Week-16-Management-of-Waiting-Lines-1.pptx

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1. Management of Waiting Lines WEEK 16

2. Learning Objectives What imbalance does the existence of a waiting line reveal? What causes waiting lines to form? Why is it impossible to eliminate them completely? What metrics are used to help managers analyze waiting lines? What are some psychological approaches to managing waiting lines?

3. Walt Disney The mission of Walt Disney is to “make people happy,” and the folks at Disney World are masters at doing that. They realize that waiting in lines at attractions does not add to the enjoyment of their customers. They also realize that customers waiting in lines are not generating the revenue that they would if they visited restaurants and souvenir shops. Hence, they have several reasons for wanting to reduce waiting lines.

4. What imbalance does the existence of a waiting line reveal?

5. In lean systems, waiting is one of the seven wastes.

6. Queuing Theory Mathematical approach to the analysis of waiting lines. Queuing theory is directly applicable to a wide range of service operations, including call centers, banks, post offices, restaurants, theme parks, hotels, telecommunication systems Queuing analysis is important because customers regard waiting negatively. Customers may tend to associate this with poor service quality, especially if the wait is long.

7. Waiting lines are commonly found wherever customers arrive randomly for services. Hotel check-ins Fast-food restaurants

8. Airport check-in counters Supermarket check-outs

9. Toll booths Cinema ticket sales

10. Jobs waiting to be processed Equipment waiting for repairs

11. Ships waiting to dock Planes waiting to land

12. What causes waiting lines to form? Why is it impossible to eliminate them completely?

13. And because services cannot be performed ahead of time and stored until needed, the system at times becomes temporarily overloaded, giving rise to waiting lines. However, at other times, the system is idle because there are no customers. It follows that in systems where variability is minimal or nonexistent, waiting lines do not ordinarily form.

14. Managerial Implications of Waiting Lines

15. Constraint Management

16. The Psychology of Waiting

17. Several factors can influence the difference between the actual time customer spend waiting and their perceived time.

18. According to David H. Maister

19. Managing waiting lines at Disney World