Introduction to Operation Management

Course Name: Introduction to Operation Management

Assignment No: 2:

Learning Outcomes:

Q1 LO Exhibit the knowledge of lean system, quality controls and green systems (LO  1.4))

Q2 Apply knowledge and skills to optimize production objective of maximizing profits using qualitative and quantitative techniques in related areas of operations management (LO 2.3, 2.5 & 2.)

NauticaB is a company that makes little boats. This company controls its production process by periodically taking a sample of 100 units from the production line.

Each product is inspected for defective features.

Control limits are developed using three standard deviations from the mean as the limit.

During the last 16 samples taken, the proportion of defective items per sample was recorded as follows:

The supply chain of Nautica has the following information:

Question 1-

Determine the mean proportion defective, the UCL, and the LCL and draw the process control chart. Does it appear that the process for making tees is in control? (chapter 9)

Question2

a. Compute the total supply chain throughput time for all the entities from beginning to end.(chapter 10)

b. Compute the cash-to-cash cycle time for each of the four entities separately. Based on this calculation, who is benefiting the most? .(chapter 10)

c. Compute the total delivered unit cost in the supply chain from beginning to end. How much profit is there in the supply chain? (chapter 10)