Last Name ______________________ First Name _________________________ ID ___________________________

Operations Management II 73-431 Winter 2008

Odette School of Business
University of Windsor
Midterm Exam II Solution
Thursday, March 13, 2:30 pm 3:50 pm
Odette Building OB B04

Instructor: Mohammed Fazle Baki

Aids Permitted: Calculator, straightedge, and a one-sided formula sheet.
Time available: 1 hour 20 min
Instructions:
This exam has 12 pages.
Please be sure to put your name and student ID number on each odd numbered page.
Show your work.
State results up to four decimal places.

Grading:
Question

Marks:

/10

/15

/10

/10

/10

/10

Total:

/65

Name:_________________________________________________

ID:_________________________

Question 1: (10 points) Circle the most appropriate answer

1.1 Which of the following is not an input to the MRP system?
a. Master Production Schedule
b. Bill of Materials file
c. Inventory file
d. None of the above
1.2 Which of the following works best if costs change over time?
a. Lot for lot
b. EOQ
c. Least unit cost
d. Part period balancing
1.3 Suppose that the production requirements are 10, 13, 12, 14 in June, July, August and September. If
the capacity is 12, does there exist a feasible solution? If not, what is the first month of shortage?
a. September
b. August
c. July
d. None of the above, there is a feasible solution
1.4 Andon
a. is the authority to stop production line
b. signals quality problems
c. makes problem visible
d. prevents defects
1.5 A make-to-stock/assemble-to-stock production system is associated with all of the following except:
a. high volume of production
b. standard products
c. more variation
d. a predictable pattern of flow of jobs through the machines
1.6 Completion time is the same as flow time if
a. all the jobs have the same due date
b. all the jobs have the same ready time
c. a different job has a different due date
d. a different job has a different ready time
1.7 Which rule minimizes total lateness?
a. Shortest processing time
b. Earliest due date
c. Critical ratio
d. None of the above

Name:_________________________________________________

ID:_________________________

1.8 Lawlers is algorithm is a

a. forward scheduling procedure
b. backward scheduling procedure
c. both
d. none
1.9 An extension of Johnsons rule applies to the three-machine flow shop problem if
a. Machine 1 dominates Machine 3
b. Machine 3 dominates Machine 1
c. Machine 2 dominates Machine 1
d. Machine 1 dominates Machine 2
1.10
a.
b.
c.
d.

Which of the following objectives are equivalent?

Total completion time, maximum tardiness, total flow time, maximum lateness
Maximum lateness, maximum tardiness, maximum completion time, maximum flow time
Total flow time, total completion time, total lateness, makespan
Total flow time, mean lateness, total completion time, mean flow time

Question 2: (15 points)

Each unit of A is composed of two units of B and one unit of C. Items A, B and C have on-hand
inventories of 10, 20 and 40 units respectively. Item B has a scheduled receipt of 30 units in period 1,
and C has a scheduled receipt of 50 units in Period 1. Lot-for-lot (L4L) is used for Item A. Item B requires
a minimum lot size of 50 units. Ite m C is required to be purchased in multiples of 100. Lead times are
two periods for Item A, and one period for each Item B and C. The gross requirements for A are 60 in
Period 4, 80 in Period 7, and 90 in Period 9. Find the planned order releases for all items to meet the
requirements over the next 10 periods.
A
a. (3 points) Construct a product structure tree.

B(2)

C(1)

b. (4 points) Consider Item A. Find the planned order releases and on-hand units in period 10
Period
1
2
3
4
5
6
7
8
9
10
Item
Gross
60
80
90
Requirements
A
Scheduled
receipts
On hand from
10
10
10
10
0
0
0
0
0
0
LT=2 prior period
Net
50
80
90
requirements
Time-phased Net
50
80
90
Q=
Requirements
3

Name:_________________________________________________

ID:_________________________

L4L

Planned order
50
80
90
releases
Planned order
50
80
90
delivery
c. (4 points) Consider Item B. Find the planned order releases and on-hand units in period 10.
Period
1
2
3
4
5
6
7
8
9
10
Item
Gross
100
160
180
Requirements
B
Scheduled
30
receipts
On hand from
20
50
0
0
0
0
0
0
0
0
LT=1 prior period
Net
50
160
180
Requirements
Time-phased Net 50
160
180
Q
Requirements
50
Planned order
50
160
180
releases
Planned order
50
160
180
delivery

d. (4 points) Consider Item C. Find the planned order releases and on-hand units in period 10.
Period
1
2
3
4
5
6
7
8
9
10
Item
Gross
50
80
90
Requirements
C
Scheduled
50
receipts
On hand from
40
90
40
40
40
60
60
70
70
70
LT= 1 prior period
Net
40
30
requirements
Time-phased Net
40
30
Q=
Requirements
100
Planned order
100
100
releases
Planned order
100
100
delivery
4

Name:_________________________________________________

ID:_________________________

Name:_________________________________________________

ID:_________________________

Question 3: (10 points)

