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Question 2 (5 parts): Some computer shoppers buy from available inventory, others buy computers built-to-order. The build-to-order model offers shoppers a computer with the exact
Question 2 (5 parts): Some computer shoppers buy from available inventory, others buy computers built-to-order. The build-to-order model offers shoppers a computer with the exact features that they want but takes more time to get to them. A simple model of build-to-order workow is: [1] ordering (to include scheduling. prep, and other activities required to put the computer into production), [2] building (the production sequence includes temporary storage and handling), and [3] shipping the computer to the shopper. Assume that the amount of time it takes to complete each task is normally distributed with parameters given in the table below. Further assume that the time it takes to complete each task is independent of the other tasks. P'P' m Standard Deviation - 2 Buildin: What is the probability that the [2| building task takes more than 24 hours? What is the probability that the entire process takes less than 168 hours (one week), assuming that there is no time between tasks? Hint: the entire process requires compietion of each task in the sequence shown. A quality control analyst decides to track the entire process for a random sample of 30 orders (recall that there is no time between tasks). What is the probability that the entire process takes less than 168 hours (one week) for at least 20 of the 30 orders? Hint: the entire process requires compietion of each task in the sequence shown. For the same sample of 30 orders, what is the probability that the sample mean for the entire process is less than 168 hours (one week)? Hint: the entire process requires cornpietion of each task one after the other in the sequence shown. By streamlining the process, the mean time for the [1| ordering task can be cut in half, so (u) = 19 hours. If workers are paid $25ihour, how much would the online retailer expect to save on labor costs for its 50,000 annual build-to-order computers
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