Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Mr. K's is a very popular hair salon. It offers high-quality hair styling and physical relaxation services at a reasonable price, so it always

image text in transcribed

Mr. K's is a very popular hair salon. It offers high-quality hair styling and physical relaxation services at a reasonable price, so it always has unlimited demand. The service process includes five activities that are conducted in the sequence described below. The time required for each activity is shown in parenthesis Activity 1: Welcome a guest and offer homemade herb tea.(10 minutes) Activity 2: Wash and condition hair. (10 min) Activity 3: Neck, shoulder, and back stress release massage. (10 minutes) Activity 4: Design the hairstyle and do the hair. (25 minutes) Activity 5: Check out the guest. (5 minutes) Three servers (S1, S2, and 53) offer the services in a worker-paced line. The assignment of tasks to servers is the following: $1 does Activity 1. $2 does Activities 2 and Activity 3. $3 does Activities 4 and Activity 5. A) Which server is the bottleneck of the process 8) What is the utilization of server C) What is the average labor utilization of the servers D) Assume a wage rate of $18 per hour. What is the cost of direct labor for one To increase the service rate, Mr. K's is considering two alternatives: 1. Hire a new employee to help any one (and only one) of the servers without changing the tasks performed by each server. 2. To redesign the assignment of tasks to servers. For this, Mr. K's is evaluating to reassign Activity 5 from 53 to $1. El What would be the costs of direct labor of serving one guest under each of the two alternatives? Which alternative would you recommend to Mr. K

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Operations Management

Authors: Gerard Cachon, Christian Terwiesch

2nd International Edition

1260547612, 978-1260547610

More Books

Students also viewed these Accounting questions