Management of High Tech Services (HTS) would like to develop a model that will help allocate its technicians' time between service calls to regular contract customers and new customers. A maximum of 90 hours of technician time is available over the two-week planning period. To satisfy cash flow requirements, at least $900 in revenue (per technician) must be generated during the two-week period. Technician time for regular customers generates $30 per hour. However, technician time for new customers only generates an average of $9 per hour because in many cases a new customer contact does not provide billable services. To ensure that new customer contacts are being maintained, the technician time spent on new customer contacts must be at least 80% of the time spent on regular customer contacts. Given these revenue and policy requirements, HTS would like to determine how to allocate technician time between regular customers and new customers so that the total number of customers contacted during the two-week period will be maximized. Technicians require an average of 40 minutes for each regular customer contact and 1 hour for each new customer contact. Find the optimal solution. The optimal solution is R =  , N =  , value =  . According to my electronic homework R= 50, N=40, but I was unable to get the Valu

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter4: Linear Programming Models
Section: Chapter Questions
Problem 107P
icon
Related questions
Question

Management of High Tech Services (HTS) would like to develop a model that will help allocate its technicians' time between service calls to regular contract customers and new customers. A maximum of 90 hours of technician time is available over the two-week planning period. To satisfy cash flow requirements, at least $900 in revenue (per technician) must be generated during the two-week period. Technician time for regular customers generates $30 per hour. However, technician time for new customers only generates an average of $9 per hour because in many cases a new customer contact does not provide billable services. To ensure that new customer contacts are being maintained, the technician time spent on new customer contacts must be at least 80% of the time spent on regular customer contacts. Given these revenue and policy requirements, HTS would like to determine how to allocate technician time between regular customers and new customers so that the total number of customers contacted during the two-week period will be maximized. Technicians require an average of 40 minutes for each regular customer contact and 1 hour for each new customer contact.

  1. Find the optimal solution.

    The optimal solution is R =  , N =  , value =  .

According to my electronic homework R= 50, N=40, but I was unable to get the Value

Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps with 4 images

Blurred answer
Knowledge Booster
Optimization models
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, operations-management and related others by exploring similar questions and additional content below.
Recommended textbooks for you
Practical Management Science
Practical Management Science
Operations Management
ISBN:
9781337406659
Author:
WINSTON, Wayne L.
Publisher:
Cengage,