How Company F has competitive advantage with its location. Introduction : Location is one of the important element for a business that controls the cost and expenses. Location strategies support in framing other strategies for a firm where optimal location point will provide competitive advantage to a firm. Compnay F has a “hub and spoke” business concept, where the hub is located at city M.

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Note: A waiting line model solver computer package is needed to answer these questions. The Kolkmeyer Manufacturing Company uses a group of six identical machines, each of which operates an average of 23 hours between breakdowns. With randomly occurring breakdowns, the Poisson probability distribution is used to describe the machine breakdown arrival process. One person from the maintenance department provides the single-server repair service for the six machines. Management is now considering adding two machines to its manufacturing operation. This addition will bring the number of machines to eight. The president of Kolkmeyer asked for a study of the need to add a second employee to the repair operation. The service rate for each individual assigned to the repair operation is 0.40 machines per hour. (a) Compute the operating characteristics if the company retains the single-employee repair operation. (Round your answers to four decimal places. Report time in hours.) La = L = Wa W = h…

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Chapter 8, Problem 1DQ

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To determine: How Company F has competitive advantage with its location.

Introduction: Location is one of the important element for a business that controls the cost and expenses. Location strategies support in framing other strategies for a firm where optimal location point will provide competitive advantage to a firm. Compnay F has a “hub and spoke” business concept, where the hub is located at city M.

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Note: A waiting line model solver computer package is needed to answer these questions. The Kolkmeyer Manufacturing Company uses a group of six identical machines, each of which operates an average of 23 hours between breakdowns. With randomly occurring breakdowns, the Poisson probability distribution is used to describe the machine breakdown arrival process. One person from the maintenance department provides the single-server repair service for the six machines. Management is now considering adding two machines to its manufacturing operation. This addition will bring the number of machines to eight. The president of Kolkmeyer asked for a study of the need to add a second employee to the repair operation. The service rate for each individual assigned to the repair operation is 0.40 machines per hour. (a) Compute the operating characteristics if the company retains the single-employee repair operation. (Round your answers to four decimal places. Report time in hours.) La = L = Wa W = h…

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