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There are three employees at Clearview County bank: Administrative Assistant Loan Processor Bank Manager The Clearview County Bank receives many loan applications from individuals and

There are three employees at Clearview County bank:
Administrative Assistant
Loan Processor
Bank Manager
The Clearview County Bank receives many loan applications from individuals and local businesses, and must decide which loans to grant. The administrative assistant at the bank creates a profile for each potential client in the computer system. She prepares 16 loan profiles per day without interruption. Each client meets with the loan processor for 30 minutes.
On average, 75% of clients are granted a loan. If the loan is granted, the loan processor prepares a formal statement detailing the specifics of the loan. The processor can prepare 8 of these formal statements per day without interruption. The bank manager must spend 12 minutes reviewing each formal statement. Lastly, the administrative assistant must spend 10 minutes putting the loan details in good form.
If the loan application is denied, the assistant must relay this information to the party, which takes 4 minutes. The administrative assistant, the loan processor, and the manager work 8 hours a day, 20 days a month.
Because home loan interest rate goes down dramatically this month, the bank manager forecasts that the number of loan application will go up to 500 applications per month soon. Clearview County Bank sells its approved loans to Citi Bank immediately and gets $500 profit for each loan.
Image yourself as the bank manager, draw a process flow chart and analyze your current system capacity. How would you invest wisely on expanding system capacity? i.e., How many extra administrative assistants and loan processors would you hire? What is the extra revenue added to the bank by each resource you hired?

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