A single inventory item is ordered from an outside supplier. The anticipated demand for this item over
the next 5 months is 12, 15, 13, 14, 8. Current inventory of this item is 2, and the ending inventory should
be 1. Assume a holding cost of $2 per unit per month and a setup cost of $80. Assume a zero lead time.
Determine the order policy for this item over the next 5 months.
Use the Silver-Meal heuristic.
Net requirements: 12-2=10,15,13,14,8+1=9
Months

I1

I2

I3

1-1

10

1-2

25

15

1-3

38

28

13

1-4

52

42

27

14

4-4
4-5

I4

I5

Holding
Cost

Ordering
Cost

Per period
cost

80

80

30

80

55

82

80

54

166

80

61.5 (stop)
Q=38

14

80

80

23

18

80

49

a. (5 points) Use the table above to show your computation and summarize your order policy here:
Month 1: Order 38
month 4: order 23
b. (5 point) Use the table below to show the ending inventory that results from your order policy at the
end of each of the 7 months:
Month

Gross Requirements

12

15

13

14

Beginning Inventory

28

13

Net Requirements

10

14

Time-phased Net Requirements

10

14

Planned order Release

38

23

Planned Deliveries

38

23

Ending Inventory

28

13
6

1>=1

Name:_________________________________________________

ID:_________________________

Name:_________________________________________________

ID:_________________________

Question 4: (10 points)

Three jobs must be processed on a single machine that starts at 8:30 am. The processing times and due
dates are given below:
Job

Processing Time (Hours)

Due Date

J1

1:30 pm

J2

2:30 pm

J3

3:30 pm

a. (7 points) Assuming that the jobs are processed in the sequence J1, J2, J3, compute makespan,
total completion time, maximum lateness, and average tardiness.
Job

Start Time
(Hours)

Processing
Time

Completion
Time

(Hours)

(Hours)

Due Date

Lateness

Tardiness

(Hours)

(Hours)

(Hours)

J1

-1

J2

J3

12

Maximum

12

Total

23

Makespan = 12 hr

Total completion time = 23 hr

Maximum lateness = 5 hr

Average tardiness = 6/3 = 2 hr

b. (3 points) Find the sequence in which the jobs are processed when the critical ratio rule is applied.
Iteration 1
Current time

Job

Processing Time (Hours)

Due Date (Hours)

Critical ratio

J1

(5-0)/4 = 1.25

J2

(6-0)/3 = 2.00

J3

(7-0)/5 = 1.40

Job

Processing Time (Hours)

Due Date (Hours)

Critical ratio

J2

(6-4)/3=0.67

J3

(7-4)/5=0.60

Assign

Iteration 2
Current time

Final sequence:
8

Assign

Name:_________________________________________________

J1

ID:_________________________

J3

J2

Question 5: (10 points)

Irving Bonner, an independent computer programming consultant, has contracted to complete four
computer programming jobs.
Job

Time required (days)

Due date (days)

25

10

12

11

35

12

26

Assume that some jobs must be completed in a certain sequence because they involve program
modules that will be linked. Precedence restrictions: 1 4 3 2
a. (7 points) Using Lawlers algorithm, find the sequence in which he should be performing the jobs in
order to minimize the maximum lateness subject to the precedence constraints.
Iteration 1:
Job

Candidate?

Due date

Completion time if scheduled

Lateness if scheduled

Yes

12

41

41-12 = 29

Yes

26

41

41-26 = 15(*)

1
2
3
4

Decision in iteration 1:
4
Iteration 2:
Job

Candidate?

Due date

Completion time if scheduled

Lateness if scheduled

Yes

25

29

29-25 = 4(*)

Yes

12

29

29-12 = 17

3
Decision in iteration 2:
1

Iteration 3:
Job

Candidate?

Due date

Completion time if scheduled

Lateness if scheduled

Yes

12

21

3
Decision in iteration 3:
9

Name:_________________________________________________

ID:_________________________

Final Sequence:

b. (3 points) What is the maximum lateness of the sequence you found in Part a?
Job

Start
time

Time
required

Completion
time

Due date

Lateness

(days)

(days)

(days)

(days)

(days)

11

11

35

-24

11

10

21

12

21

29

25

29

12

41

26

15

Hence, maximum lateness = 15

Question 6: (10 points)
Three jobs are to be scheduled on two machines M1 and M2. Assume that every job is first processed
on M1 and then on M2. The processing times are as stated below:
Job

M1

M2

J1

J2

J3

Find a schedule that minimizes makespan. Compute the optimal makespan.

Min 3, J1 on M1. Hence assign J1 in the beginning. 1xx
Min 4, J2 on M2. Hence assign J2 in the end. 1x2
Final sequence 1-3-2

J1
J3
J2

Start
0
3
8

Machine 1
Proc
3
5
7

End
3
8
15

10

Start
3
11
17

Machine 2
Proc
8
6
4

End
11
17
21