Operations Management
Operations Management
17th Edition
ISBN: 9781259142208
Author: CACHON, Gérard, Terwiesch, Christian
Publisher: Mcgraw-hill Education,
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Chapter 8, Problem 1PA
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To explain: The example of the given observation.

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An automatic drive-in teller at American National Bank has the capacity of handling 2,000 entries per regular banking day (according to the firm that sold it to the bank). However, because of limitations imposed by automobile access, the teller is available only 60 per cent of the time. It is actually being used for about 800 entries per day. What is the system efficiency
Blue Lotus is a bike shop located near a beach resort, which rents its bikes to guests staying in the resort. When a customer requests to rent a bike and no bikes are available (they are either with another customers or being cleaned for rental), customer waits until a bike is available. Once a bike rented out to a customer, the customer keeps it for an average of 1 day. Upon return, the bike is cleaned and tuned-up, which takes half a day (0.5 day). Suppose Blue Lotus has 7 bikes, and demand for bike rental is 4.1 per day. What is the average amount of time a customer waits to receive a bike? (Hint: From the perspective of customer waiting time, 0.5 day of cleaning time would be part of the processing time" so, p = 1+0.5 =1.5 days. Assume CVa = CVp = 1 in your calculations). O 1.197 days O2.134 days O 0.761 days O 5.380 days
A 10 station automated assembly system produces an ideal cycle time (Tc) of 14 seconds/cycle. When a defective part enters any assembly station it sometimes causes a station jam or stoppage. Defective parts occur at a rate of 0.07 and a jams due to defective parts occur at a rate of 0.4. When a jam occurs, it takes on average 74 seconds to clear and restart the station.   Determine the production rate of acceptable parts (Rap) to the nearest 1 part/hour.
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