- What will the process capacity be, if one additional worker was added to the bottle process (exnressed in tonnes of egg trays per hour)?
- What will the process capacity be, if one additional worker was added to the bottle process (exnressed in tonnes of egg trays per hour)?
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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Transcribed Image Text:EggyTrays produces egg trays, which involve the following processes:
Pulping and mixing (30 minutes/ 1 tonne egg tray)
Forming (45 minutes/ 1 tonne egg tray)
Drying (30 minutes/ 1 tonne egg tray)
Stacking (20 minutes/ 1 tonne egg tray)
Packaging (15 minutes/ 1 tonne egg tray)
Each of the activities requires one worker as resource. The processing time in each activity is
indicated in parenthesis. All workers get paid $12 an hour. Assuming a demand rate of 3 tonne
egg trays per hour, answer the following questions:
What is the cost of direct labor?
What is the labor content?
What is the average labor utilization?
• What is the takt time?
What is the target manpower?
• What will the process capacity be, if one additional worker was added to the bottleneck
process (expressed in tonnes of egg trays per hour)?
Expert Solution
Step 1
Process capacity indicating the maximum production capability of a process, if the management ready to use the maximum capacity of the bottleneck process. A bottleneck process will reduce the total capacity of the process. Based on the given information, we can identify the new capacity after adding additional worker to the existing bottleneck process like given below.
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