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

Retrospective survey, Retrospective Survey: In a retrospective survey,...

Retrospective Survey: In a retrospective survey, the researchers may  also like to investigate possible cause and effect relationships by  observing some existing consequences

Comparison of cobit 4.1 and cobit 5, Comparison of CobiT 4.1 and CobiT 5 ...

Comparison of CobiT 4.1 and CobiT 5 This review of CobiT 4.1and CobiT 5 does not include all possible elements of these two complex frameworks. Still, this review is exhaustive

Explain these decision areas in detail, Question 1 Explain the four basic ...

Question 1 Explain the four basic varieties of layouts for manufacturing facilities Question 2 The major decision areas in supply chain management have both strategic and ope

Discuss the characteristics of each of types of change, Question 1: "Jo...

Question 1: "John Kotter (1996), developed an eight-step model of organisational change, designed to help transform organizations and then anchor the new behaviours, systems, a

Preliminary investigation , 1. Carry out the preliminary investigation of t...

1. Carry out the preliminary investigation of the organisation and yourself in relation to it, as follows: a) Give an initial appraisal of the organisation’s aims and preparedness

Sensitivity anayysis n transprtation cost in excel, The sunshine Tomato Sou...

The sunshine Tomato Soup shippers produce tomato soup at three West Coast Canneries in Bakersfield, Phoenix and Eugene. The soup is shipped to four regional warehouses. Due to high

MIS, assignment 3000 word how much cost MIS

assignment 3000 word how much cost MIS

Research approach, RESEARCH APPROACH: Research approach (design) is th...

RESEARCH APPROACH: Research approach (design) is the researchers overall plan for answering the research questions. The  design  indicates whether or not there is  an  interve

Search in secondary sources - literature search, Search in Secondary Source...

Search in Secondary Sources  When secondary periodicals are available on the subject as well as on the broader subject, the search must first begin with the secondary periodic

Need for several entries - catalogue entry, Need for Several Entries   ...

Need for Several Entries   A library catalogue can just meet any one type of user's approach like author approach, title approach, etc. We can also prepare catalogues, which ca

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