A new machine tool is expected to generate receipts as follows: $5,000 in year one;
$3,000 in year two, nothing in the next year, and $2,000 in the fourth year. At an
interest rate of 6%, what is the present value of these receipts? Is this a better present
value than $2,500 each year over four years? Explain.
__________ is a process for determining customer requirements and translating them
into attributes that each functional area can understand and act upon.
__________ is the fundamental rethinking and radical redesign of business processes to
bring about dramatic improvements in performance.
The capacity planning strategy that delays adding capacity until capacity is below
demand, then adds a capacity increment so that capacity is above demand, is said
to__________ demand.
How does short-term scheduling vary among the different process choices?
Specifically, compare short-term scheduling at process-oriented, work cells, repetitive,
and product-focused facilities.
A product has the following gross requirements. Which is cheaper, lot-for-lot or EOQ
lot-sizing?
Other data for this scenario include: setup cost = $1000, inventory holding cost $1 per
unit per week. There is no beginning inventory; there are no scheduled receipts. The
usage pattern is expected to continue for the remainder of the year.
A craftsman builds two kinds of birdhouses, one for wrens (X1), and one for bluebirds
(X2). Each wren birdhouse takes four hours of labor and four units of lumber. Each
bluebird house requires two hours of labor and twelve units of lumber. The craftsman
has available 60 hours of labor and 120 units of lumber. Wren houses profit $6 each and
bluebird houses profit $15 each.
Use the software output that follows to interpret the problem solution. Include a
statement of the solution quantities (how many of which product), a statement of the
maximum profit achieved by your product mix, and a statement of “resources unused”
and ‘shadow prices.”
A company looking for venture capitalist funding is deciding on the design of its
operating system for its new phone. The first option is to simply buy the OS from
another company. This would result in sales of either 10,000 units if the market is not
crowded with similar phones or sales of only 3,000 units if the market is crowded. If the
company decides to design its own OS the phone would have sales of 70,000 units if
the OS was popular but sales of only 2,000 if the OS was a failure. Suppose that to
recoup the cost of designing their own OS the company would need to sell twice as
many phones as when they simply buy the OS for the profit from the scenarios to be
equal. Which option should the company choose if the probability that the market is/ is
not crowded is 50% and the probability that the OS is popular is 75%?
The network analysis method that allows activity times to vary is __________.
What are the options available to operations personnel to manage facility work flow?