Factors Given: 15,000,000 claims processed per year Average time required to pro

Question

Factors Given:

15,000,000 claims processed per year

Average time required to process one (1) claim = 13.8 minutes

Schedule: 5 days, 7.5 hour shifts, 1 shift, 49 weeks (use one decimal)

32 square feet required per processor

1 break room required for every 100 workers; 1600 sq. ft. each

1 unisex restroom required per 100 workers; 144 square feet each

Administrative offices require 6000 square feet

Your assignments:

1. Calculate the number of workers required each day to process claims; zero absenteeism

2. If workers ride-share at 1.5 workers per vehicle; how many parking spaces are required for workers each day?

3. How many break rooms are required; round up?

4. How many rest rooms are required; round up?

5. Calculate the total square footage required for the claims processors, administrative offices, break rooms, toilets and 1920 square feet of walk ways.

6. Using a wage of $18.68 per hour, zero overtime, what is the total annual hourly payroll for all claims processors?

7. Calculate annual benefits for all claims processors @ 37.8%.

8. What is the cost of a 4.75% increase in wages and benefits for 1 year for all processors?

Explanation / Answer

1.

Available minutes per worker per annum = 49 x 5 x 7.5 x 1 x 60 = 110250 minutes

Time required to process one claim = 13.8 minutes

So, time required to process 15,000,000 claims = 15,000,000 x 13.8 = 207,000,000 minutes

So, number of workers required = 207,000,000 / 110250 = 1878 workers

2.

Number of vehicles (or parking spaces) = 1878 / 1.5 = 1252

3.

No. of break rooms required = 1878 / 100 = 18.78 or 19

4.

No. of rest rooms required = 1878 / 100 = 18.78 or 19

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