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    Abdul Wasay Kalia

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    Habib Ejaz
    This document contains questions and responses about various operations management processes. Question 7 discusses the steps and time required to stuff and mail 2000 envelopes. Question 8 compares two self-service gas station designs. Question 9 examines the process of making ice cream cones and ways to make it more efficient. Question 12 looks at an automobile oil change process and how to reduce the labor costs.

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    Abdul Wasay Kalia

    Uploaded by

    Habib Ejaz
    57 views4 pages
    This document contains questions and responses about various operations management processes. Question 7 discusses the steps and time required to stuff and mail 2000 envelopes. Question 8 compares two self-service gas station designs. Question 9 examines the process of making ice cream cones and ways to make it more efficient. Question 12 looks at an automobile oil change process and how to reduce the labor costs.

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    This document contains questions and responses about various operations management processes. Question 7 discusses the steps and time required to stuff and mail 2000 envelopes. Question 8 compares two self-service gas station designs. Question 9 examines the process of making ice cream cones and ways to make it more efficient. Question 12 looks at an automobile oil change process and how to reduce the labor costs.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    57 views4 pages

    Abdul Wasay Kalia

    Uploaded by

    Habib Ejaz
    This document contains questions and responses about various operations management processes. Question 7 discusses the steps and time required to stuff and mail 2000 envelopes. Question 8 compares two self-service gas station designs. Question 9 examines the process of making ice cream cones and ways to make it more efficient. Question 12 looks at an automobile oil change process and how to reduce the labor costs.

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    Assignment No.

    2 Operation Management

    Q7. Suppose you are in charge…..corner of each envelope (0.10


    minutes each).

    A.

    Matched with Stuffed into


    correct Folded correct
    envelope envelope
    (012 min Each)
    (0.2 min Each) (0.1 min Each)

    Envelopes are
    Stamped
    sealed
    Placed
    (0.05 min
    (0.1 min Each)
    Each)

    The time require to complete the process is 0.57 minutes.

    B. Labor Cost for 2000 envelopes is

    (2000x0.57x8)= $9120.

    C. Changes that would reduce the time and cost of the process:

    1. A letterhead with Dear Alumnus will make step 1 process letter not
    necessary, saving 400 minutes and $53.33.

    2. If envelopes are to be stamped by a postage meter, it will take, 10


    minutes. This results in a saving 190 minutes and $25.33.

    3. Window envelopes eliminate the need to match envelopes to letters,


    resulting in a saving of 53.33.
    D. Using the letter with Dear Alumnus may reduce the effectiveness of
    the project because it would be less personal. This concern goes also
    for the use of mailing labels.

    E. The second third and fourth process will increase the effectiveness
    in such a way that more letters will be processed and sent which will
    help in reaching more alumnus and more contributions will be
    collected.

    Q8. Diagrams of two self-service gasoline…..people through each


    station.

    A. In station A, the cars from each road can enter, fill gas and make
    payments to cashier’s booth and then exist on to the same road easily
    so station A has a efficient flow as the cashier booth is separated from
    the two filling islands and there is no interference between the two
    flows. In station B the placement of cashier’s booth, filling islands and
    grass area makes the flow very unhandy within the station.

    B. Station A is likely to lose more customers because the entrance and


    exist gate are same so the customer will find difficulty to enter
    because another car will be headed in front of them in the other
    direction.

    C. At station A, customer can pay without getting of the car because


    the cashier’s booth placement is in the center of the two filling
    islands.
    Q9. The management of the Just Like Home Restaurant……or by a
    customer (for takeout)

    A.

    Summary
    Activity Number of steps Time (min) Distance (ft)
    Operation 6 1.70
    Transportation 6 0.80 31
    Inspection 1 0.25
    Delay 1 0.50
    Store - -

    B. Each cycle of making a single scoop takes 3.25 min. The total labor
    cost is ($10/hr)x(3.25min/cone/60 min)x(10cones/hr)x(10 hr/day)x(363
    days/yr) = 19,662.5.

    C. To make this process more efficient, we can eliminate, delay and


    reduce travelling by having pre-cleaned scoops available. Summary of
    the chart follows

    Summary
    Activity Number of steps Time (min) Distance (ft)
    Operation 5 1.65
    Transportation 4 0.45 15
    Inspection 1 0.25
    Delay - -
    Store - -

    The cycle time is reduce to 2.35 minutes. The total labor cost is
    ($10/hr)x(2.35min/cone/60min)x(10cones/hr)x(10 hr/day)x(363 days/yr)
    = $14,217.5.

    The annual labor saving is $19662.5-14217.5= $5,445.

    Q12. Refer to the process chart for the automobile oil change in

    A. The total labor cost is ($45/hr)x(28min/60min)x(2cars/hr)x(10


    hr/day)x(330 day/yr) = $138,600.

    B. if steps 7, 10, 12 and 15 are eliminated then summary will be


    Summary
    Activity Number of steps Time (min) Distance (ft)
    Operation 7 16.50
    Transportation 4 2.8 220
    Inspection 4 5.0
    Delay 1 0.70
    Store 1 0.30

    The cycle time is reduced to 25.3 minutes. The total labor cost is
    ($45/hr)x(25.3min/60min)x(2cars/hr)x(10 hr/day)x(330 day/yr) =
    $125,235.

    The annual labor saving is $138,600-125,235= $13,365.

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