Determine the appropriate sample size - process design, Operation Management

Assignment Help:

The following work sampling data was collected from observing a retail assistant: 

Activity                                                Number of observations

Attending to customers                                  60

Telephone enquiries                                        150

Walking around                                              40

Reading data                                                 30

Talking to manager                                         40 

Talking to other workers                                 20 

Lunch/coffee/comfort breaks                          50 

Dealing with customer complaints                  110 

Total                                                          500

The figures mean that, say, over the course of a day, it is estimated that 22 per cent of the time was devoted to dealing with customer complaints. 

(a) Determine the limits of accuracy of the above calculation 

(b) If the accuracy needed was to be ±1 per cent, determine the appropriate sample size. 

(c) How would an operations manager use the data obtained from the exercise described?

Answer: (a) N = 4P (100 - P) /L2 

 N = 500 

 P = 22 per cent 

 L = SQRT (4 × 22 (100 - 22))/500) = 3.7 per cent 

Therefore, P = 22 per cent ±3.7 per cent (ie we are 95 per cent confident that the true value lies between 18.3 per cent and 25.7 per cent) 

(b) 88(78)/1 = 6864. Unlikely to be economically worthwhile - a sample size of 1716 would give ±2 per cent accuracy 

(c) For setting targets of improvement, determining areas of improvement, cost savings, staff training.


Related Discussions:- Determine the appropriate sample size - process design

Explain competitive advantage only exist for a short time, With the realiti...

With the realities of today's technological innovation and the realities of the current economy, competitive advantage only exist for a short time and are quickly outdated. Agree o

Backward scheduling - scheduling techniques, Backward scheduling - Scheduli...

Backward scheduling - Scheduling Techniques Backward scheduling is another way of scheduling which is based on the as late possible approach with the condition that the jobs

Plant location, factor relating methods for locating a plant

factor relating methods for locating a plant

Give examples of quantitative data analysis technique, Provide an example o...

Provide an example of a situation when you would use a quantitative data analysis technique. Provide and example of a situation when you would provide a qualitative data analysi

Explain how would you use six sigma in your work environment, How would you...

How would you use Six Sigma in your work environment?

Expalin possible core competencies of wild west, Wild west,Inc., is a regio...

Wild west,Inc., is a regional telephone company that inherited nearly 100,000 employees and 50,000 retirees from AT&T. Wild West Inc. has a new mission: to difersify.It calls fo

Explain supply base innovation and risk management, Why are supply base inn...

Why are supply base innovation and risk management two future areas that will consume more of the supply manager's day?

Explain type of cost-plus contract provides the seller, Which type of cost-...

Which type of cost-plus contract provides the seller with a guaranteed dollar-value profit rather than as a percentage? Answer Cost-sharing Cost-plus-award-fee Cost-plu

Customer satisfaction and service quality, Customer Satisfaction and Servic...

Customer Satisfaction and Service Quality - Operation Strategy Although you have seen examples of the dimensions along which companies compete and approaches to operations st

Explain use debt financing, If you decide to use debt financing, which kind...

If you decide to use debt financing, which kind of loan, fixed-rate or variable-rate, would you prefer? Why? If you decide to use equity financing, where would you find equity f

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd