SYSTEM UTILIZATION IN SERVICE MANAGEMENT An Operations Management Simulation Scenario 1 In this scenario, assume the office processes just one type of policy: a request for underwriting (RUN). Because all policy requests are RUNs, there is low variance in processing times at each workstation New policy requests arrive every 10 minutes. Request for Underwriting (RUN) Direct Labor Content: 33.2 minutes Interarrival Time: 10 min time std de 7.0 10 min policy time std dev 6.7 10 min policy Animation Speed: Initial Total Wp 40 4d 3h 20m Actual TAT (minutes) 21h 40m Actual Turnaround Time O Days, 5 Hours, 56 Minutes Od on om 40 280 80 120 160 200 240 Initial Total WIP (number of policies) SYSTEM UTILIZATION IN SERVICE MANAGEMENT An Operations Management Simulation Questions Question 1 Run Scenario 1 with 40 policies in process (WIP-40). 10 at each workstation. Watch the red policy as it goes through the system. What is the tumaround time (TAT) (round to the nearest hour? Question 2 What would the TAT be in scenario 1 if there were 240 units in the system initially (round to the nearest hour)? Question 3 Suppose you walk into a similar organization as Scenario 1 that has a 15-step process running af steady state. You count total WIP of 720 units and are told that the slowest workstation (bottleneck) has a task time of 50 minutes. What is your estimate of the turnaround time for the whole process, in hours? SYSTEM UTILIZATION IN SERVICE MANAGEMENT An Operations Management Simulation Scenario 1 In this scenario, assume the office processes just one type of policy: a request for underwriting (RUN). Because all policy requests are RUNs, there is low variance in processing times at each workstation New policy requests arrive every 10 minutes. Request for Underwriting (RUN) Direct Labor Content: 33.2 minutes Interarrival Time: 10 min time std de 7.0 10 min policy time std dev 6.7 10 min policy Animation Speed: Initial Total Wp 40 4d 3h 20m Actual TAT (minutes) 21h 40m Actual Turnaround Time O Days, 5 Hours, 56 Minutes Od on om 40 280 80 120 160 200 240 Initial Total WIP (number of policies) SYSTEM UTILIZATION IN SERVICE MANAGEMENT An Operations Management Simulation Questions Question 1 Run Scenario 1 with 40 policies in process (WIP-40). 10 at each workstation. Watch the red policy as it goes through the system. What is the tumaround time (TAT) (round to the nearest hour? Question 2 What would the TAT be in scenario 1 if there were 240 units in the system initially (round to the nearest hour)? Question 3 Suppose you walk into a similar organization as Scenario 1 that has a 15-step process running af steady state. You count total WIP of 720 units and are told that the slowest workstation (bottleneck) has a task time of 50 minutes. What is your estimate of the turnaround time for the whole process, in hours