978-0132921145 Chapter 5 Part 2

58 CHAPTER 5 DE S I G N O F GO O D S A N D SE R V I C E S

5.18 The decision tree is shown here:

The joint design provides the lowest EMV and hence the lowest

expected cost.

60 CHAPTER 5 DE S I G N O F GO O D S A N D SE R V I C E S

5.21

Outcome calculations:

5.20 House of quality sequence for ice cream:

()()()()()()

90 10

$100,000 500 300 $1.20 500 300 $1.30

100 100

− + − =







CHAPTER 5 DE S I G N O F GO O D S A N D SE R V I C E S 61

ADDITIONAL HOMEWORK PROBLEMS*

Solutions to Problems 5.22–5.28 that appear on our Web sites,

www.myomlab.com and www.pearsonhighered.com/heizer.

5.22 The answer should look something like the following:

Bill of Material for “Curried Couscous

Salad with Dried Cranberries”

Description

Quantity

Curried couscous salad with dried cranberries

1

Salad

1

Un-cooked couscous

1

2

1

cups

Dried cranberries

1 cup

Frozen peas—thawed

1 cup

Curry powder

1

2

tsp

Boiling water

2 cups

Thinly sliced green onions

1

4

cup

Finely chopped fresh basil

1

4

cup

Canned chickpeas

1

2

15

oz

Dressing

Fresh lemon juice

1

3

cup

Grated orange ring

1 tbsp

Water

2 tsp

Olive oil

1

2

1

tbsp

Thawed orange juice concentrate

1 tbsp

Black pepper

1

4

tsp

Garlic cloves, crushed

4

5.23 “Product-by-value” analysis for products A, B, C, D, E:

Individual

Total

Contribution

C

Keep these

D

C

A, E

Investigate

B

these for

A

replacement

E

5.24 Bill of material for a wooden pencil with eraser:

Description

Quantity

Pencil

1

Wood half

2

Graphite rod

1

Band

1

Eraser

1

Yellow paint

2 grams

5.25 Bill of material for a table:

Table

1

Table Top

1

Frame:

Back

1

Front

1

Left Side

1

Right Side

1

Bracket

4

Bolt

4

Washer

4

Nut

4

Legs:

Legs

4

Casters

4

5.26 Bill of material for a computer mouse (GeniMouse):

Bill of Material for GeniMouse

Part Number

Description

Quantity

GM1001

GeniMouse

1

SC004

Phillips Head No.12 0.5 inch. Screw

1

TA101

Top Mouse Assembly

1

CB101

Center Button

1

CBC101

Center Button Clip

1

RB101

Right Button

1

LB101

Left Button

1

PB101

Palm Base

1

BA101

Base Assembly

1

IA101

Idler Assembly

1

IS101

Idler Spring

1

IR101

Idler Roller

1

MB101

Ball

1

BW101

Base Ball Washer

1

BP101

Base Rest Pads

5

BA101

Board Assembly

1

CA101

Cable Assembly

1

DB101

Digital Board

1

CW101

Control Wheel

2

GML101

GeniMouse Label

1

5.27 Sample bill of materials for a mechanical pencil:

ID

Description

Quantity

A1

Mechanical Pencil

1

B1

Top half

1

C1

Top casing

1

C2

Pocket clip

1

C3

Plunger cap

1

C4

Plunger

1

C5

Small spring

1

C6

Brass guide

1

C7

Brass Clamp

1

C8

Eraser

1

B2

Lower half

1

B2

Lower half

1

62 CHAPTER 5 DE S I G N O F GO O D S A N D SE R V I C E S

An implication (not necessarily correct) in constructing the

bill of material in this fashion is that all assembly operations will

5.28 The decision tree is:

1. De Mar’s product is primarily service. There is a tangible

product (air conditioners and plumbing components—pipe,

valves, faucets, blowers, ductwork, etc.), but the distinguishing

2. Marketing needs to support the product by selling a special,

reliable, quality service. Finance needs to support the product by

providing friendly, easily obtained financing. Personnel need to be

careful to convey the service and attitude that goes with a premi-

3. ◼ Quality: Must permeate all of the product/service activi-

ties. See the service quality discussion in Chapter 6.

◼ Design of the good and service: Both the product and ser-

vice components must be selected and designed to fulfill

high quality aspects of the mission. Some aspects of this

design will have customer input.

lation and/or repair issues like packaging, neatness, and

cleanup will all be part of the process.

◼ Location: May not be critical at De Mar because the prod-

uct is delivered.

◼ Layout: Warehouse and truck layout may impact efficiency

and speed of delivery for those emergency calls.

◼ Human resources: Are very important because of the cus-

cal element of estimating that must be done very accurate-

ly; substantial training.

◼ Supply-chain management: The quality of the equipment

chosen for initial installation and parts will make substan-

tial difference in the product/service delivered. Conse-

◼ Scheduling: These clients will expect effective scheduling—

having the right part and personnel available as needed and

then meeting the established delivery/repair schedule.

equipment may be the most critical maintenance elements

here.

VIDEO CASE STUDY

The 7-minute video available from Pearson Prentice Hall, filmed

specifically for this text, supplements the written case.

1. The concept of product life cycle applies to Regal Marine because

Regal is constantly under pressure to introduce new products—and

those products have life cycles of relatively few years. As the

video suggests, it is a matter of typically less than 5 years before a

2. Regal Marine uses a strategy of product differentiation, which

constantly introduces new products with new innovations and new

styling to stay competitive in the luxury performance boat market.

