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BA 426 Fall 2020 Test 2 1

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BA 426

Fall 2020

Test 2

1.  (10 points)

 

Cite information if you get it from outside sources

1. In your own words, what is 5s (define each) and why organizations use 5s?

 

 

 

 

 

 

 

 

2.  (16 points)

 

Design specifications require that a key dimension in a production process measure 110 +/- 13 units. The average is 110 units. A process being considered for producing this product has a standard deviation of 4 units.

1. What can you say quantitatively regarding the process capability (calculate CPK)?

 

 

 

 

 

2. Suppose the process average shifts to 98. Calculate the new process capability (calculate

CPK).

 

 

 

 

 

 

c. What can you say about the process before and after the shift in Sigma level, which one is better?

 

 

 

3. (12 points)

 

Keep it to 4 decimal places

a. Please construct a P chart

b. Is this process out of control?

 

Nonconforming Items	Account processed
15	2500
12	2500
19	2500
2	2500
19	2500
4	2500
24	2500
7	2500
10	2500
17	2500
15	2500
3	2500

 

 

 

 

 

 

 

 

 

 

 

 

4.  (20 points)

 

A company manufactures an electrical cooling fan.  It is concerned about the performance of its production process.  Over the past 10 days, it has collected samples of performance of the process.  There were 8 observations (use 8 samples in the table) in each sample. 

 

                                                                                    Measurements

Day	1	2	3	4	5	6	7	8	9	10
Mean	12.50	12.45	12.55	12.50	12.45	12.60	12.48	12.46	12.56	12.48
Range	1.1	1.2	0.9	0.8	0.9	1.0	1.4	1.1	0.9	0.8

 

Sample size table

 

 

 

 

 

 

 

 

 

 

 

 

a) Plot the necessary control charts (R and X bar charts). The appropriate control charts are to be created to receive full credit. 

R chart first, X bar chart second.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

b) Based on this data, would you conclude that the process is in control or is there a problem with the process?  Explain.

 

 

 

 

 

 

5.  (14 points)

 

Bragg’s Bakery is building a new automated bakery in downtown Omaha.  Here are the activities that need to be completed to get the new bakery build and the equipment installed.  The network for this projected is also provided.

 

Activity	Predecessor	Normal Completion Time (Weeks)	Crash Completion Time (Weeks)	Crash Cost/Week
A	--	9	6	$3,000
B	A	8	5	$3,500
C	A	15	10	$4,000
D	B,C	5	3	$2,000
E	C	10	5	$2,500
F	D,E	2	1	$5,000

 

 

You must show your work to receive full credit.

 

a) Construct the network and calculate forward and backward pass, what is the critical path and how many weeks.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

b)  What activity(ies) should be crashed to reduce the completion time found in a) by one week?

 

 

 

 

c) What activity(ies) should be crashed if you want to reduce the completion time found in a) by six weeks?

 

6.  (14 points)

 

Mac-in-the-Box sells computer equipment by mail and telephone order.  Mac sells 1,200 flat-bed scanners per year.  Ordering cost is $300 and annual holding cost is 16 percent of the item’s price.  The scanner manufacturer offers the following price structure to Mac-in-the Box

 

Order Quantity	Price per Unit
1 to 100	$520.00
101 to 140	$500.00
141 or more	$400.00

 

a)  Given the above information and basing your decision on a cost analysis, what order quantity do you recommend that Mac order from the scanner manufacturer?  Why?

 

 

b)  Provide the total inventory cost of the next best option including the acquisition cost of the scanners.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

7.  (14 points)

 

The Oxford Copy Shop is a local copy shop that produces course packets.  Professors take copies of handout and other course-related materials to the Copy Shop, which duplicates them and sells them to students.  The jobs are due at the end of the day on the due dates that are provided. The store has the following jobs on hand:

 

Job	Processing Time (days)	Due Date (days)
A	4	14
B	2	9
C	8	14
D	6	22
E	7	20

 

You are asked to schedule and evaluate several sequencing rules. You are ready to schedule these five jobs. They are all ready to be processed.  

 

1. Determine the sequence of jobs using the following rules: FCFS, SOT, EDD, what is the best rule?