Question 1: Watch the Harley-Davidson video.  (http://youtu.be/Ul6mZws5fWA, http://youtu.be/7OivDtaCaYo)

(a) What was the main cause and effect of the big layoff in 1980s?

(b) How did they revive from the difficulties? What was the main strategy they used?

(c) Explain the three elements of Harley Davidson's Just-in Time Program in detail.

Question 2: Watch the Stockless Production video. (http://youtu.be/3AcYubyRgl0 , http://youtu.be/XTrFxhl8PEY)

(a) Fill-up the following table.

(b) What terminology in the table was used incorrectly?

(c) What are the benefits to use the lean manufacturing strategy? Explain it in the layman's words.

Question 3: Aggregate demand for a plant for a six-month period is given below. Production capacity for each month is 3200 units except in month 3 and month 6 it goes down to 2500. No shortages are permitted.

(a) Obtain production plan with the "Chase Strategy". If you have make changes to the basic plan, produce as close to the desired month as possible. The first adjustment is regarding to the excess demands for period 4 and the second one to the excess demands for period 6.

(b) Obtain production plan with the "Level Strategy".