Perform a Capacity Analysis of the Process Given Below

question 23

Multiple Choice

Perform a capacity analysis of the process given below. The numbers in parenthesis (#) are the time in minutes to complete one unit of work. Demand on the process averages 20 units per hour and each unit must be worked on by all four stages. Administrative clerk(s) do Stage A work. The assistant manager(s) do Stages C and D work and are cross-trained to do both jobs. The coding specialist(s) do Stage B work.
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-Given the base case information and resource levels in question #21, which process improvement option given below is best to maximize (increase) process (throughput) capacity? (Each option is independent of any other option; that is, consider each option below as the base case plus the one option.)

• A) Add one clerk to help do the work at Stage A.
• B) Add one assistant manager to help do the work at Stages C and D.
• C) Transfer one coder from coding to an assistant manager job.
• D) Speed up the service time for coders (Stage
• B) from 6 minutes/unit to 5 minutes/unit.

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Definitions:

Supply of Seats

Refers to the number of seats available, often in context to theaters, vehicles, or other venues where seating is limited.

Ticket Prices

The cost assigned for admission to an event, such as a movie, concert, or sports event.

Perfectly Inelastic

A market situation where the quantity demanded or supplied is completely unresponsive to changes in price.

Stadium Capacity

The maximum number of spectators that a stadium can accommodate.