Power Toys
Power Toys
Power Toys
3 POWERTOYS
PowerToys Inc produces a small remote-controlled toy truck on a conveyor belt with
nine stations. Each station has, under the current process layout, on worker
assigned to it. Stations and processing times are summarized in the following table:
Activity
Mount battery units
Se
c
75
85
90
65
Hrs
0.0208
33
0.0236
11
0.025
0.0180
56
Capac
ity
48.0
42.4
40.0
55.4
70
55
7
8
9
80
65
80
0.0194
44
0.0152
78
0.0222
22
0.0180
56
0.0222
22
51.4
65.5
45.0
55.4
45.0
Flowrate = Minimum (48.0, 42.4, 40.0, 55.4, 51.4, 65.5, 45.0, 55.4, 45) = 40
Units/hr
c. What is the direct labor cost for the toy truck with the current process if each
worker receives $15/hour, expressed in dollars per toy truck?
Total hourly Labor cost for 9 workers = 9*$15 = $135
Labor cost per hour/Flowrate = $135/40 units/hr = $3.38 $ per unit
d. What would be the direct labor cost for the toy truck if work would be organized
in a work cell, that is, one worker performs all tasks? Assume that the processing
times would remain unchanged (ie, there are no specialization gains).
Labor Content = Sum (75, 85, 90, 65, 70, 55, 80, 65, 80) = 665 seconds per
unit
Number of units in an hour = 3600/665 = 5.4135 units an hour
@ $15 an hour the Labor cost = $15*1(# of workers)/5.4135 units = 2.77$
per unit
e. What is the utilization of the worker in station 2?
Flow rate for the whole line is 40 units per hour from (b)
Capacity at Station 2 from the table above is 42.4 units per hour
Utilitzation of the worker = 40/42.4 * 100 = 94.3396%
Because of a drastically reduced forecast, the plant management has decided to cut
staffing from nine to six workers per shift. Assume that (i) the nine tasks in the
preceding table cannot be divided; (ii) the nine tasks are assigned to the six workers
in the most efficient way possible; and (iii) if one worker is in charge of two tasks,
the tasks have to be adjacent (i.e., one worker cannot work on tasks 1 and 3).
f. How would you assign the nine tasks to the six workers?
Workers are allocated based on the lowest adjacent activity time to balance
the workload
Work
er
Step
3
4
4
5
6
5
7
8
6
9
Activity
Mount battery
units
Insert remote
control receiver
Insert chip
mount front
axle
mount back
axle
install electric
mirror
connect motor
to battery unit
connect motor
to rear axle
mount plastic
body
Sec
Statio
n
Time
75
75
85
85
90
90
0.0208
33
0.0236
11
0.025
135
0.0375
26.7
135
0.0375
26.7
145
0.0402
78
24.8
Hrs
Unit
s
48.0
42.4
40.0
65
70
55
80
65
80
g. What is the new capacity of the line (in toy trucks per hour)?
Flowrate = Minimum (48.0, 42.4, 40.0, 26.7, 26.7, 24.8) = 24.8 Units/hr