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You are planning the new layout for the local branch of the Sixth Ninth Bank. You are considering separate cashier windows for the three different classes of service. Each class of service would be separate with its cashiers and customers. Oddly enough, each class of service, while different, has the same demand and service times. People for one class of service arrive every four minutes, and arrival times are exponentially distributed (The standard deviation is equal to the mean). It takes seven minutes to service each customer, and the standard deviation of the service times is three minutes. You assign two cashiers to each type of service.

  1. On average, how long will each line be at each of the cashier windows?
  2. On average, how long will a customer spend in the bank (assume they enter, go directly to one line, and leave as soon as service is complete)? You decide to consolidate all the cashiers so they can handle all types of customers without increasing the service times.
  3. What will happen to the amount of time each cashier spends idle? (Increase, decrease, stay the same, depend on ________)
  4. What will happen to the average amount of time a customer spends in the bank? (Increase, decrease, stay the same, depend on ________)

Short Answer

Expert verified

Average Wait Time (AWT), moreover known as Normal Speed of Reply (ASA), is the standard time an inbound call spends holding up in a line or holding up for a call back if that includes dynamic in your IVR framework.

Step by step solution

01

Step1:(a) Calculate the expected arrival rate, service coefficient of variation for arrival and service as follows:

In expected arrival rate:


(λ)=1χa â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰=14 â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰=15 customer per hour

In service rate per server


(μ)=1χs â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â€‰â¶Ä‰â¶Ä‰=17 â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â€‰â€‰= 8.57 customer per hour

In coefficient of variation for arrival

Ca=Saχa â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰= 44 â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰=1

In coefficient of variation for service

(Cs)=Ssχs â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â€‰â¶Ä‰â¶Ä‰= 37 â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â€‰â¶Ä‰â¶Ä‰= 0.4285

Hence, the expected arrival rate, service rate, coefficient of variation for arrival, and coefficient of service for the system are 15 customers per hour, 8.57 customers per hour, 1, and 0.4285, respectively

In the given formula:

Now, calculate the expected server utilization with the help of the given formula:

Expected server utilization (ÒÏ)=λ³§Ã—μ

Now putting the values in the equation, obtain the following results:

Expected server utilization is (ÒÏ)=152×8.57 â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â€‰â€‰=0.875

Lq​=ÒÏ2(s+1)1-ÒÏ×Ca​+​â¶Ä‹â¶Ä‰Cs22×Ca2+ Cs22

Now, putting the values in the equation

Obtain the following results

Lq= 0.8752(2+1)1−0.875×12+(0.4285)22 â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰= 3.4138

The average number of people waiting in line

L±ç​=​3.4138 â¶Ä‰c³Ü²õ³Ù´Ç³¾±ð°ù

02

(b) Calculate an average number of people waiting in the system with the help of the given formula

Calculate an average number of people waiting in the system with the help of the given formula:

Ls​=³¢q+​ S×ÒÏ

Now putting the values in the equation, the following results:

Ls=​3.4138+ 2×(0.875) â¶Ä‰â¶Ä‰=5.1638

Therefore average time waiting in the system

(Ws)=Lsλ â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â€‰â¶Ä‰â¶Ä‰â€‰=5.163815  â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â€‰â¶Ä‰â¶Ä‰â€‰=20.655min

Hence, the average time waiting in the system is 20.655 min

03

(c) Expected server utilization is  

Since the 3 lines are consolidated, arrival triples

λ= 45 p±ð°ù h´Ç³Ü°ù

Number of cashiers in the system, S =6

The formulais given below:

Expected server utilization:

(ÒÏ)=λ³§Ã—μ

Expected server utilization is:

role="math" localid="1651061304355" (ÒÏ)=456×(8.57) â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â¶Ä‰â€‰â€‰=0.875

Expected server utilization is 0.875

Hence, it can be concluded that despite the change in arrival rate the amount of idle time remains the same.

04

(d) Standard deviation

We expect that the demand regularly disperses with a mean and standard deviation over some time. Again, remember that this approach considers as it were the likelihood of running out of stock, not how many units we are brief. To decide the possibility of stocking out over the time, we can essentially plot a typical dispersion for the anticipated request and note where the sum we have on hand lies on the bend

05

The average amount of time a customer spends in the bank

Hence, it can be concluded that the new average amount spent by a customer decreases to 10.83 after a change in the value of λ and Lq.

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Most popular questions from this chapter

The National State Bank is trying to make sure that it has enough tellers to handle the Friday afternoon rush of workers wanting to cash their paychecks. It is only concerned with the last hour of the day from 4:00 to 5:00 p.m. It takes 5 minutes per customer to be processed by the tellers. The average customer arrivals are shown in the table below.

The bank currently has 8 teller stations, and all are staffed during the Friday afternoon rush hour.

a. What is the current maximum output at the bank during rush hour?

b. Can the bank process all the customers by 5:00 p.m.?

c. What is the maximum waiting time for customers, and what time period does it occur?

Wally’s Widget Warehouse takes orders from 7 a.m. to 7 p.m. The manager wants to analyze the process and has provided the process flow diagram shown below. There are three steps required to ship a customer order. The first step is to take the order from a customer. The second step is to pick the order for the customer, and then they have to pack the order ready for shipping. Wally promises that every order placed today gets shipped tomorrow. That means that the picking and packing operations must finish all orders before they go home.

Wally wants to figure out the following.

a. What is the current maximum output of the process assuming that no one works overtime?

b. How long will the picking and packing operations have to work if we have a day where the order taker works at his maximum capacity?

c. Given b, what is the maximum number of orders waiting to be picked?

d. Given b, what is the maximum number of orders waiting to be packed?

e. If we double the packing capacity (from 60 to 120 orders per hour), what impact does this have on your answers in parts (b), (c), and (d)?

State in your own words what Little’s law means. Describe an example that you have observed where Little’s law applies.

Question:Design specifications require that a key dimension on a product measure 100 6 10 units. A process being considered for producing this product has a standard deviation of four units.

  1. What can you say (quantitatively) regarding the process capability?
  2. Suppose the process average shifts to 92. Calculate the new process capability.
  3. What can you say about the process after the shift? Approximately what percentage of the items produced will be defective?

How does the production volume affect break-even analysis?

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