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reducing the number of runs from 5.5 a week to 4 a week resulted in an average weekly savings of
$310, or an estimated $15,520 annually due to reduced electricity usage.
Improve While waiting for the modeling and simulation process to provide insight, management decided to experiment with running the MTSA on a restricted weekly schedule. Based only on
average customer demand, average capacity of the MTSA equipment, and cycle time, a simplistic
analysis indicated that it would be possible to reduce the number of weekly runs to twice a week;
weekly demand was 13 cards/week and MTSA capacity with two runs was 7.5 x 2 = 15 cards/week.
In light of this simple analysis, management decided to try to run the equipment three times a
week on Mondays, Wednesdays and Fridays. However, this schedule, as subsequent modeling and
simulation revealed, was found to be unsustainable due to the level of variation in the system.
While this variation may have been reduced by changing the sequence in which cards are tested, the
production scheduling was assumed to be fixed for this study.
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This document was uploaded on 03/03/2014 for the course ADMIN 1 at Universidad Nacional de Colombia.
- Spring '14