A Classification and Evaluation of Research in Operations Management.

The check-processing activity represents a major function in a commercial bank. If checks are quickly processed through the bank, then funds will be transferred to appropriate accounts and the bank will experience minimum float. This paper discusses the use of priority rules to maximize the dollar value of checks processed each day. A series of experiments are developed to test a set of priority rules (heuristics) under different operating conditions of check processing capacity, transit dollar levels, and branch characteristics. The results indicate that significant differences in performance are present for different rules. Also, the usefulness of some rules are dependent upon the commercial bank's operating characteristics, which has important implications for operating managers. [ABSTRACT FROM AUTHOR]