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Sarah King. president of King Electronics, Inc., has two design options for her new line of high-resolution cathode-ray tubes (CRTs) for CAD workstations. The life cycle sales forecast for the CRT is 100,000 units.

Design option A has a .90 probability of yielding 59 good CRTs per 100 and a .10 probability of yielding 64 good CRTs per 100. This design will cost $1,000,000.

Design option B has a .80 probability of yielding 64 good units per 100 and a .20 probability of yielding 59 good units per 100. This design will cost $1,350,000.

Good or bad, each CRT will cost $75. Each good CRT will sell for $150. Bad CRTs are destroyed and have no salvage value. We ignore any disposal costs in this problem.

1.Construct a house of quality matrix for a wristwatch, sure to indicate specific customer wants that you think the eral public desires. Thcn complete the matrix to show how an 'operations manager might identify specific attributes that can be measured and controlled to meet those customer desires.

2.Using the house of quality, pick a real product (a good or service) and analyze how an existing organization satis-fies customer requirements.

3.Conduct an interview with a prospective purchaser of a new bicycle and translate the customer's wants into the specific bows of the firm.

4.Prepare a bill of material for

(a) a pair of eyeglasses and its case or

(b) a fast-food sandwich (visit a local sandwich shop like Subway, McDonald's. Blimpic, Quizno's; perhaps a clerk or the manager will provide you with details on the quan-tity or weight of various ingredients--otherwise, estimate the quantities).

Operation Management, Management Studies

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