Preview

Minnetonka Receiving

Good Essays
Open Document
Open Document
687 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Minnetonka Receiving
Minnetonka Receiving March 8, 2013

I. Major Facts
A manager of a warehouse in Minnetonka MN is analyzing the number of workers allocated to the receiving dock. The trucks arrive randomly at the average rate of four per hour with a deviation of plus or minus one. Two warehouse workers can unload five trucks per hour or one every twelve minutes. Each warehouse worker receives $14 per hour. The firm put in place a greater amount of associates to the receiving dock in order to deal with the challenging matter on the inbound freight. II. Major Problem
The extra employees appeared to be idle due to there were no trucks to unload. The company is receiving excessive fines of $60 per hour from the motor carriers, because of their semis trucks not getting unloaded in a timely method at the facility. Carriers make money by driving trucks, not waiting around to get unloaded. When things go according to plan, carriers will get unloaded as soon as they arrive. (Randy Siever 2012) All union workers must be paid for entire shift and can’t be assigned to other jobs in the warehouse. III. Possible Solutions
A. One suggestion to improve the receiving dock productivity involves adding a second dock for incoming freight. The amount of trucks being unloaded at one time will double. A more continuous flow of trucks moving though the receiving docks brings about less idle time for the workers. The cost at the outset may be more the company can afford even though it wound be profitable in the long term. B. The next possible solution to the concerns of the manager pertaining to the docks issue is the adjustment of the workers hours. Most businesses use a standard three shift system. In the logistics field a technique of staggered start time schedule for the workforces seems to require fewer people to get the same amount of work done. The staggered start schedule



References: Randy Siever- LeanCor (April 19, 2012) http://leanlogisticsblog.leancor.com Derek Browning -LeanCor (July 6, 2011)http://leanlogisticsblog.leancor.com

You May Also Find These Documents Helpful

  • Good Essays

    CH 11 12 13 DIAGRAM

    • 351 Words
    • 2 Pages

    Consider the situation shown in the table and Figure 10.2 (above). The Marginal Revenue Product (MRP) of the 4th worker is $__________ . 2…

    • 351 Words
    • 2 Pages
    Good Essays
  • Good Essays

    Spmproject File

    • 667 Words
    • 3 Pages

    4. On average, how long will the trucks have to wait on a busy day? Assume a 11am start of processing of berries and a continuous arrival rate of berries of 1,500 bbls/hr.…

    • 667 Words
    • 3 Pages
    Good Essays
  • Good Essays

    a) A firm has three categories of employees: juniors, seniors and supervisors. They earn $12, $18 and $24 per hour respectively. They have an output of 10, 16 and 22 units of product per hour respectively. The 250 employees of the plant have a total…

    • 1317 Words
    • 6 Pages
    Good Essays
  • Satisfactory Essays

    c. Compute the labor efficiency variance. 16 * (510 – (5,500 *0.1)) = 640 F…

    • 254 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    QMS 230 Review Questions

    • 3005 Words
    • 13 Pages

    Ryerson Automobile Insurance Company wants to estimate the mean time it takes for workers who are employed in downtown Toronto to get to work. A sample of 10 workers reveals the following number of minutes traveled.…

    • 3005 Words
    • 13 Pages
    Good Essays
  • Satisfactory Essays

    4. Suppose Realco produces 20,000 breadmakers every week, rather than 40,000 every other week. According to the master schedule record, what impact would this have on average inventory levels?…

    • 666 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    case study

    • 1430 Words
    • 6 Pages

    Activity one; process cartons in and out of the facility rate= (90% *2,400,000+35,000,000)/80,000=464.5 $/per carton…

    • 1430 Words
    • 6 Pages
    Good Essays
  • Satisfactory Essays

    Decision Analysis Task 2

    • 1025 Words
    • 4 Pages

    The increase in supply shows that the best and optimal distribution pattern is Shanghai would ship 1500 units to warehouse 2. Shuzworld H would ship 300 units to Warehouse 1, and 1800 units to Warehouse 3. Finally, Shuzworld F would ship 2200 units to Warehouse 1. The additional units 1500 are shipped to a dummy warehouse, 1300 units are allocated to Shanghai and 200 units are allocated to Shuzworld H. Again, using the transportation model to implement this shipping plan would reduce the cost associated with shipping from Shuzworld F to Warehouse 3 which is the most expensive route. Additionally, increasing the supply units and storing them in a dummy warehouse decreases the transportation costs. By shipping the excess units to a dummy location does not increase the cost for the company. The transportation model finds the lowest cost by analyzing the different shipping methods.…

    • 1025 Words
    • 4 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Chapter 4 Solutions

    • 473 Words
    • 2 Pages

    (c) Direct labor cost = Labor cost per hour / flow rate = 9*$15/h / 40 trucks per hour = $3.38/truck…

    • 473 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Lenko Products Case Study

    • 808 Words
    • 4 Pages

    3. Explain the difference between the manufacturing overhead that would have been applied to the Hastings job using the plantwide rate in question 1(b) and using…

    • 808 Words
    • 4 Pages
    Satisfactory Essays
  • Better Essays

    facility. Coal trucks filled with coal arrive at the port facility at the mean rate of 149 per…

    • 1929 Words
    • 19 Pages
    Better Essays
  • Satisfactory Essays

    Westminster Company

    • 291 Words
    • 2 Pages

    1- What impact would the three new alternatives have on transfer and customer freight costs? Why?…

    • 291 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    4. Suppose Realco produces 20,000 bread makers every week, rather than 40,000 every other week. According to the master schedule record, what impact would this have on average inventory levels?…

    • 1115 Words
    • 7 Pages
    Better Essays
  • Satisfactory Essays

    d) The case description of how many workers are needed when the plant runs over time is vague. Assume that there are 20 workers and that they are evenly split between full time and seasonal employees.…

    • 426 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    In order for all 16,400 barrels to be processed at this rate, the plant, which begins at 11am, will have to work for roughly 19.13 hours, till just after 6am. This means we have 11.13 hours of overtime required for all processing employees. The second issue we find is that the bottleneck and limited wet berry bin capacity (3,200 wet barrels) causes a wait for trucks, resulting in the back-up at the drop off station as they are delivering barrels. Exhibit A depicts this backup. The backup of delivery trucks causes the receiving department to work for 17.8 hours till just before 6am. That equals 9.8 hours of overtime required for employees in the receiving department. All of this overtime leads to a daily payroll expense of $4,395 (52 employees* $7.88 Average OT pay rate), or $87,894 during the 20 day period we are analyzing. Refer to Figure 1 for these…

    • 944 Words
    • 4 Pages
    Good Essays

Related Topics