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You decided to open a production facility. The following figure shows the process flow diagram. You hired 5 employees, and each employee performs one task.

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You decided to open a production facility. The following figure shows the process flow diagram. You hired 5 employees, and each employee performs one task. A - How many units can you produce in 8 hours? B - Where do you have work-in-process inventory? (show it on the above flow chart) C What is the labor productivity? D - How many people do you hire at least to make Task A the new bottleneck? Now you decided to eliminate two tasks (so now you have three employees). And the following is the new process design. E What is the percent output increase? F - What is the percent labor productivity increase? G - What is the capacity utilization of Task E (revised process)? H - State four practices to improve this process. 1 2 - 3 - 4

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