Explanation The calculation of waiting time and cost to company is as follows: Without fax operator: λ = 20 employees per hour (arrival time) μ = 60 2 = 30 employees per hour (fax usage) Cost of time spent waiting at fax machine: 17 cents per minute L = 20 30 − 20 = 2 employees on average are at the fax machine. W = 1 30 − 20 = 0.1 hours or 6 minutes is the average time an employee spends in the system W q = 20 30 ( 30 − 20 ) = 0.067 hours or 4 minutes is the average time for an employee. With fax operator: λ = 20 employees per hour (arrival time) μ = 60 1.5 = 40 employees per hour (fax usage) Cost of time spent waiting at fax machine: 17 cents per minute Operator salary: $8 per hour

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ISBN: 9781119448037

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Inventory Management

The supply chain is crucial to a firm's operations as it manages the inflow and outflow of products that are manufactured from the initial stage to the end product. It also considers the raw materials needed at different stages of production and when the…

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Chapter 5, Problem 13P

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To explain: A large number of employees use the fax machine in the office. Determine whether the addition of a fax operator will reduce the waiting time and cost to company.

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Chapter 5, Problem 12P

Chapter 5, Problem 14P

Chapter 5 Solutions

OPERATIONS AND SUPPLY CHAIN MANAGEMENT

Ch. 5 - Uber and the Sharing Economy First there was...Ch. 5 - Uber and the Sharing Economy First there was...Ch. 5 - Uber and the Sharing Economy First there was...Ch. 5 - Prob. 2.1ASC Ch. 5 - Prob. 2.2ASC Ch. 5 - Prob. 2.3ASC Ch. 5 - Prob. 3.1ASC Ch. 5 - Prob. 3.2ASC Ch. 5 - Prob. 1Q Ch. 5 - Prob. 2Q

Ch. 5 - Prob. 3Q Ch. 5 - Prob. 4Q Ch. 5 - Prob. 5Q Ch. 5 - Prob. 6Q Ch. 5 - Prob. 7Q Ch. 5 - Prob. 8Q Ch. 5 - Prob. 9Q Ch. 5 - Prob. 11Q Ch. 5 - Prob. 12Q Ch. 5 - Prob. 13Q Ch. 5 - Prob. 14Q Ch. 5 - Prob. 15Q Ch. 5 - Prob. 16Q Ch. 5 - Prob. 17Q Ch. 5 - Prob. 19Q Ch. 5 - Prob. 20Q Ch. 5 - Under what conditions will the single-channel,...Ch. 5 - Prob. 22Q Ch. 5 - Prob. 1P Ch. 5 - Prob. 2P Ch. 5 - Prob. 3P Ch. 5 - Prob. 4P Ch. 5 - Prob. 5P Ch. 5 - Prob. 6P Ch. 5 - Prob. 7P Ch. 5 - Prob. 8P Ch. 5 - Prob. 9P Ch. 5 - Prob. 10P Ch. 5 - Prob. 11P Ch. 5 - Annie Campbell is a nurse on the evening shift...Ch. 5 - Prob. 13P Ch. 5 - Prob. 14P Ch. 5 - Prob. 15P Ch. 5 - Prob. 16P Ch. 5 - Prob. 17P Ch. 5 - Prob. 18P Ch. 5 - Prob. 19P Ch. 5 - Prob. 20P Ch. 5 - Prob. 21P Ch. 5 - Prob. 22P Ch. 5 - Drivers who come to get their licenses at the...Ch. 5 - Prob. 24P Ch. 5 - Prob. 25P Ch. 5 - Prob. 26P Ch. 5 - The Waterfall Buffet in the lower level of the...Ch. 5 - Prob. 28P Ch. 5 - Prob. 29P Ch. 5 - Prob. 30P Ch. 5 - Prob. 31P Ch. 5 - The Baytown Post Office has four stations for...Ch. 5 - Prob. 33P Ch. 5 - Prob. 34P Ch. 5 - Prob. 35P Ch. 5 - Prob. 36P Ch. 5 - Prob. 37P Ch. 5 - Prob. 38P Ch. 5 - Prob. 39P Ch. 5 - Prob. 40P Ch. 5 - Prob. 41P Ch. 5 - Prob. 42P Ch. 5 - Prob. 43P Ch. 5 - Prob. 44P Ch. 5 - Prob. 45P Ch. 5 - Prob. 46P Ch. 5 - Prob. 47P Ch. 5 - After reviewing your report above, Tech has...Ch. 5 - Prob. 49P Ch. 5 - Prob. 50P Ch. 5 - Prob. 1.1CP Ch. 5 - Prob. 1.2CP Ch. 5 - Prob. 2.1CP Ch. 5 - Prob. 2.2CP Ch. 5 - Prob. 3.1CP Ch. 5 - Prob. 4.1CP

