1. Kellam Images prints snack food bags on long rolls of plastic film. The plant operates 250 days a year. The daily production rate is 6000 bags, and the daily demand is 3500 bags. The cost to set up the design for printing is $300. The holding cost is estimated at 2 cents per bag.
a. What is the recommended production lot size?
b. If there is a five-day lead time to set up the line, what is the recommended reorder point?
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2. In a waiting line situation, arrivals occur at a rate of 2 per minute, and the service times average 18 seconds.
Assume the Poisson and exponential distributions.
a. What is Arrival rate?
b. What is Service rate?
c. Find probability of no units in the system.
d. Find average number of units in the system.
e. Find average time in the waiting line.
f. Find average time in the system.
g. Find probability that there is one person waiting
Solution Summary
The posting contains one problem on Economic production lot size and one problem on waiting line.
... for the mathematical analysis of waiting lines was formed ... quantities, on-order quantities, lot sizes, safety stock ... found in the master production schedule (MPS ...
... the elements of short setup times and small lot sizes. ... be done as a proposed design nears the production stage ... to determine which parts of productions should be ...
... from unbalanced lines, unnecessary movement, waiting for material ... wasters (too much inventory, unnecessary production, etc ... things like moving to a lot size of one ...
... As it related to lot size, waiting time, spatial convenience, warehousing and ... can fit into a space the size of a ... factors as supply and demand, and production vs ...
... only the materials (eg, five examination rooms, waiting room to ... for each operation and the lot sizing procedure for ... levels in the supply and production lines 12 ...
... conglomerate of diversified products EMC ORG CHART Size and customer ... The majority of the production quality issues seems to be scrapping ... A lot of 10 cu ...
... 7 wastes are: Over production wastes, Waiting Time wastes ... stage to build the lot size indicated on ...Production Kanbans are transferred at regular intervals to a ...
... inventory is reviewed periodically to determine the size of order ...Production has to wait until resin gets filled ... There is lot of idle inventory that waits to be ...
... to reduce these setup costs to permit smaller lot sizes. ... from vendors or the size of lots submitted to ... tires needed is dependent on the production levels and ...
