Archives: Solution Manual
978-0134741062 Supplement I Lecture Note
Supplement I Learning Curve Analysis 1. The Learning Curve Concept • Organizational learning o Automation o Productivity improvements ▪ Better processes ▪ Individual learning • Learning effect o Learning curve displays the relationship between the total direct labor per unit […]
978-0134741062 Supplement H Solution Note
Supplement H Measuring Output Rates 1. Work Standards • Work measurement as a management tool o Managing processes and supply chains o How they are used • Work Standards 1. Developing a Work Standard 2. Methods of Measuring Output Rates […]
978-0134741062 Supplement H Solution Manual
H-1 Copyright © 2019 Pearson Education, Inc. Supplement H Measuring Output Rates PROBLEMS Time Study Method 1. A machine shop a. Normal time per cycle = (Average observed time)(Rating factor) The average observed time is: (40 + 48 + 48 […]
978-0134741062 Supplement H Lecture Note
Supplement H Measuring Output Rates 1. Work Standards • Work measurement as a management tool o An essential input to managing processes and supply chains. • Work standard: the time required for a trained worker to perform a task following […]
978-0134741062 Supplement G Solution Note
Supplement G Acceptance Sampling Plans 1. Acceptance Sampling Quality and Risk Decisions • Acceptance sampling; Definition and purpose o Impact of TQM • Basic procedure • Key terms o Producer o Consumer o Sampling plan • Quality and risk decisions […]
978-0134741062 Supplement G Solution Manual
G-1 Copyright © 2019 Pearson Education, Inc. Supplement G Acceptance Sampling Plans PROBLEMS Operating Characteristic Curves 1. Alpha is the producer’s risk. To find Alpha, p is set equal to the acceptable quality level (AQL = 0.5%). Then np = […]
978-0134741062 Supplement G Lecture Note
Supplement G Acceptance Sampling Plans 1. Acceptance Sampling Quality and Risk Decisions • Acceptance Sampling: An inspection procedure used to determine whether to accept or reject a specific quantity of materials (batch or “lot”). The consumer, sometimes in cooperation with […]
978-0134741062 Supplement F Solution Note
Supplement F Financial Analysis 1. Time Value of Money Underlying concept: 1. Future value of an investment a. Compounding interest b. Future value of an investment c. Formula F = P(1+r)n where F = P = r = n = […]
978-0134741062 Supplement F Lecture Note
Supplement F Financial Analysis 1. Time Value of Money Underlying concept of time value of money: a dollar in hand today is worth more than a dollar to be received in the future 1. Future value of an investment a. […]
978-0134741062 Supplement E Solution Note
Supplement E Simulation 1. Reasons for Using Simulation Models • What is simulation? • What are the reasons for using simulation? o o o o 2. The Monte Carlo Simulation Process This process is known as Monte Carlo simulation, after […]
978-0134741062 Supplement E Solution Manual
E-1 Copyright © 2019 Pearson Education, Inc. Supplement E Simulation PROBLEMS The Monte Carlo Simulation Process 1. Comet Dry Cleaners a. NGNC = Number of garments needing cleaning MNGD = Maximum number of garments that could be dry cleaned Day […]
978-0134741062 Supplement E Lecture Note
Supplement E Simulation 1. Reasons for Using Simulation Models Simulation is useful when waiting-line models become too complex. Using simulation for analyzing processes and supply chains may be based on other reasons. • When the relationship between variables is nonlinear […]
978-0134741062 Supplement D Solution Note
Supplement D Linear Programming 1. Characteristics of Linear Programming Models 1. Linear programming is an optimization process with several characteristics a. Objective function: b. Decision variables: c. Constraints: d. Feasible region: e. Parameter or a coefficient: • Certainty: f. Linearity: […]
978-0134741062 Supplement D Solution Manual Part 3
D-32 ⚫ PART 2 ⚫ ManagingCustomer Demand d. The Ranging Screen for the above solution is shown below. Note that the shadow price of the beginning inventory constraint indicates that the value of Z will increase by $0.81 per pound […]
978-0134741062 Supplement D Solution Manual Part 2
Linear Programming ⚫ SUPPLEMENT D ⚫ D-21 The objective function and constraints are Maximize: $29.$17.$17.40 20 05A B C+ + Subject to: ( ) 32 26 19 200,000 material 1 A B C + + ( ) ( ) […]
978-0134741062 Supplement D Solution Manual Part 1
Supplement D Linear Programming DISCUSSION QUESTIONS 1. Overtime would relax the labor constraint, but the additional labor resource comes at a cost. Would additional labor hours improve the solution at a rate sufficient to pay for overtime? If so, how […]
978-0134741062 Supplement D Lecture Note
Supplement D Linear Programming 1. Characteristics of Linear Programming Models 1. Linear programming is an optimization process with several characteristics a. A single objective function states mathematically what is being maximized or minimized. b. Decision variables represent choices that the […]
