Reference no: EM132165024
Candle-Line is an online retailer that does frequent A/B testing. The process of running a test is as follows: The first step is designing the test; this involves the web design team. The test then waits for its turn to be run. Next, the test is run and data is collected. Once the test is completed, the data must wait for an available statistician. When a statistician is available, she performs the analysis and generates a report. Tests originate in two ways. They may arise from outside the web design team (an “external” test) or from the web design team (an “internal” test). Internal tests do not require the Design phase and go immediately to Wait to Run. 10% of tests are internal. Design for an external test takes on average 4 days. On average, a test (whether internal or external) spends 2 days in Wait to Run. The length of the experiment varies: 20% of tests run for 14 days while the remaining run for 7 days. On average, there are 84 tests running. At the end of the experiment, 20% of tests are deemed redundant and thus are abandoned without any processing. The remaining tests wait for a statistician; there are on average 16 tests waiting for a statistician. Doing the analysis and generating the report takes 2 days on average.
a) On average, how many reports per day are the statisticians generating?
On average the statisticians generate ___________ reports per day.
b) What is the average flow time for a test (regardless of whether it is internal or external and whether its data is abandoned or analyzed)?
The average flow time is ___________ days.
c) Designing an external test costs $100. Candle-Line spends $50 dollar/day for each test that is running. Generating a report cost $500. What is their weekly spending on A/B testing (assume 7 days per week)?
Their weekly spending on A/B testing is $__________________ per week.