2.2 LEAN CONCEPTS - Process Bottleneck and Capacity Computation

# 2.2 LEAN CONCEPTS - Process Bottleneck and Capacity Computation

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PROCESS CAPACITY ANALYSIS 1 MGSC 485 – Business Process Management Moore School of Business University of South Carolina

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Average Flow Rate (Throughput)  and Process Capacity Average Flow Rate (Throughput) = Average number of flow units passing through the process per unit of time. (e.g., jobs completed per hour, customers served per hour, cars repaired per hour). Process Capacity: Maximum sustainable flow rate (Throughput) of a process. Overall process capacity is determined by the “Bottleneck Resource” in the process.
What affects Throughput and Process  Capacity? The nature and mix of flow units (e.g., only hernia patients vs. general hospital). Process activities, buffers, and their network relations. Nature and number of resources allocated to the process activities (e.g., trainee vs. experienced x-ray technician). Operating procedures used to manage required activities (e.g., prioritizing jobs).

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Unit Load of a Resource Resource Pool: A set of interchangeable resource units (e.g., doctors, lathes). Unit Load of a Resource is the Total workload needed by one flow unit from a resource. Unit Load of a Resource = Sum of the work contents of all activities performed on a flow unit utilizing this specific resource. A cashier’s order-taking time = 2 minutes. His order giving time = 1 minute. Here, “Unit load of the cashier” = 3 minutes/ customer.
Load Batching Load Batching is the “number of flow units served concurrently by one resource unit”. When a teller is processing a customer, the load batching of the teller is “one”. Even when there are five tellers, still, an individual teller’s load batching is “one” customer. An oven baking one dozen cookies at a time has a load

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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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2.2 LEAN CONCEPTS - Process Bottleneck and Capacity Computation

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