a)
To determine: System utilization rate.
Introduction: Poisson distribution is utilized to ascertain the probability of an occasion happening over a specific time period or interval. The interval can be one of time, zone, volume or separation. The probability of an event happening is discovered utilizing the equation in the Poisson distribution.
b)
To determine: The number of customers that are waiting for service for each class.
Introduction: Poisson distribution is utilized to ascertain the probability of an occasion happening over a specific time period or interval. The interval can be one of time, zone, volume or separation. The probability of an event happening is discovered utilizing the equation in the Poisson distribution.
c)
To determine: The average waiting time for each class.
Introduction: Poisson distribution is utilized to ascertain the probability of an occasion happening over a specific time period or interval. The interval can be one of time, zone, volume or separation. The probability of an event happening is discovered utilizing the equation in the Poisson distribution.
d)
To determine: The revised average waiting time for each class.
Introduction: Poisson distribution is utilized to ascertain the probability of an occasion happening over a specific time period or interval. The interval can be one of time, zone, volume or separation. The probability of an event happening is discovered utilizing the equation in the Poisson distribution.
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Operations Management
- During nearly four decades of business operations, Memphis-based FedEx has earned a reputation for reliable, on-time delivery of packages to homes and offices around the country. Founder Fred Smith originally focused on overnight deliveries, choosing Memphis as the company’s headquarters because the airport rarely closes due to bad weather. With FedEx’s planes departing and arriving on schedule nearly all the time, its express shipments usually remained on schedule, then and now. To reassure customers that delivery will take place when and where promised, the firm offers a money-back guarantee on time-sensitive express shipments, among other services. FedEx has steadily expanded its portfolio of services since the 1970s. Its original overnight express delivery is currently available to U.S. customers in various forms, including “first-overnight” delivery, next-morning delivery, next-afternoon delivery, and budget-pleasing two- or three-day delivery. The company’s services also include cost-effective ground delivery for parcels and extra-speedy same-day delivery for urgent deliveries within 1,800 cities. Over the years, FedEx has widened its delivery network to more than 220 countries. It has purchased more cargo jets and acquired specialized shipping firms, including Tiger International, Roberts Express, RPS, and TNT Express, to support global growth. For international business customers needing products, parts, or raw materials shipped across countries or continents, the company now offers time-saving services such as commercial freight forwarding and cross-border logistical support. To add the convenience of local drop-off and pickup points for U.S. consumers and small businesses, FedEx acquired the Kinko’s office services company in 2004 and later rebranded it as FedEx Office. This acquisition also added printing and copying to the menu of services offered. Then the company arranged for large U.S. retailers such as Walgreens, Albertsons, Kroger, and Safeway to accept packages for shipment and receive package delivery for customer pickup in thousands of store locations. This means people who want to send a package can head to a nearby retailer and ship where they shop, rather than making a separate trip to the FedEx location. It’s also a safe alternative for packages to be picked up by people who don’t want FedEx shipments left by the front door. Another service FedEx offers to small and mid-sized businesses, including retailers, is FedEx Fulfillment. The purpose is to expedite order fulfillment by having each business store its products in a FedEx warehouse. Then, when the business’s customers place orders, FedEx puts the products into boxes bearing the business’s own logo and ships directly to those customers. The business doesn’t need a separate warehouse or staff for fulfillment, and packages are on their way to customers more quickly because the products were in FedEx’s warehouse, ready to be packed and shipped. This service puts FedEx into direct competition with Amazon.com, which offers a similar service to merchants that sell through the online Amazon Marketplace. But it also gives businesses that don’t sell via Amazon a fast and professional fulfillment alternative. FedEx is careful to let customers know, through media and social-media announcements, when it anticipates that extreme weather or other conditions will cause delays or force it to halt pickups and deliveries. For the duration of Hurricane Irma, for example, FedEx said it would suspend deliveries in Florida. Some Florida customers who had ordered generators to be delivered via FedEx were unhappy, because they worried about being without power during and after the storm. But one FedEx employee loaded several generator orders into his car and took them to customers himself. When a customer posted a grateful compliment to FedEx on Facebook, the message generated thousands of likes, shares, and positive comments. The company also received positive comments for its donations of cash and transportation services to areas devastated by Hurricanes Irma, Harvey, and Maria. According to the American Customer Satisfaction Index (ACSI), FedEx often tops the list of U.S. shipping companies as ranked by customers surveyed. Every day, the company delivers 13 million packages—and during the busy year-end holiday season, it delivers many more. By meeting customers’ expectations for on-time deliveries, FedEx has increased annual revenues beyond $60 billion and positioned itself for continued growth in the future. How does FedEx’s money-back guarantee address customers’ concerns about heterogeneity?arrow_forwardA tax consulting firm has 5 counters in its office to receive people who have problems concerning their income, wealth and sales taxes. On the average 75 persons arrive in an 8hour day. Each tax adviser spends 25 minutes on an average on an arrival. If the arrivals are Poissonly distributed and service times are according to exponential distribution, find The probability of there being no customer in the system The average number of customers in the system iii. Average number of customers waiting to be served iv. Average time a customer spends in the system v. Average waiting time for a customerarrow_forwardA vending machine dispenses hot chocolate or coffee. Service time is 20 seconds per cup and is constant. Customers arrive at a mean rate of 56 per hour, and this rate is Poisson-distributed. A. Determine the average number of customers waiting in line B. Determine the average time customers spend in the system C. Determine the average number of customers in the system Elaboratearrow_forward
