1) Jimmy runs a business in his basement that spin aligns and marks golf balls with logos for tournaments. The automated machine goes through three serial steps; the first step takes 15 seconds, the second takes 20 seconds while the third takes 30 seconds. Once it is running there are three balls in the system at once flowing down the serial line. He runs the machine at night (20 hours/week) after doing his regular job as a postal worker.The capacity per hour of his machine is 120 balls/hr.

a)Last night he was able to run 327 balls in 4 hours. What was his efficiency?

b) If he produced 875 balls last week what was his utilization?

2) The standard time at Lensco Inc for grinding a set of prescription lenses is 18 minutes. If the typical efficiency for their operations is 80%, and typical machine reliability is 87% how many machines are required to meet the forecast of 17,247 lens sets for 2007? (They currently work 7.2 hour/shift, 6 shifts per week, 50 weeks per year)

S = 18

E=80%

R= 87%

Forecast of 17,247

F = S Q / E H R

3)What activities would be included in the value added time of fast food hamburger preparation and delivery? Why are these part of the Value Added Time?