Exhibit 12.5
The following questions use the information below.
The owner of Sal's Italian Restaurant wants to study the growth of his business using simulation. He is interested in simulating the number of customers and the amount ordered by customers each month. He currently serves 1000 customers per month and feels this can vary uniformly between a decrease of as much as 5% and an increase of up to 9%. The bill for each customer is a normally distributed random variable with a mean of $20 and a standard deviation of $5. The average order has been increasing steadily over the years and the owner expects the mean order will increase by 2% per month. You have created the following spreadsheet to simulate the problem.
-One reason to use queuing models in business is
A) to trade-off the cost of providing service and the cost of customer dissatisfaction
B) to maximize the number of service providers
C) to minimize the cost of providing service
D) all of the above

Question

Exhibit 12.5
The following questions use the information below.
The owner of Sal's Italian Restaurant wants to study the growth of his business using simulation. He is interested in simulating the number of customers and the amount ordered by customers each month. He currently serves 1000 customers per month and feels this can vary uniformly between a decrease of as much as 5% and an increase of up to 9%. The bill for each customer is a normally distributed random variable with a mean of $20 and a standard deviation of $5. The average order has been increasing steadily over the years and the owner expects the mean order will increase by 2% per month. You have created the following spreadsheet to simulate the problem.  
-One reason to use queuing models in business is
A) to trade-off the cost of providing service and the cost of customer dissatisfaction 
B) to maximize the number of service providers 
C) to minimize the cost of providing service 
D) all of the above

Quizplus · Accepted Answer

Queuing models can help businesses make trade-offs between the cost of providing service (such as hiring more staff or increasing capacity) and the cost of customer dissatisfaction (such as long wait times or poor service quality). Maximizing the number of service providers or minimizing the cost of providing service may not always be the best choice, as these goals may not align with customer satisfaction or overall business objectives.

Exhibit 12.5 The Following Questions Use the Information Below