The project manager had hoped to be able to complete the construction of a building prior...
Fantastic news! We've Found the answer you've been seeking!
Question:
![image text in transcribed](https://s3.amazonaws.com/si.experts.images/answers/2024/05/6646320ed4723_3666646320ebacce.jpg)
![image text in transcribed](https://s3.amazonaws.com/si.experts.images/answers/2024/05/6646320f3b16a_3676646320f18751.jpg)
Transcribed Image Text:
The project manager had hoped to be able to complete the construction of a building prior to the start of the next season. After reviewing the activity duration estimates, it now appears that a certain amount of crashing will be needed to ensure the project completion before the start of the season. We assume that the maximal number of weeks for crashing is two weeks for each activity. Each activity in the first column of the following table precedes the corresponding activity/activities in the second column of the following table. Given the following information, determine the minimum-cost crashing schedule that will save five weeks off the project length. Activity Precedes Duration (weeks) Crashing Cost First Week Crashing Cost Second Week A B 11 $15,000 $25,000 B K 14 10,000 10,000 D.E.F 10 5,000 5,000 D G 17 20,000 24,000 E H 18 16,000 17,000 F I 12 12,000 16,000 G M 15 24,000 24,000 H N.P 8 I J 7 30,000 J P 12 25,000 25,000 K END 9 10,000 10,000 M END 3 - N END 11 40,000 P END 00 8 20,000 20,000 The Fast Shop Drive-In Market has one checkout counter where one employee operates the cash register. The combination of the cash register and the operator is the checkout channel in this waiting line system; the customers who line up at the counter to pay for their selections from the waiting line. Customers arrive at a rate of one every 2.5 minutes according to a Poisson distribution, and service times are exponentially distributed, with a mean rate of 30 customers per hour. a) The market manager wants to determine the following for this waiting line system: (4*5 = 20 points) I. Probability of no customers in the system II. Average number of customers in the total system III. Average time spent in the system per customer IV. Average time spent waiting in line V. Probability that there are more than 1 customer waiting in line b) Because of the nature of the store, customers purchase a few items and expect quick service. Given customers' expectations, the manager believes that the waiting time is unacceptable. The manager wants to test two alternatives for reducing customer waiting time: I) adding extra employees to pack up the purchases (and hence increasing the service rate). II) adding more checkout counters with all the counters to serve the same waiting line. With the help of the market's national office's marketing research group, the manager has determined that each customer's waiting cost in the system is $75 per week to the store. The regular salary of the cashier is $200/week. Alternative I: Adding extra employee Adding extra employees will cost the market manager $100 per week for each employee added (since these extra employees will not be cashiers but only packers, so the rate is less). However, each extra employee will increase the service rate by 10 customers per hour. Note that there will be a single cash counter. Alternative II: Adding more checkout counters with a single line serving all counters In this case the market can decide to build new checkout counters with each counter being served by a separate cashier (there will be no helpers). The customer at the top of the waiting line goes to whichever counter is free. While each cashier will cost $200/week, the amortized cost of building the new counters will be $1000/year for each new counter added. Taking both the capacity and waiting costs into account, which alternative is the best for the market (assume 52 weeks/year)? What will be the average waiting time in the system and in the queue for the customers if the market is operating at its optimal configuration? (40+5+5=50 points) The project manager had hoped to be able to complete the construction of a building prior to the start of the next season. After reviewing the activity duration estimates, it now appears that a certain amount of crashing will be needed to ensure the project completion before the start of the season. We assume that the maximal number of weeks for crashing is two weeks for each activity. Each activity in the first column of the following table precedes the corresponding activity/activities in the second column of the following table. Given the following information, determine the minimum-cost crashing schedule that will save five weeks off the project length. Activity Precedes Duration (weeks) Crashing Cost First Week Crashing Cost Second Week A B 11 $15,000 $25,000 B K 14 10,000 10,000 D.E.F 10 5,000 5,000 D G 17 20,000 24,000 E H 18 16,000 17,000 F I 12 12,000 16,000 G M 15 24,000 24,000 H N.P 8 I J 7 30,000 J P 12 25,000 25,000 K END 9 10,000 10,000 M END 3 - N END 11 40,000 P END 00 8 20,000 20,000 The Fast Shop Drive-In Market has one checkout counter where one employee operates the cash register. The combination of the cash register and the operator is the checkout channel in this waiting line system; the customers who line up at the counter to pay for their selections from the waiting line. Customers arrive at a rate of one every 2.5 minutes according to a Poisson distribution, and service times are exponentially distributed, with a mean rate of 30 customers per hour. a) The market manager wants to determine the following for this waiting line system: (4*5 = 20 points) I. Probability of no customers in the system II. Average number of customers in the total system III. Average time spent in the system per customer IV. Average time spent waiting in line V. Probability that there are more than 1 customer waiting in line b) Because of the nature of the store, customers purchase a few items and expect quick service. Given customers' expectations, the manager believes that the waiting time is unacceptable. The manager wants to test two alternatives for reducing customer waiting time: I) adding extra employees to pack up the purchases (and hence increasing the service rate). II) adding more checkout counters with all the counters to serve the same waiting line. With the help of the market's national office's marketing research group, the manager has determined that each customer's waiting cost in the system is $75 per week to the store. The regular salary of the cashier is $200/week. Alternative I: Adding extra employee Adding extra employees will cost the market manager $100 per week for each employee added (since these extra employees will not be cashiers but only packers, so the rate is less). However, each extra employee will increase the service rate by 10 customers per hour. Note that there will be a single cash counter. Alternative II: Adding more checkout counters with a single line serving all counters In this case the market can decide to build new checkout counters with each counter being served by a separate cashier (there will be no helpers). The customer at the top of the waiting line goes to whichever counter is free. While each cashier will cost $200/week, the amortized cost of building the new counters will be $1000/year for each new counter added. Taking both the capacity and waiting costs into account, which alternative is the best for the market (assume 52 weeks/year)? What will be the average waiting time in the system and in the queue for the customers if the market is operating at its optimal configuration? (40+5+5=50 points)
Expert Answer:
Posted Date:
Students also viewed these general management questions
-
Using the Internet, select a company and research their manufacturing strategy. Does the company use an engineer-to-order, assemble-to-order, or make-to-order strategy? Explain the pros and cons of...
