EBK OM
6th Edition
ISBN: 9781305888210
Author: Collier
Publisher: YUZU
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Chapter 10, Problem 4PA
Summary Introduction
Interpretation:The workload time needs to be calculated using the given information with the help of workload formula.
Concept Introduction: Capacity measurement is an important concept in operations management which helps in capacity planning for an increase or decrease in demand in both short term and long term.
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Choice Bank receives credit card applications that need to be reviewed for a decision. There are two types of applications; preapproved, and non-preapproved. Preapproved applications only need a quick review and therefore take 6 minutes to process. Applications that are not preapproved need a secondary credit check and take 15 minutes to process.
8. The bank receives 10 preapproved applications every hour and 6 applications that are not preapproved every hour.
What is the utilization of the process?
If you can hire an additional worker in order to improve the process capacity you should assign the worker to ?
Positively Rivet Inc. is a small machine shop that produces sheet metal products. It had one line dedicated to the manufacture of light-duty vent hood shells, but because of strong demand it recently added a second line. The new line makes use of higher-capacity automated equipment but consists of the same basic four processes as the old line. In addition, the new line makes use of one machine per workstation, while the old line has parallel machines at the workstations. The processes, along with their machine rates, number of machines per station, and average times for a lone job to go through a station (i.e., not including queue time), are given for each line in the following table:
Process
Old Line
New Line
Rate per Machine
(parts/hour)
# Machines per Station
Time
(minute)
Rate per Machine
(parts/hour)
# Machines per Station
Time
(minute)
Punching
15
4
4.0
120
1
0.50
Braking
12
4
5.0
120
1
0.50
Assembly
20
2
3.0
125…
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