Problem
Each day, a FedEx competitor processes approximately 75,000 shipments. Suppose that they use the same Service Quality Index as FedEx and identified the following numbers of errors during a 5-day week (see the "FedEx: Measuring Service Performance" box). These values are hypothetical and do not reflect any real company's actual performance.
|
Description
|
Weight
|
Number of Errors
|
|
Complaints reopened
|
3
|
125
|
|
Damaged packages
|
10
|
20
|
|
International
|
1
|
106
|
|
Invoice adjustments
|
1
|
280
|
|
Late pickup stops
|
3
|
203
|
|
Lost packages
|
10
|
4
|
|
Missed proof of delivery
|
1
|
22
|
|
Right date late
|
1
|
752
|
|
Traces
|
3
|
111
|
|
Wrong day late
|
5
|
11
|
Compute the Service Quality Indicator by finding the weighted sum of errors as a percentage of total shipments. Do not round intermediate calculations.