BUS644: Operations Management: Space Age Furniture Company
Case study on operations management strategies in the furniture industry.
Finn Hill
Contributor
4.8
31
about 1 month ago
Preview (4 of 11)
Sign in to access the full document!
Furniture 1
Space Age Furniture Company
Robert Baca
BUS644: Operations Management
Prof. Jamal Batta
February 24th 2014
Based on the case study of Space Age Furniture Company, analyze the impact of Material
Requirements Planning (MRP) on inventory management, production scheduling, and overtime
costs. Discuss the potential improvements that could be made to the MRP system, particularly
focusing on subassembly lot sizes, and evaluate the trade-offs between overtime costs and
inventory costs. Additionally, compare and contrast different types of production processes (Job
Shop, Batch, Repetitive, and Continuous Flow) and recommend the most suitable production
process for Space Age Furniture Company. Include an analysis of how management can track
job status and location during production and suggest any changes that could further enhance
operational efficiency.
Word Count Requirement: 1,500 - 2,000 words.
Space Age Furniture Company
Robert Baca
BUS644: Operations Management
Prof. Jamal Batta
February 24th 2014
Based on the case study of Space Age Furniture Company, analyze the impact of Material
Requirements Planning (MRP) on inventory management, production scheduling, and overtime
costs. Discuss the potential improvements that could be made to the MRP system, particularly
focusing on subassembly lot sizes, and evaluate the trade-offs between overtime costs and
inventory costs. Additionally, compare and contrast different types of production processes (Job
Shop, Batch, Repetitive, and Continuous Flow) and recommend the most suitable production
process for Space Age Furniture Company. Include an analysis of how management can track
job status and location during production and suggest any changes that could further enhance
operational efficiency.
Word Count Requirement: 1,500 - 2,000 words.
Furniture 2
Space Age Furniture Company
Introduction
Space Age Furniture Company manufactures tables and cabinets to hold microwave
ovens and portable televisions. These products are made in various sizes and with various
features, but all follow basically the same production and assembly operations. Two of these
products – the Saturn microwave and the Gemini TV stand have a part (no. 3079) that requires
machining on a special lathe used only for making that part. Space Age began using an MRP
system that has helped reduce inventories greatly and improve on-time deliveries. Space Age had
estimated that it cost $1.25 per week to store each Gemini and $1.50 per week to store each
Saturn that wasn’t shipped immediately. The master schedule for producing these two items for
the next six weeks is show below:
Master Schedule
Week
1 2 3 4 5 6
Gemini 600 400 700 500 400 600
Saturn 300 400 400 600 300 300
Part 3079 is used in two different subassemblies: no. 435, which is used in the Gemini TV stand,
and no. 257, which is used in the Saturn microwave stand. One of part 3079 is used in each
subassembly, and one of each subassembly is used in each of the final products. Part 3079 may
be produced in any quantity since the lathe that makes it is not used for anything else. Space Age
has decided that these subassemblies should be made in minimum quantities of 1,000 at a time
(Vonderembse & White, 2013).
Space Age Furniture Company
Introduction
Space Age Furniture Company manufactures tables and cabinets to hold microwave
ovens and portable televisions. These products are made in various sizes and with various
features, but all follow basically the same production and assembly operations. Two of these
products – the Saturn microwave and the Gemini TV stand have a part (no. 3079) that requires
machining on a special lathe used only for making that part. Space Age began using an MRP
system that has helped reduce inventories greatly and improve on-time deliveries. Space Age had
estimated that it cost $1.25 per week to store each Gemini and $1.50 per week to store each
Saturn that wasn’t shipped immediately. The master schedule for producing these two items for
the next six weeks is show below:
Master Schedule
Week
1 2 3 4 5 6
Gemini 600 400 700 500 400 600
Saturn 300 400 400 600 300 300
Part 3079 is used in two different subassemblies: no. 435, which is used in the Gemini TV stand,
and no. 257, which is used in the Saturn microwave stand. One of part 3079 is used in each
subassembly, and one of each subassembly is used in each of the final products. Part 3079 may
be produced in any quantity since the lathe that makes it is not used for anything else. Space Age
has decided that these subassemblies should be made in minimum quantities of 1,000 at a time
(Vonderembse & White, 2013).
Preview Mode
Sign in to access the full document!
100%
Study Now!
XY-Copilot AI
Unlimited Access
Secure Payment
Instant Access
24/7 Support
Document Chat
Document Details
University
Ashford University
Subject
Business Management