The P-A-D law firm offers 3 types of consultations; pre-nups (product P), annulm

Question

The P-A-D law firm offers 3 types of consultations; pre-nups (product P), annulments (product A), and divorces (product D). P-A-D has 4 employee types that are used in processing these cases - the process times required for each product at each employee type (and the number of employees of each type) are shown in the table below. Each employee works 10 hours each day, 4 days per week.

If demand is 100 per workday for pre-nups (P), 10 per workday for annulments (A), and 20 per workday for divorces, then which resource type is the (implied) bottleneck?

   - Analyst

   - Partner

   - Secretary

   - Paralegal

Explanation / Answer

Secretary

Work load = 100*3+10*4+20*2 = 380 minutes

Available minutes = 2 employees * 10 hours * 60 minutes = 1200 minutes

Implied utilization = 380/1200 = 0.317

___________________________

Paralegal

Work load = 100*6+10*3+20*2 = 670 minutes

Available minutes = 2 employees * 10 hours * 60 minutes = 1200 minutes

Implied utilization = 670/1200 = 0.5583

___________________________

Analyst

Work load = 100*0+10*20+20*0 = 200 minutes

Available minutes = 1 employees * 10 hours * 60 minutes = 600 minutes

Implied utilization = 200/600 = 0.333

___________________________

Partner

Work load = 100*9+10*2+20*3 = 980 minutes

Available minutes = 3 employees * 10 hours * 60 minutes = 1800 minutes

Implied utilization = 980/1800 = 0.317

Implied utilization of paralegal is the maximum. Therefore, it is the implied bottleneck,

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