Question: Chapter 2 Each day, a FedEx competitor processes approximately 55,000 shipments. Suppose that they use the same Service Quality Index as FedEx and identified the

Chapter 2

Each day, a FedEx competitor processes approximately 55,000 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 companys actual performance.

Description Weight Number of Errors
Complaints reopened 3 150
Damaged packages 10 20
International 1 102
Invoice adjustments 1 277
Late pickup stops 3 213
Lost packages 10 3
Missed proof of delivery 1 22
Right date late 1 752
Traces 3 114
Wrong day late 5 19

Compute the Service Quality Indicator by finding the weighted sum of errors as a percentage of total shipments. Do not round intermediate calculations. Round your answer to three decimal places.

Service Quality Indicator (SQI): ______%

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