Question: Each day, a FedEx competitor processes approximately 70,000 shipments. Suppose that they use the same Service Quality Index as FedEx and identified the following numbers

Each day, a FedEx competitor processes approximately 70,000 shipments. Suppose that they use the same Service Quality Index as FedEx and identified the following numbers of errors during a 5-day week (see the "FedEx: Measuring Service Performance" box). These values are hypothetical and do not reflect any real company's actual performance.

Complaints reopened: ........................ 125

Damaged packages: .............................18

International: .................................. 102

Invoice adjustments: .......................... 282

Late pickup stops: ............................ 209

Lost packages: .................................... 2

Missed proof of delivery: ..................... 26

Right date late: ............................... 751

Traces: ......................................... 115

Wrong day late: ................................ 15

Compute the Service Quality Indicator by finding the weighted sum of errors as a percentage of total shipments. How might such an index be used in other organizations such as a hotel or automobile service facility?

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