Question: 1 1 . S 1 . Managing Waiting Lines at First Bank of Seattle Sally Gordon completed her MBA degree a few years ago and

11.S1. Managing Waiting Lines at First Bank
of Seattle
Sally Gordon completed her MBA degree a few years ago and
is proud to have earned a promotion to vice president for cus-
tomer services already at the First Bank of Seattle. One of her
responsibilities is to manage how tellers provide services to cus-
tomers. so she is taking a hard look at this area of the bank's
operations. Customers needing teller service arrive randomly at
a mean rate of 30 per hour. Customers wait in a single line and
are served by the next available teller when they reach the front
of the line. Each service takes a variable amount of time (assume
three minutes. The tellers earn an average wage of $18 per hour.
a. If two tellers are used, what will be the average waiting time
for a customer before reaching a teller? On average, how
many customers will be in the bank, including those currently
being served?
b. Company policy is to have no more than a 10 percent chanot
that a customer will need to wait more than five minules bx :
fore reaching a teller. How many tellers need to be used in
order to meet this standard?
c. Sally feels that a significant cost is incurred by making A
customer wait because of potential lost future busines:
 11.S1. Managing Waiting Lines at First Bank of Seattle Sally Gordon

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!