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    MuhammadSaleem
    The document describes the process flow and resource constraints of an upscale nail salon run by Katie Posh. There are 5 activities in the manicure process - welcoming the guest, clipping/filing nails, painting nails, drying nails under a fan, and checkout. These activities are performed by 3 servers (S1, S2, S3) in a worker-paced line. The bottleneck resource is the single drying chair.

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    Op.m Question

    Uploaded by

    MuhammadSaleem
    517 views6 pages
    The document describes the process flow and resource constraints of an upscale nail salon run by Katie Posh. There are 5 activities in the manicure process - welcoming the guest, clipping/filing nails, painting nails, drying nails under a fan, and checkout. These activities are performed by 3 servers (S1, S2, S3) in a worker-paced line. The bottleneck resource is the single drying chair.

    Original Description:

    Operational Management Question Final Test

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    The document describes the process flow and resource constraints of an upscale nail salon run by Katie Posh. There are 5 activities in the manicure process - welcoming the guest, clipping/filing nails, painting nails, drying nails under a fan, and checkout. These activities are performed by 3 servers (S1, S2, S3) in a worker-paced line. The bottleneck resource is the single drying chair.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    517 views6 pages

    Op.m Question

    Uploaded by

    MuhammadSaleem
    The document describes the process flow and resource constraints of an upscale nail salon run by Katie Posh. There are 5 activities in the manicure process - welcoming the guest, clipping/filing nails, painting nails, drying nails under a fan, and checkout. These activities are performed by 3 servers (S1, S2, S3) in a worker-paced line. The bottleneck resource is the single drying chair.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 6

    Posh Nails

    Katie Posh runs an upscale nail salon. The service process includes five activities that are
    conducted in the sequence described below. (The time required for each activity is shown in
    parentheses):

    Activity 1: Welcome a guest. (1 minute)

    Activity 2: Clip and file nails. (3 minutes)

    Activity 3: Paint. (5 minutes)

    Activity 4: Dry. (10 minutes)

    Activity 5: Check out the customer. (4 minutes)


    Three servers (S1, S2, and S3) offer the services in a worker-paced line. The assignment of tasks to
    servers is the following: S1 does Activity 1. S2 does Activities 2 and 3. S3 does Activities 4 and 5.
    The drying process does not require server 3s constant attention; she/he needs to only escort the
    customer to the salons drying chair (equipped with fans for drying). The time to do this is negligible.
    There exists only one drying chair in the salon.
    Which resource is the bottleneck of the process?
    Dryer chair

    S2

    S1

    S3

    Q2 What is the utilization of server 2 (in decimal form)? Assume that there is unlimited demand and
    that the process only admits customers at the rate of the bottleneck.
    Q3 What is the average labor utilization of the servers (in decimal form)? Assume that there is
    unlimited demand and that the process only admits customers at the rate of the bottleneck.
    Q4 Assume a wage rate of $12 per hour. What are the direct labor costs for one customer (in
    dollars)?

    Q5 BN1. Butternut is a ski resort in Massachusetts. One of their triple chair lifts unloads 1296 skiers
    per hour at the top of the slope. (A triple chair lift can carry three passengers per chair. Note that
    each lift contains multiple chairs.) The ride from the bottom to the top takes 5 minutes. On average,
    how many skiers are riding on the lift at any one time?

    Q6 Tech Company is a medium-sized consumer electronics retailer. The company reported


    $155,000,000 in revenues for 2007 and $110,050,000 in Costs of Goods Sold (COGS). In the same
    year, Tech Co. held an average of $20,000,000 in inventory.
    How many times did Tech Co. turn its inventory in 2007?

    Q7 Tech Company is a medium-sized consumer electronics retailer. The company reported


    $155,000,000 in revenues for 2007 and $110,050,000 in Costs of Goods Sold (COGS). In the same
    year, Tech Co. held an average of $20,000,000 in inventory.
    Inventory cost at Tech Co. is 35 percent per year. What is the per unit inventory cost (in dollars) for
    an MP3 player sold at $50? Assume that the margin corresponds to the retailers average margin.

    Q8 The Gamer Company is a video game production company that specializes in educational video
    games for kids. The companys R&D department is always looking for great ideas for new games.
    On average, the R&D department generates about 25 new ideas a week. To go from idea to
    approved product, the idea must pass through the following stages: paper screening (a 1-page
    document describing the idea and giving a rough sketch of the design), prototype development,
    testing, and a focus group. At the end of each stage, successful ideas enter the next stage. All other
    ideas are dropped. The following chart depicts this process, and the probability of succeeding at
    each stage.

