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UNIVERSITI TEKNIKAL MALAYSIA MELAKAPEPERIKSAAN SEMESTER 2

SESI 2010/2011

FAKULTI KEJURUTERAAN PEMBUATAN

KOD MATA PELAJARAN : BMFP 4513

MATA PELAJARAN : PRODUCTION AND PLANNING CONTROL (PERANCANGAN & KAWALAN PENGELUARAN) PENYELARAS : H HAERY IP

KURSUS : BMFA/ BMFB/ BMFP/ BMFR/BMFU

MASA : 9.00 PAGI – 12.00 PAGI ( 3 JAM) TARIKH : XX APRIL 2011

TEMPAT : DEWAN UTeM

ARAHAN KEPADA CALON:

1. Kertas soalan ini mengandungi DUA (2) Bahagian iaitu Bahagian A dan B.

2. Sila jawab SEMUA soalan di Bahagian A.

3. Jawab SATU (1) soalan sahaja dari Bahagian B

4. Gunakan muka surat baru untuk setiap soalan yang dijawab.

KERTAS SOALAN INI TERDIRI DARIPADA EMPAT BELAS (14) MUKA SURAT SAHAJA (TERMASUK MUKA SURAT HADAPAN)

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PART A

ANSWER ALL QUESTIONS

QUESTION 1What are the special requirements of supply chain systems in global environments?

[2 marks]

ANSWERSupply chains in a global environment must be flexible, so that the firm can react to sudden changes that might occur in parts availability or currency rates. They must be able to use latest information technology for scheduling and managing shipments of parts and products. And they must be staffed with specialists to handle duties, customs, and political issues in other countries. (The strategic importance of the supply chain, moderate)

QUESTION 2Differentiate between a push and a pull system.

[3 marks]

ANSWERA push system pushes material into downstream workstations regardless of the resources available. A pull system uses signals to request delivery from upstream stations to the station that has production facilities available. In a pull system, materials or parts are pulled where they are needed when they are needed. (Just-in-time and lean production, moderate)

QUESTION 3Hitooth, Inc., produces short runs of custom airwave blower for the defense industry. You have been asked by the owner, Mr. Otoho , to reduce inventory by introducing a kanban system. After several hours of analysis, you develop the following data for airwave blower used in the cvo.

Daily Demand 1,000 cvoLead Time 2 daysSafety Stock ½ dayKanban Size 500 cvo

How many kanban do you need for this equipment? [5 marks]

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ANSWER

• Demand during lead time-of 2 days: (1,000 x 2 ) = 2,000

• Safety stock (1/2 day)  = 500

• Maximum inventory level  = 2,500

Number of kanbans needed:

QUESTION 4Ezee Electronics Sdn Bhd is an electronics manufacturing company that produces a variety of products for several applications. One of the main products is Robo Vacuum. Given below are the production information for Robo Vacuum:

Week Working days (days)

Machine capacity (products/hour)

Time Available (hours/day)

1 2 5 2.22 2 4 4.253 4 2 44 1 3 45 2 1 46 2 4 5.57 4 2 6.758 2 2 49 4 5 3.810 5 2 3

The Robo Vacuums cost RM 650 each and the holding cost is 0.5% per week. The fixed order cost is estimated to be RM 200.

a) Based on the table above, Generate the demand for Robo Vacuum for week 1 until week 10.

[5 marks]b) Apply the Silver Meal heuristic to find the ordering policy.

[ 6 marks]

c) Apply the Least Unit Cost heuristic to find the ordering policy.[ 6 marks]

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d) By comparing the Silver Meal and least Unit Cost heuristic, which method results in the lowest cost policy?

[ 3 marks]

ANSWER

a).

Week Working days (days)

Machine capacity (products/hour)

Time Available (hours/day)

DEMAND (units)

1 2 5 2.2 222 2 4 4.25 343 4 2 4 324 1 3 4 125 2 1 4 86 2 4 5.5 447 4 2 6.75 548 2 2 4 169 4 5 3.8 7610 5 2 3 30

b)

K = 200Holding cost = 0.005 * 650 = 3.25r = (22, 34, 32, 12, 8, 44, 54, 16, 76, 30)

a) Silver Meal Solution

Start in period 1:C(1) = 200C(2) = [200 + ((3.25)(34)]/2 = 155.25C(3) = [(155.25)(2) + (3.25)(2)(32)]/3 = 172.83 Stop.

y1 = r1 + r2 = 56

Start in period 3:C(1) = 200C(2) = [200 + (3.25)(12)]/2 = 119.5C(3) = [(2)(119.5) + (2)(3.25)(8)]/3 = 97C(4) = [(3)(97) + (3)(3.25)(44)]/4 = 180 Stop.

