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An immigration agent at an airport, on an average, could process 14 entrants in one hour, if he was busy all the time. On an average, an entrant arrives at his station at every 5 minutes. The agent can be replaced by a more efficient specialist. The specialist can process 18 entrants in one hour. The specialist is paid $45 per hour whereas the current agent is paid $30 per hour. If an entrant’s time is considered to be worth $10 per hour, is it worth to replace the agent with the specialist?

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M91890586

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