Practice #1
Solutions
Process Analysis and Capacity Management
BUAD311 – Operations Management

1. Dello is a world-class PC company. Management believes that they understand their products and customers better than any outsourcing company; therefore Dello should provide customer service in-house. Ideally, Dello’s customer service department wants to handle all the customer phone calls. During peak hours, however, Dello receives so many customer calls that they ask an outsourcing company, Telemate, to help handle incoming calls. Dello’s switchboard system is programmed in the following way; A customer calls Dello at its 1-800 number. If there are 14 or less callers in the system waiting to speak with one of the customer service …show more content…

What is the capacity of Spotted Cow? And which resource is the bottleneck? Explain.

The cashier is the bottleneck as she can take at most 30 orders per hour. While the two workers can prepare in total 40 orders per hour. The capacity of Spotted Cow is 30 orders per hour, which is decided by the bottleneck.

6. Pavich’s Brick Oven Pizza is known for its speedy delivery time of piping hot pizza. Its secret is to always maintain an inventory of uncooked, assembled, cheese pizzas, and to offer its customers only cheese and pepperoni pizza. If a customer orders a cheese pizza, uncooked cheese pizza goes immediately into the oven. If a customer orders a pepperoni pizza, pepperoni is added to the cheese pizza, and then the pizza is cooked, and finally delivered. Draw the process flowchart diagram for Pavich’s Brick Oven Pizza. In your flowchart, use at least two inverted triangles.

[pic] You can of course have an arrow from uncooked cheese pizza inventory to cooking process.

7. Campus Credit Union has 5 representatives, 2 of them specialized in business customers and 3 of them specialized in personal customers. On average, each business customer takes 15 minutes, and each personal customer takes 12 minutes to finish the service. During the 4-5pm rush hour, 10 business customers and 10 personal customers show up. a. Does the Credit Union have enough capacity during the rush