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Case Study : Assignment Models (p.485) Old Oregon Wood Store In 1992, George Brown started the Old Oregon Wood Store to manufacture Old Oregon tables. Each table is carefully constructed by hand using the highest quality oak. Old Oregon tables can support more than 500 pounds, and since the start of the Old Oregon Wood Store, not one table has been returned because of faulty workmanship or structural problems. In addition to being rugged, each table is beautifully finished using a urethane varnish that George developed over 20 years of working with wood-finishing materials. The manufact manufacturin uring g proces process s consis consists ts of four four steps: preparation, assembly, finishing, and packaging. Each step is performe p erformed d by one person. In addition to overseeing the entire operation, George does all of the finishing. Tom Surowski performs the preparation step, which involves cutting and forming the basic components of the tables. Leon Davis is in charge of the assembly, and Cathy Stark performs the packaging. Although each person is responsible for only one step in the manufacturing process, everyone can perform any one of the steps. It is George's policy that occasionally everyone should complete several tables on his or her own without any help or assistance. A small competition is used to see who can complete an entire table in the least amount of time. George maintains average total and intermediate completion times. It takes Cathy longer than the other employees to construct an Old Oregon table. In addition to being slower than the other employees, Cathy is also unhappy about her current responsibility of packaging, which
leaves her idle most of the day. Her first preference is finishing, and her second preference is preparation. In addition to quality, George is concerned with cost and efficiency. When one of the employees misses a day, it causes major scheduling problems. In some cases, George assigns another employee overtime to complete the necessary work. At other times, George simply waits until the employee returns to work to complete his or her step in the manufacturing process. Both solutions cause problems. Overtime is expensive, and waiting causes delays and sometimes stops the entire manufacturing process. To overcome some of these problems, Randy Lane was hired. Randy's major duties are to perform miscellaneous jobs and to help out if one of the employees is absent. George has given Randy training in all phases of the manufacturing process, and he is pleased with the speed at which Randy has been able to learn and help out if one of the employees is absent. George has given Randy training in all phases of the manufacturing process, and he is pleased with the speed at which Randy has been able to learn how to completely assemble Old Oregon tables. Total and intermediate completion times for Randy are given.
Manufacturing Time in Minutes
Manufacturing Time in Munites for Randy Lane
Discussion Questions 1. What is the fastest way to manufacture Old Oregon tables using the original crew? How many could be made per day? Ans. หหหหหหหหหหหหหหหหหหหหหหหห Hungarian Method 1.Matrix Reduction : หหห row reduction หหหห Preparation
Assembly
Finishing
Packaging
Tom
100
160
250
275
George
80
160
220
230
Leon
110
200
280
290
Cathy
120
190
290
315
2.หหหหหหหห row reduction Preparation
Assembly
Finishing
Packaging
Tom
0
60
150
175
George
0
80
140
150
Leon
0
90
170
180
Cathy
0
70
170
195
3.หหห column reduction Preparation
Assembly
Finishing
Packaging
Tom
0
60
150
175
George
0
80
140
150
Leon
0
90
170
180
Cathy
0
70
170
195
4.หหหหหหหห column reduction Preparation
Assembly
Finishing
Packaging
Tom
0
0
10
25
George
0
20
0
0
Leon
0
30
30
30
Cathy
0
10
30
45
5.หหหหห initial solution Preparation
Assembly
Finishing
Packaging
Tom
0
0
10
25
George
0
20
0
0
Leon
0
30
30
30
Cathy
0
10
30
45
Non-Optimal 6. หหหหหหหห Preparation
Assembly
Finishing
Packaging
Tom
0
0
0
15
George
0
10
0
0
Leon
0
20
20
20
Cathy
0
0
20
35
Preparation
Assembly
Finishing
Packaging
Tom
0
0
0
15
George
0
10
0
0
Leon
0
20
20
20
Cathy
0
0
20
35
7. หหหหห
optimal 8. assign หหหหหห optimal solution Tom - Finising Georg – Packaging Leon – Preparation Cathy- Assembly 9. Total time (QM for window) = Optimal cost = $780 Preparation Assembly Finishing Packaging Tom 100 160 Assign 250 275
George 80 160 Leon Assign 110 200 Cathy 120 Assign 190
220 Assign 230 280 290 290 315
JOB Assigned to Cost Tom Finishing250 George Packaging 230 Leon Preparation 110 Cathy Assembly 190 Total 780 2. Would production rates and quantities change significantly if George would allow Randy to perform one of the four functions and make one of the original crew a backup person? Ans. หหหหหหหหหหหหหหหหหหหหหหหห Hungarian Method 5x5 1.Matrix Reduction : หหห column reduction หหห Preparation
Assembly
Finishing
Packaging
Dummy
100
160
250
275
0
80
160
220
230
0
Leon
110
200
280
290
0
Cathy
120
190
290
315
0
Randy
110
190
290
300
0
Tom George
2.หหหหหหหห column reduction
Tom George Leon
Preparation
Assembly
Finishing
Packaging
Dummy
20
0
30
45
0
0
0
0
0
0
30
40
60
60
0
Cathy
40
30
70
85
0
Randy
30
30
70
70
0
3.หหหหห initial solution Preparation
Assembly
Finishing
Packaging
Dummy
20
0
30
45
0
0
0
0
0
0
Leon
30
40
60
60
0
Cathy
40
30
70
85
0
Randy
30
30
70
70
0
Tom George
Non-Optimal 4. หหหหหหหห Preparation
Assembly
Finishing
Packaging
Dummy
Tom
0
0
10
25
0
George
0
0
0
0
0
Leon
10
20
40
40
0
Cathy
20
10
30
65
0
Randy
10
10
50
50
0
Preparation
Assembly
Finishing
Packaging
Dummy
Tom
0
0
10
25
0
George
0
0
0
0
0
10
20
40
40
0
5. หหหหห
Leon
Cathy
20
10
30
65
0
Randy
10
10
50
50
0
Non-optimal 6. หหหหหหหห Preparation
Assembly
Finishing
Packaging
Dummy
Tom
0
0
0
15
0
George
0
0
0
0
0
Leon
0
10
30
30
0
Cathy
10
0
20
55
0
Randy
0
0
40
40
0
Preparation
Assembly
Finishing
Packaging
Dummy
Tom
0
0
0
15
0
George
0
0
0
0
0
Leon
0
10
30
30
0
Cathy
10
0
20
55
0
Randy
0
0
40
40
0
7. หหหหห
Optimal 8. assign หหหหหห optimal solution Tom - Finising Georg – Packaging Leon – Preparation Cathy- Dummy Randy - Assembly 9. Total time (QM for window) = Optimal cost = 780$ JOB Assigned to Cost Tom Finishing250
George Pacaging230 Leon Preparation 110 Cathy Dummy 0 Randy Assembly 190 Total 780 3. What is the fastest time to manufacture a table with the original crew if Cathy is moved to either preparation or finishing? 4. Whoever performs the packaging function is severely underutilized. Can you find a better way of utilizing the 4- or 5-person crew than either giving each a single job or allowing each to manufacture an entire table? How many tables could be manufactured per day with this scheme?
