Operating budget, Operation Management

Assignment Help:

The copy center in the College of Business at State University has become an increasingly contentious item among the college administration.

Department heads have complained to the associate dean about the long lines and waiting times for secretaries at the copy center. They claim it is a waste of scarce resources for the secretaries to wait in line and just talk when they could be doing more productive work.

Associate dean Hanford Burris says the limited operating budget will not allow the purchase of new copiers.

Lauren Moore, a teacher in Operations Management, assigned students to gather information about the copy center as a class project.

The report of the students says that the copy center has two machines. When secretaries arrive for a copy job, they join a queue, formed a single queue for the first available machine. Secretaries also never left the queue.

From the data gathered by students, Professor Moore was able to determine that secretaries arrived every 8 minutes for a copy job and that arrival rate was Poisson distributed. She was also able to determine that the average time to complete a job was 12 minutes, and this is exponentially distributed.

Dr. Moore determined that a secretary's average salary is $8.50 per hour. From her academic calendar, she added up the actual days in the year when the college and departmental offices were open and found there were 247. It then occurred to her that during the summer months, the workload is much less. The summer included about 70 days.

During the summer, Dr. Moore expected that the copy center traffic would be half of what it is during the normal year. She speculated that the average time of copying job would remain the same.

Professor Moore next called a local office supply firm to check the prices of copiers. A new copier of the type in the copy center would cost $36, 000. It would also require $8, 000 per year for maintenance and would have a normal useful life of 6 years.


Related Discussions:- Operating budget

Explain the major segmentation variables, Enumerate the major segmentation ...

Enumerate the major segmentation variables and provide real-life examples of segmentation done by firms for their products/services.

Explain change forces are adapting and sustaining, Which of the following b...

Which of the following best shows forces for change vs. forces for stability? Change forces are: adapting, sustaining, and predicting; whereas stability forces are: bureaucracy, tr

Work study, techniques & applicationa

techniques & applicationa

Responsibilities of operations managers, what are the direct responsibiliti...

what are the direct responsibilities of operations managers?

Explain how many dollars should you convert to shillings, (Shillings) You a...

(Shillings) You are traveling abroad and have only American dollars with you. You are currently in the capital but you will soon be heading out to a small town for an extended sta

Describe at least two major strengths and two major weakness, Thoroughly ex...

Thoroughly explain at least two major strengths and two major weakness of united airlines

List the five styles of leadership are situational, The five types of leade...

The five types of leadership styles are most applicable in certain situations. Discuss the applicability of each of the five types in project leadership situations and its usefulne

Technological infrastructure, Identity technological infrastructure that su...

Identity technological infrastructure that supports operations management

Data show that women earn only following, Data show that women earn only---...

Data show that women earn only----------------cents per dollar earn by men/1.68 cents/2.75 cents/3 50 cents/4 95 cents/4/ 95 cents/5 90 cents/ which is the correct answer for this

Describe senior management prospective, Develop an 8 to 10 page marketing p...

Develop an 8 to 10 page marketing plan for a sports enterprise (e.g. professional, school or community program). You will take the position of the manager and develop a plan that y

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd