Considering adding drive-through service

Assignment Help Operation Management
Reference no: EM13964294

A Supersonic Burger fast-food franchise is considering adding drive-through service. Data collected at other Supersonic drive drive-throughs in the area indicate that customer arrivals follow a Poisson probability distribution, with a mean arrival rate of 24 cars per hour, and that service times follow an exponential probability distribution. In the proposed drive-through system, arriving customers will place orders at an intercom station at the back of the parking lot and then drive to the service window to pay for and receive their orders. The following three service alternatives, which are in use at other Supersonic Burgers with drive-through service, are being considered: 1. A single-channel operation in which one employee fills the order and takes the money from the customer. The average service time for this alternative is 2 minutes. 2. A single-channel operation in which one employee fills the order while a second employee takes the money from the customer. The average service time for this alternative is 1.25 minutes. 3. A two-channel operation with two service windows and two employees. The employee at each service window fills the order and takes the money from the customer. The average service time for this alternative is 2 minutes. (a) For each alternative determine the probability that an arriving car will have to wait for service. (b) For each alternative determine the average number of cars waiting for service. (c) For each alternative determine the average time that a car spends in the drive-through system. (d) For each alternative determine the average time that a car spends waiting to place an order. (e) Because waiting time is costly in the fast-food business, Supersonic's management assigns a cost of $25 per hour to customer waiting time. From an expected-cost perspective, which of the three alternatives described above would you recommend if Supersonic drivethrough employees are paid $6.50 per hour and the operating cost per channel (equipment, space, etc) is $20 per hour? Explain your answer.

Reference no: EM13964294

Questions Cloud

The sellers of a house knew that it was termite-infested : The sellers of a house knew that it was termite-infested. Prior to sale, they whitewashed the basement and attached strips of wood to certain areas of the joists to cover up the more obvious damage. Other areas were obscured by shelves on which jars ..
Community involvement award for rocks build our world : The National Asphalt Pavement Association (NAPA) announced that Staker and Parson Companies won its Community Involvement Award for "Rocks Build Our World", an outreach program for elementary schools. The classroom visits start with some basic inform..
Osprey simulator and personally evaluate the aircraft : The U.S. Marine Corps issued a _____ when an official party consisting of high-ranking members of the Department of Defense visited a Marine Aircrew Training Systems Squadron to fly an Osprey simulator and personally evaluate the aircraft.
What is a potential drawback to this sponsorship : In December 2007, Coca-Cola made it clear last week that it's on the NASCAR circuit for the long haul, extending its sponsorship deal through 2017. Several of Coke's brands share the NASCAR spotlight, with PowerAde designated as the official sports b..
Considering adding drive-through service : A Supersonic Burger fast-food franchise is considering adding drive-through service. Data collected at other Supersonic drive drive-throughs in the area indicate that customer arrivals follow a Poisson probability distribution, with a mean arrival ra..
Subway over expanded in a very crowded fast food industry : Has Subway over expanded in a very crowded fast food industry? Is there still any viable locations in the US for Subway? How about internationally? Will the founder’s sister, Suzanne Greco, be able to lead the company back to success?
Aspect of the law would be both easy and challenging : Select one of the laws from the Week 5 reading (HIPAA, EMTALA, Anti-Kickback or Stark) and identify one aspect of the law that you believe would be relatively simple for a provider to comply with and one aspect of the law that might be challenging fo..
What is definition of heuristic decision method : What is the definition of a heuristic decision method? What might be a heuristic method for hiring someone? Explain and justify your logic
?nd the probabilities of project completion : Simulate Problem 28 to ?nd the probabilities of project completion. Use a Beta PERT distribution for de?ning activity time distributions. After a 1,000-trial simulation, examine the statistical information generated and compare the output of the simu..

Reviews

Write a Review

Operation Management Questions & Answers

  Responses should be well-rounded and analytical

Your responses should be well-rounded and analytical and should not just provide a conclusion or an opinion without explaining the reason for the choice.

  Statements about price elasticity is correct

Which of the following statements about price elasticity is correct?

  List the specific weaknesses of each of these approaches

List the specific weaknesses of each of these approaches to developing a forecast

  What do kleinfelds efforts at siemens

What do Kleinfelds efforts at Siemens tell you about the difficulties of restructuring organizations?

  Public health business plan for a health organization

In this course, you are completing a public health business plan for a health organization. Imagine you are a leader in this health organization. How would you use an outcomes orientation within this health organization in relation to your public hea..

  Evaluate impact of one federal and one state-level policy

The development of MCOs has been influenced by the type of market they serve. For example, BCBS companies moved from primarily a service plan provider to a multiproduct line that includes HMO, PPO, and consumer choice plans. Examine how public policy..

  Management activities affect the customer experience

Analyze how operation management activities affect the customer experience. Select two (2) operation management challenges and provide the solutions for confronting them.

  Analyze the business-level strategy

Analyze the business-level strategy of each company by conducting a SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis. Next, determine the fundamental way in which each sector influences its competitive position within the industry..

  Many managers have great technical skills

Many managers have great technical skills; their technical capabilities may be the reason why they were promoted into the ranks of management

  Explain the role of contingency planning in health care

Explain the role of contingency planning in health care. Should every health care organization formulate contingency plans. Why, or why not

  The average time in a combination labor-delivery

The average delivery requires about one hour in a delivery room. The average time in a combination labor-delivery room is about 24 hours.

  Reputation regarding ethical and social responsibility

Use the Internet to research the Apple Corporation, its current position and reputation regarding ethical and social responsibility, and the strategies that it currently employs to market its products.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd