QUEUING THEORY

Solve the ff: using given data from food store. (please show steps in solving in microsoft excel if possible)

a) Compute the 4 measures of performance, as asked below:

i. How busy is the store?

ii. What is the average time the store employee must wait getting the order of customer?

iii. What is the average time for the store employee to to complete the order?

iv. What is the average time for customers to receive their orders after placing them?

b) Determine the ff. given that there are currently 2 store employees.

i. What should be the opening hours?

ii. How long should it take to cook order?

c) Suppose there will be one additional store employee

i. What is the system's load factor under this system?

ii. What is the average time a store employee must wait until taking a customer's order?

iii. What is the average number of orders to be completed at any given time under this system?

iv. Did the system improve with this additional store employee? Explain why.

Store Data

Operating hours: 10am-10pm

2 Employees with 18,000 PHP Salary (10am-10pm)

Number of customers per day:

-Online 50 customers

-In store 50 customers

Estimated cooking time:

1-2 hours chicken (vary on size)

2-3 hours liempo (cary of size)

How long until items arrive after placing order:

-100 chickens every 2 days (50 reorder)

-2,000 liempos per month

Quantity sold per day (per item):

-50+ minimum per day (chicken)

-50+ minimum per day (liempo)

Purchasing price (per item)

-Chicken 260 PHP

-Liempo 170 PHP

Selling price (per item)

-Chicken 260 PHP

-Liempo 200 PHP

Additional data (feel free to use for solving):

Fixed cost - rent, wage, etc. and Variable costs - utilities, etc.

-Rent - 15,000 PHP monthly

-Salary - 18,000 PHP monthly (2) 10am-10pm (stay-in)

-Electricity -2,000+ PHP

-Water - 300 PHP

-Uling - 1,400 PHP per month

-Sauce Ingredients - 3,000 PHP per month

Issues encountered: 1. Fear that customers will not enjoy the taste and tenderness of the chicken / liempo. 2. Trusted staff who will be honest in handling the sales and the deliveries of the said chicken, liempo. 3. Staff who are going to monitor the sales daily, miscellaneous expenses for BIR purposes. 1 instance that 2,000 pesos was considered lost during the early days.. 4. Shortage cash for exact change. 5. Limited area for cooking Roasting time: 1-2 hours chicken (vary on size) 2-3 hours liempo (vary on size) Waiting time: 5-10 minutes