...Decision Analysis 3/1/2014 Unknown A. Workflow In order to improve the workflow in the plant, Shuzworld will have to improve the layout of their facility in order to create their product in a cost efficient and productive manner. This will enable Shuzworld to increase productivity, while ensuring the quality that consumers have grown to be accustomed to. Shuzworld will be able to accomplish this by equalizing the task times at the company’s work stations in order to ensure that employee time is maximized to its full potential. This can be accomplished by organizing employees into work cells that focus primarily on the product they are working on. By focusing on the product within the work cell, the company will be able to make better use of the production floor, as well as reduce the amount of direct labor required while increasing the sense of participation by employees. This will translate into higher rates of productivity on the assembly lines. One way to improve the work area for the employees is to create work cells that enable employees to communicate with each other in a simpler fashion, as well as have employees cross trained so that they can intervene and assist when necessary. Instead of having a traditional assembly line, the assembly line should be made into a U shape. The U shaped assembly line will reduce the amount of employee movement, and make it easier for employees to communicate amongst themselves during the construction process (MyOMLabs, 2012)...
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...Providing Recommendations For Shuzworld Business Essay Print Email Download Reference This Send to Kindle Reddit This Memo Providing Recommendations For Shuzworld Business Essay In order to find out the most cost-effectively decision, Shuzworld is considering the possibility of opening a new store on route 20, just outside of Auburn, referred to as the stand-alone option. The second option is opening a store in the Auburn Mall, and the third is not opening a store at all. To do nothing now, and wait for a better time to move in to the market. Shuzworld is also considering purchasing market research. I recommend that Shuzworld should use the decision tree graphical method, because of the nature of the issue (a graphic manner was asked to be used). A very important reason to why I am recommending this tool, is because the decision tree method is most commonly used for this kind of cases, as the Shuzworld presented case. The profitability problem is one of the most important problems of future profitability when opening a new store process and is the important content of the course of operation management. By recommending the use of this crucial tool, we need to understand, that this will give Shuzworld a direction, to which one of the three options is the best (the stand-alone option, opening of a brand new store or to do nothing now) for the most cost-effectively and profitability option. Also I am recommending this tool, because the decision tree analysis process, which are of...
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...Decision Analysis Task 2: A. Develop a distribution pattern that meets availability and demand constraints and minimizes total shipping costs for Shuzworld, utilizing the appropriate decision analysis tool. Your current distribution pattern should have Shanghai shipping 1300 units to Warehouse 2, Shuzworld H shipping 300 units to Warehouse 1, 200 units to Warehouse 2 and 1800 units to Warehouse 3, and Shuzworld F shipping 2200 units to Warehouse 1. This transportation plan results in an Optimal Transportation Cost of $13,600. The updated production plan you outlined for me increases the production of the Shanghai plant from 1300 units to 2800 units. This is a very advantageous change as it results in an improved Transportation Cost of $13,400 which is a $200 savings. This is a result of the ability to ship an additional 200 units from the Shanghai plant to Warehouse 2 at $3 rather than having to ship those units from Shuzworld H at $4. The updated Transportation Schedule has Shanghai shipping 1500 units to Warehouse 2, Shuzworld H shipping 300 units to Warehouse 1, and 1800 units to Warehouse 3, and Shuzworld F shipping 2200 units to Warehouse 1. Do be aware that this plan results in 1500 units of excess capacity with Shanghai producing 1300 excess units and Shuzworld H producing an excess 200 units. 1. Submit a copy of the output from your decision analysis tool of choice. Origional Shipping Plan | | Warehouse1 | Warehouse2 | Warehouse3 | Supply | Shanghai...
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...MEMORANDUM To: Shuzworld From: Renado Prince Director of Operations Re: Operations Recommendations Date: March 20, 2014 A) Work Flow Work flow for the assembly line needs to be organized so that it is at its most efficient for production purposes. Application of the proper metrics will help determine the most productive number of work stations for production of our product. Based on the data provided in this scenario, I have determined that the decision analysis tool that deal with layout strategies is the best we can use to reach the correct decisions. It is my recommendation that Shuzworld Shanghai production use employ an assembly and balancing strategy. The layout used by Shuzworld must support its business priorities, quality of work, customer contact and flexibility. Shuzworld desires to; Make a safer work environment, while maintaining flexibility. It also wishes to improve morale, improve material flows and its utilization of its people, space and equipment. This describes what Production Oriented Layout could do for Shuzworld, and why it Production Oriented layout best suit Shuzworld’s operations. Shuzworld currently operates on a 40 hour work week and has budgeted production of 6 6 work boots in one hour. The current layout accommodates a good working relationship between personnel and machine utilization. Based on my findings, I recommend that production be organized into five (5) workstations that produce the Rugged Wear work boot product. ...
