Question

In: Operations Management

1) In a service system with impatient customers, is 1/a (1/interarrival time) the same as the...

1) In a service system with impatient customers, is 1/a (1/interarrival time) the same as the flow rate? please explain.

Solutions

Expert Solution

What is flow rate ?
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The number of flow units, for example-customers, money, produced goods or services going through the business process per unit time, for example- served customers per hour or produced parts per minute. The flow rate is an average rate. It is also called as throughput.

Flow rate formula - Inventory/Flow time
If a company produces 1000 chaires in 10 days.
1000/10 = 100 chairs ( Flow rate)

What is interval-arrival time ?
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If 12 customers enter a store per hour, the time between every arrival is-
1/12= 0.083 hours.
0.083 hours multiplied by 60 minutes = 5 minutes.
It means the arrival rate of 12 per hour, the time between each arrival is 5 minutes.

From the above 2 examples, it can be observed that both of them are similiar in formula but interval-arrival-time is calculated in time units (minutes) . Whereas, flow rate is calculated in of number of units produced in particular period of time.


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