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y3 = r3 + r4 + r5 = 32 + 12 + 8 = 52

Start in period 6:C(1) = 200C(2) = [200 + (3.25)(54)]/2 = 187.75C(3) = [(2)(187.75) + (2)(3.25)(16)]/3 = 159.83...C(4) = [(3)(159.833..) + (3)(3.25)(76)]/4 = 305.125 Stop.

y6 = r6 + r7 + r8 = 44 + 54 + 16 = 114

Obtain y9 = r9 + r10 = 106

Silver Meal Solution = (56, 0, 52, 0, 0, 114, 0, 0, 106, 0)

Cost = (4)(200) + (3.25)(34 + 20 + 8 + 70 + 16 + 30) = $1378.50

c) Start in period 1:

C(1) = 200/22 = 9.09C(2) = [200 + (3.25)(34)]/(22 + 34) = 5.54C(3) = [200+(3.25)(34+(2)(32))]/(22+34+32) = 5.89 Stop.

y1 = r1 + r2 = 56

Start in period 3:C(1) = (200)/(32) = 6.25C(2) = [200 + (3.25)(12)]/(32 + 12) = 5.43C(3) = [200 + (3.25)(12+(2)(8))]/(32+12 8) = 5.60 Stop.

y3 = r3 + r4 = 44

Start in period 5:C(1) = 200/8 = 25C(2) = [200+(3.25)(44)]/(8 + 44) = 6.60C(3) = [200+(3.25)(44+(54)(2))]/(8+44+54) = 6.55 C(4) = [200+(3.25)(44+(54)(2)+(16)(3))]/(8+44+54+16) = 7.97 Stop.

y5 = r5 + r6 + r7 = 106

Start in period 8:

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C(1) = 12.5C(2) = 4.9C(3) = 5.3 Stop

y8 = r8 + r9 = 92y10 = r10 = 30

LUC solution: (56, 0, 44, 0, 106, 0, 0, 92, 0, 30)

Cost = (200)(5)+(3.25)(34 + 12 + 98 + 54 + 76) = $1,890.50.

d)Summary of Results

Silver Meal = $1378.50Least unit cost = $1890.50From the results, we can say that the Silver Meal method results in the lowest cost policy.

QUESTION 5Two engineering students, Belegug and Ontohod, are two brothers currently planning to prepare for the Final Exam Test. Between of them requires the test preparation of course subjects such as Mathematic, Statistic, English, PPC, and Engineering Economy. Based on the experience, they estimate that they will need the time for self study in the following amount of time (in hours) with each set of course materials such as follows:

ONTOHOD BELEGUGMathematic 1.8 1.2Statistic 0.8 2.2English 3.1 0.7PPC 1.1 0.5Engineering Economy 2.3 1.5

They agree that Ontohod will get the opportunity to see each of course materilas before Belegug.

Determine the exact times that each will begin and end studying each subject in order to minimize the total time required for both to complete studying all five subjects if they start the study at 8:00 P.M.

[10 marks]

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ANSWER

OTO (minute) BELEGUG (minute)Mathematic 108 72Statistic 48 132English 186 42PPC 66 30Engineering Economy 138 90

Statistic Engineering Economy Mathematic English PPC

Statistic Engineering Economy Mathematic English PPC

The optimal sequence is 2-5-1-3-4.

QUESTION 6

The MPS planner at Amburadul Sdn Bhd uses MPS time-phased records for planning end-item production. The planner is currently working on a schedule for the P24, one of Ambradul’s top-selling products. The planner uses a production lot size of 70 and safety stock of 5 for the P24 product.

Week 1 2 3 4 5 6 7 8Forecast 30 30 30 40 40 40 45 45Orders 13 8 4AvailableAvailable to PromiseMPS

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11:00 11:06 12:54

2:06 4:00

4:425:06 5:36

12:36

8:00 pm 8:48

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a) Complete the MPS time-phased record for product P24

[5 marks]

b) Verify if Amburadul Sdb Bhd can accept the following order[5 marks]

Order Amount Desired Week1 40 42 30 63 30 24 25 3

c) Update the MPS time-phased record for accepted orders.

