Paper: 10, Services Marketing

Module: 29, Managing Waiting Lines

 29. Managing Waiting Lines
1.0 Introduction
A newly opened fast food service restaurant in the busy commercial area of Central Delhi was in
the process of designing a marketing strategy to beat the competition. The first suggestion was to
offer good quality and hygienic food with a broad Indian and Continental food menu for the
consumers to choose from. The second suggestion was to make the ambience comfortable and
lively for professionals, family and youngsters to visit. The last and the most important
suggestion was to reduce the waiting time of the consumers to a minimum of two to three
minutes for the order to be delivered. The first two suggestions were instantly accepted and were
considered easy to be implemented, but the reduction of the waiting time was felt to be the most
critical and difficult to be put to practice. The same may be felt by most of the service industry players
like Banks, Saloons, Car service etc.
1.1 Learning Objectives

In this module, you will learn:

a) Meaning of Waiting Lines
b) Types of Waiting Lines
c) Components of Waiting lines
d) Waiting Line configurations
e) Queue discipline
1.2 Key Words:

Waiting Lines, Queue management, Management of Queues, Reneging, Balking, Calling Population,
Queue discipline

1.3 Introduction to Waiting Lines

A number of service marketers develop a competitive advantage of working at minimum time for
delivering the services. However simple it may sound, it is the most difficult aspect to implement in
the service production and delivery. How often have you been to a dentist and had to wait for a long
time as Doctor took a long time interacting with each patient? Or may be how often you felt frustrated
on having to wait for your turn at the nearest saloon for a haircut? Did you ever think of avoiding
coming at certain hours due to crowd? Did you ever felt like getting an appointment on phone and
then visiting? If yes, you are thinking about managing the waiting lines at the service marketers. This
is one of the most crucial aspects of service marketing in which the service provider may have to
completely overhaul the service production operations to reduce service time by as less as 30 sec! If
you think 30 sec is too less a time to be thought of reducing, how about having to wait at the toll
booth for 30 sec more than ordinary days? With an increased customer and subscriber base, comes
profits, and also comes the problem of satisfying the consumers by ensuring a quick service to all.
Thus, management of waiting lines refers to ensuring a quick service to the consumers by maintaining
the overall service quality at competitive prices. It is difficult to implement as the consumer walk-in
may be random and the service requirement of each consumer may also be random. Since the services
are not stored, there is no way to keep the inventory ready for a quick supply during peak hours. This
is what makes the issue worth discussing. One might think of opening more counters to manage more
consumers at a time. But this is a layman approach to spending more money. The counters may not be
utilized during off period , thus adding the cost without adequate returns. Successful managers are the
ones who are able to creatively design ways and means of reducing the waiting times and engrossing
the consumers while the service is delivered to them.
1.4 Types of Waiting Lines
a) Finite Waiting Lines- There may be a finite group of consumers expected to visit the service
counter during the day. The number of consumers served will be deducted from the overall
queue, thus shortening the waiting line. For example, Banks and Retail outlets. However, the
 same consumer may re-visit the service counter which will increase the overall size of the finite
population over a period of time.
b) Infinite Waiting Lines- There are services in which the number of consumers visiting in a day
may not be accurately guessed. Further, such consumers may not leave the queue, once served,
and may want to order another service. For instance, Beauty saloons and spas, Toll booths.
c) Physical Waiting Lines- These are the queues in which the prospective consumer is physically
present to be served. Like, a car owner waiting for a car wash.
d) Virtual Waiting Lines- These are the queues in which a subscriber is put on hold on phone for
the want of some information at a call center. The virtual waiting lines could be operated
manually or through voice mails. There could be a waiting line when a number of subscribers try
to access a website almost simultaneously, putting a burden on the server and hence a slow
navigation.
e) Single Location- There may be a service provider offering services through a single location
counter. For example, a restaurant.
f) Dispersed Location- A service organization may be serving its consumers through
geographically dispersed locations. For example, an on call taxi service making passengers wait
at different locations.

