MGT 311 Saudi Electronic Car Parts Company Operations Management Questions

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GNANO

Business Finance

MGT 311

Saudi electronic university

MGT

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Instructions – PLEASE READ THEM CAREFULLY - Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions. - All answered must be typed using Times New Roman (size 12, doublespaced) font. No pictures containing text will be accepted and will be considered plagiarism). - when use other material also to support your answer, please attach the link as APA. -Please adhere to the specified number of words Assignment Question(s): (Marks 5) Question 1: A company that makes car parts. The company control its production process by periodically taking a sample of 100 units from the production line. Each product is inspected for defective features. Control limits are developed using three standard deviations from the mean as the limit. During the last 12 samples taken, the proportion of defective items per sample was recorded as follows: 0.01 0.00 0.01 0.01 0.0 0.02 0.04 0.02 0.01 0.03 0.01 0.03 a. Determine the mean proportion defective, the UCL, and the LCL? (Marks 1) (word count maximum:150) b. Draw a control chart and plot each of the sample measurements on it? (Marks 1) (word count maximum:100) c. Does it appear that the process for making tees is in statistical control? (Marks 0.5) (word count maximum:100) Question 2: A Chemical Company estimates the annual demand for a certain product as follows: Week 1 Demand 649 2 524 3 561 4 738 5 511 6 590 a. Forecast the demand for week 7 using a five-period moving average? (Marks 0.5) (word count maximum:100) b. Forecast the demand for week 7 using a three-period weighted moving average. Use the following weights: W1 = .5, W2 = .3, W3 = .2.? (Marks 0.5) (word count maximum:100) c. Forecast the demand for week 7 using exponential smoothing. Use an α value of .1 and assume the forecast for week 6 was 602 units? (Marks 1) (word count maximum:100) d. What assumptions are made in each of the above forecasts? (Marks 0.5) (word count maximum:150)
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Explanation & Answer

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Question 1
a)
UCL = X + E2Ŕ
UCL = X - E2Ŕ
P = 0.0+ 0.01 + 0.02+0.02 + 0.03+0.03
P=0.11/11
=0.01833
UCL = P+3

𝑝(1−𝑝)
n

O.01833+0.146
=0.1328
LCL = P-3

𝑝(1−𝑝)
n

0.01833-0.1146
=-0.096
CL=3

this is the sigma, which is always constant.

b)
The upper control unit is given to be 0.1328 was greater than the lower control unit of 0.096,
having given the mean as P of 0.01833. The control unit is close to the average, and it is below
the upper control unit, it represents the area for average sigma. Below the...


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I was struggling with this subject, and this helped me a ton!

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