Simulation

• Consider the six-step process in the Process 1 tab where

the processing time for each step is uniformly distributed,
Problem 1 for which processing times can range from 12 to 18 minutes
(any value in that range is as likely to occur as any other in
that range)
Q. 1 If inventory were permitted to accumulate throughout this process, what impact
would you expect on output rate (as compared to the process without inventory)?

Answer: Without inventory, every time there is a variation causing block for any
workstation, the capacity will be affected and decreased. Where as the inventory would
prevent this and hence improve the capacity compared to without inventory.
Q. 2 If you could add one inventory buffer, where would you add it to
maximize output rate?

Answer: Capacity won't be affected by adding any extra inventory buffer as it

is not required.
Q.3 If you added a second unit of buffer to the same location as the
first, what would be the incremental impact on output rate of the
second unit as compared to the first unit?

Answer: There is no incremental effect of adding the second inventory

buffer.
 Problem 2
Process 1
To begin, consider the four-step process
model in the Process 1 tab.
1. Calculate the amount of time it would take to get a rush order
through the process.

Answer: 14.5 mins

2. Calculate the output rate of the process.

Answer: 12 per hour

3. Calculate the labor content of the process.

Answer: 14.5 mins

3. Calculate the labor content of the process.

Answer: 14.5 mins

4. Calculate the average labor utilization.

Answer: 72.5%
 Problem 2
PROCESS 2
For Process 2, assume that you have hired an additional worker
(i.e., a fifth for the process). This new worker is cross-trained at
every step in the process (can perform any of the 4 steps or any
portion of any of the four steps). Inventory is permitted between
steps so that the cross-trained worker can move around freely.
Assume no transportation time in moving from one step to
another.
5. At which step(s) does the worker spend the majority of
his or her time?

Answer: Workstation A
6.What is the impact on performance?

Answer: There is reduction in cycle time.

 Problem 2
PROCESS 3
For Process 3, you have the opportunity to send each of your four
specialists to get additional training in the other process steps. As a
result of this training program, you will have five workers available to
you, each one cross-trained at each of the four process steps.
6.What is the impact on performance?

Answer: There is reduction in cycle time.

 7. What benefits do you expect as a result of this additional training?
Answer: I expect the work utilization to increase to 100% whereas an
improvement in the cycle time is also expected. Finally the output per hour
will also improve.
 Problem 2
PROCESS 4
Go to Process 4, a variant of Process 1. Your
analysis was done with the assumption that no
inventory would be allowed to build up between
steps. Answer these questions without that
assumption.
8. How would performance change if this restriction were relaxed? That is, what would
be the impact of allowing inventory to accumulate between steps?
Answer: There will be no such great impact on the cycle time. As it would remain the
same as process 1 whereas the output per hour would also remain the same.
 Problem 3
Process 1
Consider the following process in the Process 1 tab. All steps (A, B,
C, D) are necessary to create each finished unit. Each step employs
a single worker who is not cross-trained for any other step. The
processing times listed represent the amount of time each worker
spends on a single unit. There is no variability in processing times.
Q.1 What is the fastest
that a rush order can go
through the process?

Answer: 35 minutes
Q2. Working 8 hours a
day, what is the daily
output rate?

Answer: 32 per day

 Problem 3
Process 2
For the next two questions, consider a fifth step added to the process, along with a fifth
worker. The fifth step, Step E, is done after Step C, and before Step D, as drawn in
simulate part 2. All steps (A, B, C, D, E) are necessary to create each finished unit.
Processing times are shown for each process step.
Q1. What is the fastest that a rush order can go
through the process?

Answer: 45 minutes
Q.4 Working 8 hours a day, what is the daily
output rate?

Answer: 32 per day

 Problem 4
Consider the following three-step worker-paced line in the Process 1 tab. Each
step employs a single worker who is not cross-trained for any other step. The
set-up represents the amount of time the worker spends setting up the
machine for each batch. No units can be processed during set-up. The run
time represents the amount of time it takes the worker to process a single
unit. When a worker completes a batch, he or she hands it off to the next
stage.
Q.1 If only 10-unit batches
are produced, what is the
average output rate of the
process per 8-hour day?

Answer: Batch size of 4

Q2. At what batch size
does the bottleneck
move? That is, at what
batch size are there two
steps that are the
bottleneck?

Answer: Batch size of 5

 Problem 5
PROCESS 1

To begin, consider the three-step process model in the Process 1 tab.

