Discuss the effects of Fruitvale’s priority rules and territory-based UT assignments on customer service.

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One-page memo:
To summarize key findings of analysis and recommendations (citing analytical justifications and evidence) for Fruitvale. The memo should clearly state the basis of competition within Fruitvale’s industry and explain how Fruitvale’s current operations do or do not excel along this dimension. While it should not include detailed calculations, the memo should give the reader a clear sense of how you logically arrived at your conclusions concerning the causes of problems and your recommendations for actions with which to address them.

Supporting Analysis
Your analysis should address the issues below.

(Note: In doing your analysis, you will need information from the text of the case and from many exhibits. You should, however, pay particular attention to Exhibits 2, 4, and 7.)

Support for basis of competition

Citing relevant evidence from the case, provide support for why the “basis of competition” is what you identified it as in the memo.

Causes of Delay

Present a process flow diagram of the Fruitvale branch, labeled with capacity utilizations, with supporting calculations shown. In the diagram, illustrate the respective inventories of RUNs and RERUNs on September 7th 1991. (Since it is during a weekend, please assume that no one at the branch is working at the moment.)

Compare theoretical to actual flow times (or “turn-around times”). What are the theoretical (i.e., without any waiting) average flow times for a RUN, a RAP, a RAIN, and a RERUN? What is the average total turnaround time (TAT) of the requests during the first quarter of 1991? Where do the requests spend most of their time in the Fruitvale system?

Analysis of Priority/Processing Rules

Compare the profitability of a typical RUN vs. a typical RERUN.
Discuss the effects of Fruitvale’s priority rules and territory-based UT assignments on customer service. Support with quantitative analysis and operations management insights.

Recommendations

Prepare a prioritized list of (at least 2) actions to deal with Fruitvale’s problems, assuming that no personnel can be added. Can Fruitvale match Golden Gate’s challenge of one-day turnaround?

Conclusions

Describe the main insights from this case using the “operations prism” framework to identify the flows, variability, and buffers in the Fruitvale system and their relevance to the problems at the branch and your recommendations to address them.






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