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 the lead time for paper delivery, First printing has contracts with...

First printing has contracts with legal firms in San Francisco to copy their court documents. Daily demand is almost constant at 12,500 pages of documents. The lead time for paper

Explain healthcare organizations perform marketing, Identify two ways that ...

Identify two ways that healthcare organizations perform marketing related data capture that do not violate any regulatory stipulations. Analyze and discuss how these might change

Explain actual sales occurred during third year, A two year sales history b...

A two year sales history by quarter for a seasonal product is given below. Sales Quarter First Year Second Year 1 30 42 2 48 58 3 60 74 4 35 44 a) Using Winter's

Find associated costs and revenues increase the capacity, A small firm inte...

A small firm intends to increase the capacity of a bottleneck operation by adding a new machine. Two alternatives, A and B, have been identified, and the associated costs and reven

What are routine and strategic decisions, What are routine and strategic de...

What are routine and strategic decisions? Routine decisions are of repetitive nature that do not need much analysis and evaluation, are in the context of everyday operations of

Describe in terms of developing a project plan, In terms of developing a pr...

In terms of developing a project plan, specifically recommend how this resource could expedite that process.

Explain a formal or informal mutual agreement, Explain a formal or informal...

Explain a formal or informal mutual agreement. - The mutual agreement may be as given below: (a) Union security. (b) Bonus, wages and other benefits. (c) Terms and con

Explain ambrose undergoes a restructuring, Marta is 57 and has been a store...

Marta is 57 and has been a store manager for Ambrose & Company for 10 years. Ambrose & Company is a retail store for fashion forward women. Ambrose undergoes a restructuring and re

Explain women in top leadership positions, How can the inclusion of women i...

How can the inclusion of women in top leadership positions in local and national unions be increased?

Explain variety of theories of motivation, There are a variety of theories ...

There are a variety of theories of motivation, many of which are complementary. Of the main motivational theories described in the text, which theory or theories do you think would

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