Berea College Operations And Supply Chain Management Assignment Help - Finance/Business

Question - 14-25 Stephanie Robbins is the Three Hills Power Company management analyst assigned to
simulate maintenance costs. In Section 14.6 we describe the simulation of 15 generator breakdowns
and the repair times required when one repairperson is on duty per shift. The total simulated
maintenance cost of the current system is $4,320.
Robbins would now like to examine the relative cost-effectiveness of adding one more worker per
shift. The new repairperson would be paid $30 per hour, the same rate as the first is paid. The cost
per breakdown hour is still $75. Robbins makes one vital assumption as she begins:that repair times
with two workers will be exactly one-half the times required with only one repairperson on duty per
shift. Table 14 ...Read More .13 can then be restated as follows:
REPAIR TIME
REQUIRED (HOURS) PROBABILITY
0.5 0.28
1.0 0.52
1.5 0.20
1.00
(a) Simulate this proposed maintenance system change over a 15-generator breakdown period.
Select the random numbers needed for time between breakdowns from the second-from-the bottom
row of Table 14.4 (beginning with the digits 69). Select random numbers for generator repair times
from the last row of the table (beginning with 37).
(b) Should Three Hills add a second repairperson each shift? ...Read Less

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