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Economic Models for Industrial Waiting Line Problems

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  • Frederick S. Hillier

    (Stanford University, Stanford, California)

Abstract

Studies of industrial waiting line problems typically involve determining the proper balance between the amount of service and the amount of waiting for that service. This paper presents some basic results for the case where the study is to be based upon fundamental cost considerations and the assumption of an infinite calling population. Included are a number of economic models and accompanying procedures for determining the level of service which minimizes the total of the expected cost of service and the expected cost of waiting for that service.

Suggested Citation

  • Frederick S. Hillier, 1963. "Economic Models for Industrial Waiting Line Problems," Management Science, INFORMS, vol. 10(1), pages 119-130, October.
    • Handle: RePEc:inm:ormnsc:v:10:y:1963:i:1:p:119-130
    DOI: 10.1287/mnsc.10.1.119
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    Cited by:

    1. Mirchevski, Stefan & Bakeva, Verica, 2024. "Cost function analysis of a single-server queueing system with Poisson input stream and Erlang-k service time," Applied Mathematics and Computation, Elsevier, vol. 475(C).
    2. Altendorfer, Klaus & Minner, Stefan, 2011. "Simultaneous optimization of capacity and planned lead time in a two-stage production system with different customer due dates," European Journal of Operational Research, Elsevier, vol. 213(1), pages 134-146, August.
    3. Tianhua Zhang & Juliang Zhang & Fu Zhao & Yihong Ru & John W. Sutherland, 2020. "Allocating resources for a restaurant that serves regular and group-buying customers," Electronic Commerce Research, Springer, vol. 20(4), pages 883-913, December.
    4. Kadipasaoglu, Sukran N. & Xiang, Wenuang & Hurley, Simon F. & Khumawala, Basheer M., 2000. "A study on the effect of the extent and location of protective capacity in flow systems," International Journal of Production Economics, Elsevier, vol. 63(3), pages 217-228, January.
    5. Xiuli Chao & Carlton Scott, 2000. "Several Results on the Design of Queueing Systems," Operations Research, INFORMS, vol. 48(6), pages 965-970, December.
    6. Bertrand, J. Will M. & van Ooijen, Henny P.G., 2012. "The capacity investment decision for make-to-order production systems with demand rate control," International Journal of Production Economics, Elsevier, vol. 137(2), pages 272-283.

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