Trosper Tire Company decided to hire a new mechanic to handle all tire changes for customers ordering
Question:
Trosper Tire Company decided to hire a new mechanic to handle all tire changes for customers ordering a new set of tires. Two mechanics applied for the job. One mechanic has limited experience, can be hired for $14 per hour, and can service an average of three customers per hour. The other mechanic has several years of experience, can service an average of four customers per hour, but must be paid $20 per hour. Assume that customers arrive at the Trosper garage at the rate of two customers per hour.
a. What are the waiting line operating characteristics using each mechanic, assuming Poisson arrivals and exponential service times?
b. If the company assigns a customer waiting cost of $30 per hour, which mechanic provides the lower operating cost?
Step by Step Answer:
Quantitative Methods For Business
ISBN: 148
11th Edition
Authors: David Anderson, Dennis Sweeney, Thomas Williams, Jeffrey Cam