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During nearly four decades of business operations, Memphis-based FedEx has earned a reputation for reliable, on-time delivery of packages to homes and offices around the country. Founder Fred Smith originally focused on overnight deliveries, choosing Memphis as the company’s headquarters because the airport rarely closes due to bad weather. With FedEx’s planes departing and arriving on schedule nearly all the time, its express shipments usually remained on schedule, then and now. To reassure customers that delivery will take place when and where promised, the firm offers a money-back guarantee on time-sensitive express shipments, among other services. FedEx has steadily expanded its portfolio of services since the 1970s. Its original overnight express delivery is currently available to U.S. customers in various forms, including “first-overnight” delivery, next-morning delivery, next-afternoon delivery, and budget-pleasing two- or three-day delivery. The company’s services also include cost-effective ground delivery for parcels and extra-speedy same-day delivery for urgent deliveries within 1,800 cities. Over the years, FedEx has widened its delivery network to more than 220 countries. It has purchased more cargo jets and acquired specialized shipping firms, including Tiger International, Roberts Express, RPS, and TNT Express, to support global growth. For international business customers needing products, parts, or raw materials shipped across countries or continents, the company now offers time-saving services such as commercial freight forwarding and cross-border logistical support. To add the convenience of local drop-off and pickup points for U.S. consumers and small businesses, FedEx acquired the Kinko’s office services company in 2004 and later rebranded it as FedEx Office. This acquisition also added printing and copying to the menu of services offered. Then the company arranged for large U.S. retailers such as Walgreens, Albertsons, Kroger, and Safeway to accept packages for shipment and receive package delivery for customer pickup in thousands of store locations. This means people who want to send a package can head to a nearby retailer and ship where they shop, rather than making a separate trip to the FedEx location. It’s also a safe alternative for packages to be picked up by people who don’t want FedEx shipments left by the front door. Another service FedEx offers to small and mid-sized businesses, including retailers, is FedEx Fulfillment. The purpose is to expedite order fulfillment by having each business store its products in a FedEx warehouse. Then, when the business’s customers place orders, FedEx puts the products into boxes bearing the business’s own logo and ships directly to those customers. The business doesn’t need a separate warehouse or staff for fulfillment, and packages are on their way to customers more quickly because the products were in FedEx’s warehouse, ready to be packed and shipped. This service puts FedEx into direct competition with Amazon.com, which offers a similar service to merchants that sell through the online Amazon Marketplace. But it also gives businesses that don’t sell via Amazon a fast and professional fulfillment alternative. FedEx is careful to let customers know, through media and social-media announcements, when it anticipates that extreme weather or other conditions will cause delays or force it to halt pickups and deliveries. For the duration of Hurricane Irma, for example, FedEx said it would suspend deliveries in Florida. Some Florida customers who had ordered generators to be delivered via FedEx were unhappy, because they worried about being without power during and after the storm. But one FedEx employee loaded several generator orders into his car and took them to customers himself. When a customer posted a grateful compliment to FedEx on Facebook, the message generated thousands of likes, shares, and positive comments. The company also received positive comments for its donations of cash and transportation services to areas devastated by Hurricanes Irma, Harvey, and Maria. According to the American Customer Satisfaction Index (ACSI), FedEx often tops the list of U.S. shipping companies as ranked by customers surveyed. Every day, the company delivers 13 million packages—and during the busy year-end holiday season, it delivers many more. By meeting customers’ expectations for on-time deliveries, FedEx has increased annual revenues beyond $60 billion and positioned itself for continued growth in the future. How does FedEx’s money-back guarantee address customers’ concerns about heterogeneity?

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