Name: Zuhair Nasir

Course Name: Operation Management

Section: D
SAP ID: 70113554
Submitted to: Sir Usman
Q1. What is the maximum number of application per hour that can be handled by the present
configuration of the process?
15” 30” 60” 40” 20” 30”

Process & Check file for Photograph Issue

renewal record eye test applicant temporary
application payment restrictions license

Average Number
time to applications
Step Activity perform per hour
(seconds)
1 Review renewal application for
15 240
correctness
2 Process and record payment 30 120
3 Check file for violations and
60 60
restrictions
4 Conduct eye test 40 90
5 Photograph applicant 20 180
6 Issue temporary license 30 120

The maximum number of application per hour by the present configuration of the process are 60
applications (Cycle time or The maximum /longest time allowed at each work
station is 60 second, so the maximum unit produce is 1x60x60/60 = 60 Unit

Q2. How many applications can be processed per hour if a second clerk is added to check for violations?
Average Number of applications produced
time to
Step Activity perform
(seconds)
First clerk second clerk Total
1 Review renewal
application for 15 240 - 240
correctness
2 Process and
30 120 120
record payment
3 Check file for violations
60 60 60 120
and restrictions
4 Conduct eye test 40 90 90
5 Photograph applicant 20 180 180
6 Issue temporary license 30 120 120
 The maximum number of application per hour if the second clerk is added to check for violation are 90
applications although the number applications produced of the third step will increase from 60 to 120
application per hour.

Q3. If the second clerk could be added anywhere you choose (and not necessarily to check for violations
as in question 2) what is the maximum number of applications the process can handle? What is the new
configuration?
a. If the second clerk is added any other step, the maximum number of applications could be increased 90
applications per hour

Average Number of Number of applications produced per hour if the

time to application second operator is added to the step
Step perform produced/
(seconds) 1 2 3 4 5 6
hour/operator
1 15 240 480 240 240 240 240 240
2 30 120 120 240 120 120 120 120
3 60 60 60 60 120 60 60 60
4 40 90 90 90 90 180 90 90
5 20 180 180 180 180 180 360 180
6 30 120 120 120 120 120 120 240
Max. app per
60 60 60 90 60 60 60
hour

b. Assume the activity 1, 2, 3 can be combined to form new activity taking 105 seconds that is accomplish
by the three people, the processing time of the new combined task is 35 seconds

Number
Average
The Processing time to applications per hour
Number of
new Activity time if the
operator perform
Step (seconds) second clerk is
(seconds)
added for step 3
1 Review renewal application for
correctness, Process and record
105 3 35 102
payment, check file for
violations and restrictions
4 Conduct eye test 40 1 40 90
5 Photograph applicant 20 1 20 180
6 Issue temporary license 30 1 30 120
Q4. How would you suggest modifying the process to accommodate 120 applications per hour? What is
the cost per application of this configuration?
A new review of the jobs indicated that step 1, reviewing application for correctness had to be performed
any other step could be taken. Similarly, step 6, issuing temporary license could not be performed until all
other steps are completed

According to new review of the job and assume the activities can be combined

Average Number
The Processing time to
Number of applications/
new Activity time
operator perform hour
Step (seconds)
(seconds)
1 Review renewal application
for correctness, Process and
record payment, 85 3 28,33 127
conduct eye test

2 Check the file for violation

60 2 30 120
and restriction
3 Photograph applicant 20 1 20 180
4 Issue temporary license 30 1 30 120

The new Number of Number Cost ($)

Step Activity the operator application Per Total
produced/hour hour
1 Review renewal application for
correctness, Process and record 3 127 12 36
payment , conduct eye test
2 Check the file for violation and
2 120 12 24
restriction
3 Photograph applicant 1 180 12 12
4 Issue temporary license 1 120 18 18
Labor cost per hour 90

Cost of camera 10

Total processing cost per hour 100

The cost per application = $ 100/120 = $0.83