Problem 7 Question Help Macon Controls produces three different types of control

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Problem 7 Question Help Macon Controls produces three different types of control units used to protect industrial equipment from overheating. Each of these units must be processed by a machine that Macon considers to be their process bottleneck. The plant operates on two 8-hour shifts, 5 days per week, 52 weeks per year. The table below provides the time standards at the bottleneck, lot sizes, and demand forecasts for the three units. Because of demand uncertainties, the operations manager obtained three demand forecasts (pessimistic, expected, and optimistic). The manager believes that a 25 percent capacity cushion is best. Time Standard Demand Forecast Component Processing SetupLot Size thriunithrilo (unitslotPessimistic Expected Optimistie 0.04 0.30 0.05 40 75 120 5,000 11,000 18,000 17,000 12,000 24,000 26,000 17,000 35,000 8.4 a. How many machines are required to meet minimum (Pessimistic) demand, expected demand, and maximum (Optimistic) demand? (Enter your responses rounded up to the next whole number) Capacity Demand Forecast Requirement (M) Expected machines machines

Explanation / Answer

Since plant operates 2x8 hrs per week, 5 days/ week and 52 weeks year.

Plants operates totaly 4160 hrs / year.(16x5x52)

Processing time per lot for A= 1.6+1 hour=2.6hours/40=.065 hrs per unit

For 15,000 units=15000x.065=975 hours

For 17,000 units=1105 hours

For 26,000 units=1690 hours

Processing time per lot for B= 0.3x75+4.7 hour=22.5+4.7=27.2 hours/75=.363 hrs per unit

For 11,000 units=11000x.0.363=3993 hours

For 12,000 units=4356 hours

For 17,000 units=6171 hours

Processing time per lot for C= 0.05x120+8.4 hour=6+8.4=14.4 hours/120=.12 hrs per unit

For 18,000 units=18000x.0.12=2160 hours

For 24,000 units=2880 hours

For 35,000 units=4200 hours

Therefore, total capacity requirement=

Pessimistic=975+3993+2160=7128 hours/4160=1.71=2 machines

Expected=1105+4356+2880=8341 hours/4160=2.00=2 machines

Optimistic=1690+6171+4200=12061 hours/4160=2.90=3 machines

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