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In: Advanced Math

7. Consider a two-step, serial, production process with one resource at each step. The processing time...

7. Consider a two-step, serial, production process with one resource at each step. The processing time at step 1 is 10 minutes and the processing time at step 2 is 5 minutes. There is ample supply of raw materials for step 1 and ample demand.

a) What is the capacity of this process in units per hour?

b) Suppose there is variability in the processing time at step 2. Specifically, the coefficient of variation of processing time at step 2 is 2. However, there is no variability in the processing time at step 1. Now what is the total time needed for a part to go through step 2?

Hint: Total time includes processing and waiting. If step 1 is always working and processing time there is 5 minutes, how much time passes between units arriving at step 2?

c) Now what is the capacity of this process in units per hour?

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