Question: Consider a process consisting of three resources; each resource is staffed by one worker. Resource #1 has a processing time of 5 minutes per unit.

Consider a process consisting of three resources;
Consider a process consisting of three resources;
Consider a process consisting of three resources; each resource is staffed by one worker. Resource #1 has a processing time of 5 minutes per unit. Resource #2 has a processing time of 4minutes per unit. Resource #3 has a processing time of 2 minutes per unit. Assume the workers are paid $12 per hour. Each unit is sold for $6 and includes parts that are sourced for $1 which is the variable cost. The company has fixed costs of $10 per hour. Demand rate is assumed as 13 units per hour. a What is the idea cycle time to meet the demand? (40/100) b. Which option is the best in terms of the profit per hour? (Calculate the profit of each option to choose the best one.) (60/100) Option #1: 10% lower material costs V Option #2: 10% lower fixed costs Option #3: 10% faster at bottleneck

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