- 5.12. For each of the following queuing systems, indicate if it is a single- or multiple-server model, the queue discipline, and if its calling population is infinite or finite: Hair salon Bank Laundromat Doctor’s office Adviser’s office Airport runway Service station Copy center Team trainer Mainframe computerarrow_forward[Queuing Theory - Operation research] The take-out counter at an ice-cream parlor is serviced by one attendant. Customers arrive according to a Poisson process, at a mean arrival rate of 30 per hour. They are serviced on a FCFS basis, and because of the quality of the ice cream, they are willing to wait if necessary. The service time per customer appears to be exponentially distributed, with a mean of 1.5 minutes. Determine the following: (a) probability that the system is idle (b) average number of customers in the system (c) amount of time a customer should expect to wait before service (d) probability that a customer will have to spend more than 15 minutes in the queuearrow_forwardOne field representative services five customers for a computer manufacturer. Customers requestassistance at an average (Poisson-distributed) rate of once every four working days. The field representative can handle an average (Poisson-distributed) of one call per day. Determine:a. The expected number of customers waitingb. The average length of time customers must wait from the initial request for service until theservice has been completedc. The percentage of time the service rep will be idled. By how much your answer to part a would be reduced if a second field rep were addedarrow_forward
- A branch office of a large engineering firm has one on-line terminal connected to a central computer system for 16 hours each day. Engineers drive to the branch office to use the terminal to make routine calculations with an average exponential distribution of 30 minutes per use. The daily arrival pattern of engineers is random (Poisson) with an average of 20 persons. The branch manager is starting to receive complaints from the engineers about the length of time many of them have to wait to use the terminal. Question: 1. What is and u measured in per hour intervals? 2. On the average, how many minutes does each engineer have to wait? 3. Using increments of 0.1 hours, what would be the least value of u so that the waiting time will be not exceed 30 minutes?arrow_forwardThe cashier line of a canteen can facilitate up to 60 customers an hour. Frequenters of the canteen arrive at an average of 50 an hour. Suppose that management wants to evaluate the desirability of opening a second order-processing station so that two customers can be served simultaneously. Assume a single waiting line with the first customer in line moving to the first available server. a. How long in minutes would it take the customer from lining up until he leaves the waiting line? b.How long in minutes would a customer wait to be served on average? c.Find the probability that there are 7 customers in the system.arrow_forwardThe Peachtree Airport in Atlanta serves light aircraft. It hasa single runway and one air traffic controller to landplanes. It takes an airplane 8 minutes to land and clear therunway (exponentially distributed). Planes arrive at theairport at the rate of 5 per hour (Poisson distributed).a. Determine the average number of planes that will stackup waiting to land.b. Find the average time a plane must wait in line before itcan land.c. Calculate the average time it takes a plane to clear therunway once it has notified the airport that it is in thevicinity and wants to land.d. The FAA has a rule that an air traffic controller can, onthe average, land planes a maximum of 45 minutes outof every hour. There must be 15 minutes of idle timeavailable to relieve the tension. Will this airport have tohire an extra air traffic controller?arrow_forward
- Customers arrive to a local bakery with an average time between arrivals of5 minutes. However, there is quite a lot of variability in the customers’ arrivals, asone would expect in an unscheduled system. The single bakery server requires anamount of time having the exponential distribution with mean 4.5 minutes to servecustomers (in the order in which they arrive). No customers leave without service.b. Calculate how long customers spend on average to complete their transactionsat the bakery (time in queue plus service time). What percentage of that time isspent queueing?arrow_forwardThe office has a single line for customers waiting for the next available clerk. There are two clerks who work at the same rate. On average customers arrive every 8 minutes and the average service rate is 5 per hour for each of the two clerks. The arrival rate of customers follows a Poisson distribution, while the service time follows an exponential distribution. b.) What proportion of time are both clerks idle? c.) Counting each person being served and the people in line, on average, how many customers would be in this system?arrow_forward6. The Security & Trust Bank employs 4 tellers to serve its customers. Customers arrive according to a Poisson process at a mean rate of 2 per minute. However, business is growing and management projects that the mean arrival rate will be 3 per minute a year from now. The transaction time between the teller and customer has an exponential distribution with a mean of 1 minute. Management has established the following guidelines for a satisfactory level of service to customers. The average number of customers waiting in line to begin service should not exceed 1. At least 90 percent of the time, the number of customers waiting in line should not exceed 3. a)Use the Excel sheet to determine how many tellers will be needed a year from now to completely satisfy these guidelines.arrow_forward
- Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,MarketingMarketingISBN:9780357033791Author:Pride, William MPublisher:South Western Educational Publishing