W. L. Brown, a direct marketer of women’s clothing,must determine how many telephone operators toschedule during each part of the day. W. L. Brownestimates that the number of phone calls received eachhour of a typical eight-hour shift can be described bythe probability distribution in the file P10_33.xlsx.Each operator can handle 15 calls per hour and coststhe company $20 per hour. Each phone call that isnot handled is assumed to cost the company $6 in lostprofit. Considering the options of employing 6, 8, 10,12, 14, or 16 operators, use simulation to determinethe number of operators that minimizes the expectedhourly cost (labor costs plus lost profits).

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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W. L. Brown, a direct marketer of women’s clothing,
must determine how many telephone operators to
schedule during each part of the day. W. L. Brown
estimates that the number of phone calls received each
hour of a typical eight-hour shift can be described by
the probability distribution in the file P10_33.xlsx.
Each operator can handle 15 calls per hour and costs
the company $20 per hour. Each phone call that is
not handled is assumed to cost the company $6 in lost
profit. Considering the options of employing 6, 8, 10,
12, 14, or 16 operators, use simulation to determine
the number of operators that minimizes the expected
hourly cost (labor costs plus lost profits).

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