Which of the following statements is false regarding the efficient and economical achievement of the organization's objectives?
Answer(s): A
Efficient performance accomplishes objectives and goals in an accurate, timely, and economical fashion. Economical performance accomplishes objectives and goals with minimal use of resources (i.e., cost) commensurate with risk exposure. Thus, to achieve economical performance when accomplishing objectives, the minimal cost should correspond to the degree of risk exposure.
Queuing models are concerned with balancing the cost of waiting in the queue with the:
Queuing (waiting-line) models minimize, for a given rate of arrivals, the sum of (1) the cost of providing service (including facility costs and operating costs) and (2) the cost of idle resources waiting in line. The latter may be a direct cost, if paid employees are waiting, or an opportunity cost in the case of waiting customers. This minimization occurs at the point where the cost of waiting is balanced by the cost of providing service.
The operating condition that cannot be identified by using a queuing model is the:
Answer(s): C
Queuing models determine the operating characteristics of a waiting line: the probability that no units are in the system, the average units in the line, the average units in the system, the average time a unit waits, the average time a unit is in the system, the probability that a unit must wait, and the probability of a given number of units in the system. However, the actual time spent in the queue cannot be determined from the model.
A bank has changed from a system in which lines are formed in front of each teller to a one-line, multiple-server system.When a teller is free, the person at the head of the line goes to that teller.Implementing the new system will:
Answer(s): B
When all customers must wait in a single queue, a decrease in waiting time is possible given multiple servers. An added effect is to increase customer satisfaction.
The drive-through service at a fast-food restaurant consists of driving up to place an order, advancing to a window to pay for the order, and then advancing to another window to receive the items ordered. This type of waiting-line system is:
The drive-through represents a single queue (channel}. Because this waiting line has three services in series, it may be said to be multiple phase. Another example is the typical factory assembly line. This terminology (channel, phase), however, is not used by all writers on queuing theory.
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