1. What is the appropriate basic process type for LEGO?

- Batch is the best basic process type for LEGO. Since they have decided to become a lifestyle
company, they need to use a moderate volume of goods so they can handle a moderate
variety of products as a start. It is appropriate because the products are easily added.

2. How can technology and automation help the company in regaining its competitive position
in the market?
- Technology and automation assist the company in regaining its market competitive position
by developing new and improved products, services, or processes. The application of
scientific discoveries to the development and improvement of goods and services is referred
to as technology. Automation allows businesses to operate automatically, which has several
advantages over human labor. It has low variability, whereas it is difficult for a human to
perform a task in the same way, in the same amount of time, and on a repetitive basis,
resulting in a competitive advantage for the company. Without a doubt, the company's
success is due to technology and automations combined with skill combinations. In the face
of unpredictable demand, automation enables businesses to remain efficient and
productive.

3. If LEGO operates 24 hours a day with and output rate of 0.5 minute, what is the output rate of
the company per day?

Operating time per day

Answer: Output rate=
Cycle time

1440
Output rate=
0.5

= 2,880 unit per day

4. What is the total transportation cost incurred by LEGO if the cost per meter to move any load
is P2?

Trip Distance (m) Department Pair Workflow Transportation Cost

A-B 25 1-3 180 25 x 180 = 4,500
B-C 40 2-3 90 40 x 90 = 3,600
C-D 45 1-2 40 45 x 40 = 1,800

Total = P9,900