Read Problem 6: The “Monique Food Processing Company” in Chapter 8 of your text.

Question

Read Problem 6: The “Monique Food Processing Company” in Chapter 8 of your text. Monique Food Processing Company produces light snacks that can be heated in a microwave. The following steps are included in the process: Steps Description Capacity (Units/Hour) 1 Prepare food 200 2 Measure and place in plastic pouch 175 3 Prepare cardboard box 200 4 Insert pouch into box 300 5 Shrink-wrap box 200 a.What is the system capacity, and which is the bottleneck department? b.How much slack (unused capacity) is available in other departments? c.How much system capacity can be gained by adding capacity to the bottleneck? d.What are the key factors that determine when to add capacity? e.Why would an organization want to reduce its capacity? Make and include calculations. Answer questions “a” through “e.” Your response should be 200-250 words. Guided Response: Respond to at least two of your classmates’ posts. Some ways could include alternate solutions or calculations, and/or by challenging classmates’ on scenarios of when it is best to “add” or when it is best to “reduce” capacity. Include examples.

Explanation / Answer

A) The system capacity can be calculated as following ( all numbers are in UNITS/HOUR)

So it can be clearly seen that 200 units of food are prepared every hour whereas 175 units are measured and placed in a plastic pouch.

So as rest of the processes after 2 are dependent on it the capacity of the system can only be 175 units an hour.

Process 2 /step 2 is the bottleneck as it is the least efficient and rest of the steps depend on it.

B) Slack available is

C) A capacity of 25Units an hour can be gained by adding capacity to Step 2 which is the bottleneck

D) Factors to keep in mind

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