[5 marks]ANSWER

a.Item: P24

Week 1 2 3 4 5 6 7 8Forecast 30 30 30 40 40 40 45 45Orders 13 8 4Available 60 30 70 30 60 20 45 70Available to Promise 69 66 70 70 70MPS 70 70 70 70 70

If On-hand = 20, MPS lot size = 70

Or

Week 1 2 3 4 5 6 7 8Forecast 30 30 30 40 40 40 45 45Orders 13 8 4 0 0 0 0 0Available (on hand =0) 40 10 50 10 40 0 25 50Available to Promise 49 0 66 0 70 0 70 70MPS 70 0 70 0 70 0 70 70

If On-hand = 0, MPS lot size = 70

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b. Order Amount Desired Week Accept (Y or N)

1 40 4 Y2 30 6 Y3 30 2 Y4 25 3 Y

c. Item: P24

Week 1 2 3 4 5 6 7 8Forecast 30 30 30 40 40 40 45 45Orders 13 38 29 40 30Available 60 22 62 22 52 12 37 62Available to Promise 39 1 40 70 70MPS 70 70 70 70 70

If On-hand = 20, MPS lot size = 70

Week 1 2 3 4 5 6 7 8Forecast 30 30 30 40 40 40 45 45Orders 0 30 25 40 0 30 0 0Available (on hand =0) 40 10 50 10 40 0 25 50Available to Promise 40 0 5 0 40 0 70 70MPS 70 0 70 0 70 0 70 70

If On-hand = 0, MPS lot size = 70

QUESTION 7Consider the following MRP record:

Week 1 2 3 4 5 6Gross Requirements 25 30 5 15 5 10Scheduled Receipts 50 15Projected Available Balance 35 10 30 25 10 20 10Planned Order Release

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Suppose 15 units of the scheduled receipt for 40 units due on Week 2 are scrapped during week 1, and no scrap ticket is issued. Furthermore, assume this lot isn’t counted before it’s put away in the stockroom on Week 2, but is recorded as receipt of 50 units.

What will be the impact of these actions on factory operations?

[10 marks]ANSWERWithout recording the scrap, the MRP record will appear as it does in the problem. If the scrap had been reported, it would be:

Week 1 2 3 4 5 6Gross Requirements 25 30 5 15 5 10Scheduled Receipts 35 15Projected Available Balance 35 10 15 10 -5 5 -5Planned Order Release

Q = LFL, LT = 5, SS = 0

The 5 unit shortage may not be discovered until week 4. At that time, it will be necessary to expedite the scheduled receipt of 15 from week 5 into week 4, and cover the deficiency in week 6.

QUESTION 8A Manufacturing site is supplied by 3 suppliers: A,B, and C. They ship to the site using a trucking company that has a depot in the vicinity. The distances between these entities is as follows:

ToFrom A B C Depot Site

A 10 20 5 25B 10 15 6 20C 20 15 30 10Depot 5 6 30 20Site 25 20 10 20

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a) Assume that when A wishes to ship to the site, a truck comes from the depot. Then after loading, they go to the site and returns to the depot. The same pattern is repeated from shipment from B to C.

Find the total traveled to bring lots from all three suppliers to the site?

[5 marks]b) Determine the percentage saving in travel time if the truck picks up all lots in one pass,

travelling from Depot to A , then to B, then to C, then to Site, and back to Depot?

[5 marks]ANSWER

a. Depot-A-site-return = 5+25+20 =50Depot-B-site-return = 6+20+20 =46Depot-C-site-return = 10+30+20 =60Total = 156

b. Depot-A-B-C-site-return = 5+10+15+30+20 =60Savings =[156 - (156-60)]/156=38.46%

QUESTION 9There are options for shipping $ 100,000 of machine parts from Tanjung Perak to Klang port in Malaysia as follows:

By using a ship that will take 30 days at a cost of $ 3,800 By using truck from Banjarnegara to Tanjung Periuk and then ship to Klang at a

total cost of $ 4,800. This option will take only 20 days.

You are paid via a letter of credit the days parts arrive. Your holding cost is estimated at 30% of the value per year. {Note: 1 year = 365 days}

a) Determine which option is more economical[5 Marks]

b) If you have a third option where the costs is only $ 4,000 and takes 25 days, what is your most economical plan?

[5 Marks]

ANSWER

a) Daily holding cost = (Annual holding cost Cost)/Days in year

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= (30 % $100,000)/365 = $82.20.