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...recommendations based on analysis in order to help improve workflow, costing and staffing at ShuzWorld. Work Flow Analysis ShuzWorld currently produces a line of Rugged Wear Work Boots at its Shangahai Production Warehouse. Due to a Steel Toe feature the Rugged Wear Work Boots take longer to assemble than other shoe’s produced at the warehouse. The assembly line in place is made up of 8 workstations. The workstation task time varies with the maximum task taking 10 minutes to complete. Below is a schedule of the current time and sequence of the assembly line in place at ShuzWorld. In an effort to help improve workflow, an analysis was completed using the information above and the Assembly Line Balancing tool. The purpose of the Assembly Line Balancing tool is to achieve efficiency by using the correct amount of workstations. This will help to increase workflow and reduce production cost. Assembly Line Balancing Confidential Based on the above analysis, I would recommend the assembly line be reduced to five working stations. The workstations would consist of the following task sequence; * Station 1 | Task A | 10 min | * Station 2 | Task B & C | 9 min | * Station 3 | Task D | 8 min | * Station 4 | Task F, E & G | 10 | * Station 5 | Task H | 9 | The current production line is operating at a 92% efficiency rate and has a balance delay of 8%. Implementing the recommended station reduction and task sequence will help ShuzWorld to obtain an efficiency...
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...Subject: Decision Analysis task 3 I have reviewed the figures and have made a recommendation based on my findings. It is my determination that given the data, we should purchase new equipment. Let’s analyze the data. The data below reflects the outcome of reconditioning old equipment, purchasing new equipment, and outsourcing. Below is an insert from POM for Windows an operations management tool used to determine best decisions in business operations. There are two types of costs to consider, fixed and variable. Based upon the information given the relationship between cost and revenues are linear. In order to use the cost volume and breakeven analysis tool, variable costs must be constant. Here we have constant costs but different scenarios which qualify it to be used by this tool. Using this tool, I created inputs for reconditioning new equipment, buying new equipment, and outsourcing. The figures for fixed and variable costs were used from company research. It was determined that at 1,000 units the variable costs could be determined and that it would be a good place to set our volume for analysis. The total fixed costs for reconditioning is $50,000 with one million dollars spent in variable costs for a total cost of $1.5 million. To purchase new equipment, the fixed costs are $200,000 and the variable costs are half of the cost of reconditioning the old equipment at $500,000 for a total cost of $700,000. Finally, to outsource, while there would be no initial or fixed...
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...Western Governors University Score Report Cover Sheet Date: 10/14/14 Student Name: Jay Donald Sorensen Student ID Number: 63826 Student WGU Email: Jaysoren@wgu.edu Mentor: Terry Love Course JGT Task 2 JGT Task 2 Jay Sorensen Western Governors University WGU JGT Task 2 Jay Sorensen SUBDOMAIN 326.3 - EVALUATING ECONOMICS OF MANAGEMENT DECISIONS SUBDOMAIN 327.3 - DEVELOPING & MAINTAINING QUALITY SUBDOMAIN 329.4 - MANAGING OPERATIONS Competencies: 326.3.1: Decision Analysis Tools - The graduate analyzes risks and values and uses a variety of decision analysis tools and decision theory to evaluate alternatives during decision-making processes. 327.3.2: Metrics and Tools - The graduate analyzes how work is accomplished and applies...
