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Mini Case
Using Queuing Theory to Minimize Waiting Lines
Jesse Kedy
Forest Products Association (FPA) would like to find a way to reduce the waiting time for trucks delivering its
wood to chipping facilities and has requested an evaluation and the new average waiting times for two
suggested options, option #2 and option #3. As this report will show, option #2, that only includes the use of two
chipping stations, is not effective since it will actually maximize wait time due to full utilization. Option #3, with
the addition of a third chipper, is the better option since it will cut the average waiting time in line down to
under 2 hours. There are also a couple of other ideas proposed. First, the possible application of the multiple‐
server system to the FPA situation was explored. Another suggested improvement of option #3 is to make the
wait times for each truck more fair by taking into account how much time each truck will need in order to be
serviced.
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To discuss option #2 and option #3 of this case, single-server equations can be used since both
options use service models in which there is only one server per line.
Option # 2
Here, the calculated arrival rate (λ) for each line is 1.522 trucks per hour, and the calculated
service rate (μ) for each server is 1.5 trucks per hour.
Therefore, the utilization rate (ρ) is approximately equal to 1.0: there is approximately 100%
utilization in the system. This is a problem since as ρ approaches 1.0 (the utilization rate approaches
100%), average waiting time approaches infinity. In short, with option #2, waiting time is at a
maximum. Another way to explain the problem with option #2 is with the fact that the arrival rate is
greater than the service rate. Therefore, the server cannot handle the arrival rate, and the system will
eventually fail.
With the figures from option #2, some variables such as Ls (the number of customers in the
system) cannot even be calculated. For example, with the case of Ls, since μ is greater than λ, Ls would
be negative. Due to these problems, option #2 is not at all recommended.
Option # 3
Option #3, the addition of another chipping facility, is much better than option #2. Since this
option works better and since all its variable values can be found, they have been calculated and listed in
Figure 3. Here, the arrival rate is less than the service rate, and the system utilization is .676. That
utilization rate is a great improvement from the full utilization with option #2.
With option #3 and the three machines being busy about two thirds of the time, the average
waiting time in line (wq) is approximately 1.393 hours. This amount of waiting time is clearly preferable
to the near infinite wait time calculated for option #2.
However, a total cost analysis cannot be performed without more information on labor costs,
including the cost of operating the chipping facilities, the cost of workers, and the waiting cost incurred.
Other Possibilities
As an alternative, we can calculate the difference in waiting time with a single line, multiple
server (M=3) model. Clearly, this is not currently a possibility; still, the goal is to see how substantial
the difference in waiting time would be if it were possible.
As Figure 4 shows, the average waiting time in line would be reduced to .3145, or 18.87 minutes.
In theory, building the chipping facilities in a triangular shape could enable the third station to be at a
minimum distance from the first two (Figure 4.1). This would necessitate new safety and sound-
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reduction measures, as depicted by the line barriers in the figure. If this was possible, a single line could
form as close to all three stations as possible, enabling the next driver in line to see all three stations and
be able to arrive quickly at the next open station. The idea here is to capitalize on the advantages of a
single-line model while avoiding the safety limitations. This may involve costly improvements to the
existing barriers.
It has already been made clear that option #3 is better than option #2, but one problem that still
exists with this option is that trucks with varying service times all must wait for approximately the same
amount of time. This could cause more complaints from truckers who have lighter loads (therefore
shorter service times) since they would have to wait as long as truckers who need much longer service.
According to the psychology of waiting, unfair waits seem longer; this could be a problem with
the current model. Another possibility to improve option #3 can be taken from the grocery store
industry. Here, we could create a fast lane aimed at trucks with lighter loads and shorter service times.
With this option, trucks with service times under 40 minutes would use the fast lane, while larger
loads would use the remaining 2 lanes. Figures 5 and 6 show calculated values for both the fast lane and
the remaining lanes.
Comparing the two charts, in the fast lane, the arrival rate is higher but the service rate is also
much higher, so the average waiting time line (wq) drops to 1.01 hours and an average of only 1.47
hours in the system (ws).
On the other hand, as shown in Figure 6, in the remaining 2 lanes, the arrival rate is lower but
the service rate is also much lower; here, the average time in line is 1.76 hours. Overall, there would be
a shorter average waiting time for those in the fast lane but a longer average waiting time for those in the
remaining lanes. Using 40 minutes as the cut-off service time for the fast lane, about fifty percent of the
trucks would end up in the fast lane. All this averages out to approximately the same total average
waiting time in line (wq) for the system. However, this could still be a better option than option #3 since,
as previously stated, fair waits seem shorter than unfair waits.
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Figure 1: Truck Arrivals
1 21 41 61 81 101 121 141 161 181 201 221 241 261 281 301 321 341 361 381 401 421 441 461 481 501 521 541 561 581 601 621 641 661 681 701
Arrival time (minute)
Exponential
Service
Time
System Utilization ρ= 0.6717
Probability system is empty P0 = 0.3283
Average number in line Lq = 1.3746
Average number in system Ls = 2.0464
Figure 4.1: Loaded trucks wait in line & approach chipping facility when idle (or Average time in line Wq = 1.7565
nearly done with a preceding truck). Goal: to mimic the single-line, multiple-server Average time in system Ws = 2.6148
model as closely as possible. Empty trucks then leave the area (see above).