Determining a Checkout Register Opening Policy to Maximize Profit In convenience Stores Chains
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| Format: | Artículo científico |
| Sprache: | en |
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Universidad Nacional Autónoma de México
2010
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| author | Eileen Ninette Ruelas-Gonzalez |
| author_facet | Eileen Ninette Ruelas-Gonzalez |
| contents | Determining a Checkout Register Opening Policy to Maximize Profit In convenience Stores Chains Eileen Ninette Ruelas-Gonzalez Jorge Limon-Robles Neale Ricardo Smith-Cornejo Ingeniería Npolicy balking process queuing control Convenience store removable servers A major concern for convenience store managers is lost sales due to balking. Convenience stores customers pay high margins expecting fast service. If waiting lines are too long for their tolerance level at their arrival, they balk and the sale is lost as a result. In order to reduce lost sales, the length of the waiting line is usually controlled by opening additional checkout registers when the number of customers standing in the line exceeds a specified number and maintaining them open until they are no longer needed. This paper presents an applied approach to model the probability that customers actually enter the store and define the optimal opening level (N-policy) of the second checkout register based on several factors including the particular waiting line length tolerance level of usual customers, the average hourly arrival rate of customers to the store and the average gain per customer transaction.Several performance measures are computed. The total expected cost function per unit time is proposed to determine the optimal operating N-policy at minimum cost. The model is applied in a real case of a convenience store chain. 2010 artículo científico 1665-6423 https://www.redalyc.org/articulo.oa?id=47415823009 en http://www.redalyc.org/revista.oa?id=474 Journal of Applied Research and Technology application/pdf Universidad Nacional Autónoma de México Journal of Applied Research and Technology (México) Num.3 Vol.8 |
| format | Artículo científico |
| id | redalyc_47415823009 |
| institution | Redalyc |
| language | en |
| publishDate | 2010 |
| publisher | Universidad Nacional Autónoma de México |
| spellingShingle | Determining a Checkout Register Opening Policy to Maximize Profit In convenience Stores Chains Eileen Ninette Ruelas-Gonzalez Ingeniería Npolicy balking process queuing control Convenience store removable servers Determining a Checkout Register Opening Policy to Maximize Profit In convenience Stores Chains Eileen Ninette Ruelas-Gonzalez Jorge Limon-Robles Neale Ricardo Smith-Cornejo Ingeniería Npolicy balking process queuing control Convenience store removable servers A major concern for convenience store managers is lost sales due to balking. Convenience stores customers pay high margins expecting fast service. If waiting lines are too long for their tolerance level at their arrival, they balk and the sale is lost as a result. In order to reduce lost sales, the length of the waiting line is usually controlled by opening additional checkout registers when the number of customers standing in the line exceeds a specified number and maintaining them open until they are no longer needed. This paper presents an applied approach to model the probability that customers actually enter the store and define the optimal opening level (N-policy) of the second checkout register based on several factors including the particular waiting line length tolerance level of usual customers, the average hourly arrival rate of customers to the store and the average gain per customer transaction.Several performance measures are computed. The total expected cost function per unit time is proposed to determine the optimal operating N-policy at minimum cost. The model is applied in a real case of a convenience store chain. 2010 artículo científico 1665-6423 https://www.redalyc.org/articulo.oa?id=47415823009 en http://www.redalyc.org/revista.oa?id=474 Journal of Applied Research and Technology application/pdf Universidad Nacional Autónoma de México Journal of Applied Research and Technology (México) Num.3 Vol.8 |
| title | Determining a Checkout Register Opening Policy to Maximize Profit In convenience Stores Chains |
| topic | Ingeniería Npolicy balking process queuing control Convenience store removable servers |
| url | https://www.redalyc.org/articulo.oa?id=47415823009 |