Question

In: Operations Management

A part is made in batch sizes of 900 units which require 7 operations. Each operation...

A part is made in batch sizes of 900 units which require 7 operations. Each operation has an average setup time of 83 minutes and 4.5 hrs of nonoperation time. The average operation time is only 2.2 sec/pc.

A) Calculate the Manufacturing Lead Time for this part.

B) Calculate the Work In Progress if the plant runs three 8 hour shifts a day.

Solutions

Expert Solution

A)

Batch size (b) = 900 units

Number of operations (n) = 7

Average setup time (s) = 83 minutes

Nonoperation time (t) = 4.5 hours = 270 min

Average operation time (o) = 2.2 seconds/pc = 0.0367 min

Manufacturing lead time (MLT) = n*(s+ (b*o) + t) = 7*(83 + (900*0.0367) + 270) = 2702 min = 45.03 hours

B)

Work in Progress = Utilization * Production rate * MLT

Production rate = b / (n*(s + (b*o))) = 900 / (7*(83 + (900*0.0367))) = 1.108 pc / min

Work in Progress = 1 * 1.108 * 2702 = 2994.8 units


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