Explain what is the cost associated, Operation Management

Assignment Help:

Your company, ABC Company, uses 100% inspection for all materials and requires zero defect quality of all its vendors. If bad parts are found, it cost $1.00 per part to inspect the entire lot. A decision then must be made to accept or reject the lot.

Suppose vendor XYZ sends a lot of materials with 5% defective parts to ABC Company although it is required to send "zero defects". ABC inspects the lot and decides to use the materials. However, accepting the bad lot of material causes problems which costs ABC

Company $60 per bad part to correct.

If the lot size is 10,000 pieces then

What is the cost associated with 100% inspection of the lot? =

What is the cost associated with not inspection of the lot? =

PROBLEM 2

If average fraction defect produced in a process is 0.03 and standard deviation of defect is 0.001 then find the upper control limit and lower control limit of the p-chart for process control (see page 315 13th ed for details).

UCL of p = p + 3 x (std. dev). =

LCL of p = p - 3x ( std. dev) =

PROBLEM 3

A lathe machine which has a natural variation due to vibration given by std. dev (sigma) = 0.0001". This machine has been chosen to machine a straight pin of 1.000" diameter (nominal design) with a tolerance of +/- 0 .0001".

45 samples are tested and the grand mean ( x double bar) is determined to be 1.000" . The subgroup size for the test samples is 3. (A2 comes from the table on page 320 for subgroups of 3). R bar for the range is given as .005. Use the formulas on page 320 and 325 to calculate the items below.

Specification limits are the nominal design plus the tolerance (upper specification limit) and the nominal minus the tolerance (lower specification limit)

Determine:

• 1. Upper specification limit =

• 2. Lower specification limit =

• 3. Upper Control Limit (UCL) for X bar =

• 4, Lower Control Limit (LCL) for X bar =

• 5. Process Capability CP= (USL-LSL)/6 (sigma) =


Related Discussions:- Explain what is the cost associated

Evaluate optimal order quantity, (a) Supply chain management is the integr...

(a) Supply chain management is the integration of the activities that procure materials and services, transform them into intermediate goods and the final product, and deliver the

Explain major priorities associated with operations strategy, What are the ...

What are the major priorities associated with operations strategy? How has their relationship to each other changed over the years?

Operation management, Please help me in getting answer for the following qu...

Please help me in getting answer for the following question, please send me your answer to Question : 18 carpets were observed closely and the number of defects in their texture

Compute the schedule variance and cost performance index, A project to buil...

A project to build a new bridge seems to be going very well since the project is well ahead of schedule and costs seem to be running very low. A major milestone has been reached wh

EOQ model, Division X is growing and is in constant need of trained employe...

Division X is growing and is in constant need of trained employees. The demand rate for trained employees is relatively constant at 5 each month. The division can run a gaining p

Explain levels of management, Explain levels of management. Levels o...

Explain levels of management. Levels of Management: Industrial management has got the given activity levels: 1)  Top Management : this includes Board of Directors, Ma

Explain mean flow time, Jane Reed bakes breads and cakes in her home for pa...

Jane Reed bakes breads and cakes in her home for parties and other affairs on a contract basis. Jane has only one oven for baking. One particular Monday morning she finds that she

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd