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Case: Landmark Auto Parts, Inc.

1. What type of process flow structure is CBF using?


The type of process flow structure that CBF is using is assembly line. It follows a specific
sequence flow of activities in order to finish the product. The end product of one workstation
is the starting point of the following workstation.

2. Diagram the process in a manner similar to Exhibit 7.7.

Order
Fabrication Warehouse
Acceptance

Release batch of 50
to 60 rods every 3hrs

Cut rods to 50-70cm Final Inspection


long

Adjusting length Galvanizing

100% inspection
Shaping / Rework

Thread Rolling

Heat to high Temp.

Bending rods to U-
Shape

Inspection

300-400 bolts heated


at 1000 to 1200
degrees for 2hours
3. Analyze the current capacity of the process. Check if the capacity is the equal to 18,000
units/day or not.
Daily Capacity = 420-5/1.2 x 2shifts per day
= 690 per day
Monthly capacity = 690days x 30 days = 20,700
The capacity per day is 690 and the monthly is 20,700
4. What is the effect of setup times on the production rate of each process?
The production would decrease because the time intended for making the product is being
compromised for setting up the equipment
5. What recommendations would you make for a short-term solution to Landmarks problems?
In order to reach their goal of 30,000 units per month, landmark must increase their working
days and shorten their setup time in order to utilize fully the time in order to produce more
products.
6. What long-term recommendations would you make?
The long term recommendations that we can make is to buy additional equipment in order to
hasten the production. This will also minimize manual labor idle time because the machine
has minimal idle time.

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