    The paper screening for each idea takes 2 hours of a staff members time. After that, there is a stage
    of designing and producing a prototype. A designer spends 4 hours designing the game in a
    computer-aided-design (CAD) package. The actual creation of the mock-up is outsourced to one of
    many suppliers with essentially limitless capacity. It takes 4 days to get the prototype programmed,
    and multiple prototypes can be created simultaneously. A staff member of the testing team needs 2
    days to test an idea. Running the focus group takes 2 hours of a staff members time per idea, and
    only one game is tested in each focus group. Finally, the management team meets for 3 hours per
    idea to decide if the game should go into production.
    Available working hours for each staff member are 8 hours per day, 5 days a week. The current
    staffing plan is as follows:
    A. Paper screening: 3 staff members.
    B. Design and Production: 4 staff members.
    C. Testing: 6 staff members.
    D. Focus Group: 1 staff member.
    E. Final Decision: 1 management team
    How many new ideas would Gamer Co. approve for production per week if it had unlimited capacity
    (staff) in its R&D process?

    Q 9 The Gamer Company is a video game production company that specializes in educational
    video games for kids. The companys R&D department is always looking for great ideas for new
    games. On average, the R&D department generates about 25 new ideas a week. To go from idea to
    approved product, the idea must pass through the following stages: paper screening (a 1-page
    document describing the idea and giving a rough sketch of the design), prototype development,
    testing, and a focus group. At the end of each stage, successful ideas enter the next stage. All other
    ideas are dropped. The following chart depicts this process, and the probability of succeeding at

    each stage.

    The paper screening for each idea takes 2 hours of a staff members time. After that, there is a stage
    of designing and producing a prototype. A designer spends 4 hours designing the game in a
    computer-aided-design (CAD) package. The actual creation of the mock-up is outsourced to one of
    many suppliers with essentially limitless capacity. It takes 4 days to get the prototype programmed,
    and multiple prototypes can be created simultaneously. A staff member of the testing team needs 2
    days to test an idea. Running the focus group takes 2 hours of a staff members time per idea, and
    only one game is tested in each focus group. Finally, the management team meets for 3 hours per
    idea to decide if the game should go into production.
    Available working hours for each staff member are 8 hours per day, 5 days a week. The current
    staffing plan is as follows:
    A. Paper screening: 3 staff members.
    B. Design and Production: 4 staff members.
    C. Testing: 6 staff members.
    D. Focus Group: 1 staff member.
    E. Final Decision: 1 management team
    Which stage is the bottleneck according to the current staffing plan?

    Paper screening

    Testing

    Focus group

    Final decision

    Design and production

    Q10 The Gamer Company is a video game production company that specializes in educational
    video games for kids. The companys R&D department is always looking for great ideas for new
    games. On average, the R&D department generates about 25 new ideas a week. To go from idea to
    approved product, the idea must pass through the following stages: paper screening (a 1-page
    document describing the idea and giving a rough sketch of the design), prototype development,
    testing, and a focus group. At the end of each stage, successful ideas enter the next stage. All other
    ideas are dropped. The following chart depicts this process, and the probability of succeeding at
    each stage.

    The paper screening for each idea takes 2 hours of a staff members time. After that, there is a stage
    of designing and producing a prototype. A designer spends 4 hours designing the game in a
    computer-aided-design (CAD) package. The actual creation of the mock-up is outsourced to one of
    many suppliers with essentially limitless capacity. It takes 4 days to get the prototype programmed,
    and multiple prototypes can be created simultaneously. A staff member of the testing team needs 2
    days to test an idea. Running the focus group takes 2 hours of a staff members time per idea, and

    only one game is tested in each focus group. Finally, the management team meets for 3 hours per
    idea to decide if the game should go into production.
    Available working hours for each staff member are 8 hours per day, 5 days a week. The current
    staffing plan is as follows:
    A. Paper screening: 3 staff members.
    B. Design and Production: 4 staff members.
    C. Testing: 6 staff members.
    D. Focus Group: 1 staff member.
    E. Final Decision: 1 management team
    With the current staffing plan, how many new ideas will be put into production per week?

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