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In: Operations Management

Suppose that a parking lot replaces the human server who receives payment, with one automated machine...

Suppose that a parking lot replaces the human server who receives payment, with one automated machine that reads the credit-card and receives payments automatically. Assume that customer arrival rates and average service time remain the same. How will waiting time in the queue for payment be affected? Increase, Decrease, Remain the Same? Briefly explain your reasoning.

Solutions

Expert Solution

Solution:

We know that the waiting time in queue is calculated using the formula given below,

Hence,

We can see that the waiting time in the queue is dependent only on the arrival rate and service rate .

Since the arrival rate and service rate do not change after the introduction of an automated server, there will be no change in the waiting time of the customers in the queue as well.

Hence, the waiting time in the queue remains the same.

keosha answered 7 months ago
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