# Operation Management

**Operation Management**

The following information applies to the questions displayed below

An air-conditioning repair department manager has compiled data on the primary reason for 41 service calls for the previous week, as shown in the table.

Job

Number Problem/

Customer Type Job

Number Problem/

Customer Type Job

Number Problem/

Customer Type

301 F/C 315 N/C 329 N/C

302 F/R 316 N/R 330 F/R

303 O/C 317 N/R 331 N/R

304 O/C 318 N/C 332 N/R

305 W/C 319 N/R 333 N/R

306 W/R 320 F/R 334 N/R

307 O/R 321 O/C 335 O/C

308 N/R 322 W/C 336 W/C

309 F/C 323 O/R 337 N/R

310 N/R 324 F/C 338 F/R

311 O/C 325 W/C 339 O/R

312 F/R 326 O/R 340 N/R

313 O/C 327 F/C 341 N/R

314 W/C 328 F/R

________________________________________

Key: Problem type: Customer type:

N = Noisy C = Commercial customer

F = Equipment failure R = Residential customer

W = Runs warm

O = Odor

________________________________________

Problem 9-2 Part a

a.Using the data, prepare a check sheet for the problem types for each customer type.

(1) Residential customer type

Residential

Noisy

Failed

Odor

Warm

Totals

________________________________________

(2) Commercial customer type

Commercial

Failed

Noisy

Odor

Warm

Totals

________________________________________

Problem 9-2

[The following information applies to the questions displayed below.]

An air-conditioning repair department manager has compiled data on the primary reason for 41 service calls for the previous week, as shown in the table.

Job

Number Problem/

Customer Type Job

Number Problem/

Customer Type Job

Number Problem/

Customer Type

301 F/C 315 N/C 329 N/C

302 F/R 316 N/R 330 F/R

303 O/C 317 N/R 331 N/R

304 O/C 318 N/C 332 N/R

305 W/C 319 N/R 333 N/R

306 W/R 320 F/R 334 N/R

307 O/R 321 O/C 335 O/C

308 N/R 322 W/C 336 W/C

309 F/C 323 O/R 337 N/R

310 N/R 324 F/C 338 F/R

311 O/C 325 W/C 339 O/R

312 F/R 326 O/R 340 N/R

313 O/C 327 F/C 341 N/R

314 W/C 328 F/R

________________________________________

Key: Problem type: Customer type:

N = Noisy C = Commercial customer

F = Equipment failure R = Residential customer

W = Runs warm

O = Odor

________________________________________

Problem 9-2 Part b

b. Select a appropriate Pareto diagram for the Residential customers.

rev: 10_06_2017_QC_CS-104280

Multiple Choice

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Problem 9-2

[The following information applies to the questions displayed below.]

An air-conditioning repair department manager has compiled data on the primary reason for 41 service calls for the previous week, as shown in the table.

Job

Number Problem/

Customer Type Job

Number Problem/

Customer Type Job

Number Problem/

Customer Type

301 F/C 315 N/C 329 N/C

302 F/R 316 N/R 330 F/R

303 O/C 317 N/R 331 N/R

304 O/C 318 N/C 332 N/R

305 W/C 319 N/R 333 N/R

306 W/R 320 F/R 334 N/R

307 O/R 321 O/C 335 O/C

308 N/R 322 W/C 336 W/C

309 F/C 323 O/R 337 N/R

310 N/R 324 F/C 338 F/R

311 O/C 325 W/C 339 O/R

312 F/R 326 O/R 340 N/R

313 O/C 327 F/C 341 N/R

314 W/C 328 F/R

________________________________________

Key: Problem type: Customer type:

N = Noisy C = Commercial customer

F = Equipment failure R = Residential customer

W = Runs warm

O = Odor

________________________________________

Problem 9-2 Part c

c. Select a appropriate Pareto diagram for the Commercial customers.

rev: 10_06_2017_QC_CS-104280

Multiple Choice

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Problem 10-1

Specifications for a part for a DVD player state that the part should weigh between 25.4 and 26.4 ounces. The process that produces the parts has a mean of 25.9 ounces and a standard deviation of .20 ounce. The distribution of output is normal. Use Table-A.

a.What percentage of parts will not meet the weight specs? (Round your “z” value and final answer to 2 decimal places. Omit the “%” sign in your response.)

Percentage of parts %

b.Within what values will 95.44 percent of sample means of this process fall, if samples of n = 10 are taken and the process is in control (random)? (Round your answers to 2 decimal places.)

Lower value , Upper value

Problem 10-11

Specifications for the computer upgrades are 77 minutes and 81 minutes. Estimate the percentage of process output that can be expected to fall within the specifications. (Round your answer to 1 decimal place. Omit the “%” sign in your response.)

SAMPLE

1 2 3 4 5 6

79.2 78.4 79.6 78.9 80.5 79.7

81.9 78.7 79.6 79.8 79.6 80.6

80.0 81.0 78.9 79.7 80.4 79.1

78.4 80.4 80.3 79.4 78.5 80.0

81.0 80.1 80.8 80.6 78.8 81.1

________________________________________

Expected process output %

Problem 10-18

A production process consists of a three-step operation. The scrap rate is 17 percent for the first step and 9 percent for the other two steps.

a.If the desired daily output is 499 units, how many units must be started to allow for loss due to scrap? (Do not round intermediate calculations. Round up your final answer to the next whole number.)

Number of units

b.If the scrap rate for each step could be cut in half at every operation, how many units would this save in terms of the scrap allowance? (Do not round intermediate calculations. Round up your final answer to the next whole number.)

Number of units

c.If the scrap represents a cost of $10 per unit, how much is it costing the company per day for the original scrap rate (i.e. the Part a scrap rate)? (Round your final answer to the nearest whole number. Omit the “$” sign in your response.)

Cost $

Problem 11-20

Prepare a master schedule given this information: It is now the end of week 1; customer orders are 25 for week 2, 16 for week 3, 11 for week 4, 8 for week 5, and 3 for week 6. Use the MPS rule of ordering production when projected on-hand inventory would be negative without production. Suppose that there are currently 64 pumps in inventory and a production lot size of 70 pumps is used. (Leave no cells blank – be certain to enter “0” wherever required.)

June July

1 2 3 4 5 6 7 8

Forecast 30 30 30 30 40 40 40 40

Customer orders (committed) 33 25 16 11 8 3

Projected on-hand inventory

MPS

ATP

Problem 12-9

Assume that you are the manager of a shop that assembles power tools. You have just received an order for 53 chain saws, which are to be shipped at the start of week 8. Pertinent information on the saws is

Item Lead Time (weeks) On Hand Components

Saw 2 15 A(2), B(1), C(4)

A 1 10 E(3), D(1)

B 2 5 D(2), F(3)

C 2 65 E(2), D(2)

D 1 20

E 1 10

F 2 30

________________________________________

Develop the material requirements plan for component E using lot-for-lot ordering. (Leave no cells blank – be certain to enter “0” wherever required.)

Item: E(3) & E(2) LT = 1 wk. Beg. Inv. 1 2 3 4 5 6 7 8

Gross requirements

Scheduled receipts

Projected on hand

Net requirements

Planned order receipt

Planned order release