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The manager at IT Consulting provides IT support to several clients. The manager concerns about a significant client under Service Level Agreement (SLA). Under this

The manager at IT Consulting provides IT support to several clients. The manager concerns about a significant client under Service Level Agreement (SLA). Under this SLA, all tier-one issues must be resolved the same day, not to exceed 12 hoursa $150 penalty for every call that exceeds the SLA time. The manager has the following information from collecting and analyzing call data on tier-one issues for this client for the past six months.


The average number of calls per day = 30 with a standard deviation of 8

The mean time for resolving issues = is 10 hours

The standard deviation of the resolution time = 1.1 hours

  • Is the call center process capable?
  • What % of calls will exceed the 12 hours SLA requirement?
  • What is the expected penalty cost per year, if any?

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