Using the Chipotle example we have discussed in class imagine that all employees are paid $15/hour, the grill costs $300, and each cash register costs $200. All other utensils and items come at zero cost. Applying the principles of business process improvement that we have discussed in class, what is the lowest cost Chipotle can achieve with the highest flow rate?
 

10:00 to 11:00 11:00 to 12:00 12:00 to 1:00 Process Capacity (un/hr) 100 100 100 Summary Demand Flow Avg Flow Avg Cycle Cycle Time Time Rate Rate Time Flow (un/hr) (un/hr) (min) Time (hr) 60 100 120 60 3.0167 0.05 0.017 100 100 3.0167 0.05 0.01 infinity infinity 0.01 Cycle Time (min) (sec) 1 0.6 0.6 60 36 36 10:00 to 11:00 11:00 to 12:00 12:00 to 1:00 Process Capacity (un/hr) 100 100 100 Summary Demand Flow Avg Flow Avg Cycle Cycle Time Time Rate Rate Time Flow (un/hr) (un/hr) (min) Time (hr) 60 100 120 60 3.0167 0.05 0.017 100 100 3.0167 0.05 0.01 infinity infinity 0.01 Cycle Time (min) (sec) 1 0.6 0.6 60 36 36