Case Studies Old Oregon Wood Store (I\'ve typed the figures in above the graph,
ID: 364328 • Letter: C
Question
Case Studies Old Oregon Wood Store (I've typed the figures in above the graph, where they aren't showing up)
In 2015, George Wright started the Old Oregon Wood Store to manufacture Old Oregon tables. Each table is carefully constructed by hand using the highest-quality oak. Old Oregon tables can support more than 500 pounds, and since the start of the Old Oregon Wood Store, not one table has been returned because of faulty workmanship or structural problems. In addition to being rugged, each table is beautifully finished using a urethane varnish that George developed over 20 years of working with wood-finishing materials.
The manufacturing process consists of four steps: preparation, assembly, finishing, and packaging. Each step is performed by one person. In addition to overseeing the entire operation, George does all of the finishing. Tom Surowski performs the preparation step, which involves cutting and forming the basic components of the tables. Leon Davis is in charge of the assembly, and Cathy Stark performs the packaging.
Although each person is responsible for only one step in the manufacturing process, everyone can perform any one of the steps. It is George’s policy that occasionally everyone should complete several tables on his or her own without any help or assistance. A small competition is used to see who can complete an entire table in the least amount of time. George maintains average total and intermediate completion times. The data are shown in Figure 15.7.
Preparation Assembly Finishing Packing
Tom 100 160 250 275
George 80 160 220 230
Leon 110 200 280 290
Cathy 120 190 290 315
Figure 15.7 Manufacturing Time in Minutes
It takes Cathy longer than the other employees to construct an Old Oregon table. In addition to being slower than the other employees, Cathy is also unhappy about her current responsibility of packaging, which leaves her idle most of the day. Her first preference is finishing, and her second preference is preparation.
In addition to quality, George is concerned with costs and efficiency. When one of the employees misses a day, it causes major scheduling problems. In some cases, George assigns another employee overtime to complete the necessary work. At other times, George simply waits until the employee returns to work to complete his or her step in the manufacturing process. Both solutions cause problems. Overtime is expensive, and waiting causes delays and sometimes stops the entire manufacturing process.
To overcome some of these problems, Randy Lane was hired. Randy’s major duties are to perform miscellaneous jobs and to help out if one of the employees is absent. George has given Randy training in all phases of the manufacturing process, and he is pleased with the speed at which Randy has been able to learn how to completely assemble Old Oregon tables. Randy’s average total and intermediate completion times are given in Figure 15.8.
Preparation Assembly Finishing Packing
Randy 110 190 290 300
Figure 15.8 Randy’s Completion Times in Minutes
1. What is the fastest way to manufacture Old Oregon tables using the original crew? How many could be made per day?
2. Would production rates and quantities change significantly if George would allow Randy to perform one of the four functions and make one of the original crew the backup person?
3. What is the fastest time to manufacture a table with the original crew if Cathy is moved to either preparation or finishing?
4. Whoever performs the packaging function is severely underutilized. Can you find a better way of utilizing the four- or five-person crew than either giving each a single job or allowing each to manufacture an entire table? How many tables could be manufactured per day with this scheme?
Explanation / Answer
Stage
Preparation
Assembly
Finishing
Packaging
Tom
100
160
250
275
George
80
160
220
230
Leon
110
200
280
290
Cathy
120
190
290
315
Fastest way to manufacture Old Oregon tables using the original crew:
Stage
Preparation
Assembly
Finishing
Packaging
Tom
100
60
90
25
George
80
80
60
10
Leon
110
90
80
10
Cathy
120
70
100
25
After applying Hungarian method,
Column reduction :-
20
0
30
15
0
20
0
0
30
30
20
0
40
10
40
15
Row reduction:
5
0
30
15
0
20
0
0
30
30
20
0
30
0
30
5
Minimum value is 5
Intersection is 20,0
The final table:
0
0
25
15
0
25
0
5
25
30
15
0
25
0
25
5
The work:
Stage
Preparation
Assembly
Finishing
Packaging
Tom
100
George
60
Leon
10
Cathy
70
Total time
100
70
60
10
From the allocation,
Total time = 100+70+60+10 = 240
Assuming 8 hours working a day, total no. of tables = 480/100 = 4.8 tables
2. If George would allow Randy to perform one of the four functions: -
Timing for Randy is 110 190 290 300
The new table formed after adding Randy:
Stage
Preparation
Assembly
Finishing
Packaging
Backup
Tom
100
60
90
25
0
George
80
80
60
10
0
Leon
110
90
80
10
0
Cathy
120
70
100
25
0
Randy
110
80
100
10
0
To balance the table, a dummy table has been added
Stage
Preparation
Assembly
Finishing
Packaging
Backup
Tom
60
George
80
Leon
80
Cathy
Backup
Randy
10
Total time
80
60
80
10
If Randy is hired, Total time = 80+60+80+10=230
Saving of time = 240-230=10 with Cathy as backup
3. Fastest time to manufacture a table with the original crew if Cathy is moved to either preparation or finishing is:-
If Cathy is removed:
First preference of Cathy is finishing.
Second preference is preparation
Ignore Randy
Work in which Cathy is given finishing
Stage
Preparation
Assembly
Finishing
Packaging
Tom
100
60
90
25
George
80
80
60
10
Leon
110
90
80
10
Cathy
120
70
100
25
Assigning remaining 3 jobs to remaining 3 persons:
Stage
Preparation
Assembly
Finishing
Packaging
Tom
60
George
80
Leon
10
Cathy
100
Total time
80
60
100
10
Total time = 80+60+100+10 = 250
Work in which Cathy is given Preparation
Stage
Preparation
Assembly
Finishing
Packaging
Tom
100
60
90
25
George
80
80
60
10
Leon
110
90
80
10
Cathy
120
70
100
25
Assigning remaining 3 jobs to remaining 3 persons:
Stage
Preparation
Assembly
Finishing
Packaging
Tom
60
George
60
Leon
10
Cathy
120
Total time
120
60
60
10
Total time = 120+60+30+10 = 250
4. If using Utilizing packaging function: We can combine packaging and finishing operation to utilize packaging function. By considering 5 crew members including Randy.
Stage
Preparation
Assembly
Finishing & Packaging
Backup
Total time
Tom
100
60
115
0
275
George
80
80
70
0
230
Leon
110
90
90
0
290
Cathy
120
70
125
0
315
Randy
110
80
110
0
300
Stage
Preparation
Assembly
Finishing
Packaging
Tom
100
160
250
275
George
80
160
220
230
Leon
110
200
280
290
Cathy
120
190
290
315
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