3. The cost and time saving at Regal Marine through use of

CAD is typical of the use of CAD everywhere. It allows a variety

of designs and styles to be tested very economically. The ratio of

4. The payoff from CAD is not only evident in efficiency, crea-

tive designs, and styling but in production of the code necessary

for the numerical machines, such as the machines used to make

the plugs (molds) in Washington State and for those applications

60 CHAPTER 5 DE S I G N O F GO O D S A N D SE R V I C E S

5.21

Outcome calculations:

5.20 House of quality sequence for ice cream:

()()()()()()

90 10

$100,000 500 300 $1.20 500 300 $1.30

100 100

− + − =







CHAPTER 5 DE S I G N O F GO O D S A N D SE R V I C E S 61

ADDITIONAL HOMEWORK PROBLEMS*

Solutions to Problems 5.22–5.28 that appear on our Web sites,

www.myomlab.com and www.pearsonhighered.com/heizer.

5.22 The answer should look something like the following:

Bill of Material for “Curried Couscous

Salad with Dried Cranberries”

Description

Quantity

Curried couscous salad with dried cranberries

1

Salad

1

Un-cooked couscous

1

2

1

cups

Dried cranberries

1 cup

Frozen peas—thawed

1 cup

Curry powder

1

2

tsp

Boiling water

2 cups

Thinly sliced green onions

1

4

cup

Finely chopped fresh basil

1

4

cup

Canned chickpeas

1

2

15

oz

Dressing

Fresh lemon juice

1

3

cup

Grated orange ring

1 tbsp

Water

2 tsp

Olive oil

1

2

1

tbsp

Thawed orange juice concentrate

1 tbsp

Black pepper

1

4

tsp

Garlic cloves, crushed

4

5.23 “Product-by-value” analysis for products A, B, C, D, E:

Individual

Total

Contribution

C

Keep these

D

C

A, E

Investigate

B

these for

A

replacement

E

5.24 Bill of material for a wooden pencil with eraser:

Description

Quantity

Pencil

1

Wood half

2

Graphite rod

1

Band

1

Eraser

1

Yellow paint

2 grams

5.25 Bill of material for a table:

Table

1

Table Top

1

Frame:

Back

1

Front

1

Left Side

1

Right Side

1

Bracket

4

Bolt

4

Washer

4

Nut

4

Legs:

Legs

4

Casters

4

5.26 Bill of material for a computer mouse (GeniMouse):

Bill of Material for GeniMouse

Part Number

Description

Quantity

GM1001

GeniMouse

1

SC004

Phillips Head No.12 0.5 inch. Screw

1

TA101

Top Mouse Assembly

1

CB101

Center Button

1

CBC101

Center Button Clip

1

RB101

Right Button

1

LB101

Left Button

1

PB101

Palm Base

1

BA101

Base Assembly

1

IA101

Idler Assembly

1

IS101

Idler Spring

1

IR101

Idler Roller

1

MB101

Ball

1

BW101

Base Ball Washer

1

BP101

Base Rest Pads

5

BA101

Board Assembly

1

CA101

Cable Assembly

1

DB101

Digital Board

1

CW101

Control Wheel

2

GML101

GeniMouse Label

1

5.27 Sample bill of materials for a mechanical pencil:

ID

Description

Quantity

A1

Mechanical Pencil

1

B1

Top half

1

C1

Top casing

1

C2

Pocket clip

1

C3

Plunger cap

1

C4

Plunger

1

C5

Small spring

1

C6

Brass guide

1

C7

Brass Clamp

1

C8

Eraser

1

62 CHAPTER 5 DE S I G N O F GO O D S A N D SE R V I C E S

An implication (not necessarily correct) in constructing the

bill of material in this fashion is that all assembly operations will

5.28 The decision tree is:

1. De Mar’s product is primarily service. There is a tangible

product (air conditioners and plumbing components—pipe,

valves, faucets, blowers, ductwork, etc.), but the distinguishing

2. Marketing needs to support the product by selling a special,

reliable, quality service. Finance needs to support the product by

providing friendly, easily obtained financing. Personnel need to be

careful to convey the service and attitude that goes with a premi-

3. ◼ Quality: Must permeate all of the product/service activi-

ties. See the service quality discussion in Chapter 6.

◼ Design of the good and service: Both the product and ser-

vice components must be selected and designed to fulfill

high quality aspects of the mission. Some aspects of this

design will have customer input.

lation and/or repair issues like packaging, neatness, and

cleanup will all be part of the process.

◼ Location: May not be critical at De Mar because the prod-

uct is delivered.

◼ Layout: Warehouse and truck layout may impact efficiency

and speed of delivery for those emergency calls.

◼ Human resources: Are very important because of the cus-

cal element of estimating that must be done very accurate-

ly; substantial training.

◼ Supply-chain management: The quality of the equipment

chosen for initial installation and parts will make substan-

tial difference in the product/service delivered. Conse-

◼ Scheduling: These clients will expect effective scheduling—

having the right part and personnel available as needed and

then meeting the established delivery/repair schedule.

equipment may be the most critical maintenance elements

here.

VIDEO CASE STUDY

The 7-minute video available from Pearson Prentice Hall, filmed

specifically for this text, supplements the written case.

1. The concept of product life cycle applies to Regal Marine because

Regal is constantly under pressure to introduce new products—and

those products have life cycles of relatively few years. As the

video suggests, it is a matter of typically less than 5 years before a

2. Regal Marine uses a strategy of product differentiation, which

constantly introduces new products with new innovations and new

styling to stay competitive in the luxury performance boat market.

3. The cost and time saving at Regal Marine through use of

CAD is typical of the use of CAD everywhere. It allows a variety

of designs and styles to be tested very economically. The ratio of

4. The payoff from CAD is not only evident in efficiency, crea-

tive designs, and styling but in production of the code necessary

for the numerical machines, such as the machines used to make

the plugs (molds) in Washington State and for those applications