LITTLEFIELD

SIMULATION 2
ADAIR GALLO JUNIOR
BARBARA BEDRAN
FRANK ROSS
JIAYING GAO
ZACHARY NOLTE
FACTORY LAYOUT
OBJECTIVES
To make money

To be efficient



OBJECTIVES



ACTIONS WE TOOK TO ACCOMPLISH OUR
OBJECTIVES
Reduce queues
Make sure there were always raw materials
available
Get the best contract (Numer 3) with the
maximum revenues
Reduce lead times in order to fulfill contract
number 3




JOB ARRIVALS
The job arrivals kept constant during all
simulation
So, at the moment we found the perfect
number of machines for each station, we
did not have to change it for the rest of
simulation
Job arrivals
STATION 1
The utilization was very high in
station 1 in the beginning of the
simulation
The big utilization generated big
queues
So we decided to buy more
machines to reduce the utilization
and by consequence, the queues
Utilization in Station 1
STATION 1
The station was having big queues
in the beginning of the simulation
So we decided to buy more
machines to reduce the queues
Queued Jobs in Station 1
STATION 2
Utilization in Station 2 Queues in Station 2
The same analysis was taken in station 2
We bought one machine to reduce untilization and consequently reduce queues
STATION 3
Utilization in Station 3 Queues in Station 3
The same analysis was taken in station 3
We bought one machine to reduce untilization and consequently reduce queues
INVENTORY (RAW MATERIALS)
In the beginning of the simulation
the reorder point was too late
The inventory got to zero before
the next order arrived
So, we increased the reorder point
to 3300 and later to 3900 kits to
ensure we would not run off
materials
We also increased the order
quantity to 10800 kits to reduce
the number of orders, since each
order costed $ 1000
Inventory in kits
LEAD TIMES
In the beginning the lead times were
big because there were not enough
capacity in the factory
After the lead times were reduced,
we changed our contract to make
more money per job
As we can see, the number of
machines we bought for each station
and our decision in the reorder point
were good, because the lead times
kept constant and we could fulfill the
requirements for contract number 3
Daily average job lead time
CASH
As we can see, the growth rate
increased after we bought more
machines and increased our capacity
The red line shows the tendency if we
took no decisions. As we can see, we
would have have finished the game
with only $ 1,559,264 if we did
nothing.
We got 47.3% more money with our
decisions or $ 738,142 more.

Cash on hand at the end of each day
GROWTH PREDICTION (DAYS: 66-123)
We ploted our money just after
buying raw materials from day 66
to 123
We used our data to find an
equation that described the
growth rate of our money
The ajusted equation (R=0.999) is
presented in the graph
This data correspond to a
difference between the order
quantity and the reorder point of
6300 kits

Ajustment of our money
GROWTH PREDICTION (DAYS: 136-258)
We ploted our money just after
buying raw materials from day 66 to
123
We used our data to find an equation
that described the growth rate of our
money
The ajusted equation (R=0.9995) is
presented in the graph
After day 132, we changed the order
quantity and the reorder point
This data correspond to a difference
between the order quantity and the
reorder point of 6600 kits


Ajustment of our money
GROWTH PREDICTION (COMPARISON)
As we can see in the ajusted equations, after incresing the difference between the order quantity and the reorder
point (day 132) from 6300 to 6900, we notice that the growth rate (slope) increased from 6.95 to 7.55.
This happened because we needed to order raw material with a lower frequency. Thus, we reduced the frequency
we paid the $ 1000 per order.
So, we conclude that we should have increased the order quantity sooner in the simulation, in order to get a higher
growth rate. (But the lack of data about interest over cash in hand and money growth data prevented us from
changing it before.

OVERALL TEAM STANDING
LAST THOUGHTS
Predict the future based on the past
Act as soon as possible to improve efficiency


QUESTIONS?