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Work sheet on chapter - 1

1. A certain part is routed through six machines in a batch production plant. The
setup and operation times for each machine are given in the table below. The batch
size is 100 and the average nonoperation time per machine is 12 hours. Determine
(a) manufacturing lead time and (b) production rate for operation 3.

2. The average part produced in a certain batch manufacturing plant must be


processed sequentially through six machines on average. Twenty (20) new batches
of parts are launched each week. Average operation time = 6 min., average setup
time = 5 hours, average batch size = 25 parts, and average nonoperation time per
batch = 10 hr/machine. There are 18 machines in the plant working in parallel. Each
of the machines can be set up for any type of job processed in the plant. The plant
operates an average of 70 production hours per week. Scrap rate is negligible.
Determine (a) manufacturing lead time for an average part, (b) plant capacity, (c)
plant utilization. (d) How would you expect the nonoperation time to be affected by
the plant utilization?

3. The mean time between failure for a certain production machine is 250 hours,
and the mean time to repair is 6 hours. Determine the availability of the machine.

4. One million units of a certain product are to be manufactured annually on


dedicated production machines that run 24 hours per day, five days per week, 50
weeks per year. (a) If the cycle time of a machine to produce one part is 1.0 minute,
how many of the dedicated machines will be required to keep up with demand?
Assume that availability, utilization, worker efficiency = 100%, and that no setup
time will be lost. (b) Solve part (a) except that availability = 0.90.

5. Costs have been compiled for a certain manufacturing company for the most
recent year. The summary is shown in the table below. The company operates two
different manufacturing plants, plus a corporate headquarters. Determine (a) the
factory overhead rate for each plant, and (b) the corporate overhead rate. The firm
will use these rates in the following year.

6. Theoretically, any given production plant has an optimum output level. Suppose a
certain production plant has annual fixed costs FC = $2,000,000. Variable cost VC is
functionally related to annual output Q in a manner that can be described by the
function VC = $12 + $0.005Q. Total annual cost is given by TC = FC + VC x Q. The
unit sales price for one production unit P = $250. (a) Determine the value of Q that
minimizes unit cost UC, where UC = TC/Q; and compute the annual profit earned by
Work sheet on chapter - 1

the plant at this quantity. (b) Determine the value of Q that maximizes the annual
profit earned by the plant; and compute the annual profit earned by the plant at this
quantity.

7. A batch of parts is produced on a semiautomated production machine. Batch size


is 250 units. Setup requires 50 min. A worker loads and unloads the machine each
cycle, which takes 0.40 min. Machine processing time is 2.50 min/cycle, and tool
handling time is negligible. One part is produced each cycle. Determine (a) average
cycle time, (b) time to complete the batch, and (c) average production rate.

8. A mass-production plant has eight machines and currently operates two 8-hr
shifts per day, 5 days per week, 50 weeks per year. The eight machines produce the
same part each at a rate of 15 pc/hr. (a) Determine the annual production capacity
of this plant. (b) If the plant were to operate three 8-hr shifts per day, 7 days per
week, 52 weeks per year, determine the annual percentage increase in plant
capacity.

9. A certain batch of parts is routed through six machines in a batch production


plant. The setup and operation times for each machine are given in the table below.
Batch size is 200 and the average nonoperation time per machine is 15 hr.
Determine (a) manufacturing lead time and (b) hourly production rate for operation
4.

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