Difference in cost per day between shipping options = ($4,800 – $3,800)/10 days = $100.

Since the daily holding cost ($82.20) is less than the daily cost of faster shipping with option b ($100), use the slower shipping, option a.

b) Difference in cost per day between shipping options = ($4,000 – $3,800)/10 days = $20.Since the daily holding cost ($82.20) is more than the daily cost of faster shipping ($20), use the faster shipping, option a.

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PART B

ANSWER ONE OF THE QUESTION ONLY

QUESTION 10

Qlic-Qlic Instruments, The Bandoengers producer of portable ‘korek kuping’ unit and other medical products, develops a 4 –month aggregate plan. Demand and capacity (in units) are forecast as follows:

Capacity Source Month -1 Month-2 Month-3 Month-4LABOR

Regular Time 235 255 290 300 Overtime 20 24 26 24SUBCONTRACT 12 15 15 17DEMAND 225 294 321 301

The cost of producing each ‘korek kuping’ unit is RM 985 on regular time, RM 1,310 on overtime, and RM 1500 on a subcontract. Inventory carrying cost is RM 100 per unit per month. There is to be no beginning or ending inventory in stock and backorders are not permitted.

Set up a production plan that minimizes cost using the transportation method.

[15 Marks]ANSWER

Total cost = RM 1,186,810

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QUESTION 11Buih Soda, Inc., has a new ‘tarik’ drink for which it has high hopes. Encik Tareq, the production planner, has assembled the following cost data and demand forecast:

Quarter Forecast1 1,8002 1,1003 1,6004 900

Cost / Other dataPrevious quarter’s output 1,300 casesBeginning Inventory 0 casesStockout Cost RM 150Inventory Holding Cost RM 40 per case at end of quarterHiring Employees RM 40 per caseTerminating Employees RM 80 per caseSubcontracting Cost RM 60 per caseUnit Cost on regular time RM 30 per caseOvertime Cost RM 15 extra per caseCapacity in regular time 1,800 cases per quarter

Encik Tareq job is to develop aggregate plan. The three initial options he wants to evaluate are:

• Plan A : A chase strategy that hires and fires personnel as necessary to meet the forecast.

• Plan B : A level strategy• Plan C : A level strategy that produces 1,200 cases per quarter and meets the

forecasted demand with inventory and subcontracting

Evaluate which strategy are the lowest plan between Plan A, B, and C[15 marks]

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ANSWER

• Plan A : Chase plan

• Plan B : Level Strategy of 1,350 cases

An alternative way of viewing this problem assigns the same costs to regular time production and to hiring (i.e., $162,000 and $2,000) but places holding cost at $28,000 and shortage cost at $67,500. Total cost is then $259,500.

• Plan C : Level Strategy at 1200, plus subcontracting:

Plan C, because it is not only the lowest cost, but has the added advantage of providing steady employment for the employees after the initial first quarter layoff.

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Reg. Time Hiring LayoffsPeriod Demand Production Change (Increase) (Decrease)

Quarter 1 1,800     1,800  500 500          0Quarter 2 1,100     1,100 –700 0       700Quarter 3 1,600     1,600  500 500         0Quarter 4  900      900 –700 0      700Total 5,40

0      5,400 1,00

01,400

Cost RM162,000 RM40,00 RM112,000

Reg. Time Hiring LayoffsPeriod Forecast Production Inventory Holding Shortage Change (Increase) (Decrease)

Quarter 1 1,800 1,350 –450 0 450 50 50 0Quarter 2 1,100 1,350 –200 0 200  0 0 0Quarter 3 1,600 1,350 –450 0 450  0 0 0Quarter 4 900 1,350    0 0 0  0 0 0Total 5,40

05,400 0 1,10

050 0

Cost RM162,000

RM0 RM165,000

RM2,000

RM0

Reg. Time Overtime Subcontract Hiring LayoffsPeriod Forecast Production Production Production Inventor

yHoldin

gChange (Increase) (Decrease

)Quarter 1 1,800     1,200      600   0        0 –100  0    100Quarter 2 1,100     1,200 100      100     0  0      0Quarter 3 1,600     1,200      300   0        0     0  0      0Quarter 4  900     1,200 300     300     0  0      0Total 5,40

04,80

0  0      900 40

00 100

Cost RM144,00 RM0 RM54,00 RM16,00 RM0 RM8,000