Exam 5: Constraint Management

Figure 5.1 The figure above shows the process for paying tuition at a major university.Students receive their bill,for the next term,for review.They are directed to different tables for clarifications,before being asked to pay their tuition at E.The numbers in parentheses are the time in minutes for each step of the process. -Use the information in Figure 5.1.What is the capacity for the A-B-D-E process route?

Figure 5.3 The figure above shows the process for customers arriving at Hobbies Unlimited for several advertised crafts demonstrations.After signing in,customers are routed to different locations in the store for the two different programs provided.The numbers in parentheses are the time in minutes for each step of the process. -Use the information in Figure 5.3.How many customers can be processed through the A-B-E-F-G routing during a 4-hour evening session?

Instead of producing products with the highest profit margins,operations managers should focus on the ________ generated at the ________.

The focus for a process improvement exercise should be on balancing:

Figure 5.3 The figure above shows the process for customers arriving at Hobbies Unlimited for several advertised crafts demonstrations.After signing in,customers are routed to different locations in the store for the two different programs provided.The numbers in parentheses are the time in minutes for each step of the process. -Use the information in Figure 5.3 What is the throughput time for the A-B-C-D-G routing?

Table 5.2 A company makes four products that have the following characteristics: Product A sells for $75 but needs $20 of materials and $20 of labor to produce;Product B sells for $90 but needs $45 of materials and $20 of labor to produce;Product C sells for $110 but needs $50 of materials and $30 of labor to produce;Product D sells for $135 but needs $75 of materials and $40 of labor to produce.The processing requirements for each product on each of the four machines are shown in the table. Work centers W,X,Y,and Z are available for 40 hours per week and have no setup time when switching between products.Market demand is 50 As,60 Bs,70 Cs,and 80 Ds per week.In the questions that follow,the traditional method refers to maximizing the contribution margin per unit for each product,and the bottleneck method refers to maximizing the contribution margin per minute at the bottleneck for each product. -Use the information in Table 5.2.Using the traditional method,in what sequence should products be scheduled for production?

Describe a process from your own personal experience at home or work that suffers from a lack of sufficient throughput.Apply the first four TOC steps to address the situation,assuming you have complete authority to do so.

Table 5.1 A company makes four products that have the following characteristics: Product A sells for $50 but needs $10 of materials and $15 of labor to produce;Product B sells for $75 but needs $30 of materials and $15 of labor to produce;Product C sells for $100 but needs $50 of materials and $30 of labor to produce;Product D sells for $150 but needs $75 of materials and $40 of labor to produce.The processing requirements for each product on each of the four machines are shown in the table. Work centers W,X,Y,and Z are available for 40 hours per week and have no setup time when switching between products.Market demand for each product is 80 units per week.In the questions that follow,the traditional method refers to maximizing the contribution margin per unit for each product,and the bottleneck method refers to maximizing the contribution margin per minute at the bottleneck for each product. -Use the information in Table 5.1.Using the bottleneck method,in what sequence should products be scheduled for production?

Consider the following production process.It is trying to meet a market demand of 250 units per week. Step 1: Material release schedule Step 2: Drilling (capacity is 300 units/week) Step 3: Tapping (capacity is 150 units/week) Step 4: Grinding (capacity is 300 units/week) Step 5: Coating (capacity is 200 units/week) Step 6: Inspection (capacity is 500 units/week) a.Where should buffers be placed? b.Which resource is the drum? c.Where should the rope be placed? d.Which resource is the bottleneck? e.Which resource is the CCR?

To generate the maximum output,the cycle time should be set as the longest elemental task time.

Table 5.4 The Superior Management Company assembles muffalettas in The Big Easy.The steps to making a world class sandwich and the time required (in seconds)for each step are shown in the table. -Customers demand muffalettas at the rate of 20 sandwiches per hour.Use the information in Table 5.4 to determine how many workstations are needed to balance this line to maximum efficiency.

Figure 5.1 The figure above shows the process for paying tuition at a major university.Students receive their bill,for the next term,for review.They are directed to different tables for clarifications,before being asked to pay their tuition at E.The numbers in parentheses are the time in minutes for each step of the process. -Use the information in Figure 5.1.If 60% of the students are routed to C and 40% are routed to D,what is the average capacity per hour for the process?

Table 5.3 King Supply makes four different types of plumbing fixtures: W,X,Y and Z.The contribution margins for these products are: $70 for Product W,$60 for Product X,$90 for Product Y and $100 for Product Z.Fixed overhead is estimated at $5,500 per week.The manufacture of each fixture requires four machines,Machines #1,2,3 and 4.Each of the machines is available for 40 hours a week and there is no setup time required when shifting from the production of one product to any other.The processing requirements to make one unit of each product are shown in the table.Weekly product demand for the next planning period has been forecasted as follows: 70 Ws,60 Xs,50 Ys and 30 Zs. In the questions that follow,the traditional method refers to maximizing the contribution margin per unit for each product,and the bottleneck method refers to maximizing the contribution margin per minute at the bottleneck for each product. -Use the information in Table 5.3.Using the traditional method,what is the profit if King Supply manufactures the optimal product mix?

Table 5.4 The Superior Management Company assembles muffalettas in The Big Easy.The steps to making a world class sandwich and the time required (in seconds)for each step are shown in the table. -Customers demand muffalettas at the rate of 24 sandwiches per hour.Use the information in Table 5.4 to determine the minimum number of work stations needed to achieve exactly the output rate of customer demand.

Balance the line in order to achieve maximum output for this ten activity product.Determine the number of units produced in a seven hour work day and the total idle time in hours.

Any system composed of resources that are operating at maximum output will,by definition,have maximum output for the entire system.

A firm's actual throughput and profit depend more on the contribution margin generated at the bottleneck than by the contribution margin of each individual product produced.

Figure 5.4 -Use the information in Figure 5.4.If each task has a work time of one minute and there are 8 hours in a day,what is the task assignment at the first station if 160 units should be produced each day?

Table 5.7 The Terminal Company is attempting to balance its assembly line of high-voltage electrical connectors.The desired output for the line is 50 connectors per hour,and the information on the work elements for this assembly line is as follows. -Use the information from Table 5.7 to balance this line.What is the most efficient solution?

Any factor that limits the performance of a system and restricts its output is a(n)________.