SERVICE MARKETING SERVICE MARKETING PRESENTATIONPRESENTATION

Waiting-Line ModelsWaiting-Line Models

CONTENTSCONTENTS

CHARACTERISTICS OF A WAITING-LINE SYSTEM

A BRIEF HISTORY Waiting Line Terminology Waiting line systems. WAITING LINE STRATEGIES

CHARACTERISTICS OF A WAITING-LINE SYSTEM Arrival Characteristics Waiting-Line Characteristics Service Facility

Characteristics Measuring the Queue’s Performance Queuing Costs

‘The other line always moves faster.’

‘If you change lines, the one you left will start to move faster than the one you’re in.’

© 1995 Corel Corp.

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You’ve Been There Before!You’ve Been There Before!

Bank Customers Teller Deposit etc.

Doctor’s Patient Doctor Treatmentoffice

Traffic Cars Light Controlledintersection passage

Assembly line Parts Workers Assembly

Tool crib Workers Clerks Check out/in tools

Situation Arrivals Servers Service Process

Waiting Line ExamplesWaiting Line Examples

First studied by A. K. Erlang in 1913 Analyzed telephone facilities

Body of knowledge called queuing theory Queue is another name for waiting line

Decision problem Balance cost of providing good service with cost of

customers waiting

Waiting LinesWaiting Lines

Deciding on the Deciding on the Optimum Level of ServiceOptimum Level of Service

Total expected cost

Negative Cost of waiting time to company

Cost

Low level of service

Optimal service level

High level of service

Minimum total cost

Cost of providing service

Queue: Waiting line Arrival: 1 person, machine, part, etc. that arrives

and demands service Queue discipline: Rules for determining the

order that arrivals receive service Channel: Number of waiting lines Phase: Number of steps in service

Waiting Line TerminologyWaiting Line Terminology

Three Parts of a Queuing System Three Parts of a Queuing System at MR “X” Car-Washat MR “X” Car-Wash

Input Source(Population)

Size ArrivalPattern

FiniteInfinite Random Non-Random

Poisson Other

Input CharacteristicsInput Characteristics

Input Source(Population)

Size BehaviorArrivalPattern

FiniteInfinite Random Non-Random Patient Impatient

Balk RenegePoisson Other

Input CharacteristicsInput Characteristics

Waiting Line

Length QueueDiscipline

LimitedUnlimited FIFO(FCFS) Random Priority

Waiting Line CharacteristicsWaiting Line Characteristics

ServiceFacility

Configuration

Multi-Channel

SingleChannel

SinglePhase

Service CharacteristicsService Characteristics

ArrivalsServed units

Service facility

Queue

Service system

Dock

Waiting ship lineShips at sea

Ship unloading system Empty ships

Single-Channel, Single-Phase Single-Channel, Single-Phase SystemSystem

Cars& food

Single-Channel, Multi-Phase Single-Channel, Multi-Phase SystemSystem

ArrivalsServed units

Service facility

Queue

Service system

Pick-up

Waiting carsCars in area

McDonald’s drive-through

Pay

Service facility

Arrivals

Served units

Service facilityQueue

Service system

Service facility

Example: Bank customers wait in single line for one of several tellers.

Multi-Channel, Single Phase Multi-Channel, Single Phase SystemSystem

Service facility

Arrivals

Served units

Service facilityQueue

Service system

Service facility

Example: At a laundromat, customers use one of several washers, then one of several dryers.

Service facility

Multi-Channel, Multi-Phase Multi-Channel, Multi-Phase SystemSystem

Assumptions of the Basic Simple Assumptions of the Basic Simple Queuing ModelQueuing Model

Arrivals are served on a first come, first served basis

Arrivals are independent of preceding arrivals Arrival rates are described by the Poisson

probability distribution, and customers come from a very large population

Service times vary from one customer to another, and are independent of one and other; the average service time is known

Service times are described by the negative exponential probability distribution

The service rate is greater than the arrival rate

Simple (M/M/1) Example: Information booth at mall

Multi-channel (M/M/S) Example: Airline ticket counter

Constant Service (M/D/1) Example: Automated car wash

Limited Population Example: Department with only 7 drills

Types of Queuing ModelsTypes of Queuing Models

WAITING LINE STRATEGIESWAITING LINE STRATEGIES

When demand and capacity cannot be matched:

EMPLOY OPERATIONAL LOGIC

A] Multiple Queue

B]Single Queue

C]Take a number

Contd…..Contd…..

Establish a Reservation Process. Differentiate Waiting Customers.i. Importance of the customer.ii. Urgency of the job.iii.Duration of the service transaction.iv. Payment of a premium price.

MAKE WAITING FUN,OR AT MAKE WAITING FUN,OR AT LEAST TOLERABLELEAST TOLERABLE

Unoccupied time feels longer than occupied time. Preprocess waits feel longer than in process

waits. Anxiety makes waits seem longer. Uncertain waits are longer than known, finite

waits. Unexplained waits are longer than explained

waits.

Contd…..Contd…..

Unfair waits are longer than equitable waits. The more valuable the services, the longer the

customer will wait. Solo waits feel longer than group waits.

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