Excel Case Problem
a) The total number of feet all workers combined must move during a day’s operation with the current, baseline layout is 72,720 feet
c) The total number of feet all workers combined must move during a day’s operation with the new layout is 33,720 feet
d) (72,720-33,720)/72,720*100= 53.63%. I would expect at least with the new joint over the old joint is 53.63% improvement because with all other things equal, the operation cost of the old joint is 72,720 and the new joint 33,720, we can calculate that at least we should have improvement at least 53.63% from the reduction in the operation cost.
e) Since, I cannot change the location of all cashier, I need to see which work areas that cashier goes a lot. From the from/to matrix, we can see that the highest number of worker-trips made from cashier is to warmer so that is why I put the warmer (w) in area 5 and I put here so it will be closed with all the cashier. The next thing that I look is which work area that has the highest number from warmer and I see that number of worker-trips made from warmer to fryer is the highest so I put fryer (F) in are 4 rather than area 1 because area 4 has shorter distance than area 1 from area 5. I don’t put the fryer in area 9 because I need to put the fryer (f) and beverage dispenser (B) next to each other and when I try to put in area 9 (f) and in area 10 (B), it has higher cost. Next thing, I look is which work are that has the highest number from fryer and it is beverages so I put beverages in