A medical equipment testing and calibration service is shown below. The customer usually brings the equipment to the service center. The service process requires service technicians to perform three process steps #1 to #3. Each technician is cross-trained so they can perform any of the three steps. The inspector does step #4 alone. After step #4, two parallel work activities are performed. That is, a shipping clerk packs the work (step #7), while simultaneously, a billing clerk prepares the invoice (step #5), and the customer is contacted by phone for pick-up (step #6). The average throughput is three equipment units per hour. The table below shows the work content of the process steps, activity times in minutes per unit, shared and non-shared work activities, and the type of resource required. There are three service technicians on duty, one inspector, one billing clerk, and one shipping clerk. Activity Time Activity Activity (minutes) Performed By Start - 1 7 Service technician 2 18 Service technician 3 25 Service technician 4 15 Inspector 5 2 Billing clerk 6 6 Billing clerk 7 25 Shipping clerk End - Round your answers to the nearest whole number. What is the service rate for the service technician? minutes/unit What is the labor utilization rate (%) for the billing clerk? % What is the labor utilization rate (%) for the service technician? % Calculate the labor utilization rates (%) for the inspector and the shipping clerk. Inspector utilization: % Shipping clerk utilization: % What job represents the bottleneck in this process? The job is the bottleneck.

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Question

A medical equipment testing and calibration service is shown below. The customer usually brings the equipment to the service center. The service process requires service technicians to perform three process steps #1 to #3. Each technician is cross-trained so they can perform any of the three steps. The inspector does step #4 alone. After step #4, two parallel work activities are performed. That is, a shipping clerk packs the work (step #7), while simultaneously, a billing clerk prepares the invoice (step #5), and the customer is contacted by phone for pick-up (step #6). The average throughput is three equipment units per hour.

The table below shows the work content of the process steps, activity times in minutes per unit, shared and non-shared work activities, and the type of resource required. There are three service technicians on duty, one inspector, one billing clerk, and one shipping clerk.

	Activity Time	Activity
Activity	(minutes)	Performed By
Start	-
1	7	Service technician
2	18	Service technician
3	25	Service technician
4	15	Inspector
5	2	Billing clerk
6	6	Billing clerk
7	25	Shipping clerk
End	-

Round your answers to the nearest whole number.

What is the service rate for the service technician?

minutes/unit
What is the labor utilization rate (%) for the billing clerk?

%
What is the labor utilization rate (%) for the service technician?

%
Calculate the labor utilization rates (%) for the inspector and the shipping clerk.

Inspector utilization:   %

Shipping clerk utilization:   %

What job represents the bottleneck in this process?

The  job is the bottleneck.