Purchase Solution

OperATION MANAGEMENT :sOLVER TOOL

Not what you're looking for?

Ask Custom Question

Please see attached file for full problem description.

A problem often of concern to managers in the process industry is blending. Consider the task facing the procurement manager of a company that manufactures special additives. She must determine the proper amounts of each raw material to purchase for the production of a certain product. Three raw materials are available. Each gallon of the finished product must have a combustion point of at least 220F. In addition, the gamma content (which causes hydrocarbon pollution) cannot exceed 6% of the volume. The zeta content (which cleans the internal moving parts of engines) must be at least 12% by volume. Each raw material has varying degrees of these characteristics.
Raw material
Characteristic
A
B
C
Combustion point (F) 200 180 280
Gamma content (%) 4 3 10
Zeta content (%) 20 10 8
Raw material A costs $0.60 per gallon; raw material B, $0.40; and raw material C, $0.50. The procurement manager wishes to minimize the cost of raw materials per gallon of product. What are the optimal proportions of each raw material to use in a gallon of finished product? Hint: Express your decision variables in terms of fractions of a gallon. The sum of the fractions must equal 1.00.
VARIABLE DEFINITIONS
FORMULATION
SOLUTION
You may either state the tools that need to be used to solve the problem, provide the outcomes from use of the tools, or provide a managerial analysis and solution to the problem. Comment on the results found by other students - and provide reasons on why you either agree or disagree.

Purchase this Solution

Solution Summary

The word document contains mathematical formulation with explanations of operation management problem.The excel file has problem formulation in Solver tool and optimal solution.

Solution Preview

Hi,

Please see attached files for complete details on your posting.
1. ...

Purchase this Solution


Free BrainMass Quizzes
Business Processes

This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.

Marketing Research and Forecasting

The following quiz will assess your ability to identify steps in the marketing research process. Understanding this information will provide fundamental knowledge related to marketing research.

Academic Reading and Writing: Critical Thinking

Importance of Critical Thinking

Lean your Process

This quiz will help you understand the basic concepts of Lean.

Understanding the Accounting Equation

These 10 questions help a new student of accounting to understand the basic premise of accounting and how it is applied to the business world.