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

Rung process, RUNG PROCESS   In a library we classify and catalogue a b...

RUNG PROCESS   In a library we classify and catalogue a book after it is acquired and entered in the Accession Register. After cataloguing the book, the entries will be filed i

Business Improvement Strategies, Hi there i need help in case study assignm...

Hi there i need help in case study assignment. Thanks

Implementation of operations, Question 1 In the recent times, operations a...

Question 1 In the recent times, operations are considered from end to end of value chain which means the operations that start from sourcing of materials and other inputs to succe

Why an erp system is good tool for developing and executing, Question (...

Question (a) Explain why an ERP system is a good tool for developing and executing production plans? (b) There are three general approaches to production namely: (I) Make

Case let, If you were one of the other foremen, what could you do to make R...

If you were one of the other foremen, what could you do to make Rajinder’s transition easier?

Derive and explain the capital market line, QUESTION (a) Derive and exp...

QUESTION (a) Derive and explain the Capital Market Line. Make and state all necessary assumptions (b) Explain clearly how you would test for- (i) the size effect (ii)

Types of audit, There are different types of audits performed to check disc...

There are different types of audits performed to check discrepancies in various departments some of the types of audits are described. Economic audits or reviews.

Distinguish between functional value and emotional value, Question 1: (...

Question 1: (a) Define the term "value". (b) Distinguish between functional value and emotional value. Illustrate by using relevant examples. (c) How can functional an

Areas of risk and causes of risk, A reas of risk and causes of risk Be...

A reas of risk and causes of risk Below are mentioned few areas and causes of risk. The term „operator? used in this listing means the owner (you) who awards the contract to t

Write short notes on cost plus fee contracts, Question 1 Fixed price contr...

Question 1 Fixed price contracts have a preset price that the vendor must adhere to in performing the work and in providing materials. There are different kinds of fixed price con

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