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UNIVERSITY OF SOUTH CAROLINA MOORE SCHOOL OF BUSINESS MGSC 893 and MGSC 485 BUSINESS PROCESS IMPROVEMENTS PROCESSMODEL CLASSWORK CASE UNCLE TED’S OIL CHANGE Background Uncle Ted’s Oil Change in Greater Columbia is a full service station that offers their customers both oil and tire changes. Uncle Ted’s management team felt the service station was under-performing and decided that their best alternative was to approach us (MGSC 893 students from Moore School of Business) for consulting on how their business could improve their process to better serve their customers and become more profitable. We have defined a series of metrics as the key elements that will lead to the eventual success or failure of Uncle Ted’s business model. After modeling the process and exploring a number of improvements, we have created a detailed analysis of the costs and benefits of each suggested improvement as measured via our defined success metrics. Following a presentation of our findings and discussion with management of Uncle Ted’s Oil Change, we have to now assist them in deciding what set of process changes will best align with their mission, vision and goals. Operational Specifics Uncle Ted’s Oil Change is a full service oil change facility. Hours of operation for staff (cashiers, assistants, and mechanics) range from 6:45 a.m. to 8:00 pm. on weekdays, and 8:45 a.m. to 8:00 p.m. on weekends. Along with an oil change, comes a topping off of washer fluid, transmission fluid, power steering fluid, and anti-freeze. The final step that all customer vehicles go through is finishing in which the windshield is cleaned, and the 1
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vehicle is swept. In addition to these options that each vehicle undergoes, there are also choices that the customer receives when at the original cash register concerning whether or not he/she wants tires changed, and whether or not there is an interest in receiving an end of process inspection. Current Resources Uncle Ted’s currently employs three mechanics at $25 per hour, one cashier at $12 per hour, and two assistants at $ 8 per hour. All of these resources are available 95% of their time on duty for actual work (5% personal allowance). These resources operate during the following shifts. Each of these resources works the same shifts. On Monday, Tuesday, Wednesday, Thursday, and Friday, they work from 6:45 a.m. until 8 p.m. while on Saturday and Sunday they work from 8:45 a.m. until 8 p.m. In addition, Oil change and Tire Rotation takes place in the Service Bays.
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This note was uploaded on 07/02/2011 for the course MGSC 485 taught by Professor Ahire during the Spring '10 term at South Carolina.

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