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In: Finance

a) Compare the advantages and disadvantages of using an assemble-to-order process to the advantages and disadvantages...

a) Compare the advantages and disadvantages of using an assemble-to-order process to the advantages and disadvantages of a make-to-order process for a fast food hamburger restaurant.

b) Henry Smith, the manager of the local branch of the state Department of Motor Vehicles, is attempting to analyze the driver’s license renewal operation. He has completed the data collection and has the following information.

State Automobile License-Renewals Process Times

Step

Average Time to Perform (seconds)

1. Review renewal application for correctness

15

2. Process and record payment

30

3. Check file for violations and restrictions

40

4. Conduct eye test

30

5. Photograph applicant

40

6. Issue temporary license

30

Henry found that each step was assigned to a different person and each person only performs one step. Each application is a separate process in the sequence shown above and when a worker is through with his work for one person, he starts the next person in line.

i) What is the maximum number of applications per hour that can be handled by the present process?

ii) How many applications can be processed per hour if a second clerk is added to check for violations and restrictions while all other operations continue to have one clerk?

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