The P-A-D law firm offers 3 types of consultations; pre-nups (product P), annulm
ID: 431359 • Letter: T
Question
The P-A-D law firm offers 3 types of consultations; pre-nups (product P), annulments (product A), and divorces (product D). P-A-D has 4 employee types that are used in processing these cases - the process times required for each product at each employee type (and the number of employees of each type) are shown in the table below. Each employee works 10 hours each day, 4 days per week.
If demand is 100 per workday for pre-nups (P), 10 per workday for annulments (A), and 20 per workday for divorces, then which resource type is the (implied) bottleneck?
- Analyst
- Partner
- Secretary
- Paralegal
Explanation / Answer
Secretary
Work load = 100*3+10*4+20*2 = 380 minutes
Available minutes = 2 employees * 10 hours * 60 minutes = 1200 minutes
Implied utilization = 380/1200 = 0.317
___________________________
Paralegal
Work load = 100*6+10*3+20*2 = 670 minutes
Available minutes = 2 employees * 10 hours * 60 minutes = 1200 minutes
Implied utilization = 670/1200 = 0.5583
___________________________
Analyst
Work load = 100*0+10*20+20*0 = 200 minutes
Available minutes = 1 employees * 10 hours * 60 minutes = 600 minutes
Implied utilization = 200/600 = 0.333
___________________________
Partner
Work load = 100*9+10*2+20*3 = 980 minutes
Available minutes = 3 employees * 10 hours * 60 minutes = 1800 minutes
Implied utilization = 980/1800 = 0.317
Implied utilization of paralegal is the maximum. Therefore, it is the implied bottleneck,
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