Explain employee types, Operation Management

Assignment Help:

After an all-night study session the day before their last final exam, four first-year MBA students decide to stop for some much-needed coffee at the campus Starbucks. They arrive at 8:30am and are dismayed to find a rather long line. Fortunately for the students, a Starbucks executive happens to be in line directly in front of them. From her, they learn the following facts about this Starbucks location:

There are 3 employee types:

• There is a single cashier who takes all orders, prepares non-beverage food items, grinds coffee, and purs drop coffee.

• There is a single frozen drink maker who prepares blended and iced drinks.

• There is a single espresso drink maker who prepares espressos, lattes, and steamed drinks.

There are typically four types of customers:

• Drip coffee customers order only drip coffee. This requires 20 seconds of the cashier's time to pour the coffee.

• Blended and iced drink customers order a drink that requires the use of a blender. These drinks take on average 2 minutes of work of the frozen drink maker.

• Espresso drink customers order a beverage that uses espresso and/or steamed milk. On average, these drinks require 1 minute of work of the espresso drink maker.

• Ground coffee customers buy one of Starbucks' many varieties of whole bean coffee and have it ground to their specifications at the store. This requires a total of 1 minute of the cashier's time (20 seconds to pour the coffee and 40 seconds to grind the whole bean coffee).

Customers arrive uniformly at the following rates from 7am when the store opens until 10am when the morning rush is over, with no customers arriving after 10am: Drip coffee = 25/hr, blended and iced drink = 20/hr, espresso = 70/hr, and ground coffee = 5/hr.
Each customer spends on average 20 seconds with the cashier to order and pay. About 25% of customers order food, which requires an additional 20 seconds of the cashier's time. While waiting in line, the students reflect on these facts and ask themselves:

a. What is the implied utilization of the frozen drink maker? (round to 2 decimal places)

b. Which resource has the highest implied utilization? (Enter either: Cashier, Frozen, or Espresso)

c. From their conversations with the executive, they learn that Starbucks is considering a promotion on scones, which will likely increase the percentage of customer ordering food to 30%. How will this affect the implied utilization of the cashier? (answer this as the new utilization only, in percent, rounded to one decimal place, do not include % sign)


Related Discussions:- Explain employee types

Explain what are the most important criteria, In selecting outside advisors...

In selecting outside advisors, a board, consultants, and the like, what are the most important criteria?

Assignment, Hierarchical planning in operations/production management and t...

Hierarchical planning in operations/production management and types of time frames in each hierarchy

Do you think taylor''s position is similler applicable today, 1. Do you thi...

1. Do you think Taylor's position is equally applicable today? 2. Looking at Taylor's and Grayson's remarks, whick were made approximately 73 years apart, one has to wonder what

Explain the advise to manager to take advantage of the offer, A manager rec...

A manager receives a forecast for next year. Demand is projected to be 580 units for the first half of the year and 930 units for the second half. The monthly holding cost is $2 pe

Explain the network is overloaded, Information asymmetry exists when - T...

Information asymmetry exists when - The network is overloaded - Sellers and buyers have the same information - One party in a transaction had more important information th

Reduce failures and improve productivity, Question: What Maintenance po...

Question: What Maintenance policies to be done by the operations manager to reduce failures and improve productivity? • Emphasize on suitable maintenance practices. • Give a

Explain what is economic justification for the rapid growth, What is the ec...

What is the economic justification for the rapid growth of premium package services?

Determine the implementation of lean, 1. To what extend does lean manufactu...

1. To what extend does lean manufacturing help GM to control production to meet customer needs, and how does this help to make GM competitive? 2. Do you think the implementation

Define what kind of problem would apply a systems analysis, What kind of pr...

What kind of problem would you apply a systems analysis to? Why?

Explain supplementary unemployment benefit plans, Analyze the benefits of S...

Analyze the benefits of Supplementary Unemployment Benefit Plans, and list potential scenarios when they become quite vulnerable. Address service requirements, duration, benefit fo

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