QUESTION 1

a) Precedence Diagram
30

30

35

25

10

40

35

15

F
*Sum of Task Time = 228 mins/unit

b) Cycle Time
(CT)

= Productive Time per day

Output per day

Output per week =

Working days =

Output per day =

400 mins/day
10 units/day

= 40 mins/unit

c) Theoretical no.
of Workstations

Sum of Task Time

Cycle Time

228 mins/unit
40 mins/unit

5.7 6 Workstations

50 units/week
5 days/week
50 units/week
5 days/week
10 units/day

d) Balance the Production Line

WS :

Activity :

Task Time : 35

40

38

40

35

40

Idle Time :

e) Efficiency

Sum of Task Time

(CT x Actual WS)

x 100%

Balance =
Delay

288 mins/unit
(40 mins/unit x 6 ws)

x 100%

100% 95%

5%

0.95 x 100%

95%

f)
Idle Time per unit

Idle Time per day

in minutes

Idle Time per day

in hours

Cost of Idleness
per day

(CT x Actual WS) Sum of Task Time

(40 mins/unit x 6 ws) 288 mins/unit

12 mins/unit

Idle Time per unit x Output per day

12 mins/unit x 10 units/day

120 mins/day

120 mins/day
60 mins/hour

2 hrs/day

Idle Time per day in hours x wage rate per hour

2 hrs/day x RM4/hr

RM8 per day

= 12

100% Efficiency

QUESTION 2
a) PERT Diagram
b) EET & LET

0
0

12
12

A,12

20
20

38
38
F,12

B,8

16
20

C,4

4
D,3

d1
d2

7
E,18

20
20

I,4
42
42

d3

G,5

J,6

48
48

H,9
21
33

c) Critical Path
Critical
Activities

: 1,2,3,7,8,9 / 1,2,3,5,7,8,9
: A,B,F,I,J
/ A , B , d1 , E , I , J

d) Project Completion Time : 42 months

e)
i.

20
20

ii.

38
38
E,18

12
12

21
33
G,5

Independent

Float = 21 12 3
= 6 months

f)
16
20

= 38 20 18
= 0 month

21
33
D,3

Free Float

Assume Total Float

= 33 16 5
= 12 months + 5
= 17 months

If activity G was revised to 12 months instead of 5 months, the project can still be
completed in time with a balance of 5 months.
QUESTION 3

Month

Current
Workers

Forecast Demand

Nov

11 500

Dec

10 000

Jan

17 000

Feb

20 000

Mar

24 000

Apr

19 000 + 1 200 = 20 200

Workers Needed
11500
3000
1000
0
3480
1700
0
3480
2000
0
3000
2400
0
3000
2020
0
3480

Hire

= 3.8 4

= 2.9 3

= 4.9 5

= 6.7 7
=

= 5.8 6

102700
Units Produced
(25 working days)

Units Produced
(29 working days)

25 days

3000 units/worker/month

29 days

3480 units/worker/month

Regular Production Cost

(102700 units) x (RM5/hr)

60 mins x 8 hrs/day
4 mins/unit

60 mins x 8 hrs/day
4 mins/unit

4 mins/unit
60 mins/hr

= RM

34 233.33

Hiring Cost
(6 workers)

(RM100/worker)

= RM

600.00

Layoff Cost
(3 workers)

(RM200/worker)

= RM

600.00

= RM

35 433.33

Total Production Cost

QUESTION 4

Layoff

a)

Qcurrent = 4000 litres

TARC =

] [(

D
Q
S +
+ SS H
Q
2

] [(

26000
4000
50 +
+300 0.05
4000
2

= RM440

b)

EOQ =

2 DS
H

2 ( 26000 ) (50)
0.05

= 7211.1 7211 litres

c)

D
Q

26000
7211

= 3.61 4 times per year

d)

ROP = dL + SS
=

( 500 3 ) +300

= 1800 litres

d = 500 litres/week
D = (500 x 52)
= 26000 litres
S = RM50/order
H = (0.001 x 52)
= RM0.05/litre/year
P = RM5/litre
W = 52 weeks
L = 3 weeks
SS = 300 litres

e)

] [(

D
Q
S +
+ SS H + [ P D ]
Q
2

TAC1 =

26000
7211
50 +
+300 0.05 + [ 5 26000 ]
7211
2

TAC

] [(

= RM130 375.56

TAC2 =

] [(

26000
10000
50 +
+300 0.05 + [ 4.8 26000 ]
10000
2

= RM125 195.00

TAC3 =

] [(

26000
20000
50 +
+300 0.05 + [ 4.7 26000 ]
20000
2

= RM122 780.00*

The best order quantity would be 20000 units since it has the lowest cost of

RM122780.00

QUESTION 5
a)

N = 60
n = 100
z = 2.58
total complaint = 300

pp

Total Complaint
( N ) ( n)

300
( 60 )( 100 )

= 0.05
pp

p ( 1 p )
n

0.05 ( 10.05 )
100

= 0.0218
UCL

= pp + z(pp )
= 0.05 + 2.58(0.0218)
= 0.11

LCL

= pp - z(pp )
= 0.05 - 2.58(0.0218)
= -0.01 0

p-chart
Fraction Defective

0.1
2
0.1

0
0.0
8
0.0
6
0.0
4
0.0
2
0

mon

tue

wed

thu

fri

sat

Days

b)
Day
Mon
Tue
Wed
Thu
Fri
Sat

No. of Complaints
8
4
6
7
8
5

Fraction Defective
0.08
0.04
0.06
0.07
0.08
0.05

The process is in control because there are no pints outside the control limits