Operations Management
11th Edition
ISBN: 9780132921145
Author: Jay Heizer
Publisher: PEARSON
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Chapter F, Problem 2CS
Summary Introduction
Case summary:
The case deals about the call center of State A’s airlines, which has 800 reservation systems. The information related to the phone calls between midnight and 6:00 A.M. is as follows:
Time between calls (minutes) | Probability | Cumulative probability | Random number interval |
1 | 0.11 | 0.11 | 01-11 |
2 | 0.21 | 0.32 | 12-32 |
3 | 0.22 | 0.54 | 33-54 |
4 | 0.2 | 0.74 | 55-74 |
5 | 0.16 | 0.9 | 75-90 |
6 | 0.1 | 1 | 91-00 |
Time to process customer inquiries | Probability | Cumulative probability | Random number interval |
1 | 0.2 | 0.2 | 01-20 |
2 | 0.19 | 0.39 | 21-39 |
3 | 0.18 | 0.57 | 40-57 |
4 | 0.17 | 0.74 | 58-74 |
5 | 0.13 | 0.87 | 75-87 |
6 | 0.1 | 0.97 | 88-97 |
7 | 0.03 | 1 | 98-00 |
Customers of the airline does not want to be in hold for more than 3 to 4 minutes. As a part of new television advertising campaigns, the incoming call distribution from midnight to 6:00 A.M. is as follows:
Time between calls (minutes) | Probability | Cumulative probability | Random number interval |
1 | 0.22 | 0.22 | 01-22 |
2 | 0.25 | 0.47 | 23-47 |
3 | 0.19 | 0.66 | 48-66 |
4 | 0.15 | 0.81 | 67-81 |
5 | 0.12 | 0.93 | 82-93 |
6 | 0.07 | 1 | 94-00 |
To determine: The recommendation regarding operator utilization and customer satisfaction.
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Question: What should have been done by the government to address this problem?
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Part 1
Maria manages a bakery, that specializes in ciabatta bread, and has the following information on demand and costs:
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Price (P)
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0
$6.00
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1
5.50
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Part 2
a. To maximize profits, Maria should sell
enter your response here
loaves of ciabatta bread per hour
Question 2
"In air cargo revenue management, for every flight we operate, we first must forecast the capacity so we can understand how much space we can sell. Unlike on the passenger side where the number of seats is rather standard, the cargo capacity will vary based on the route, the aircraft, the number of passengers, the number of bags passengers are carrying and other metrics."
Karri Kauppi, Head of Cargo Revenue Management & Pricing, Finnair
Source: The Complexities of Air Cargo Revenue Management
https://www.kambr.com/articles/the-complexities-of-air-cargo-revenue-management
(a) According to Karri Kauppi, cargo revenue management (CRM) is complex. The first thing in CRM is to forecast the air cargo capacity which would depend on factors e.g. the route, the aircraft, the number of passengers, the number of bags and other metrics.
Appraise how Karri practises CRM in forecasting air cargo capacity and pricing available cargo space for sale in order to maximize profitability.…
Chapter F Solutions
Operations Management
Ch. F - Question: 1 State the seven steps, beginning with...Ch. F - Question: 2. List the advantages of simulation.Ch. F - Prob. 3DQCh. F - Question: 4. Explain the difference between...Ch. F - Question: 5. What is the role of random numbers in...Ch. F - Prob. 6DQCh. F - Question: 7. What is Monte Carlo simulation? What...Ch. F - Question: 8. List six ways that simulation can be...Ch. F - Question: 9. Why is simulation such a widely used...Ch. F - Prob. 10DQ
Ch. F - Prob. 11DQCh. F - Prob. 12DQCh. F - Prob. 13DQCh. F - Prob. 1PCh. F - Prob. 2PCh. F - Prob. 3PCh. F - Prob. 4PCh. F - Question F.5 Arnold Palmer Hospital is studying...Ch. F - Prob. 6PCh. F - Question: F.7 A warehouse manager at Mary Beth...Ch. F - Prob. 8PCh. F - Prob. 9PCh. F - Question: F.10 The number of cars arriving at...Ch. F - Prob. 11PCh. F - Prob. 12PCh. F - Prob. 13PCh. F - Question: F.14 Refer to the data in Solved...Ch. F - Question: F.15 Connecticut Tanning has two...Ch. F - Prob. 16PCh. F - Prob. 17PCh. F - Prob. 18PCh. F - Prob. 1CSCh. F - Prob. 2CS
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