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Operation Management Assignment 1

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1) Dice Game A. The lessons learnt from playing the dice game are dependency, variability impact throughput an average of 10/hour in each stage does NOT give you 10/hour at the end of the line. B. We achieve the service level by having more inventory or more capacity. C. Lean improve the performance by focus on reducing the number of steps. D. Six Sigma Methodology attempts to improve the performance by focus on reducing the variability in each stage. E. The combine effect of Lean and Six Sigma on performance improve the overall process by improving throughput.

2) The “end to end” processes in managing operations/supply chains are: a. Create >> Source >> Make >> Move >> Store >> Market >> Sell >> Return >> Service >> Dispose b. The “big picture” tradeoffs is important in managing operations because we can predict trends in supply and demand in order to optimize our strategy for asset management. In addition, focusing on having strong leadership in place in order to help everyone make long-term plans and be on the same sheet of music (interrelationship). Additionally, having strong leadership will help alleviate conflicting objectives and fix mis-aligned metrics.

3) The lessons learnt from the “Blue-Green” game are clear communication, trust between departments and goal alignment as a company. c. Every team worked to maximize its own points. What is good for the department is NOT good for the company. d. All teams have to look at impact on overall goal or Big Picture.

4) I = R * T or T = I/R e. I = 588 projects; R = 300 project/yr. Thus, T = 588/300 or T = 1.96 year * 12 months = 23.52 months. f. I disagree with the department head’s statement because 23.52 months is much longer than six months

5) T=I/R; I = 10 people; R= 2 people/min g. T=10 people/2 people/min; T = 5 mins

6) I= 10/units in line
R= (1-.25) * 2/cars per minute; R= .75*2 = 1.5 Cars per Minute
T=10/1.5; T = 6.67 mins

7) Overturns = R/I
6/12 = R/$3000
$3000* (1/2) = R
$1500 = R

8) I = R* T | Buffer#1 at Reception | Registration | Buffer#2 for Doctor | DoctorPrescription | DoctorAdmin to Hospital | Inventory = R*T | 30 people (Given) | 50 people/60 mins = 0.830.83 * 2 mins = 1.67 people | 40 people (Given) | 45/60mins =.75.75* 5 mins = 3.75 people | 5/60mins=.083.083*30mins = 2.5 people | Rate = I/T | 50 people/hr (Given) | 50 people/hr (Given) | 50 people/hr (Given) | 45 people/hr (90% of 50) | 5 people/hr (10% of 50) | Time = I/R | 30/50=.6.6*60mins = 36 mins | 2mins (Given) | 40/50 = 0.80.8 * 60mins = 48 mins | 5 mins (Given) | 30 mins (Given) |

I. On average, how long does a patient stay in the ER a. Prescription = 36 mins + 2 mins + 48 mins + 5 mins = 91 mins * 45 people = 4,095 mins b. Admin to Hospital = 36mins + 2mins + 48mins + 30mins = 116 mins* 5 people= 580 mins c. 4,095 mins + 580 mins = 4,675 mins total at ER or 93.5 mins on average II. On average, how many patients are being examined by doctor? d. 3.75 + 2.5 = 6.25 patients III. On average, how many patients are in the ER? e. 30 + 1.67 + 40 + 3.75 + 2.5 = 77.92 patients in ER

Flow Chart: 9) | Inventory = R*T | Rate= I/T | Time = I/R | Buffer#1 | 20 people (Given) | 50 people (Given) | 20/50= 0.40.4*60mins = 24 mins | Registration | 50 people*2 mins=100100/60mins= 1.67 people | 50 people (Given) | 2 mins (Given) | Buffer#2 | 5 people (Given) | 50 people (Given) | 5/50=0.10.1*60mins = 6 mins | Triage Nurse | 50 people*3 mins = 150150/60mins = 2.5 people | 50 people (Given) | 3 mins (Given) | Buffer#3 | 1 person (Given) | 5 people (Given) | 1/5=0.20.2*60mins = 12 mins | Potential Admits | 5 people*30 mins=150150/60 mins = 2.5 people | 5 people (Given) | 30 mins (Given) | Buffer#4 | 15 people (Given) | 45 people (Given) | 15/45 = 0.330.33*60mins = 20 mins | Simple Prescription | 45 people*5 mins = 225225/60mins= 3.75 people | 45 people (Given) | 5 mins (Given) |

A. On average, how long does a patient stay in the ER? a. Simple Prescription: 24 + 2 + 6 + 3 + 20 + 5 = 60 mins; 60 mins*45 people = 2700 mins b. Potential Admits: 24 + 2 + 6 + 3 + 12 + 30 = 77 mins; 77 mins*5 people = 385 mins c. 2700 mins + 385 mins = 3085 mins total or 61.7 mins on average B. On average, how long will a potential admit stay in the ER? d. 24 + 2 + 6 + 3 + 12 + 30 = 77 mins C. On average, how many patients are in the ER? e. Sum of all Inventory = 20 + 1.67 + 5 + 2.5 + 1 + 2.5 + 15 + 3.75 = 51.42 people

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