Time Required per Student Step Description Unpack and place on belt 1.0 minute Strip off bad habits 1.5 minutes Scrub and clean mind 0.8 minute 4 Insert modern methods 1.0 minute Polish and pack 1.2 minutes One faculty member is assigned to each of these steps. Faculty members work a 40-hour week and rotate jobs each week. Mr. Rockness has been working on a contract from Gen- eral Eclectic, which requires delivery of 2,000 refurbished students per week. A represen- tative of the human resources department has just called complaining that the company hasn't been receiving the agreed-upon number of students. A check of finished goods inventory by Mr. Rockness reveals that there is no stock left. What is going on? Wally's Widget Warchouse takes orders from 7 A.M. to 7 P.M. The manager wants to analyze 12 the process and has provided the following process flow diagram. There are three steps required to ship a customer order. The first step is to take the order from a customer. The second step is to pick the order for the customer, and then they have to pack the order to ready it for shipping. Wally promises that every order placed today gets shipped tomorrow. That means the picking and packing operations must finish all orders before they go home. Customers Customer , Orders, Picked Orders Wait for Shipper Take Orders Pick Orders Pack Orders 100 Customers/ 80 Customers/ 60 Customers/ hour hour hour Wally wants to figure out the following: a. What is the current maximum output of the process assuming that no one works overtime? b. How long will the picking and packing operations have to work if we have a day where the order taker works at his maximum capacity? c. Given b, what is the maximum number of orders waiting to be picked? d. Given b, what is the maximum number of orders waiting to be packed? e. If we double the packing capacity (from 60 to 120 orders per hour), what impact does this have on your answers in parts (b), (c), and (d)?
Time Required per Student Step Description Unpack and place on belt 1.0 minute Strip off bad habits 1.5 minutes Scrub and clean mind 0.8 minute 4 Insert modern methods 1.0 minute Polish and pack 1.2 minutes One faculty member is assigned to each of these steps. Faculty members work a 40-hour week and rotate jobs each week. Mr. Rockness has been working on a contract from Gen- eral Eclectic, which requires delivery of 2,000 refurbished students per week. A represen- tative of the human resources department has just called complaining that the company hasn't been receiving the agreed-upon number of students. A check of finished goods inventory by Mr. Rockness reveals that there is no stock left. What is going on? Wally's Widget Warchouse takes orders from 7 A.M. to 7 P.M. The manager wants to analyze 12 the process and has provided the following process flow diagram. There are three steps required to ship a customer order. The first step is to take the order from a customer. The second step is to pick the order for the customer, and then they have to pack the order to ready it for shipping. Wally promises that every order placed today gets shipped tomorrow. That means the picking and packing operations must finish all orders before they go home. Customers Customer , Orders, Picked Orders Wait for Shipper Take Orders Pick Orders Pack Orders 100 Customers/ 80 Customers/ 60 Customers/ hour hour hour Wally wants to figure out the following: a. What is the current maximum output of the process assuming that no one works overtime? b. How long will the picking and packing operations have to work if we have a day where the order taker works at his maximum capacity? c. Given b, what is the maximum number of orders waiting to be picked? d. Given b, what is the maximum number of orders waiting to be packed? e. If we double the packing capacity (from 60 to 120 orders per hour), what impact does this have on your answers in parts (b), (c), and (d)?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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