Under a new California State Law, California's Dept. of Motor Vehicles (DMV) must gear up to issue more driver's license
Posted: Fri May 20, 2022 6:42 am
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Under a new California State Law, California's Dept. of Motor Vehicles (DMV) must gear up to issue more driver's licenses. The DMV anticipated an increase of nearly 1.5 Million new drivers who will come in to apply for their driver's license. A University of California graduate, Sara Sharma, was hired to re-design the driver's license operations to improve the applicant customer's experience. Sara is tasked with improving all aspects of the customer experience including lowering the wait times and handling a greater load of renewal applications. Examining the current system, Sara discovered that each customer followed a fixed sequence of steps with average times in seconds as noted in the table below. Step (Job) Activity Time (sec) 1. Review Application for correctness 15 2. Process and Record Payment 30 3. Check file for violations and restrictions 60 4. Conduct eye test 40 5. Photograph Applicant 20 6. Issue temporary license 30 Sara observes that the work is unevenly divided among the six jobs (each done by an agent) and the agent in charge of checking violations tended to shortcut her task to keep up during the peak demand periods. The sequence of steps performed had some restrictions. Reviewing the application for correctness must be performed first before any other step is taken. Furthermore, the issuing of the temporary license must be the final step. Because a nearby license renewal office was being closed, Sara was told to expect increased demand exceeding 100 applicants per hour during peak periods. Under a budget mandate, Sara needed to increase productivity at minimum cost. Answer the following questions. 1. Identify the system constraint (bottleneck). What is the system capacity? 2. How many more applications can be processed per hour if a second agent is added to check for violations (which makes it a total of seven agents)? 3. Using 7 agents and redefining the jobs to balance the work, how can the process be modified to achieve a capacity exceeding 100 customers per hour? 4. With six agents (i.e. not adding an additional agent), is it possible to redesign the system achieve a capacity capacity of 100 customers per hour? Beyond staffing changes, Sara also remembered what one of her Professors had one mentioned: "There is a significant psychological component of the customer's service experience, especially in waiting. Successful enterprises manage both the psychology and reality effectively". As she prepared to recommend changes, Sara wondered what could be done in a holistic manner.