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Auth Bridge Research is a services firm that conducts background verification of new employees hired by its clients. The employee verification department of AuthBridge,

 

Auth Bridge Research is a services firm that conducts background verification of new employees hired by its clients. The employee verification department of AuthBridge, is organized into the following three-step process: Research, Initiation, and Verification. Every case goes first to Research, after that to Initiation, and finally to Verification. The team of Research has 14 members. It takes each member 30 minutes to process a case. The team of Intiation has 4 members. It takes each member 15 minutes to process a case. The team of Verification has 4 members. It takes each member 10 minutes to process a case. Workers work independently and in parallel. There is no variability in processing times. There is a storage bin between Research and Initiation to hold cases waiting to be processed by the Initiation team. The storage bin can hold as many cases as needed. Each worker works at full capacity whenever needed. A regular workday is from 8am to 4pm. All workers report to work at 8am. The Research team leaves at 4pm every day - they never stay for overtime. However, the demand to the firm is very high, so the Research team works at full capacity for the whole 8am-4pm workday. The other two teams stay as long as it takes to process all the cases for the day. Whenever there are cases being processed by a team, the entire team stays at work. Each worker is paid at $10/hour during regular hours between 8am to 4pm, and $15/hour for overtime after 4pm. A fraction of an hour is paid as a whole hour. Question: Construct a Process Flow Diagram for the operation, and then answer the questions that follow. Question: 5. What is the direct labor cost of one case? Hint: Consider total wage and flow rate per day. Question: 6. Assume all workers are cross trained to perform each step at the speed previously specified. Assume that each worker can be assigned to only one job throughout the day, and multi-tasking is not allowed. (a) Suppose the company wants to reduce overtime and increase the hourly capacity of the process. How could you reassign the workers to maximize the hourly capacity of the three-step process and what is the highest possible hourly capacity? Note that the number of cases per day will decrease, though, as the Research team will still leave at 4pm. What will the new daily case load be?

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