Problem:
Peter's Paper Clips uses a three-stage production process: cutting wire to prescribed lengths, inner bending, and outer bending. The cutting process can produce at a rate of 150 pieces per minute; inner bending, 140 pieces per minute; and outer bending, 110 pieces per minute. Determine the hourly capacity of each process stage and the number of machines needed to meet an output rate of 20,000 units per hour.
Required:
How does facility layout impact your numerical analysis and process efficiency? Explain. Explain the solution in detail.