Donner Case

Topics: English-language films, Gross profit margin, The Order Pages: 4 (1114 words) Published: November 16, 2006
Question 1:
What is the normal process flow of the production system at Donner? Draw a process flow diagram.

Question 2:
What orders would you schedule on the CNC drill? On CNC router?

OperationSetup Time (min)Run Time/board
Manual Drill150.08*500 = 40
CNC Drill2400.004*500 = 2
Punch Press501
CNC Router1500.5

a) CNC Drill vs Manual Drill
Let x be order size than –
15 + 40x = 240 + 2x; x = 5.92;
From this equation we get x approximately equal to 6. So Donner Company should use the CNC Drill for orders of more than or equal to 6 boards. The Manual Drill process should be used for all orders of less than 6 boards. This is because production time for CNC is less than manual for order size of more than 6 units.

b) Punch Press vs CNC Router
As for above, let x be order size than –
50 + x = 150 + 0.5x;x = 200;
So if order size is more than 200, Donor Company should go for CNC Drill. If order size is less than 200, Punch press would be preferred. At exactly 200 boards per order, any of them could be used.

Question 3:
What is the capacity of the Dry Film Photo resist area? (Assume the order size is eight.) How does the capacity change with the order size?

Assumptions -
•Working hours available is 8 hours/day
•Setup for the next step begins when the previous step's run is finished

For Order Size of 8 unit –
Total Production time for a panel(8 board) – 47.4 mins.
So, daily capacity in orders is – (8*60)/47.4 = 10.126 ≈ 10 order/day.

Order size in boardsOrder size in panelsProcess TimeDaily Capacity in ordersDaily capacity in Boards 8147.41080

So, as we see that as the order size increases, Daily order capacity decreases but Daily capacity of boards increases. This happens due to the fact that set up time has negative impact on overall production.

Question 4:
What is the standard labor time for an...
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