An initial time study was done on a process with the followi

An initial time study was done on a process with the following results (in minutes). Based on the data obtained so far, assuming an allowance of 14 percent of the normal time, what do you estimate for the time per customer served, based on this preliminary sample? (Round all intermediate calculations to two decimal places.) Performance Obs ObsObs Ob Obs Element Element 1 Element2 Element3 Rating 80 70 120 6 10 4 The time per unit customer served is minutes. (Enter your response rounded to two decimal places.)

Solution

Average observed time of element 1= (3+6+4+5+6)/5 = 4.8

Average observed time of element 2 = (9+11+8+8+10)/5 = 9.2

Average observed time of element 3 = (7+6+7+7+6)/5 = 6.6

Normal time of element 1 = average observed time * Performance rating

=4.8*0.80

= 3.84

Normal time of element 2 = 9.2*0.70 = 6.44

Normal time of element 3 = 6.6*1.20 = 7.92

Total normal time = 3.84+6.44+7.92 = 18.2 minutes

Standard time per unit customer served = Normal time + personal allwoance time

= 18.2 + 18.2*14%

= 20.748 minutes