Queuing Model as a Technique of Queue Solution in Nigeria Banking Industry

Abstract

The study of “Queuing model as a Technique of Queue solution in Nigeria Banking Industry” was carried out. The obvious cost implications of customers waiting range from idle time spent when queue builds up, which results in man-hour loss, to loss of goodwill, which may occur when customers are dissatisfied with a system. However, in a bid to increase service rate, extra hands are required which implies cost to management. The onus is then on the management to strike a balance between the provision of a satisfactory and reasonable quick service and minimizing the cost of such service. Thus, the management should evaluate performance of different queuing structures and strike a middle ground between cost on one hand and benefits of improved service on the other hand, which is the main thrust of this study. Therefore, this study attempts to look at the problem of long queues in blanks, why bank managers find it difficult to eliminate queues and the effect of queuing model as a technique of queue solution in Nigerian Banking Industry. Descriptive research method was employed in carrying out the study at United Bank for African Pie., Gariki Branch, Enugu, through observation, interview and questionnaire administration. The variables measured include arrival rate ( ) and service rate ( ). They were analyzed for simultaneous efficiency in customer satisfaction and cost minimization through the use of a multi-channel queuing model, which were compared for a number of queue performances such as; the average number of customers in the queue and in the system, average time each customer spends in the queue and in the system and the probability of the system being idle. It was discovered that, using a three-server system was better than a 2-server or 4-server systems in terms of the performance criteria used and the study inter-alia recommended that, the management should adopt a three-server model to reduce total expected costs and increase customer satisfaction.

Keywords: Queuing Model, Queue Solution, Banking Industry