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BPM Assignment 4

The document discusses three questions related to business process automation. Question 1 calculates the average time for a service request to be fulfilled. Question 2 calculates the average time for an order to be fulfilled given new engineering time requirements. Question 3 analyzes call center capacity and ways to reduce costs while maintaining customer service levels.

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Muhammad Umar Nawaz
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48 views

BPM Assignment 4

The document discusses three questions related to business process automation. Question 1 calculates the average time for a service request to be fulfilled. Question 2 calculates the average time for an order to be fulfilled given new engineering time requirements. Question 3 analyzes call center capacity and ways to reduce costs while maintaining customer service levels.

Uploaded by

Muhammad Umar Nawaz
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
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Business Process Automation

Assignment no # 4

Submitted by:
Name: Muhammad Ashan Zahid Enrollment No: 01-131202-021
Name: Muhammad Umar Nawaz Enrollment No: 01-131202-039

Class: BSE 5A
Submitted to: IQRA BISHARAT

Date: 11-01-2023

Question 1:
We consider a Level-2 IT service desk with 2 staff members. Each staff member can handle one
service request in 4 working hours on average. Service times are exponentially distributed.
Requests arrive at a mean rate of one request every 3 h according to a Poisson process. What is
the average time between the moment a service request arrives to this desk and the moment it
is fulfilled?

C =2
λ= 1/3
μ = 1/4
W =?
W=L/ λ

wq= Lq/ λ
wq= 1.0667/ 1/3 = 3.2

w= wq+1/ μ
w= 3.2 + 1/ 1 /4 = 7.2

L= λw
L= 1/3 * 7.2 = 2.37

W= L/ λ
W=2.37/ 1 / 3
W=7.08727

The average time between the moment a service request arrives to this desk and the moment it
is fulfilled is 7 hr.

Question 2:
A company designs customized electronic hardware for a range of customers in the high-tech
electronics industry. The company receives orders for designing a new circuit every 20 working
days on average. It takes a team of engineers on average 10 working days to design a hardware
device.
Consider now the case where the engineering team in the previous example requires 16
working days to design a hardware device. What is then the average amount of time an order
takes to be fulfilled?

λ = 1/20 = 0.05
μ = 1/16 = 0.0625
W =?
W = Wq + 1/μ

p= λ/ μ
p = 0.05 / 0.0625s
P=0.8

Lq = 2 / (1- )
Lq= 0.82/ (1-0.8)
Lq=3.2

Wq = Lq / 
Wq =3.2/0.05=64

W = Wq + 1/μ
W=64+1/0.0625
W=64+16
W=80 days

The average amount of time an order takes to be fulfilled will be 80 days.


Question 3:
An insurance company receives 220 calls per day from customers who lodge insurance claims.
The call center is open from 8 a.m. to 5 p.m. The arrival of calls follows a Poisson process. Looking
at the intensity of arrival of calls, we can distinguish three periods during the day: the period 8
a.m. to 11 a.m., the period 11 a.m. to 2 p.m. and the period 2 p.m. to 5 p.m. During the first
period, around 60 calls are received. During the 11 a.m. to 2 p.m. period, 120 calls are received,
and during the 2 p.m. to 5 p.m. period, 40 calls are received. A customer survey has shown that
customers tend to call between 11 a.m. and 2 p.m. because during this time they have a break at
work.
Statistical analysis shows that the durations of calls follow an exponential distribution. According
to the company’s customer service charter, customers should not wait more than 1 min on
average for their call to be answered.
• Assume that the call center can handle 70 calls per hour using 7 call center agents. Is this
enough to meet the 1-min constraint set in the customer service charter? Please explain
your answer by showing how you calculate the average length of the queue and the
average waiting time.
• What happens if the call center’s capacity is increased so that it can handle 80 calls per
hour (using 8 call center agents)?
• The call center manager has a mandate to cut costs by at least 20%. Give at least two
ideas to achieve this cut without reducing the salaries of the call center agents and while
keeping an average waiting time below or close to 1.

Case 1:

Case 2:
Case 3:
• One way to achieve the cost cut without reducing the salaries of the call center
agents would be to increase the efficiency of the call center by implementing new
technologies, such as an IVR system, which allows customers to self-service their
queries.
• Provide customers with a self-service option, such as a FAQ section on the
company's website, or a chatbot that can answer common questions. This can help
to reduce the number of calls that need to be handled by the call center.
• Analyze the call data and identify the most common issues that customers call
about. Then prioritize the resolution of those issues to reduce the number of calls
about those topics.

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