1. Queuing Theory Worthmore Department Store
Homework Assignment
Queuing Theory
Worthmore Department Store
MGMT E-5065
Operations
and
Logistics Management
Due Tuesday , September 16th
Applied Management Science for Decision Making, 2e © 2014 Pearson Learning Solutions Philip A. Vaccaro , PhD

2. Worthmore Department Store
The general manager has estimated that every hour
of customer time spent waiting in line for the sales
clerk to become available costs the store $ in
lost sales and goodwill.
Customers arrive at the checkout counter at the rate
of 30 per hour, and the average service time is 3 min.
The Poisson distribution describes the arrivals and
the service times are exponentially distributed

3. Worthmore Department Store
The number of sales clerks can be 2, 3, or
4, with each one working at the same rate.
The general manager estimates the salary
and benefits for each clerk to be $10.00 per
hour.
The store is open ten (10) hours per day.

4. Worthmore Department Store
REQUIREMENT:
Find the average time in the line if 2, 3, and 4 clerks are used?
What is the total time spent waiting in line each day if 2, 3,
and 4 clerks are used?
Calculate the total of the daily waiting cost and the service
cost if 2, 3, and 4 clerks are used.
d. What is the minimum total daily cost for the above ?