Benchmarking The call center of Wobegon Electric Company handles 1.32 million calls per year. The average call requires six minutes of operator time, and 40 percent of the calls require a supervisor to be involved for at least half of the call time. Operators are paid $9 per hour, and supervisors are paid $15 per hour. After Wobegon Electric engaged in process benchmarking, call times were reduced by one minute, and the number of supervisor-involved calls were reduced by 15 percent. The benchmarking study cost Wobegon Electric Company $220,000. a. What was Wobegon Electric’s total labor cost and labor cost per call at the call center prior to benchmarking? Total labor cost Answer Labor cost per call Answer b. What was Wobegon Electric’s total labor cost and labor cost per call at the call center after benchmarking? Note: Do not round until your final answer. Note: Round the labor cost per call to two decimal places (i.e., round 3.4555 to 3.46). Total labor cost Answer Labor cost per call Answer c. If the new results are expected to continue for three years, was engaging in the benchmarking study profitable to Wobegon Electric Company? Benchmarking study resulted in a $Answer Answer
Benchmarking
The call center of Wobegon Electric Company handles 1.32 million calls per year. The average call requires six minutes of operator time, and 40 percent of the calls require a supervisor to be involved for at least half of the call time. Operators are paid $9 per hour, and supervisors are paid $15 per hour. After Wobegon Electric engaged in process benchmarking, call times were reduced by one minute, and the number of supervisor-involved calls were reduced by 15 percent. The benchmarking study cost Wobegon Electric Company $220,000.
a. What was Wobegon Electric’s total labor cost and labor cost per call at the call center prior to benchmarking?
| Total labor cost | Answer |
| Labor cost per call | Answer |
b. What was Wobegon Electric’s total labor cost and labor cost per call at the call center after benchmarking?
Note: Do not round until your final answer.
Note: Round the labor cost per call to two decimal places (i.e., round 3.4555 to 3.46).
| Total labor cost | Answer |
| Labor cost per call | Answer |
c. If the new results are expected to continue for three years, was engaging in the benchmarking study profitable to Wobegon Electric Company?
Benchmarking study resulted in a $Answer Answer
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
