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PA 7-5 Sarah\'s Organic Soap Company makes... Sarah\'s Organic Soap Company make

ID: 3149061 • Letter: P

Question

PA 7-5 Sarah's Organic Soap Company makes... Sarah's Organic Soap Company makes four kinds of organic liquid soap- "regular, Tlavender," "citrus, and "tea tree. Demand for the four scents are 125, 120,90,and 25 kgs per hour respectively. Sarah's production process can produce any soap at the rate of 475 kgs per hour, but 1.6 hours are needed to switch between scents. During those switchover times, the process doesn't produce any soap. Sarah wants to choose a production schedule that (1) cydles repeatedly through the four scents, (2) meets the required demand and (3) minimizes the amount of inventory held How many kgs of "regular should Sarah produce before switching over to another scent? kgs References eBook& Resources Worksheet Ofioulty 3 Hard PA 7-5 Sarah's Organic Soap Company makes Leaming Objective: 07-06 Find the production quantities of each item produced by a resource such that the resource minimizes inventory whle satistying all demand

Explanation / Answer

Recommended batch size = Flow rate × Set up time/[(1 - (Flow rate)*processing time]

Flow rate = 150 +125 +90+ 25= 390kgs per hour.

Set up time = 4 different scents * 1.6 hour for each switch to a new scent = 6.4 hours

Processing time = 475 kgs per hour

Recommend batch size = (390) × (6.4)[( 1- 390/ 475)] = 13951.928 kgs

Regular recommended batch= (125/390) × 13951.928 = 4471.77kgs shouls be produced before Sarah switches to another scent