Process with Setup
Consider the following batch-flow process consisting of three process steps performed by three machines:
Work is processed in batches at each step. Before a batch is processed at Step 1, the machine has to be set up. During a setup, the machine is unable to process any product.
a) Assume that the batch size is 100 parts. What is the bottleneck in this process? What is the capacity of the process?
b) What batch size would you choose in order to minimize the inventory without reducing the process capacity? Assuming that all units of a batch have to be processed before they can move to the next step.