11.21 KeyCorp deploys queueing theory as part of its Service Excellence Management System
(SEMS) to improve productivity and service in its branches. The main objective of this
study is to enhance customer satisfaction by reducing wait times without increasing the
staffing costs. To do this, first a system that collects data about various phases of
customer transactions is developed. Then, a preliminary analysis is conducted to
new tellers was too costly and physically impossible. Alternatively, the bank could
achieve its goal by reducing the average service time. The investigation of the collected
data helped to identify potential improvements in service. Accordingly, customer
processing is reengineered, proficiency of tellers is improved and efficient schedules are
obtained. Heuristic algorithms are incorporated in the model to make it more realistic.
The model allowed KeyCorp to reduce the processing time by 53%. As a result of this,
the customer wait time has decreased and the percentage of customers who wait more
be used for more profitable investments. KeyCorp also gained more credibility by using a
systematic approach in making decisions. KeyCorp management, customers, employees
and shareholders all benefit from this study.
11.22 a) M/G/1 Model:
Data Resu lts
= 0.05 (mean arrival rate) L = 3
= 15 (expected service time)
= 15 (standard deviation)
s = 1 (# servers) W = 60
b) M/G/1 Model.
Data Results
= 0.05 (mean arrival rate) L = 3.2439025
= 16 (expected service time)
= 11.62 (standard deviation)
s = 1 (# servers) W = 64.87805