Operations Management

PGP 2019-20
Assignment allocations and Case Questions
Groups are formed by the PGP Office
The students are expected to read all the cases before each session of the class.

Case Analyses
Each group is expected to make a detailed analysis for three cases that will be evaluated.
The table below indicates groups that will submit the case write-up.

Assignment Allocation Table

Sl. No. Title Groups to make submission

1 Shouldice Groups 1 to 4
2 Manzana Groups 5 to 9
3 Donner Groups 10 to 14
4 Hewlett Packard Groups 1 to 3
5 Polaroid Groups 4 to 6
6 Polyface Groups 7 to 10
7 American Connector Groups 11 to 14

For assignment submissions simply answer the given questions.

Please submit the soft copy of the assignment by email to me (hazra@...). No hard copy is
required. Submission must happen before the start of the class.

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Case Questions
All students should prepare the cases for class discussion. This will also help you prepare
for the exam. Some case data (on Excel spreadsheet) are kept on Moodle.

Executive Shirt
1. What is the Production Capacity (in Shirts/Day) for the (a) Current Process (Regular),
(b) Mike’s Plan (Regular & Custom Shirt), and (c) Ike’s Plan (Regular and Custom)?
Note: In Mike’s plan, assume number of layers in the computer-controlled cutting
machine (for regular shirt) is 15 (what happens if the number of layers is 5? What
about 10?). Assume Batch size is 5 shirts for Ike’s plan for Custom shirt in new laser
cutting machine for custom shirt. Assume Overtime is available, if required.
2. What is the capacity utilization of the bottleneck resource in each of the three plans
mentioned above? What about labour Utilization?

Shouldice Hospital
1. What is the customer’s total cost at Shouldice as compared to a typical hospital?
2. What actions, if any, would you take to expand the hospital’s capacity?

Manzana

1. Why have profits been deteriorating over the past several quarters?
2. If you were Bill Peppen. what would you recommend that Fruitvale do? (For your analysis,
use processing time data in Exhibit 4 and request data for 1991 (6 months) in Exhibit
7).

Donner
1. List specific problems or ‘symptoms’ facing Donner and the causes of those
problems.
2. List three specific actions that Mr. Plummer should take to reduce the average flow
time of jobs processed by Donner?

Hewlett-Packard: DeskJet Printer Supply Chain

1. Consider the periodic-review, order-up-to model. Consider the air freight option by
examining the cost of inventory for all models in Europe, using a 98% service level
and the data given in Table 1 of the case. If the lead time is 5 weeks with sea freight
and 1 week by air, and if the review period is 1 week because of production cycles at
the factory, what savings in average inventory are available? Assume that the
marginal production cost is roughly $300 and the selling price is $450. Per unit
transportation cost is $10 by sea and $25 by air. Inventory carrying costs are 24% per
year.

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2. Use the same method to evaluate the inventory savings associated with a generic
European product that would be assembled-to-order in the European Distribution
Center. What are the advantages/disadvantages of this generic printer option?

Toyota Motor Manufacturing, USA, Inc.

1. What is the operational and quality management philosophy of TPS?

2. What are the pros and cons of operating a mixed model assembly line (i.e. having a
mix of product on the line at one time)?
3. What is your position towards halting the production line? Can you estimate the cost
of halting the line for 1 minute? 1 hour?

Polaroid

1. Using the data in the exhibits construct and analyze the appropriate SPC charts. What
conclusions should Rolfs draw?
2. What recommendations would you make to Rolfs in order to address both near- and
longer-term issues?

Polyface

1. How would you characterize the key differences between the operating system of
Polyface and the industrial model of food production?
2. How would you measure the productivity of Polyface farm?

American Connector

1. How serious is the threat of DJC to American Connector Company?

2. How big are the cost differences between DJC’s plant and ACC’s Sunnyvale plant?
Consider both DJC’s performance in Kawasaki and its potential in the United States.