Managing variability, Other Management

Assignment Help:

McM Cog is a supplier of industrial parts.  Most orders are received at a call center. The call center currently has 10 phone lines total, i.e., a maximum of 10 callers may be in the call center system at any time.  On average, calls arrive at a rate of three per minute. Each customer service representative (CSR) averages 2.5 minutes per customer call.  Mc Cog estimates there is a cost of two dollars per customer for each minute spent waiting by a caller.  Assume that callers getting a busy signal take their business elsewhere resulting in a loss to McM of $155 per lost call.  CSRs are paid $15 per hour, and it costs McM Cog $4 per hour per line.

a. What is the total hourly cost of the call center and associated activities at McM Cog with the minimum number of CSRs?

b. What is the total hourly cost to McM Cog if they decide to hire another CSR?  What is the total hourly cost to McM Cog if they decide to add another line?  Note:  Perform each of these two system adjustments separately based off the answer to part a.  Of the three options investigated so far, which is best?

c. Given the freedom (and cost) of adding or removing additional telephone lines and CSRs what the best recommendation for McM Cog management in terms of total hourly cost?  Justify your answer


Related Discussions:- Managing variability

Finding resources - library management system, Finding resources: As s...

Finding resources: As said earlier, supply is another basic factor. Supply means availability of documents for acquisition. Information regarding supply can be collected in th

Define a safety and health at work policy, QUESTION 1 (a) State 5 crite...

QUESTION 1 (a) State 5 criteria which should be taken into consideration when planning a safe place of work. (b) Briefly describe them. QUESTION 2 (a) Define a safe

Internet shopping system, Internet Shopping system: Project Name : In...

Internet Shopping system: Project Name : Internet Shopping system Role : Leading the Team, Involved in Requirement Gathering, Estimation, System, System Design, Datab

Explain the main spheres of sponsorship in pr, Problem 1 (a) Illustrate...

Problem 1 (a) Illustrate on the 3 main stages of the development of PR in the U.S? (b) Describe the main transformations that PR has undergone since its inception? Pro

Reference service - information behaviour, Reference Service:  Notwith...

Reference Service:  Notwithstanding library catalogues and various other aids available for exploiting the library resources, users would frequently need some personal assista

Conflicting factors - problems in acquisition, Conflicting Factors: De...

Conflicting Factors: Demand, supply and finance are the three major factors governing collection development. Both demand and supply will be increasing while finance will be a

Car management system, Car Management System: You have been approached...

Car Management System: You have been approached by a Used Car Dealership who wishes to introduce an IT system to support their business. You are required to implement a protot

Penalty, P enalty Penalties should aim at fixing a problem when it ari...

P enalty Penalties should aim at fixing a problem when it arises and ensuring that it does not recur. Guidelines to note while stipulating penalties are: Penalties shou

Job enlargement, QUESTION The significance of work design is underscore...

QUESTION The significance of work design is underscored by an organisation's dependence on human efforts to accomplish its goals 1 Contrast the meaning of the terms job enla

Analyze the national and regional planning process, QUESTION Previously...

QUESTION Previously, there was much emphasis on preparation of the end state ‘master plan', which was assumed to be sufficient for guiding and controlling future development pa

Write Your Message!

Captcha
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