using a level workforce of barbers five days per week, Tuesday through Saturday. The barbers have considerable idle time on Tuesday through Friday, with certain peak periods during the lunch hours and after 4 p.m. each day. On Frida
> Why study operations management in the supply chain?
> Explain how CPFR can be used to reduce forecasting error.
> Use the DMAIC steps to describe and improve the process of ordering a book from an Internet retailer. From the perspective of the retailer, what would be done in each of the steps?
> Find an example from the Internet of the application of lean thinking to a service operation. Describe how the lean tenets are applied in this setting.
> Use the what, who, where, when, and how questions to make improvements in problem 10.