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...A Introduction has just been hired on at Shuzworld Inc, in the company’s strategic planning department. Shuzworld Inc. is a family owned footwear manufacturer, which is trying to position itself for future growth in the extremely competitive footwear industry. Shuzworld Inc. operates three manufacturing facilities in China; its main plant is in Shanghai, with two other facilities in Hangzhou and Fuzhou. Shuzworld Inc. corporate headquarters are in Omaha, Nebraska, which is where Kaleb Sturm will be working in the strategic planning department (Mindedge, 2014). Kaleb learn on his first day of work the details of his job assignment at Shuzworld Inc. The company has some operational shortfalls that need addressed in its manufacturing plants in China. Kaleb learns from his boss Cynthia Crowninshield that she expects him to use sound management principles and decision analysis tools to make sense of what the best options are to improve operations in China. Kaleb learns that the CEO Edward Crowninshield will support any changes that the strategic planning department wants to make to improve operations as long as the decisions are backed up with logic and numbers. After a two week orientations at corporate headquarters Kaleb is off for his fist assignment at the Shuzworld Inc main plant in Shanghai (Mindedge, 2014). Part A: Improvement recommendations for workflow in Shuzworld plant. Upon arrival at the Shuzworld main plant in Shanghai Kaleb is greeted by Alistair Wu...
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...MEMORANDUM To: Shuzworld From: Robert Hixon Director of Operations When we face challenges in life that are far beyond our own power, it's an opportunity to build on our faith, inner strength, and courage. I've learned that how we face challenges plays a big role in the outcome. Stay ambitious & determined and you can Never fail. Re: Operations Recommendations Date: November, 06, 2012 A) Work Flow The current workflow needs to address how to best organize the assembly line so that it is most efficient, and what metrics can be provided in determining the correct number of workstations. My recommendation to improve work flow is to utilize assembling and balancing strategies in Shuzworld’s Shanghai Production Facility (SSPF). Due to the circumstances surrounding this issue, I have chosen this decision analysis tool because the goal of using a layout strategy is “to develop an effective and efficient layout that will meet the firm’s competitive requirements” (JGT2 power point presentation). Proper job layouts must support a business's competitive priorities: process, flexibility, customer contact, and quality of work life. Although there are a variety of layouts to choose from, I recommend using the Product Oriented Layout in order to maximize the long run efficiency of operations by achieving the following: Higher utilization of space, equipment and people, improved flow of materials, information and people, improved employee morale...
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...Presenter Notes for Power-point Decision Analysis Task 4A-E A. (Slide 1) Gloria Rodriguez, Shuzworld's retail development specialist, was looking at some possibilities of placing a Shuzworld store into a major target area and has three options to consider. The first option is to build a proposed stand-alone store, the second option is to open an Auburn Mall store, and the third option is to do nothing at the moment. (Slide 2) With the information given from Ms. Rodriguez, the stand-alone store could see profits for a favorable market of seven hundred thousand dollars; if the market was unfavorable the losses would be four hundred thousand dollars. The Auburn mall could see profits for a favorable market of three hundred thousand dollars, and if the market was unfavorable the losses would be fifty thousand dollars; this is having a probability of fifty-fifty for both choices of a favorable and unfavorable market. Of course, not doing anything or not opening a store, Shuzworld would not suffer any losses or make any profits. Shuzworld is considering market research and this can produce positive or negative impacts on the market or not purchase the research at all to have no effect. To purchase the market research it would come with a price of twenty thousand dollars with a sixty percent chance towards a favorable market and a chance of an unfavorable market of forty percent. Having a favorable market, if the survey is positive, can cause an incline to seventy percent...
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...Memo Having been asked to recommend which method of production Shuzworld should use, in terms of equipment, for manufacturing of its sneakers I recommend Shuzworld should purchase new equipment. This is based on my analysis comparing the reconditioning of old equipment verses the purchasing of new equipment or that of outsourcing the operation. In doing this I took into account the both cost types that of fixed costs and variable costs. So that I could use the breakeven cost volume analysis tool I had to consider all variable costs as a constant with the relationship between those two costs as linear and not exponential. In my analysis I use consistent costs with differing scenarios which allow the use of POM for Windows to be used to assist in this decision. Using this I noted the inputs for all three options under consideration. The information for both fixed and variable costs was derived from information shared by Alistair Wu and Angela Down. Using further information obtain via Alistair Wu I set the volume to 1000 sneakers as a starting point. The information shared shows fixed costs for reconditioning is $50,000 with $1,000,000 spent in variable costs being that anticipated expense to 1.5 million dollars. The purchase of new equipment has a fixed expense of $200,000 but the variable costs drop to half that of reconditioning at only $500,000 giving a total cost of $700,000. With outsourcing there is no initial expense so no fixed cost but the variable costs...
