Scm Ops Production Question

1.  PowerToys, Inc. produces a small remote-controlled toy truck on a worker-paced lineconsisting of nine work stations with a single worker at each station.  Stations and processing times are summarizedin the following table:

Station

Processing Time (seconds)

1

Mount battery units

75

2

85

3

Insert chip

90

4

Mount front axle

65

5

Mount back axle

70

6

Install electricmotor

55

7

Connect motor tobattery unit

80

8

Connect motor torear axle

65

9

Mount plastic body

80

a.  Howmuch time is required to produce a single toy truck?

b.  Whatis the bottleneck in this process?

c.  Whatis the steady state capacity, in toy trucks per hour, of the assembly line?

d.  Whatis the utilization of the worker at work station 2?

e.  Howlong would it take to produce 100 trucks starting with an empty system?

f.  Thefollowing table shows the projected costs associated with reducing theprocessing time at each work station in 5 second increments.  The theoretical limits on time reduction ateach workstation is 15 seconds less than the current processing time (Forexample, Mount Battery Units could be reduced from 75 seconds  to 60 seconds.  To make that full reduction, the cost wouldbe \$1,200.)  Suppose you have \$5,000 toinvest in improving the throughput of the process.  Show the sequence of steps you would take toallocate these funds and at each step show the number of trucks per hour thatwill be able to be produced.

g.

Station

5 Second Reduction Cost

1

Mount battery units

\$400

2

\$300

3

Insert chip

\$500

4

Mount front axle

\$900

5

Mount back axle

\$200

6

Install electricmotor

\$100

7

Connect motor tobattery unit

\$400

8

Connect motor torear axle

\$500

9

Mount plastic body

\$300