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Magazine Chapter 2: 7PE (page 261)
Question: An ice cream stand has a single window and one employee to serve customers. During their busy season, 30 customers arrive each hour on average. It takes 1.5 minutes on average to serve a customer. What is the utilization of the employee?
Short Answer
Answer
A utilization rate is a person who adds up to working hours going through work that can contribute to a client. No matter how advanced and profitable a worker is, no matter how determined they are to perform the very most extreme, time will always be their restricting calculation. There are, as it were, 24 hours within the day 鈥� and as we have investigated in profundity some time recently, human creatures don鈥檛 do well when we endeavor towards being 鈥渁lways on.鈥�
Step by step solution
Utilization rate
Step1: Utilization rate
Whereas a worker may work 40 hours a week, it鈥檚 much inconceivable to do 40 hours of billable work. Meetings, lunch breaks, telephone conversations, planning, and business development all consume it. But, when it comes to utilization rate, it's critical to get it right: if it's too high, your company may be cutting costs with genuine internal work, and you'll need more employees; if it's too low, you'll be pulling in too much work for their head counts.
Determination of the utilization of the team member:
There is one server.
On average, 30 customers arrive per hour
It takes the server 1.5 minutes to serve each customer.
The utilization of the employee is 75%
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