Original Problem:An insurance application consists of two forms, F1 and F2. Upon receipt, each application is processed, recorded and separated into F1 and F2. This operation is done by a data-entry clerk and requires 8 minutes. F1 is screened by staff A for 20 minutes per unit and then risk-rated by staff B for 10 minutes per unit. F2 is risk-rated by staff C for 15 minutes per unit. F1 and F2 are then combined and finally approved by a loan officer for 15 minutes. The staffing of the process utilizes one each of staffs A, B, and C, One data entry clerk, and two loan officers. Go back to the original problem. Facing the coming busy season, two new staffs E and F are recently hired. Both of them can do data entry in 10 min, screening F1 in 30 min, rating F1 in 20 min, rating F2 in 20 min. Each of them will be asked to perform a single task Question: which positions should E and F be asked to take, respectively?

Lets check the flow per staff:

data entry clerk = 8 mins/application = 60/8 = 7.5 applications per hour

Staff A = 20 mins = 60/20 = 3 F1 screening/hour

Staff B = 10 mins = 60/10 = 6 F1 rating/hour

Staff C = 15 mins = 60/15 = 4 F2 rating/hour

2 loan officers = 15 mins = 60/15 = 4 (but 2 officers) = 8 applications/hour

the minimum flow comes in Staff A, F1 screening with just 3 /hour, and next minimum is at Staff C at 4/hour

one new staff E is put for Screening F1 = 30 mins = 2 applications/hour, this would increase the flow to 5 applications/hour

after this the bottle neck is at F2 rating, hence F is placed at F2 rating with staff C = 20 mins = 3 applications /hour

increasing the flow to 4+3 = 7 applications/hour.

 
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