The SmartDrive Comp any Case Study- Examine the supplies restocking decision in the SmartDrive factory in 2017, Singapore

Question 3

(a) Analyse and describe the type of process used in the production of the RW product. In 2017, what is the cycle time for each RW production line? What is the ideal number of work cells (or stages) in this line? Show how the production tasks may be logically grouped into each of the work cells by sketching a precedence diagram. Calculate the efficiency of the line. (20 marks)

(b) Examine the supplies restocking decision in the SmartDrive factory in 2017. If each LCD display unit costs $15, what is the ideal quantity to order the display units for the RW product? What is the reorder point in terms of quantity? Account for three (3) sources of holding costs in SmartDrive factory. You may assume that each RW device
uses only 1 display unit and that there is no wastage in production. Buffering of finished goods stock is minimal. There are 50 work weeks in a year. (15 marks)