Trouble processing requisition forms

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Reference no: EM133447820

Requisition Process : A large company is having trouble processing requisition forms for supplies and materials. Just getting through the initial approval process seems to take forever. Then, the order must be placed, and the supplies and materials must be received and delivered to the correct location. These delays usually cause only minor inconveniences. However, a lack of supplies and materials sometimes stops an entire operation. After one such instance, a senior manager has had enough. The manager wants to know the reason for the excessive delays. The manager also wants to know where to place blame for the problem!

A process analysis is done at the manager's request. The requisition process is broken down into three subprocesses: (1) requisition form completion and authorization, (2) ordering, and (3) receiving and delivery. The process analysis also reveals that the first subprocess consists of the steps shown below.

1. Requisition form initiated - 10 Min

2. Form mailed to procurement - 720 Min

3. Form sits in IN basket - 75 Min

4. Requisition form completed - 18 Min

5. Form sits in OUT basket - 75 Min

6. Form mailed to authorization - 720 Min

7. Form sits IN basket - 45 Min

8. Form reviewed and authorized - 12 Min

9. Form sits in OUT basket - 90 Min

10. Form mailed to ordering - 720 Min

a. Classify the activities in this process (i.e., the 10 activities provided in table 1.3) into value added, business value added, or non-value added.

Reference no: EM133447820

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