82 Operations Research Using Excel

Linear Programming: Simplex Method 83

occur were identified as: bottom thickness variation, blow holes, cold lap, depression,
hydrogen porosity, shrinkage and defective pin hole. Pareto chart analysis indicated
that bottom thickness was predominant (36%) scrap type in the case of pistons P1
whereas shrinkage (49%) was in the case of pistons P2.

Rating of importance of scrap type: A customer survey was also conducted

at this stage to confirm the major scrap type to be reduced from all other
types. Here a customer is one who consumes both types of pistons. In the
survey, a customer was asked to rate the importance of the above-mentioned
defects in particular piston type on a scale of 1–10, where a score of 1–4
was considered noise or unworthy of corrective measure, a score of 5–8 was
considered having moderate risk, and a score of 9–10 meant items should be
scrapped. An average score of 7.3 was obtained regarding bottom thickness
(B.T.) variation in pistons P1, which was the highest among all other scrap
types. In the case of pistons, P2, highest priority was given to shrinkage
scrap type with an average score of 7.9.
The next step was to identify the reasons for the occurrence of such
defects. Brainstorming sessions involving all stakeholders such as casting
shop manager and workforce indicated a number of reasons for various
steps in the casting process (Table 3.12). Quantitative analysis found that
die coating thickness (step 1); worker skill set (step 5) and cooling water
discharge (step 6) required in judging the proper speed of pouring molten
metal were significant reasons, resulting in defects of B.T. variation in P1
and shrinkage in P2. It is also important to mention that both scrap types,
i.e. B.T. variation in P1 and shrinkage in P2, were found to be caused for the
same mentioned reasons. These reasons for the selected production sched-
ule are discussed further.
Production schedule: Plant is manufacturing a combined quantity of 1 lakh
pistons per month. The production depends on demand and other variables
vary from month to month. On an average combined demand of both pis-
tons from North American customers was 1 lakh units. This production was
achieved by running the plant in three shifts i.e. night, morning and after-
noon. Each shift was of 420 minutes duration and the plant worked 6 days
a week. In one shift, a quality check is made after every 60 minutes where
a sample of 50 units is analysed for mentioned defects. Thus, seven quality
checks would be made per shift. The data used in the case is the scrap rate
of two types of pistons for one sample.

TABLE 3.12
Steps in Casting Process
Steps 1 2 3 4 5 6 7 8
Process Die coating Furnace Molten metal Density Pouring Water Inspection Hardness and
charge temperature index speed cooling chemical
system analysis
84 Operations Research Using Excel

Reasons resulting in defects:

Die coating thickness: Dies are used for casting purpose. Casting involves
pouring hot metal through a runner into the piston die, cooling it down
with circulating water, and finally removing the metal piston after it has
solidified. In this process, it is important to coat dies with proper mate-
rial through spray guns so as to provide a protective barrier between the
die and the casting and to provide control over the solidification process.
In the manufacturing process, dies were coated with a thickness of 50 μm.
A sample of 50 pistons was taken per hour and their bottom thickness mea-
sured. Fourteen percent of P1 pistons, and 12% of P2 pistons were found to
vary significantly from tolerable bottom thickness, making them scrap. It
was estimated that not more than 15% of pistons produced per shift would
be scrapped.
Worker skill set: Skilled operators are required to pour molten metal into
the die because the process requires metal to be at the proper temperature
and speed when poured into the die. In a sample of 50 units of P1, 11% of
units were found to have variation in bottom thickness resulting in scrap.
Similarly, in the case of P2 pistons, the scrap rate was 10%. On an average,
a maximum of 15% of items to be considered as defective were found at the
end of shift.
Cooling water discharge: The solidification process after pouring of molten
metal requires circulation of cooling water. It is a critical step in the casting
process because more or less water would significantly affect the quality of
piston. A quantity of 7–9 l per minute poured into the die of P1 resulted in
12% scrap items, whereas in the case of P2, the same method produced 13%
of defective pistons. Per shift, a maximum of 16% of pistons (total of both
P1 and P2) were found to be defective.
Under given production constraints, management intended to find the
minimum cost that would be incurred due to defective items.

This illustration is solved by the simplex method.

3.3.1.1 Simplex Method

The simplex method requires the following steps for solving a LPP.
Step 1: Model Construction
In this case, scrap cost is a direct function of the number of defective items of
P1 and P2. Suppose a sample of 50 units is inspected after every 60 minutes of
production,
x1 units of P1 and
x2 units of P2 were found to be defective due to B.T. variation and shrinkage,
respectively.
So, if one scrap unit of P1 causes a loss of $1.65, then x1 units would cause a loss
of 1.65x1. Similarly, one scrap unit of P2 would cause a loss of 1.82x2. This led to the
formulation of the following objective function denoted by Z. In this case, Z would
be the minimum cost incurred by company due to the production of x1 and x2 defec-
tive items per sample of 50 units each.