Q3

A. Typically, an inference is made about the portion of overall work time spent on an activity, based on the percent of observations that relate to that activity. In contrast to the work-sampling method, the time-and-motion technique uses an observer to record exactly how much time is being devoted to each task. Compare and contrast the method of time study to the method of work sampling. What are the strengths and limitations of each, and for which applications are they best suited?

B. A manager of a company producing computer chips knows that in the early stages of production for a new product, the expenditures exceed receipts, whereas in the latter stages, the reverse is true. Give an explanation for this phenomenon.

C. In a TQM effort, all members of an organization participate in improving processes, products, services, and the culture in which they work. Why is employee empowerment important in a total quality management program?

D. The capacity cushion is the amount of spare capacity a business has expressed as a percentage of the total capacity. The capacity can refer to any business activity such as production capacity, staff capacity planning, web hosting etc. Consider the factors that should be considered when selecting the appropriate capacity cushion? How does the choice of capacity cushion relate to other decisions in operations management? To other functional areas?