X-Opoly free essay sample

The text deals with the topic of developing and producing a board game, called X-Opoly. The game is similar to the famous game ‘’Monopoly’’. It was the idea of two students. Their business has grown rapidly. This year they are expecting that they will sell 50,000 units. Over next 5 years the sales will grow 25 percent annually. The order of the game has to be differentiated in ordering a new game and ordering a game, which was already produced. For every new game one employee of the art department and the client have to set the design. The required time can vary because it depends on the customer’s specification. The next step is printing. In the printing department the design of the board, game cards, property cards and money are printed on different materials. The following step is cutting all components of the game. Finally all components are stored in boxes and delivered to the corresponding station on the assembly line. We will write a custom essay sample on X-Opoly or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page The assembly line includes 19 stations. 2 Question 1:Transformation System(s) In this case there is a flow shop with elements of a job shop. One characteristic of a flow shop is the low variety. X-Opoly varies only in the design of the game board. All the outputs are the same. They just differ in the design of the board. Another characteristic is the high volume. This year the company expects a demand of 50. 000 units. Furthermore X-Opoly uses a heavily automated assembly line in the production process. Therefore, it can be said that it is a connected line, which is also an indicator for a flow shop. Due to the specific assembly line there is low flexibility in the production process. It can be assumed that the purchase price for the assembly line was high. Also the high capital investment is a characteristic of a flow shop. Other attributes are low variable costs and low skilled labors. These indicators could not be verified. The art department is a kind of job shop. At this place particularly high skilled workers (e. g. graphic designer) are in high demand. Moreover the product (design of the board) can vary significantly. The volume (new designs) is low. The graphic designer can customize everything (many products) due to his high flexibility. 3 Question 2:Switching the Assembly Line If the assembly line switches the production from one to another, the game will be changed only in the design of the board. In fact, only station number 17 of the assembly line will have to be changed as it ensures that the correct design is used for the corresponding product. In addition, the processes in the art department should be involved because these are responsible for the design. All other steps are very similar. In general it can be said that switching the assembly line over from the production of one game to the production of another game causes changes in the production flow. This again can result in errors. 4 Question 3:Cycle Time and Efficiency 4. 1 Cycle Time is the time required to complete all the work to produce a finished item. In other words it is the period of time required to complete one cycle of operation. Calculation: Available work time= 8h 30 min break (two 15 min breaks) x 60min / h (presumption) = 450 min Demand= 50000 units / 200 days (presumption) = 250 units per day Cycle time= available work timedemand = 450min250 applications = 1. 8min / application = 108seconds / application The cycle time of the 19-station line is 108 seconds per item. 4. 2 Efficiency is the comparison of what is actually produced or performed with what can be achieved with the same consumption of resources (money, time, labor, etc. . Put simply, it is the ratio of input and output. Calculation: Total task time= ? Times to perform tasks from the 19-station line =10+35+†¦+10 sec. = 650 s = 0. 18 h Efficiency= outputinput = total task time (NA stations) x cycle time = 65019 x 108 = 31. 67 % The efficiency amounts ca. 32 % for a 19-stations assembly line. 5 Question 4:Capacity Capacity is the maximum possible output. Cap acity per year= time available x stations = days x hours per daytotal task time x stations = 200days x 7. 5h0. 18h x stations = 8,333 units for 1 station = 50,000 units for 6 stations 158,333 units for 19 stations Capacity per day = Capacity p. a. / 200days = 791,67units for 19 persons Number of theoretical workstations: NT= ? task time / cycle time = 650108 = 6. 02 select 7 workstations The line’s maximum capacity amounts to 791. 67 units per day assuming that it is operated for 7. 5 hours. Assuming that X-Opoly operates 200 days per year, the capacity is 58,333 units per year. Compared with the expected demand the capacity is three times higher than the demand (50,000 units). Therefore there is an overcapacity of more than 100,000. One consequence could be a falling price and the production of waste. A fall in the price would lead to a decline of the return on investment as well as the cash flow. That is why it is necessary to use fewer stations in order to save resources. In the calculation it can be said that they only 7 stations are needed. With this number of workstations one could achieve the highest efficiency at this moment. But the company will grow rapidly. Therefore they had to add new stations every year. However, the company expects that its sales will grow 25 percent annually for the next five years.