The process is staffed by three workers: Alice is assigned to step A,
Bob is assigned to step B, and Charlie is assigned to step C. Please
answer the questions below.
1. What is the bottleneck of this process?
Answer: Workstation B, Bob
2. What is the cycle time of this process?
Answer: 5 minutes
3. What is the output rate of this process?
Answer: 12 per hour
4. What is the throughput time for a rush order (that is, an order arriving
when the system is empty that is moved through the process without
delay)?
Answer: 10 minute
5. What is the labor utilization of each worker?
Answer: Alice 60%, Bob 100%, Charlie 40%
6. What is the average labor utilization of the workers?
Answer: 66.67%
 Problem 5
PROCESS 2
Now that you have finished Process 1, consider the same process, but assume we
assign Betty, an additional worker to a step B. Betty and Bob are equally
qualified, and they are told to split the work of step B (working simultaneously to
complete the 5 minutes of work on a unit in half that time).
7.Before doing any calculations, which process metrics would you expect to change
relative to Process 1?
Answer: Minimum throughput time, cycle time, capacity per hour and utilization
8. What is the bottleneck of this process?
Answer: Workstation A, Alice8.
9. What is the cycle time of this process?
Answer: 3 minutes
10. What is the output rate of this process?
Answer: 20 per hour
11. What is the throughput time for a rush order (that is, an order arriving
when the system is empty that is moved through the process without
delay)?
Answer: 7.5 minutes
 12. What is the labor utilization of each worker?
Answer: Alice 100%, Bob 83.33%, Betty 83.33%, Charlie
66.67%
13. What is the average labor utilization of the workers?
Answer: 83.57
 14.What have you learned?
Answer: We learnt the practical meaning of the process metrics, bottleneck and blocking.
We also learnt how adding parallel redundant units for bottlenecks can improves
throughput time, cycle time and utilization and remove blocking.
 Problem 5
PROCESS 3
Look at Process 3, a variant of Process 1 (3 workers, Alice does step A,
Bob step B and Charlie step C), but assume that steps A and B can be
completed in parallel as shown in the diagram below (by in parallel, we
mean that Alice can work on her component at the same time as Bob
works on his component. For example, Alice could be finishing a table
top at the same time Bob is finishing the four legs and Charlie could be
assembling the table by attaching the legs to the table top).
16. What is the bottleneck of this process?
Answer: Workstation B, Bob.
17. What is the cycle time of this process?
Answer: 5 minutes
18. What is the output rate of this process?
Answer: 12 per hour
19. What is the throughput time for a rush order (that is, an order arriving
when the system is empty that is moved through the process without
delay)?
Answer: 7 minutes
20. What is the labor utilization of each worker?
Answer: Alice A 60%, Bob B 100%, Charlie C 40%
21. What is the average labor utilization of the workers?
Answer: Alice A 60%, Bob B 100%, Charlie C 40%
 22.What have you learned?
Answer: The use of parallel running of separate processes though does not decrease the bottleneck or cycle time and
hence capacity and utilization but the minimum throughput time decreases(improves).
Problem 6
Q1: Suppose that batch size is 50 doughnuts.
What is the output rate in an eight-hour day?
Answer: 505.28 per day
Q2. What is the average utilization of
these four workers?
Answer: 84.21%
Q3. If Krunchy Kreme decides to change batch
sizes, for what range of batch sizes is mixing
the bottleneck?
Answer: Mixing(Workstation A) is bottleneck
for batch size of 29 to 30.
Problem 7
Q1.Consider an eight-workstation in-series line, with all workstation processing times
at 5 ± 1 minutes per unit. Allocate 22 units of buffer output rate to this line so as to
maximize average output. The best such allocation is characterized by?
Answer: To maximize the average output we would allocate 3 units before each
workstation starting from workstation 2 and the left out will be allocated randomly to any
workstation.
2. Assuming that Line A has been
operating for a while, the expected
output rate of Line A is
Answer: Lesser then 6 units per hour
3. Comparing the utilization of Machine A2
of Line A to that of Machine B3 of Line B?
Answer: C. A2 has a higher utilization than B3
Q4. Comparing the output rate of Line
B to that of Line C?
Answer: B. Line C has a lower output
than Line B's
Q5. Comparing the output rate of
Line C to that of Line D?
Answer: C. The output of Line D is
higher than Line C's
 Problem 8
Process 1
Imagine a three-workstation worker-paced line with task times 7, 6, and
8 minutes, respectively. In the previous problems, a 100% yield was
assumed — i.e., no defects. The present problem will explicitly consider
the impact of nonzero defect rates. In particular, assume that the first
workstation has an 8% defect rate and that the second workstation has a
12% defect rate. The third workstation, in contrast, generates no defects.
For problems 1 to 4, assume that all defective units are scrapped.
Q1. What is the output rate of
this process?

Answer: 5.8
Q.2 Where is the bottleneck?

Answer: Workstation A is the

bottleneck
Q3. Is the utilization of the bottleneck
step 100%? If so, why? If not, why
not?

Answer: No. Because of the scrap the

process utilization decreases.
Q4. What is the yield of the process
(the ratio of good finished product to
items started in the process)?

Answer: 93.7%
 Problem 8
Process 2
Now assume that the second workstation feeds its defects to a rework station
that performs a delicate and lengthy task of disassembling the product and
repairing it. Thus, it requires a relatively long time (here, 40 minutes on
average) to fix defects. There is an inventory buffer in front of this rework
step to accommodate for the unlikely case that there are several defects in a
row. While time-consuming, it still is successful only 90% of the time. When
rework is successful, the rework station passes the now-good unit to the third
workstation in the line. If it is not successful, the product is scrapped.
Q5. What is the output rate of
this process?

Answer: 6
Q6. Where is the bottleneck?

Answer: Workstation C
Q7.Is the utilization of the bottleneck
step 100%? If so, why? If not, why
not?

Answer: No. Because of the rework of

the scrap material generated
Q.8 What is the yield of the process
(the ratio of good finished product to
items started in the process)?

Answer: 72%
Thank you!