1. What is the maximum number of application per hour that can be handled by the present configuration of the process Average Number time to applications Step Activity per hour perform (seconds) 1 Review renewal application 15 240 for 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 licence 30 120 The maximum number of application per hour by the present configuration of the process are 60 applicantions 2. How many applications can be processed per hour if a second clerk is added to check for violations?

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

If the second clerk could be added any where 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 Average time to Step perform (seconds) 1 15 2 30 3 60 4 40 5 20 6 30 Max. app per hour Number of application produced/ hour/operator 240 120 60 90 180 120 60 Number of applications produced per hour if the second operator is added to the step 1 480 120 60 90 180 120 60 2 240 240 60 90 180 120 60 3 240 120 120 90 180 120 90 4 240 120 60 180 180 120 60 5 240 120 60 90 360 120 60 6 240 120 60 90 180 240 60

If the second clerk is added to check violation, the maximum number of applicalitions could be increased 90 applications per hour 60” 15” Review renewal Check file for violation and restrictions 30” Process & record payment 40” Conduct eye test 20” Fotorgraph applicant 30” Issue temporary licence application 60” Check file for violation and restrictions 4. How would you suggest modifying the process to accommodate 120 applications per hour ? What is the cost per application of this configuration?

To accommodate 120 applications per hour, we suggest to add the second operator for check file (step 3) and conduct eye test (step 4) Step 1 2 3 4 5 6 Activity Number of the oprerator Review renewal application for 1 correctness Process and record payment 1 120 Check file for violations and 120 2 restrictions Conduct eye test 2 180 Photograph applicant 1 180 Issue temporary licence 1 120 Labor cost per hour Cost of camera Total processing cost per hour Number application produced/hour 240 Cost ($) Per Total hour 12 12 12 12 16 18 12 12 24 24 16 18 106 10 116 The cost per application =

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