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The following diagram shows a four step process that begins with operation 1 and

ID: 419917 • Letter: T

Question

The following diagram shows a four step process that begins with operation 1 and ends with operation 4. The rates shown in each box represent the effective capacity of that operation.

Determine the capacity of the process?

Which action would yield the greatest increase in process capacity: (1) Increase the capacity of operation 1 by 10%; (2) Increase the capacity of operation 2 by 15%; (3) Increase the capacity of operation 3 by 5%.

Operation 1 (15 units/hr) Operation 2 (10 units/hr) Operation 3 (5 units/hr) Operation 4 (25 units/hr)

Explanation / Answer

1) the bottleneck of the given process is operation 3 with flow rate of 5 units/hr therefore the capacity of the process is 5 units/hr.

2)

(1) Increase the capacity of operation 1 by 10%

new capacity of operation 1 = 15 + 15*10/100=16.5

2) Increase the capacity of operation 2 by 15%

new capacity of operation 2 = 10 +10*15/100 =11.5

3) Increase the capacity of operation 3 by 5%.

new capacity =5 + 5*5/100 =5.25

bottleneck is still operation 3

so it is clear that its better we increase the capacity of the operation 3 by 5% and its capacity will increase from 5 to 5.25

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