Green Grass, Inc.: Operations Management and TQM Layout Planning

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Name: Bautista, Anjolina B.

Block/Course: BSA 2A

OPERATIONS MANAGEMENT AND TQM


LAYOUT PLANNING
Calculating the Cycle Time, Theoretical Minimum and Efficiency
Problem for solving:
Green Grass, Inc., a manufacturer of lawn and garden equipment, is designing an assembly
line to produce a new fertilizer spreader, the Big Broadcaster. Below are the given work
elements, time and immediate predecessor data.

GREEN GRASS, INC.

Required:

A. DRAW A PRECEDENCE DIAGRAM.


B. COMPUTE FOR THE CYCLE TIME.
First convert the desired output rate (2,000 units) to an hourly rate by dividing the weekly
output rate by 50 hours per week to get units per hour. Then the cycle time is;

Cycle Time (in seconds)

Cycle time, c is the maximum time allowed for work on a unit at each station:
✓ Desired output rate, r = 2000/units
Plant operates 50 hours/week
r = 2000/50 = 40 units/hour
seconds
✓ Cycle time, c = 1 (3,600 )
r hour

✓ Cycle time, c = 1 (3,600)


40

= 90 seconds/unit

THE CYCLE TIME OF THE LINE IS 90 SECONDS/UNIT

C. COMPUTE FOR THE THEORETICAL MINIMUM.


Theoretical minimum (TM) is a benchmark or goal for the smallest number of stations
possible, where total time required to assemble each unit (the sum of all work element
standard times is divided by the cycle time. It must be rounded up.

Theoretical minimum number of workstations

244 seconds
= 90 seconds = 2.711 or 3 stations

THE THEORETICAL MINIMUM NUMBER OF WORKSTATIONS, TM = 3

D. COMPUTE FOR THE IDLE TIME.


Idle time is the total unproductive time for all stations in the assembly of each unit.

Idle time (in seconds)

✓ Idle time =
✓ Idle time = 3 (90) – 244 = 26 seconds

THE IDLE TIME IS 26 SECONDS


E. COMPUTE FOR THE EFFICIENCY.
Efficiency (%) is the ratio of productive time to total time.

Efficiency

244
Efficiency (%) = (100)
3 (90)

Efficiency (%) = 90.37% or 90.4% (rounded off)

F. COMPUTE FOR THE BALANCE DELAY.


Balance Delay (%) is the amount by which efficiency falls short of 100%.
Balance Delay (%) = 100 – Efficiency
Balance Delay (%) = 100 – 90.4

Balance Delay (%) = 9.6

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