Requisition process*: A large company is having trouble processing requisition forms for supplies and materials. Just getting through the initial approval process seems to take forever. Then, the order must be placed, and the supplies and materials must be received and delivered to the correct location. These delays usually cause only minor inconveniences. However, a lack of supplies and materials sometimes stops an entire operation. After one such instance, a senior manager has had enough. The manager wants to know the reason for the excessive delays. The manager also wants to know where to place blame for the problem!

A process analysis is done at the manager’s request. The requisition process is broken down into three subprocesses: (1) requisition form completion and authorization,

(2) ordering, and (3) receiving and delivery. The process analysis also reveals that the first subprocess consists of the steps shown in Table 1.3.

a. Classify the activities in this process.

b. Who is the customer?

c. Translate what you think the customer wants into measures of process performance.

d. How is the process performing under the measures defined in part (c)?

e. Comment on the manager’s attitude.

TABLE 1.3 Steps in the Requisition Process Step Time (Min)
1. Requisition form initiated 10 2. Form mailed to procurement 720 3. Form sits in IN basket 75 4. Requisition form completed 18 5. Form sits in OUT basket 75 6. Form mailed to authorization 720 7. Form sits in IN basket 45 8. Form reviewed and authorized 12 9. Form sits in OUT basket 90 10. Form mailed to ordering 720 TABLE 1.4 Steps in the Receiving-and-Delivery Process No. Step Time (Min)
1 Received goods temporarily sit on loading dock. 120 2 Goods are visually inspected for damage. 3 3 Goods are carried to the warehouse. 10 4 Goods are stored in the warehouse. 1440 5 Goods are removed from the warehouse and carried to the loading dock.
10 6 Goods sit on the loading dock awaiting loading. 60 7 Goods are carried to a truck. 10 8 Goods are trucked to a satellite storage area. 20 9 Goods are carried from the truck to a satellite storage area.
10 10 Goods are stored in the satellite storage area. 320 11 Goods are inspected for damage. 2 12 Goods are carried to a truck. 10 13 Goods are trucked to the required location. 15 14 Goods are carried to the required location. 10

#!#