Problem-1;Mantel Manufacturing supplies various automotive components to major automobile assembly divisions on a just-in-time. The company has received a new contract for water pumps. Planned production capacity for water pumps is 100 units /shift. Because of fluctuations in customers? assembly operations, demand fluctuates and is historically 80 130 units/ day. To maintain sufficient inventory to meet its just-in-time commitment, Mantel management is considering a policy to run second shift if inventory falls to 50 units or below. For performing finical risk assessment, mangers need to know how many additional shifts will be needed. How many additional shifts the company might need to run for 250 ?day working year? The governing equation for this problem is given;Ending inventory= Beginning inventory + Production - Demand;[Hints: Assume the beginning inventory is 100 units and perform simulation at least for 100-day working year].
Paper#24387 | Written in 18-Jul-2015Price : $37