The manager of the Safeway store (close to Santa Clara University) is considering improving the customer service level by reducing customers’ average waiting time for checkout. Based on the past year’s data, he knows that customers try to check out every 2 minutes, on average, and the standard deviation of the interarrival time is also 2 minutes. It takes on average 3 minutes to finish the checkout process. The standard deviation of the processing times is 3 minutes. The manager’s goal is to make sure the customers’ average waiting time is less than 0.5 minute. How many checkout cashiers should the manager use?

Suppose the waiting time at a certain checkout counter is bi-modal. With probability 0.85, the waiting time follows an exponential distribution with a mean waiting time of four minutes. With probability 0.15, the waiting time equals 20 minutes. a) Compute the mean and median waiting time at the checkout counter. b) Compute the variance of the waiting time at the checkout counter. c) Compute the probability that an individual customer waits longer than 5 minutes at the checkout counter.

How many years (t) can we expect to do business with a customer? Thetotal number of years is denoted by T.

Ashley’s department store in Kansas City maintains a successful catalog sales department in which four clerk takes orders by telephone. If four clerks are occupied on four-lines, incoming phone calls to the catalog department are answered automatically by a recording machine and asked to wait. As soon as the clerk is free, the party that has waited for the longest is transferred and answered first. Calls come in an average of 3 minutes. The clerk is capable of taking an order in an average of 10 minutes. Calls tend to follow a Poisson distribution, and service times tend to be exponential. a. λ= μ= b. Calculate P0 c. How many callers, on average, are waiting to place an order under the current operating system?

erex Corporation is a global manufacturer of aerial work platforms and materials processing machinery. They design, build and support products such as large lifting equipment used in construction. The company makes most pieces to order and customizes them to meet customers’ unique preferences.Terex maintained a manual system for yard management at their transfer centre in Washington that is always full of lifting equipment, which generated excessive costs for what should have been a relatively simple process of locating customers’ units to prepare them for delivery. A wallboard and sticker system was a low-tech solution for identifying equipment items in the yard at Terex. While inexpensive in itself, the solution cost around six minutes every time an employee had to locate a unit in the yard. It also required a considerable number of hours to be spent each month taking physical inventories. After a successful pilot, the company approved a new solution, replacing stickers, yard maps,…

Agan Interior Design provides home and office decorating assistance to its customers. In normal operation, an average of 2.2 customers arrive each hour. One design consultant is available to answer customer questions and make product recommendations. The consultant averages 10 minutes with each customer. (a) Compute the operating characteristics of the customer waiting line, assuming Poisson arrivals and exponential service times. (Round your answers to four decimal places. Report time in hours.) λ Wa { é L = P q = || W = W = h h (b) Service goals dictate that an arriving customer should not wait for service more than an average of 5 minutes. Is this goal being met? (Round your answer to one decimal place.) W (in minutes) = What action do you recommend? (Select all that apply.) Increase the hours of operation. Increase the mean service rate. Hire another consultant. Decrease the mean service rate. There is no need to change the current operating parameters. min, which is greater ✓than…

The customer are complaining to the hotel general manager about the service provided from front desk and restaurant how can the general manager reduce variability and increase consistency

Have you ever had to negotiate with a family member? A roommate? What was the outcome? When you negotiate, do you see it as a cooperative exercise or as a zero-sum gain? What role does ethics play in negotiation strategy?

2

The BPD has three tellers to provide service. Each teller, on average, serves one customer in three minutes per customer, the latter arriving 50 every hour. Due to complaints received, an evaluation of the system has been requested:(a) Give the average utilization of the service system with the three tellers.b) What is the probability of arriving at the bank with no one there?c) What is the average number of customers waiting in line?d) On average how long does a customer wait in line to be served?e) On average how many customers would be served at a teller and waiting in line?