Management Science

Situation 2.
R.T. produces two telephone models, each of which must go through three workstations for manufacturing, assembly, and quality control. At this time, the company is deciding between two Assembly processes, and only one of the Processes (1 or 2) will be used. The amount of time required for each model in each of the work areas is given in the following table.

Model Manufacturing Assembly Process 1 Assembly Process 2 Quality Control
Standard 7 minutes 5 minutes 2 minutes 2 minutes
Trimline 5 minutes 6 minutes 4 minutes 3 minutes

R.T. employs 11 workers, who each work a 7.5 hour day, and have been trained to work on any of the three processes. Accounting has stated that the cost of each Manufacturing minute is $1.10, each Assembly minute $0.25 or $0.30, respectively, depending which process is chosen, and each Quality Control minute $0.10, for a Standard Model. For the Trimline model, the costs are $0.25, $0.85 or $1.00 (Process 1 and 2), and $0.55. If R.T. sell for $7 the standard models and $10 the Trimline models, what should be the optimal daily production schedule.

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