978-0134741062 Supplement C Solution Note
Supplement C Special Inventory Models 1. Noninstantaneous Replenishment 1. Maximum cycle inventory a. Maximum cycle inventory is: Copyright © 2019 Pearson Education, Inc. Imax = Q pp−d( ) = Qp−d p where =p production rate […]
978-0134741062 Supplement C Solution Manual
Copyright © 2019 Pearson Education, Inc. C-1 Supplement C Special Inventory Models PROBLEMS Noninstantaneous Replenishment 1. Bold Vision Inc. ( )( )( ) ( ) ( )( ) 2 ELS 2 625 52 100 1,736 .2 130 1,736 625 250,000 […]
978-0134741062 Supplement C Lecture Note
Supplement C Special Inventory Models TEACHING TIP This chapter covers some realistic situations that require relaxation of one or more assumptions from the EOQ: Noninstantaneous replenishment, quantity discounts, and one-period decisions. 1. Noninstantaneous Replenishment 1. Maximum cycle inventory a. Item […]
978-0134741062 Supplement B Solution Note
Supplement B Waiting Lines 1. Define “customers” in waiting lines. 2. Why do waiting lines form? 3. When do no waiting lines form? 4. Why is the analysis of waiting lines important? 5. Service is the act of processing a […]
978-0134741062 Supplement B Solution Manual
B-1 Copyright © 2019 Pearson Education, Inc. Supplement B Waiting Lines PROBLEMS Structure of Waiting-Line Problems 1. Wingard Credit Union or 13.5% or 27.1% or 27.1% or 18.0% or 9.0% The probability that between 1 and 4 customers arrive equals […]
978-0134741062 Supplement B Lecture Note
Supplement B Waiting Lines 1. Define “customers” in waiting lines. 2. Why do waiting lines form? a. Temporary imbalance between demand for service and capacity of the system. b. Can develop even if the time to process is constant due […]
978-0134741062 Supplement A Solution Note
Supplement A Decision Making 1. Break-even Analysis 1. Evaluating services or products a. Assumptions and definitions b. Break-even quantity: Algebraic approach pQ = F + cQ Copyright © 2019 Pearson Education, Inc. =− F Qpc c. Break-even quantity: Graphic Approach […]
978-0134741062 Supplement A Solution Manual
A-1 Copyright © 2019 Pearson Education, Inc. Supplement A Decision Making PROBLEMS Break-Even Analysis 1. Williams Products a. Break-even quantity Q ( ) = − ( ) = − ( ) = Fixed costs Unit price Unit variable costs units […]
978-0134741062 Supplement A Lecture Note
Supplement A Decision Making 1. Break-even Analysis 1. Evaluating services or products a. We assume total all costs related to the production of a specific service or product can be divided into two categories: fixed costs (which do not vary […]
978-0134741062 Chapter 9 Solution Note
Chapter 9 Inventory Management Inventory Management 1. Inventories are important to all types of organizations and their employees. 2. Inventory a boon or bane? 1. Inventory Tradeoffs 1. Use the water tank analogy to show how inventories are created 2. […]
978-0134741062 Chapter 9 Solution Manual Part 2
• PART 2 • Managing Customer Demand Copyright © 2019 Pearson Education, Inc. 9-18 Continuous Review ( Q ) system Periodic Review ( P ) System z = 1.88 Time Between Reviews (P) 2.00 Weeks Enter manually Safety Stock […]
978-0134741062 Chapter 9 Solution Manual Part 1
Chapter 9 Inventory Management DISCUSSION QUESTIONS 1. The short answer is that higher inventories do not provide an advantage in any of the nine competitive priority categories. The important point is that firms must have the “right amount” of inventory […]
978-0134741062 Chapter 9 Lecture Note
Chapter 9 Inventory Management TEACHING TIP Open with Ford’s Smart Inventory Management System (SIMS) and its use of big data to ascertain what customers want, manage vehicle complexity, and distribute the “right” cars to the “right” dealers. Managing inventories is […]
978-0134741062 Chapter 8 Solution Note
Chapter 8 Forecasting Forecasting 1. What is a forecast? 2. Forecasts are critical inputs to business plans, annual plans, and budgets. a. Finance: b. Human resources: c. Marketing: d. Operations and supply chain managers: 3. Managers throughout the organization make […]
978-0134741062 Chapter 8 Solution Manual Part 4
PART 2 Managing Customer Demand 8-54 Naïve Forecast Worksheet Actual Data 1-Period Moving Average Period Forecast Error CFE 1 1,160 2 779 1,160 3 1,134 779 4 1,275 1,134 5 1,355 1,275 80.00 80.00 6 1,513 1,355 158.00 238.00 7 […]
978-0134741062 Chapter 8 Solution Manual Part 3
Forecasting ⚫ CHAPTER 8 ⚫ 8-41 One way to estimate the total demand for cycle 5 is to use OM Explorer’s Trend Projection routine in the Time Series Solver. Here we get the following results: Copyright © 2019 Pearson Education, […]
978-0134741062 Chapter 8 Solution Manual Part 2
Forecasting ⚫ CHAPTER 8 ⚫ 8-21 17. Utility company Quarter Year 1 Year 2 Year 3 Year 4 1 103.5 94.7 118.6 109.3 2 126.1 116.0 141.2 131.6 3 144.5 137.1 159.0 149.5 4 166.1 152.5 178.2 169.0 Totals 540.2 […]
