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 mean confidence interval for the population, You wk for a consumer ...

You wk for a consumer advocate agency and want to find the mean repair cost of a washing machine. As part of your study, you randomly select 45 repair costs and find the mean to be

Explain every business must be prepared to deal, Every business must be pre...

Every business must be prepared to deal with the global economy. True False

What are the benefits of the total productive maintenance, What are the ben...

What are the benefits of the total productive maintenance? Benefits of Total productive maintenance (TPM): • Less equipment downtime and main stoppages in production providi

Explain inventory management technology, Costco is able to keep its invento...

Costco is able to keep its inventory expenditure relatively low through its management technology and cutting-edge point-of-sale inventory management technology. As a result, Costc

Explain evaluating the personal requests of employees, 1. do managers like ...

1. do managers like janis blancero face a more complication when evaluating the personal requests of employees versus evaluating employee's individual work performance ? explain ?

Explain how can differences in the cultures of two countries, How can diffe...

How can differences in the cultures of two countries create ethical issues in our business operations? A key to answering this question is to first understand culture, particularly

Explain coupon rate with semi-annual coupon payments, Genny, Inc. bonds hav...

Genny, Inc. bonds have a 9% coupon rate with semi-annual coupon payments. They have 9 1/2 years to maturity and a par value of $1,000. Compute the value of Genny's bonds if investo

Explain advantages of budgets, Explain advantages of budgets. Advantag...

Explain advantages of budgets. Advantages of Budgets: (i) Actions plans and policy taken are all reflected into the budgetary control system. Now here is a formal recognit

Resource utilisation & work in progress in organisation, What effect does y...

What effect does your organisation's facility layout have on the following (where appropriate): inter-process movement; health & safety; congestion; resource utilisation; work-in-p

Compute the operating characteristics of interest, An urn contains nine whi...

An urn contains nine white balls and 11 black balls. A ball is drawn and replaced. If the ball is white your opponent pays you 25 cents. If it is black you pay him 25 cents. You ha

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