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

In selecting a foreign market the importance of the priority, In selecting ...

In selecting a foreign market, a screening process is used by a firm. In regard to this process, answer the following: a) The importance of the priority order of the steps in t

Explain what different kinds of management challenges, 1. What different ki...

1. What different kinds of management challenges these four CEOs faced as they took control of managing their different companies?

Explain work measurement, Explain Work Measurement. It is defined as th...

Explain Work Measurement. It is defined as the application of techniques designed to establish the time for a qualified worker to carry out a given job at a defined level of pe

Explain major forms and methods for performance appraisal, Discuss each of ...

Discuss each of the major forms and methods for performance appraisal. Provide an adequate summary of each

What are the common barriers to team progress, Question 1: W. E. Deming...

Question 1: W. E. Deming is credited with providing the foundation of Japanese Quality and resurgence as an economic power. Deming is the best known quality expert in the worl

Explain income levels and income distribution among nations, How do differe...

How do differences in income levels and income distribution among nations affect international businesses?

Explain fixed-design yachts, Matthew Yachts, located in Montauk, Long Islan...

Matthew Yachts, located in Montauk, Long Island, manufactured sailing yachts of all descriptions. The company had begun by building custom-designed yachts for a largely New York-ba

Explain social responsibility, Regarding Social Responsibility, who do you ...

Regarding Social Responsibility, who do you agree with more, Leonard (2013) or Friedman (1970)? Why?

As a result of testing 20, As a result of testing 20,00 electric bulbs manu...

As a result of testing 20,00 electric bulbs manufactured by a company it was found that the lifetime of the bulbs was normally distributed with a mean of life of 2040 hours with st

Explain what are the activities required to produce, What are the outputs o...

What are the outputs of your work unit if you are a manager at a fast-food restaurant? What are the activities required to produce those outputs? What are the inputs?

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