Question: Chapter 4: Process Improvement) Consider a process consisting of three resources. Assume there exists unlimited demand for the product, and that all activities are always
Chapter 4: Process Improvement) Consider a process consisting of three resources. Assume there exists unlimited demand for the product, and that all activities are always performed in the following sequence. Resource 1 has a processing time of 7 minutes per unit. Resource 2 has a processing time of 4 minutes per unit. Resource 3 has a processing time of 6 minutes per unit. All three resources are staffed by one worker and each worker gets paid $13 per hour.
a. What is the cost of direct labor?
b. Assume the demand rate is 20 units per hour, what is the takt time?
c. Assume the demand rate is 20 units per hour. What is the idle time per unit of Resource 3? (Hint: Resource Idle Time = Cycle Time - Processing Time)
d. If the process starts empty, how long will it take to process 20 units?
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