1. See attached Excel Spreadsheet.
2. Some of the estimated parameter values for question 1 are subject to considerable
uncertainty. For example, although average wages are expected to increase about 40%
over the next 10
Compute the capacity (in kg/week) for the current system.
a. Adapt the process flow chart in figure A of the case to show (i) number of machines at
each stage, (ii) operating hours/day and per week, yields, (ii) cycle time, and (iv) batch
MBC 616: Operations Management
By: Team 9
Key Questions to Answer Before You Launch the Business
1. To fill a rush order it would take 26 mins to complete first dozen.
Alternative 1: Holding inventory
In this option, The level of the output remains constant even with changing demand. There is no
overtime or temps needed to adjust for demand. When there is excess inventory, they store the products
for further use.
Toyota Motor Manufacturing: HBS 9-693-019.
At Toyota's Georgetown, KY assembly plant a growing number of 1992 Camrys are sitting off-line with
seat problems. The seats are supplied just-in-time by nearby Johnson Controls Automotive Systems
(JCI) group. Fo