CHECK YOUR PROGRESS

1. “Waiting for a service delivery transaction is indispensable.” Do you agree?

Why/ Why not?
2. Define waiting Lines, with the help of an example.
3. Differentiate between physical and virtual Waiting lines? Describe with the help
of an example.
4. Is reducing the waiting time by 30 sec of any worth to the waiting consumer?

1.5 Elements of a Queue

The strategies to manage a queue emanate from the various components that a waiting line or a
service queue has. Let us look at these elements in the following points:
a) Potential customers- The queue is essentially defined by the kind of consumers who line up for a
service delivery. Such customers are also known as the “Calling population”. When a queue is
planned, it is important to understand their needs and expectations from the service. Let us take
an example of a ambulance passing through a toll plaza. Due to an emergency medical situation,
it needs to be passed through the toll lane without any delay. This is in contrast to a normal
vehicle plying on the road. Thus, while designing lanes for a toll plaza, arrangement should be
made to allow VIP vehicles or other special vehicles to pass without waiting. For this,
categorization of the potential consumers in various segments may be done. Depending upon the
characteristics of the consumers, queues may be designed accordingly.
b) Arrival- It refers to the number of consumers seeking a service and the time of their arrival.
There may be certain services for which expected time of the consumers may be predicted. For
instance, a Bank can expect a heavy rush after a three day holiday. Similarly, the time of
consumer arrival in a day may also be forecasted. For example, it is very likely to have heavy
crowd visit a restaurant at a commercial place during lunch hours whereas a family restaurant can
expect heavy rush during dinner hours, while a restaurant on a highway can get more crowd
during morning hours. Further, the service manager may forecast the number of consumers
walking in for service purchase in group. During lunch hours the commercial place restaurant can
expect a consumer cluster of one to five consumers. While the family restaurants during dinner
may expect consumer cluster from two to twenty members. A movie theater may predict a
 smaller cluster and less number of consumers during morning shows, while it may get more
number of consumers with larger clusters during evening shows. Such a prediction is very useful
in planning service counters for ensuring a lesser waiting time. Service managers may plan
operating more service counters during peak hours with additional staff.
c) Balking- This refers to a decision by the prospective consumer to be in the proximity of the
waiting line but not to join the same. This happens when a consumer perceives the waiting line to
be long and decides not to seek the service or to come back later. It is important for the service
manager to make adequate arrangements to avoid balking as it may lead to losing business
opportunities. Think of a food plaza where given a long queue at a particular food outlet, the
consumer may prefer to buy food from a competitive outlet. Or observing a long queue at the bill
counter of a retail outlet, the consumer defers to buy the groceries from there. Service managers
may disguise the length of the queue by dispersing the counters or indicating instructions at the
counters about the average billing time to encourage the consumers to make a purchase and join
the queue.
d) Reneging- Have you ever stood in a waiting line of submitting some bill in a Bank and felt that
the line is not moving or moving at a snail pace, and then decided to leave the line in irritation as
you have next appointment due in some time? In service management terminology, you decided
to Renege. Thus, Reneging refers to a situation when the potential consumer leaves a waiting line
and prefers not to seek a service instead of waiting for any more time. For submission of a due
bill, the consumer might revert back after some time, but it could also mean permanently losing a
customer, if it is about purchasing a service. Reneging also causes an atmosphere of negativity
around the waiting line as the consumer who leaves the line may speak or behave in a fashion that
adds to the frustration of other waiting consumers. Hence, it is very important to check Reneging
by choosing a right kind of service queue design and speed up the service delivery operations.
e) Service counters- One of the most important elements of a service waiting line is the number and
location of the service counters operational at a given point of time. There could be different
configurations for the service counters. A service manager will choose the one that suits the other
elements of the service. Here are some of the configurations:
i) Single Line- Single Stage: This design of service process involves only one point of
interaction for service consumption and there is only one queue. Waiting for operating
the ATM is one such example.
ii) Single Line- Multiple Stages: Under this design, prospective consumers will have to
form a single line but the service order and delivery is done through successive stages.
For instance, ordering for take away food may include ordering and collection at two
different points. The waiting time at the different stages can be different and service
managers will have to plan waiting time accordingly.
iii) Parallel Lines: Under this system the consumers are segregated into multiple service
counters. The line may have a single or multiple service stage. For instance, a big retail
outlet may have multiple billing counters. Additional service counters are made
operational during peak hours.
iv) Allotted lines: A service may have multiple segments of consumers. To manage the
waiting lines of such diverse consumers, service counters may be allotted to such
different categories of consumers. For example, while checking into the airplane,
categories may be made on the basis of ticket type like business class, economy class and
the queues may be made accordingly. Similarly, there could be separate lines for males
and females at the ticket counter of a multiplex.
v) Single Line to multiple counters: This is a method of having all the consumers in a
single queue. As the consumer reaches the head of the queue, he is directed or he opts to
go to the counter which is vacant. This is a very fair method of operate and also ensures
quick movement of the waiting line. Often, this method makes embankments of the
waiting lines with ropes or tapes and the movement of the waiting line is back and forth.
 Moreover, for a service provider, the system ensures to reduce Reneging as the consumer
cannot leave the queue without being served, once he is in.
vi) First come, first served: This is a variation of the standing single waiting line. In this
method, the consumer comes to the reception and takes a number. He can sit or roam
around in the premises till his number is called for the service delivery. You might have
come across such a system while having to wait meet a physician.
vii) Combination: A service provider may opt for using a combination of any of the above
waiting line designs to manage the consumers and ensure a quick service. For instance, at
a multi specialty hospital, the patient may have to register at a single counter, proceed to
multiple service counters for testing, diagnosis etc. and then revert to a single counter for
billing and collection of reports.