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...& MAINTAINING QUALITY SUBDOMAIN 329.4 - MANAGING OPERATIONS Competencies: 326.3.1: Decision Analysis - The graduate analyzes risks and values and uses a variety of decision analysis tools and decision theory to evaluate alternatives during decision-making processes. 327.3.2: Metrics and Tools - The graduate analyzes how work is accomplished and applies quality...
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...JGT2 Decision Analysis Task 1 A.) Recommendation on how to improve current workflow. It is my recommendation that Shuzworld change their facilities layout to create a better workflow. You can accomplish this by breaking the current structure and reorganizing the workstations to accomplish tasks in a more time efficient manner and maximizing an employees’ time spent on the product. Utilizing the Case Study we can surmise that each eight hour shift must produce forty-eight work boots. 8 hours times 60 minutes equals 480 minutes. 480 minutes (The Work Shift) divided by 48 (the number of work boots required) equals 10. One work boot must be completed in 10 minutes to meet production goals. Let’s take a look at the steps involved in making a work boot so analyze where we can cut production times. Shuzworld's Rugged Wear Work boot Assembly Schedule | Task | Performance Time (Minutes) | Predecessors | A | 10 | None | B | 6 | A | C | 3 | A | D | 8 | B,C | E | 3 | D | F | 4 | D | G | 3 | E,F | H | 9 | G | Total time | 46 | | Using our previous calculations and knowing that a task can take no longer than 10 minutes at each workstation, I believe the workstations should be engineered in a way to maximize the time spent at each station before moving on to the next. The first workstation is currently Task A and will use the maximum allotted time. Workstation 2 can be a combined effort of Tasks B and C, due to their requirement (A) having already...
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...Memorandum To: Cynthia Crowninsheild From: Date: 2/22/2014 Re: Production Analysis SHUZWORLD A. Distribution Pattern Shuzworld has three plants that ship units to three central warehouses. The company would like to know the lowest transportation cost monthly along with the best shipping plan to achieve the lowest cost. To analyze the cost we are using the transportation modeling tool. The optimal cost is $13,400 which would be the lowest monthly transportation costs which is shown below. Transportation modeling is the best tool to use as it finds the lowest optimal costs when shipping products from several plants to several different destinations. Our model shows three different plants of Shanghai, Shuzworld H, and Shuzworld F with three different warehouses. The individual unit costs to ship from each plant to each warehouse is entered in order to calculate the optimal cost. Also shown below is a shipping list whish details the exact amounts that should be shipped from each plant to each warehouse in order to achieve the optimal costs shown. This would be the best distribution pattern to use in order to achieve the optimal costs. The patterns show any demand constraints and also meets availability while minimizing total shipping costs. Looking at the shipping list chart the increased production from 1300 to 2800 units caused the supply to exceed the demand which is shown in the Dummy row ( dummy destination at no cost) that way the cost...
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...decision Analysis - Jgt Task 1 Decision Analysis Decision Analysis Task 1 A Answer to Question A and A1. The answer relates to Shuzworld’s Rugged Wear Work Boot Assembly Line issue. The Shanghai facility of the company produces steel tipped work boot. The scope of this task is to analyze if the company has properly organized workflow associated with the production of this item. Presented below, Table 1 and Figure 1 demonstrate arrangement of tasks of the production line. Table 1 Task Description of Work boot |Tasks |Completion (Minutes) |Predecessors | |A |10 |N/A | |B |6 |A | |C |3 |A | |D |8 |B, C | |E |3 |D | |F |4 |D | |G |3 |E, F | |H |9 |G | Note: Consumed time for time is 46 minutes. (Courtesy: Shuzworld) Figure 1. Workflow Diagram Both Table 1 and Figure 1 provide information of tasks associated with the production of the work boot. The workflow diagram in Figure 1 shows that some tasks are parallel, and others are sequential. In other words, some tasks can start together, and others cannot start unless the previous task is completed. Table 1 shows that the task A takes 10 minutes to complete; it is the longest task in this schedule. The production line consumes 46 minutes to complete all tasks. It produces 6 boots in an hour and maintains 40-hour per week work schedule. The plant’s operation director, Alistair Wu wants to find out how to optimize tasks from A to H, described in the Table 1 and Figure 1. The concept implies that the tasks within the...
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