# Bus 630 Case Study

Topics: Following, Shift work, Year Pages: 2 (392 words) Published: February 16, 2013
Capacity Practice Problems:

1) Given the following information, compute the efficiency, utilization and productivity of this repair department.
Design (Maximum or peak) Capacity = 50 vehicles per day
Effective Capacity = 40 vehicles per day
Actual (Demonstrated) Output = 36 vehicles per day
Labor actually used = 44 vehicles per day
Efficiency= Actual OutputEffective Capacity = 36 vehicles per day40 vehicles per day=90% Utilization= Actual OutputDesign Capacity = 36 vehicles per day50 vehicles per day=72% Productivity= Actual OutputLabor used = 36 vehicles per day44 vehicles per day=82%

2) A department works one 8-hour shift, 250 days per year. It has demand for the following products. How many pieces of equipment are needed to meet the demand? Product| Annual Demand| Processing time per unit| Total time needed| 1| 400| 5.0 hrs each| 2,000 hrs|

2| 300| 8.0 hrs each| 2,400 hrs|
3| 700| 2.0 hrs each| 1,400 hrs|
| 1,400| | 5,800 hrs|

Working one shift for 8 hrs/day, 250 days per year = 8 * 250 = 2,000 hours per year
To meet the volume of 5,800 hrs: 5,800 hrs needed2,000 hrs per equipment=2.90 or 3 pcs of equipment

3) Using the data from #2, if a 20% capacity cushion is desired, how many pieces of equipment are needed? 5,800 hrs needed2,000 hrs*.80=3.65 or 4 pcs of equipment
4) Using the data below, if an area works two 8 hour shifts per day, for 250 days per year and a 25% capacity cushion is desired and set-ups are included, how many pieces of equipment are needed? Product| Annual Demand| Batch size| Set-up time per batch| Processing time per unit| Total Set-up time needed| Total Processingtime needed| Total time needed| 1| 400| 50| 10 hrs| 5.0 hrs ea| 400/50 * 10 = 80hrs| 2,000 hrs| 2,080 hrs| 2| 300| 25| 5 hrs| 8.0 hrs ea| 300/25 * 5 = 60hrs| 2,400 hrs| 2,460 hrs| 3| 700| 100| 15 hrs| 2.0 hrs ea| 700/100 * 15 = 105hrs| 1,400 hrs| 1,505 hrs| | 1,400| | | | | 5,800...