Fig 29.1 Service counter designs

Source: Bielen et al, 2007

 CHECK YOUR PROGRESS

5. Explain Balking.
6. Define Reneging.
7. Differentiate between single line-single stage and single line- multiple stages.
8. How does Calling population affect the waiting line management?
9. What is the impact of arrival on Managing the waiting lines?

f) Customer selection process- Generally, the consumers in a waiting line are served on first come,
first served basis. It is considered to be a fair system as the consumers who are waiting in a line
since long may resent having new consumers come in and served before them. However, there
may be formal policies designed to prefer a given set of consumers for serving prior to others.
This is also called as „Queue discipline‟. For instance, elderly consumers may be preferred to be
served in a waiting line. Similarly, there could be different processes designed to serve a
prospective consumer out of the queue as per the following basis:
i) Urgency of the Service: At many service counters, while a waiting line works in a
sequence, some consumers may be preferred over others in case they are in an urgent
need of the service. Let us take the example of a Hospital where the emergency cases
may be attended on a priority basis. This is ensured by having a regular OPD waiting
lines and the emergency arrival section having a separate registration and such cases are
attended on priority basis. We may think of waiting line at the ticket counter of a
multiplex. Customers who want to buy tickets for the movie show which is about to be
started, may be given a priority and they may be asked to buy the ticket at a separate
counter.
ii) Service Duration: The services which may need a shorter time duration may be
separated from the bulk business. For example, a number of banks have installed locked
boxes for the cheques to be dropped in for account deposits instead of the account holder
waiting in the queue to handover the cheque to the counter.
iii) Premium Payment : There could be an extra charge for a separate or a shorter line. As
for the check ins in the Airplane, the business class form a separate line than the economy
class and the passengers in the business class are normally less than the economy.
iv) Regular customers- For the customers availing of the services more frequently, some
token or a pass may be issued which entitles them for being served separately. Such an
arrangement is very commonly found at the toll booths.
g) Flexibility- This element relates to the design of the service process and the flexibility granted to
vary the service delivery system according to the demand. For example, a self service restaurant
may offer to table serve in face of long waiting lines on counters. For allowing flexibility, a
service manager may design a service flowchart and try to assess the likelihood of occurrence of
delays at various stages. Such an analysis can also be done after going through the consumer
complaint record of the past. Such bottlenecks should be highlighted and the service personnel
should be well trained to overcome a delay at these points. For managing a waiting line a Service
manager may work out on the following service design issues :
i. Consumer numbers: This is to assess the approximate number of consumers to be served in
one go. Depending upon the service, either the consumer will be served individually or in a
group.
 ii. Equipments used: The consumer may be served manually by the staff, with equipments
alone or a combination of personnel and equipments. Identifying the degree of dependence on
technology and amount of involvement of the personnel is assessed.
iii. Capacity: For management of waiting lines, it should be evaluated as to how many service
transactions can be successfully completed in how much of time. This facilitates in working
out the number of customers who can be efficiently served at a time.
iv. Service delivery location: The manager proceeds with working out the place at which the
service is delivered to the consumer. For instance, whether the consumer comes to the service
site as in a restaurant or a Bank or if the service is delivered to the consumer doorstep as in
the case of free home delivery of food, opening of bank account at the consumers doorstep.
There could be a third location for the service delivery as in eth case of cash withdrawals at
ATM.
v. Waiting experience: This refers to the experience a waiting consumer goes through. A smart
service manager ensures enough distractions in the comfortable waiting zone for pleasing the
waiting consumers. For example, at the car service outlet, drivers may be offered free meals,
a comfortable waiting area equipped with mobile charging points and with magazines and
television to keep them occupied.

