MGMT 361 - Exam 1

240

A bank has three tellers. It takes a teller 6 minutes to serve one customer. What is the capacity of the bank (in customers per hour) over the course of an 8-hour workday?

When the process is demand-constrained

When will the utilization of a bottleneck resource be less than 100%?

Increasing wages for production workers

Which of the following actions does not relate to off-loading the bottleneck?

Arrival and departure times

Which of the following pieces of information is needed to compute flow time at a dentist's office?

It is at its maximum when the flow rate is equal to its capacity.

Which of the following statements about utilization of a resource is TRUE?

100 minutes

A chemical process involves adding various agents to a vat and then waiting for the agents to react to make a final compound. The vat holds up to 1000 gallons. Chemical agents are added to the vat at a rate of 4.5 gallons per minute. Once the agents have been added to the vat, the reaction takes 85 minutes no matter the actual number of gallons in the batch. After the batch is complete, the vat must be cleaned. Cleaning always takes 15 minutes. What is the setup time of this process?

Costs of direct labor would be 50 percent lower.

A process is replicated in another country where wages are 50 percent lower. Staffing and processing times are identical. What would be the effect on the costs of direct labor?

A: 100, B: 200, C: 400, D: 800

A product requires four parts that are made on the same lathe. Call the parts A, B, C, and D. The product requires 1 unit of A, 2 of B, 4 of C, and 8 of D. Which of the following production cycles is most appropriate?

demand, supply, process capacity

Capacity is constrained when __________ exceeds __________ and the flow rate is equal to __________.

capacity -constrained

Customers drive away after failing to find a place to park at a supermarket. The current process is ___

how much stuff moves through the process per time unit

Flow rate tells us __________.

2.5 Average flow rate = 50 patients/(5 + 15) minutes = 2.5 patients per minute.

On average, a patient spends 5 minutes waiting and 15 minutes being treated at C&A Clinic. The average number of patients waiting and being treated at the clinic is 50. What is the average flow rate of patients per minute on a typical day?

26.67 Capacity = 1/[2 + 3 + (2 × 60) + 10] = 0.007 customer per second = 0.007 ×60 (seconds/minute) ×60 (minutes/hour) = 26.67 customers per hour.

One employee is in charge of the following activities at a bank's drive-through: Activity Activity Time per Customer Greet customer 2 seconds Take order 3 seconds Process order 2 minutes Print receipt 10 seconds What is the capacity (in customers per hour) of the employee?

10 Capacity = 1 / Processing time. Capacity at check in, record vital signs, receive treatment, and check out is 1, 0.5, 0.1, and 0.333 patient per minute respectively. The lowest capacity is the bottleneck and is Process capacity = 0.1 patient per minute = 0.1 × 60 (minutes/hour) = 6 patients per hour. Flow rate = Min(Demand, Process capacity) = Min(2, 0.1) = 0.1. Cycle time = 1 / Flow rate = 1 / 0.1 = 10 minutes.

Patients are arriving at a clinic at a rate of two per minute. Each patient's visit consists of four steps: check in, record vital signs, receive treatment, and check out. A receptionist takes 1 minute to check a patient in. A nurse takes 2 minutes to record the patient's vital signs. A doctor spends 10 minutes with a patient. A staff member takes 3 minutes to check a patient out. What is the cycle time of the process in minutes?

B

Product A's annual inventory turns is 8 and product B's annual inventory turns is 5. Which product spends more time in inventory on average?

False Little's Law can be used to identify the average time flow units spend in the process.

T or F Little's Law can be used to identify the actual time a particular flow unit spends in a process.

5 Flow rate = 10 customers/2 hours = 5 customers per hour.

Ten customers visit C&A Bakery from 8 a.m. to 10 a.m. The customers spend 10, 15, 20, 11, 8, 12, 5, 18, 29, and 32 minutes in the bakery. What is the average flow rate of customers in this bakery per hour?

Increase by less than 300 percent

The batch size is tripled on a resource that has a setup time. What is the likely impact on the resource's capacity?

inventory, flow rate, and flow time

The three key process metrics are

Cutting

There are four steps in the manufacturing process of a stuffed toy: cutting, stuffing, sealing, and packaging. There are two employees each for cutting and stuffing but one each for sealing and packaging. The processing times of cutting, stuffing, sealing, and packaging are 8, 5, 3, and 2 seconds per toy. What is the bottleneck in the process?