Problem 1 [50 points]

Recall your experience with the NSU canteen. You should have observed many processes that the
canteen staff performs when serving you. You are their customer. For example, you may have seen
how the cashiers operated.

(a) Select any two processes that you can remember. Indicate how Control Charts can be used
to monitor these two processes that you select. Provide the details of the Control Charts that
you consider appropriate. How do your Control Charts link to your definition of quality at
the canteen?[20 points]
(b) Using the results of your control charts, what will you recommend for improving the customer
experience at the NSU canteen? [20 points]
(c) What will you recommend to reduce the customer waiting time during the peak hours at the
NSU canteen [10 points]

Rubric

Instructor’s opinion about student’s work Score

Objective, realistic, well-defined measurements for various processes. The 100% - 80%
measurements are linked to definitions of quality as applicable to the NSU canteen.
These measurements fit the control charts. The use of the control charts support
the recommendations for quality improvement. Recommendations are realistic
and measurable for progress. The control and feedback system is evident.
Recommended measurements are complex, subjective, and irrelevant. 79% - 67%
Measurements do not support the definition of quality. Measurements do not fit
the control charts. The use of the control charts does not match the quality
improvement recommendations. Recommendations are complex, impractical,
and difficult to monitor progress.
Student’s submission is absurd or non-existent. 66% - 0%

Problem 2 [40 points]

The Stone River Textile Mill was inspected by OSHAi and found to be in violation of a number of safety
regulations. The OSHA inspectors ordered the mill to alter some existing machinery to make it safer
(e.g., add safety guards); purchase some new machinery to replace older, dangerous machinery; and
relocate some machinery to make safer passages and unobstructed entrances and exits. OSHA gave
the mill only 35 weeks to make the changes; if the changes were not made by then, the mill would be
fined $300,000. The mill determined the activities in a PERT network that would have to be completed
and then estimated the indicated activity times, as shown in the table below. Construct the PERT
network for this project and determine the following:

(a) Draw an AON Network Diagram with the following information: expected activity times,
earliest and latest activity times, and activity slack [20 points]
(b) Critical path, expected project duration and variance [15 points]
(c) The probability that the mill will be fined $300,000 [5 points]

HINT: Round the time estimate t (or te) to zero decimal point; it will simplify your calculations. Round
the variances to two decimal points. Remember: a is to, m is tm, b is tp, t is te. Use the following legend
to draw the Network Diagram.
Rubric

Instructor’s opinion about student’s work Score

Each solution and/or drawing is accurate 100%
Minor mistake or calculation error is observed 90%
1 major error is found 80%
2 major errors are found 70%
3 or more major errors are found 60%
Partial credit for attempting in a reasonable approach 50%
Non-submission or absurd submission 0
Problem 3 [10 points]
The following table provides the information necessary to construct a project network and project
crash data. Activity Cost data is cost per week; e.g., $4,400/week is the cost of crashing activity “a”
for one week. Crash the project as much as possible. Maximum allowance for crash cost is
$5,000/week.

Rubric

Instructor’s opinion about student’s work Score

Solution is accurate 10
Minor mistake or calculation error is observed 9
1 major error is found 8
2 major errors are found 7
3 or more major errors are found 6
Partial credit for attempting in a reasonable approach 5
Non-submission or absurd submission 0

i
OSHA is The Occupational Safety and Health Administration. It is an agency of the United States government.
Summarily described, this agency is responsible for workplace safety in the U.S.