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Message: Book: Heizer, J., & Render, B. (2014). Operations Management (11th Ed.). Upper Saddle River, N.J.: Prentice Hall.

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Question 1. Munson Performance Auto, Inc., modifies 375 autos per year. The manager, Adam Munson, is interested in obtaining a measure of overall performance. He has asked you to provide him with a multifactor measure of last years performance as a benchmark for future comparison. You have assembled the following data. Resource inputs were labor, 10,000 hours; 500 suspension and engine modification kits; and energy, 100,000 kilowatt-hours. Average labor cost last year was $20 per hour, kits cost $1,000 each, and energy cots were $3 per kilowatt-hour. What do you tell Mr. Munson?

Question 2. Charles lackey operates a bakery in Idaho Falls, Idaho. Because of its excellent product and excellent location, demand has increased by 25% in the last year. On far too many occasions, customers have not been able to purchase the bread of their choice. Because of the size of the store, no new ovens can be added. At a staff meeting, one employee suggested ways to load the ovens differently so that more loaves of bread can be baked at one time. This new process will require that the ovens be loaded by hand, requiring additional manpower. This is the only thing to be changed. If the bakery makes 1,500 loaves per month with a labor productivity of 2,344 loaves per labor-hour, how many workers will lackey need to add? Each worker works 160 hours per month.

Question 3 Ranga Ramasech is the operation manager for a firm that is trying to decide which one of four countries it should research for possible outsourcing providers. The first step is to select a country based on cultural risk factors, which are critical to eventual business success with the provider. Ranga has reviewed outsourcing provider directories and found that the four countries in the table that follows have an ample number of providers from which they can choose. To aid the country selection step, he has enlisted the aid of a cultural expert, John Wang, who has provided rating of the various criteria in the table. The resulting rating are on a 1 to 10 scale, where 1 is a low risk and 10 is a high risk.

John has also determined six criteria weightings: Trust, with a weight of 0.4: Quality, with 0.2; Religious, with 0.1; Individualism, with 0.1; Time, with 0.1; and Uncertainty, with 0.1. Using the factor-rating method, which country should Ranga select?

Culture Selection Criterion Mexico Panama Costa Rica   Peru
Trust 1 2 2 1
Society Value of Quality Work 7 10 9 10
Religiuos Attitudes 3 3 3 5
Individual Attitudes 5 2 4 8
Time Orientation Attitudes 4 6 7 3
Uncertainty Avoidance Attitudes 3 2 4 2

Discussion Questions from Strategy at Regal Marine Case:

1. State Regal Marine's mission in your own words.

2. Identify the strength, weakness, opportunities, and threats that are relevant to the strategy of Regal marine.

3. How would each of the 10 operations management decisions apply to operations decision making at Regal Marine?

4. How would each of the 10 operations management decisions apply to operations decisions making at Regal Marine?

Question 4. Draw the activity-on-node (AON) project network associated with the following activities for Carl Betterton's construction project. How long should it take Carl and his team to complot this project? What are the critical path activities?

Activity

Immediate Predecessor(s)

Time (Day

A

 

3

B

A

4

C

A

6

D

B

6

E

B

4

F

C

4

G

D

6

H

E,F

8

Question 5. The actual demand for the patients at Omaha Emergency Medical Clinic for the first 6 weeks of this year follows:

Week

Actual No. of Patients

1

65

2

62

3

70

4

48

5

63

6

52

Clinic administrator Marc Schniederjans wants you to forecast patient demand at the clinic for week 7 by using this data. You decide to use a weighed moving average method to find this forecast. Your method uses four actual demand levels, with weights of 0.333 on the present period, 0.25 one period ago, 0.25 two periods ago, and 0.167 three periods ago.
a. What is the value of your forecast?
b. If instead the weights were 20, 15, 15, and 10, respectively, how would the forecast change? Explain why.
c. What if the weights were 0.40, 0.30, 0.20, and 0.10, respectively? Now what is the forecast for week 7?

Question 6. Prepare a product-by-value analysis for the following products, and given the position in its life cycle, identify the issues likely to confront the operations manager and his or her possible actions. Product Alpha has annual sales of 1,000 units and a contribution of $2,500; it is in the introductory stage. Product Bravo has annual sales of 1,500 units and contribution of $3,000; it is in the growth stage. Product Charlie has annual sales of 3,500 units and a contribution of $1,750; it is in the decline stage.

Question 7. Develop a Pareto chart of the following causes of poor grades on an exam:

Reason for Poor Grade

Frequency

Insufficient Time to Complete

15

Late Arrival to Exam

7

Difficulty Understanding Material

25

Insufficient Preparation Time

2

Studied Wrong Material

2

Distractions in Exam Room

9

Calculator Batteries Died During Exam

1

Forgot Exam was Scheduled

3

Felt Ill During Exam

4

Question 8. A recent Gallup poll of 519 adults who flew in the past year found the following number of complaints about flying: Cramped seats (45), cost (16), dislike of fear of flying (57), security measures (119), poor service (12), connecting flight problem (8), overcrowded planes (42), late planes/waits (57), food (7), lost luggage (7), and other (51).

a. What percentage of those surveyed found nothing they dislike?
b. Draw a Pareto chart summarizing these responses. Include the "no complaints" group.
c. Use the ‘four Ms" method to create a fish-bone diagram for the 10 specific categories of dislike (exclude "other" and "no complaints").
d. If you were managing as airline, what two or three specific issues would you tackle to improve customer service? Why?

Question 9. Prepare a time-function map for one of the activities in Problem 7.1.
Problem 7.1 Prepare a flowchart for one of the following:
c. a shoe shine

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