Business & Finance Productions and Operations Assignment

1. a. Define (i) goods (ii) services. Outline 2 differences between goods and services  (2 pts)

b. Briefly define 3 types of performance measures and outline at least 2 performance metrics for each of these types. (3 pts)

2. a. Suppose that the specifications for a part (in inches) are 6.00 ± 0.02 and that the Taguchi Loss function is estimated to be L(x) = 6000(x-T)2. Determine the economic loss if x = 6.02 inches. (4 pts)

b. Determine the total system reliability if the individual component reliabilities are A = 0.94, B = 0.82, and C = 0.87. (6 pts)

     

3. a. Explain 2 supply chain design tradeoffs. (4 pts)

b. What is a product layout? Give an example of a facility with a product layout. (3 pts)

c. What is a process layout? Give an example of a facility with a process layout. (3 pts)

4. The production process shown in the figure below consists of five stages. The numbers in parentheses are the number of minutes required to complete one unit before moving on to the next stage. The demand rate is 36 units per hour.

     a. How many workers are needed at each stage to reach a target utilization of 90 percent? (8 pts)

b. Assuming each stage has 1 worker assigned, where is the bottleneck located? (2 pts)