CHECK YOUR PROGRESS

10. How can waiting line be managed on the basis of urgency of services sought?
11. What is single and multiple service delivery locations? Explain with the help of
an example.
12. Can you think of any interesting ways to keep the waiting customers satisfied in
the line.
13. Describe the capacity identification of any service transaction of your choice.

1.6 Conclusion
Waiting in a line for getting serviced for something is not only boring it is also frustrating as
it wastes a lot of time of the consumer and may even be physically uncomfortable. Despite
this, one has to wait on several occasions starting at a Bank or a restaurant or even wait on
phone or internet for various service processes. Almost every successful service organization
faces the complaints of waiting. Smart service organizations know that improvement in
business may increase the waiting lines, which needs to be managed before they start
adversely affecting the service quality. Two very frequently used methods of managing the
waiting lines adopted by the service organizations is to ask the consumers to have patience
and wait in line to be served on first come basis. The second method could be to offer the
consumers get an appointment or book their interaction before coming on phone or on web.
A service manager can identify various means to manage the waiting lines. The first step in
this direction is to identify the internal factors affecting the duration of the service delivery at
different counters. The second is to understand the service level expectations and the
characteristics of the potential consumers. After a due understanding of these two factors the
service manager can attempt to reduce the total service transaction time as much as possible
and also plan a creative way to keep the waiting consumer pleasantly occupied.
Summary
For enhancing the overall service quality at a Bank, a number of consumers were surveyed to
find out one basic improvement desired in the service delivery system of the Bank. Majority of
the consumers felt that the waiting time in the Bank should be reduced for better services. For
managing the waiting time, the Bank took a few initiatives. The first one was to improve the
service delivery technology. The teller was trained to work on customized softwares, where
extraction of the customers details would take a few seconds from their own service station.
Currency counting machines were also installed to save the time of counting notes and bills ,
which further saved the time of the teller in each service transaction. Secondly, the Bank
personnel was trained in expediting the consumer service transactions. They were told to hand
over the complicated tasks at the back desk designated officer, a new job description created to
work on daily rotation basis, to avoid any delays in the service delivery. During peak days, table
lunch was catered and the overall lunch time reduced to half to reduce the consumer waiting
time. The third set of changes included the creation of many quick desk services like depositing
of cheques in the drop box, withdrawing cash from the ATM, checking balance of account online
etc. This ensured that the regular service seeking consumers would be separated from the other
consumers, thereby reducing the waiting line size. In the brief description a Banks successful
management of waiting lines has been described. Hence, it is important for the service manager
to check the waiting time in the service transaction to improve the customer satisfaction.