Operations Management
QM 358-740 Summer 2013
Chapter 14 Homework

Discussion and Review Questions 6, 8, and 10

1.) (6) Certain Japanese have claimed that Henry Ford’s assembly line provided some of the rationale for lean. What features of assembly lines are common to lean systems?
Features of assembly lines that are common to lean systems include: * Muda- waste and inefficiency * Pull system- replacing material or parts based on demand * Kanban- a manual system that signals the need for parts or materials * Heijunka- workload leveling * Kaizen- continuous improvement of the system * Jidoka- quality at the source

2.) (8) Contrast push and pull methods of moving goods and materials through production systems.
In a push system work is pushed to the next station as it is completed. Releases are scheduled so output is determined by a set release rate. Since the releases are linked to orders (or forecasts), a push system is controlled by upstream information and is fundamentally make-to-order.
In a pull system, a workstation pulls output from the preceding station as it is needed. Releases are authorized. That is, there is an internal signal based on system status that determines whether a release is allowed or not.

3.) (10) What are the benefits and risks of small lot sizes?
Lot size directly affects inventory and scheduling. Benefits and risks of small lot sizes include: * Reduced inventory, lower carrying costs * Less space required to store inventory * Less rework if defects occur * Less inventory to “work off” before implementing product improvements * Increased visibility of problems * Increased production flexibility * Increased ease of balancing operations * Holding cost could be deemed to be high because cost is based on the average inventory

Critical Thinking Exercise 1