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Q3: Lessons 8, 9 [CLR 3, 4, 5, 7] (15 marks) a) The bookstore owner in Q2 wants to know if taking 10 observations
Q3: Lessons 8, 9 [CLR 3, 4, 5, 7] (15 marks) a) The bookstore owner in Q2 wants to know if taking 10 observations of his worker inserting disks into the used textbooks were sufficient. He would be satisfied within an accuracy 2% in the time estimates taken for each box of books but would like to be 99% confident. Determine if the sample size of 10 observations was sufficient to meet the bookstore owner's expectations. Describe your findings. (5 marks) b) The bookstore owner knows this work is tedious. However, if it proves to be successful and where by sales increase substantially, this will be ongoing and more workers will be have to be hired. The owner is concerned the tediousness of the work will cause workers to quit early, especially since he can only afford to pay minimum wage. (ii) Suggests ways the owner should use motivation and incentive techniques to change the psychological component of this type of work to a more a positive one so that turnover for this function is decreased. (3marks) (ii) How does new operation for the bookstore owner contribute to sustainability? (2 marks). c) As it turns out the bookstore owners idea of inserting new software disks into used textbooks is a hit. Sales have increased substantially and not just for courses that require additional software as a resource. The owner realizes that the growth in sales will have to addressed by an improved approach to his production processes. A higher rate of growth can lead to higher profits but the owner also knows that with inefficient productivity this can lead to a faster rate of losses too. Apply the SCOR model to this scenario to recommend how the bookstore owner should design the supply-chain of his operation.
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