Principles of Supply Chain Management

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QUESTION

Problem Set 6

1. With an average service rate of 15 customers per hour and an average customer arrival rate of 12 customers per hour, calculate the probability that actual service time will be less than or equal to five minutes.

2. Analyze the operating characteristics of a single-channel single-phase queuing system that can handle 10 customers per hour with customer arrival rate of six per hour. In addition, calculate the probability that there are more than three customers in the system.

3. NIA Motor is an e-scooter manufacturer that employs ten people at $15 per hour. Assume you were tasked to track productivity performance measures using the data shown in the following table:

Financial Information 2018 Results
Net sales $400,000
Current assets $108,000
Net income after taxes $88,200
Current liabilities $44,000
Cost of goods sold (purchased items) $50,000
Avg. inventory value $16,000
Inputs and Outputs
Scooters produced 4,000
Labor hours 9,600
Lease payments $40,000

a. Calculate the labor productivity, lease productivity, and material productivity.
b. Calculate the multiple-factor productivity. If the multiple factor productivity for 2017 was 0.008 scooter/dollar, then what was the productivity growth from 2017 to 2018?

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