Case Study for Bank ATM Queuing Model

Abstract

Queuing is the common activity of customers or people to avail the desired service, which could be processed or distributed one at a time. Bank ATMs would avoid losing their customers due to a long wait on the line. The bank initially provides one ATM in every branch. But, one ATM would not serve a purpose when customers withdraw to use ATM and try to use other bank ATM. Thus the service time needs to be improved to maintain the customers. This paper shows that the queuing theory used to solve this problem. We obtain the data from a bank ATM in a city. We then derive the arrival rate, service rate, utilization rate, waiting time in the queue and the average number of customers in the queue based on the data using Little's theorem and M/M/I queuing model. The arrival rate at a bank ATM on Sunday during banking time is 1 customer per minute (cpm) while the service rate is 1.50 cpm. The average number of customer in the ATM is 2 and the utilization period is 0.70. We conclude the paper by discussing the benefits of performing queuing analysis to a busy ATM.