978-0134741062 Chapter 8 Solution Manual Part 1
Chapter 8 Forecasting DISCUSSION QUESTIONS 1. a. There is no apparent trend in the data. The naïve forecast method, exponential smoothing or the simple moving average would be appropriate for estimating the average. b. The primary external factors that can […]
978-0134741062 Chapter 8 Lecture Note
Chapter 8 Forecasting TEACHING TIP Balancing supply and demand begins with making accurate forecast. This chapter focuses on demand forecasts. Forecasting methods may be based on mathematical models that use available historical data, on qualitative methods, or they may be […]
978-0134741062 Chapter 7 Solution Note
Chapter 7 Project Management Project Management 1. Define the term project a. List some examples b. What are three main goals of any project? 2. Define project management 3. How can projects be used? 1. Defining and Organizing Projects 1. […]
978-0134741062 Chapter 7 Solution Manual Part 2
Project Management ⚫ CHAPTER 7 ⚫ 7-17 b. Project cost with the earliest start time for each activity: Project time 25 Project Budget $ 2,125 Period Total A B C D E F G H I J K L M […]
978-0134741062 Chapter 7 Solution Manual Part 1
Chapter 7 Project Management DISCUSSION QUESTIONS 1. Software is an essential element for successful management of complex projects. It can provide information on completion performance of critical activities, highlight activities that need additional resources, and suggest the project duration that […]
978-0134741062 Chapter 7 Lecture Note
Chapter 7 Project Management Project Management TEACHING TIP Introduce with Burj Khalifa, the tallest building in the world. The building of which took six years and at its peak construction employed 12,000 employees from 100 countries. Construction of this magnitude […]
978-0134741062 Chapter 6 Solution Note
Chapter 6 Lean Systems How does a lean system affect a firm’s internal linkages between its core and supporting processes and its external linkages with its customers and suppliers? 1. Marketing: 2. Human resources: 3. Engineering: 4. Operations: 5. Accounting: […]
978-0134741062 Chapter 6 Solution Manual
Copyright © 2019 Pearson Education, Inc. Chapter 6 Lean Systems DISCUSSION QUESTIONS 1. a. Many students buy into lean systems as a philosophy until they are faced with the prospect of having their own work evaluated on the basis of […]
978-0134741062 Chapter 6 Lecture Note
Chapter 6 Lean Systems TEACHING TIP Open with Aldi, a discount supermarket chain whose products due to the use of lean initiatives can be as much as 30% cheaper than its competitors. At the same time, strong focus on the […]
978-0134741062 Chapter 5 Solution Note
Chapter 5 Constraint Management 1. Define constraint 2. Define capacity 3. Three types of constraints a. b. c. 4. Define bottleneck 1. Theory of Constraints 1. Performance measures in TOC a. Inventory (I): b. Throughput (T): c. Operating Expenses (OE): […]
978-0134741062 Chapter 5 Solution Manual Part 2
Constraint Management ⚫ CHAPTER 5 5-15 and delivery performance is deteriorating. The company must do a better job of aligning its market strategy with its manufacturing strategy using the theory of constraints. Because the case is a simulation involving teams, […]
978-0134741062 Chapter 5 Solution Manual Part 1
Chapter 5 Constraint Management DISCUSSION QUESTIONS 1. Examples of everyday bottlenecks include traffic lights, drive-thru windows at the bank or fast food restaurants. On the highway merging lanes and speed zones. Efficiency can be improved by maintaining constant speeds, setting […]
978-0134741062 Chapter 5 Lecture Note
Chapter 5 Constraint Management TEACHING TIP Introduce with Microsoft Corporation and how it’s XIT sustained Engineering manages change request in its software development process. • What was the problem? • How did they solve the problem? TEACHING TIP Managers throughout […]
978-0134741062 Chapter 4 Solution Note
Chapter 4 Capacity Planning 1. Define Capacity: 2. How are constraint and capacity decisions related? a. Accounting: b. Finance: c. Marketing: d. Management information systems: 1. Planning Long-Term Capacity 1. Long-term capacity planning 2. Measures of capacity and utilization a. […]
978-0134741062 Chapter 4 Solution Manual Part 2
Capacity Planning ⚫ CHAPTER 4 ⚫ Copyright © 2019 Pearson Education, Inc. period is longer than 4 years, it does not meet Darren’s threshold. Consequently, the project should not be undertaken. 25. Dintell Corporation. Assuming a five-year life. Decision tree: […]
978-0134741062 Chapter 4 Solution Manual Part 1
Chapter 4 Capacity Planning DISCUSSION QUESTIONS 1. The primary economies of scale concern spreading the instructor’s salary over a larger class and filling classrooms to capacity (and then some). Diseconomies occur when additional help is required to review homework, administer […]