A custom motor cycle shop is experiencing high demand from its customers for its services. The owner
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Question:
A custom motor cycle shop is experiencing high demand from its customers for its services. The owner performs all tasks relating to customization. Assume each customer brings one motor cycle for customization. The owner needs to determine if he needs to add more help to meet customer demand. A week has 40 hours ( maximum time available for the owner to work). The maximum number of customization that can be done per week is 8 bikes ( if there is no wasted time). The following is the data collected from observations for a typical week.
- Every Friday, the shop is cleaned by the owner. This takes 5 hours
- 15 % of customization needs rework which takes 75 % more time than regular customization.
- 15 % of the customers will be called by the owner to reschedule completion by the owner. This takes 2 hours per customer
- Determine OEE. How should the owner handle the business ?
- Show all formulas used, calculations and results.
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