PA 4-2 Consider a process consisting of... Consider a process consisting of thre

Question

PA 4-2 Consider a process consisting of... Consider a process consisting of three resources. Assume there exists unlimited demand for the product. Resource 1 has a processing time of 7 minutes per unit Resource 2 has a processing time of 5 minutes per unit Resource 3 has a processing time of 7 minutes per unit All three resources are staffed by one worker and each worker gets paid $10 per hour Instruction: "Round "cost of direct labor" and "target manpower" to 2 decimal places. Round 'average labor utilization" percent and "takt time" to 2 decimal places. a. What is the cost of direct labor? 3.50 per unit 19 minutes per unit b. What is the labor content? How much idle time does the worker at resource 3 have per unit? 0 minutes per unit C. percent d. What is the average labor utilization? Assume the demand rate is 16 units per hour. What is the takt time? 3.75 minutes per unit e. Assume the demand rate is 16 units per hour. What is the target manpower? 5.06 minutes per unit

Explanation / Answer

D.

Average labor utilization = Labor content /( labor content + total idle time)

Average labor utilization = 19/(19+0+2+0)

Average labor utilization = 90.48%

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