The warehouse manager thought a recent presentation on operations management was
ID: 368013 • Letter: T
Question
The warehouse manager thought a recent presentation on operations management was extremely valuable to the company. He now wants to shift the conversation to focus on his warehouse department. You told him a little about supply chain design and how it could improve inventory management. He is interested in hearing more about supply chain design and wants his department staff to also be aware of this valuable resource. He has asked you to create a memo that will be sent out to everyone in his department.
Draft a memo explaining to your warehouse managers how effective supply chain design could help to enhance profitability and stakeholder value for the company, including the following:
Provide an analysis of the behaviors of supply chain networks and supply chain drivers in your memo.
Explain how supply chain impacts distribution of assets and resources.
The memo should include a visual representation of an example supply chain network using the “Shape” or SmartArt” option in MS Word.
Must be original, 700 words with diagram (20 points)
.
Explanation / Answer
A.
Number of Employees = 17
Number of Samples = 50 samples
Number of employees idle = 400
Total Number of employees observed = 50 x 17 = 850
Number of employees busy = 850 – 400 = 450
Proportion of employees busy = p = 450/850 = 0.53
Proportion of employees idle = (1 – p) = 0.47
Confidence level = 0.9
z-score for 0.9 = 1.44
To determine sample number of observations required for the work study following formula is used:
n = (z/e)2(p)(1-p) = (1.44/0.05)2(0.53)(0.47) = 207 samples
B:
Sample Size required for packaging area:
proportion of employes busy = 1 - 0.37 = p = 0.63
n = (z/e)2(p)(1-p) = (1.44/0.05)2(0.63)(0.37) = 193 samples
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