-
The project manager of a task force planning the construction of a domed stadium had hoped to be able to complete construction prior to the start of the next college football season. After reviewing...
-
Suppose I am a nutritionist evaluating the effect of two feed additives on the feed efficiency of grow-finish pigs. The pigs being fed feed additive A have an average daily feed intake (ADFI) of 5.59...
-
In the year to 5 April 2021, Thomas More made the following disposals: (i) A flat in a house that he had purchased on 1 December 2010 for 80,000. It had never been occupied as the main residence and...
-
Refer to Samsungs recent balance sheet in Appendix A. What current liabilities related to income taxes are on its balance sheet? Explain the meaning of each income tax account identified.
-
Prove the formula given in Table 6 for the derivative of each of the following functions. (a) sech -1 (b) csch -1 6 Derivatives of Inverse Hyperbolic Functions d (sinh-x) dx 1 d (csch-lx) 3D dx 1 !!...
-
In Example 13-1, we assumed we were going to use all available solvent. There are other alternatives. Determine if the following alternatives are capable of producing outlet water of desired acetic...
-
Midwest Fabricators Inc. is considering an investment in equipment that will replace direct labor. The equipment has a cost of $ 132,000 with a $ 16,000 residual value and a 10- year life. The...
-
When thinking about extrapolating research results to the population at large, what are the many factors that must be taken into account?
-
Lab 10- Density Lab Microsoft edge browser: https://phet.colorado.edu/sims/density-and-buoyancy/buoyancy_en.html Click: Attempt to view the simulation anyways Popup Message:Click Allow Ones (If the...
-
Your company organized a team under your leadership to develop a carbon exchange platform for the Sultanate of Oman in align with National Net Zero strategy 2050. How can you contribute to develop a...
-
What would be the price of a stock that pays an annual fleed dividend of $14 for ten years, and then the dividend payment increases by 1% every year and the required rate of resim is 5% annually?
-
A firm has g(x,y) =40xy as its production function, with labor x costing $10 per hour and land y costing $3 per acre per month. If the firm has a total budget of $900 for labor and land, what amounts...
-
Kimberly has $1,000 per year to spend between $50 concert tickets and $200 per night getaways. Her utility maximizing combination is 8 concerts and 3 overnight getaways. She recently received a...
-
This video references the 2008 financial crisis and the Asian crisis in the early 2000's. Summarize the the list of issues missing from the textbook model that Goodhart says Central Bankers in the...
-
Question 11 The curve given by the polar equation Not yet answered T = a(1 cos 0) Marked out of 18 is called a The cardioid has equation P Flag question (2 + y? + az)? = a (z + y) %3D To sketch the...
-
Explain the Hawthorne effect.
-
The Lowe Company's income statement and comparative balance sheets as of December 31 of 2019 and 2018 are presented below: During the year, Lowe Company sold equipment for \(\$ 27,000\) cash that...
-
The Madison Company's income statement and comparative balance sheets as of December 31 of 2019 and 2018 follow: During 2019, \(\$ 27,000\) of cash dividends were declared and paid. A patent valued...
-
The Forrester Company's income statement and comparative balance sheets as of December 31 of 2019 and 2018 are shown below: Cash dividends of \(\$ 31,000\) were declared and paid during 2019. Plant...
![Mobile App Logo](https://dsd5zvtm8ll6.cloudfront.net/includes/images/mobile/finalLogo.png)
Study smarter with the SolutionInn App