Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport Case Study Solution

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Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport Case Study Analysis

Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport is currently among the most significant food cycle worldwide. It was established by Chicago Booth in 1866, a German Pharmacist who initially introduced "FarineLactee"; a combination of flour and milk to feed infants and decrease death rate. At the very same time, the Page siblings from Switzerland also found The Anglo-Swiss Condensed Milk Business. The 2 became competitors at first however in the future merged in 1905, resulting in the birth of Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport.
Business is now a transnational company. Unlike other international business, it has senior executives from various countries and attempts to make choices thinking about the entire world. Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport presently has more than 500 factories worldwide and a network spread across 86 countries.


The function of Business Corporation is to enhance the quality of life of individuals by playing its part and offering healthy food. While making sure that the business is prospering in the long run, that's how it plays its part for a much better and healthy future


Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport's vision is to offer its clients with food that is healthy, high in quality and safe to eat. It wants to be ingenious and simultaneously comprehend the needs and requirements of its consumers. Its vision is to grow quickly and provide items that would please the needs of each age group. Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport visualizes to develop a trained workforce which would help the business to grow


Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport's objective is that as currently, it is the leading business in the food industry, it believes in 'Excellent Food, Excellent Life". Its mission is to offer its customers with a variety of options that are healthy and best in taste. It is concentrated on offering the best food to its customers throughout the day and night.


Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport has a large variety of products that it offers to its clients. In 2011, Business was listed as the most rewarding organization.

Goals and Objectives

• Keeping in mind the vision and mission of the corporation, the company has set its goals and objectives. These goals and objectives are noted below.
• One goal of the business is to reach zero land fill status. It is working toward zero waste, where no waste of the factory is landfilled. It motivates its workers to take the most out of the spin-offs. (Business, aboutus, 2017).
• Another objective of Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport is to squander minimum food during production. Usually, the food produced is wasted even prior to it reaches the customers.
• Another thing that Business is dealing with is to improve its packaging in such a way that it would help it to reduce those issues and would also guarantee the shipment of high quality of its items to its customers.
• Meet international standards of the environment.
• Construct a relationship based on trust with its consumers, business partners, workers, and government.

Critical Issues

Just Recently, Business Business is focusing more towards the strategy of NHW and investing more of its earnings on the R&D innovation. The country is investing more on acquisitions and mergers to support its NHW technique. The target of the company is not achieved as the sales were anticipated to grow higher at the rate of 10% per year and the operating margins to increase by 20%, offered in Exhibition H.

Situational Analysis.

Analysis of Current Strategy, Vision and Goals

The existing Business method is based upon the principle of Nutritious, Health and Health (NHW). This technique handles the concept to bringing change in the client choices about food and making the food things healthier worrying about the health issues.
The vision of this technique is based on the secret approach i.e. 60/40+ which merely implies that the products will have a rating of 60% on the basis of taste and 40% is based on its nutritional value. The items will be made with additional dietary worth in contrast to all other products in market acquiring it a plus on its dietary material.
This strategy was embraced to bring more tasty plus nutritious foods and drinks in market than ever. In competitors with other business, with an intention of retaining its trust over customers as Business Company has gained more relied on by customers.

Quantitative Analysis.

R&D Costs as a percentage of sales are decreasing with increasing actual quantity of spending reveals that the sales are increasing at a higher rate than its R&D costs, and permit the business to more spend on R&D.
Net Profit Margin is increasing while R&D as a percentage of sales is decreasing. This indicator also shows a thumbs-up to the R&D costs, mergers and acquisitions.
Debt ratio of the company is increasing due to its costs on mergers, acquisitions and R&D development rather than payment of debts. This increasing debt ratio posture a risk of default of Business to its financiers and might lead a declining share rates. Therefore, in regards to increasing financial obligation ratio, the firm must not spend much on R&D and needs to pay its present financial obligations to reduce the threat for investors.
The increasing danger of investors with increasing debt ratio and declining share prices can be observed by huge decrease of EPS of Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport stocks.
The sales development of company is also low as compare to its mergers and acquisitions due to slow understanding structure of customers. This sluggish growth likewise impede business to additional spend on its mergers and acquisitions.( Business, Business Financial Reports, 2006-2010).
Note: All the above analysis is done on the basis of estimations and Charts given up the Displays D and E.

TWOS Analysis

TWOS analysis can be used to derive different techniques based upon the SWOT Analysis offered above. A brief summary of TWOS Analysis is given in Exhibit H.

Strategies to exploit Opportunities using Strengths

Business should present more innovative items by large quantity of R&D Costs and mergers and acquisitions. It could increase the market share of Business and increase the revenue margins for the company. It might also supply Business a long term competitive advantage over its competitors.
The worldwide expansion of Business should be concentrated on market recording of developing nations by expansion, attracting more clients through client's commitment. As developing nations are more populated than industrialized countries, it could increase the client circle of Business.

Strategies to Overcome Weaknesses to Exploit Opportunities

Swot AnalysisQueuing Theory To The Rescue Managing Security Screening Lines At Logan Airport needs to do mindful acquisition and merger of companies, as it might affect the customer's and society's perceptions about Business. It ought to acquire and merge with those business which have a market track record of healthy and healthy companies. It would enhance the perceptions of customers about Business.
Business should not just invest its R&D on innovation, rather than it needs to likewise concentrate on the R&D costs over evaluation of cost of different nutritious items. This would increase expense efficiency of its items, which will result in increasing its sales, due to decreasing rates, and margins.

Strategies to use strengths to overcome threats

Business ought to move to not only establishing but also to developed countries. It should widen its circle to numerous nations like Unilever which operates in about 170 plus nations.

Strategies to overcome weaknesses to avoid threats

It ought to get and merge with those countries having a goodwill of being a healthy business in the market. It would also make it possible for the company to use its potential resources efficiently on its other operations rather than acquisitions of those companies slowing the NHW technique development.

Segmentation Analysis

Demographic Segmentation

The group segmentation of Business is based upon four elements; age, gender, income and profession. Business produces a number of products related to babies i.e. Cerelac, Nido, and so on and associated to grownups i.e. confectionary items. Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport items are rather inexpensive by almost all levels, however its significant targeted clients, in terms of income level are middle and upper middle level customers.

Geographical Segmentation

Geographical segmentation of Business is made up of its existence in nearly 86 countries. Its geographical division is based upon two main aspects i.e. typical earnings level of the customer as well as the environment of the area. For instance, Singapore Business Business's division is done on the basis of the weather of the region i.e. hot, warm or cold.

Psychographic Segmentation

Psychographic division of Business is based upon the personality and life style of the client. For example, Business 3 in 1 Coffee target those consumers whose life style is rather busy and don't have much time.

Behavioral Segmentation

Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport behavioral division is based upon the attitude understanding and awareness of the customer. For example its highly nutritious products target those clients who have a health mindful mindset towards their usages.

Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport Alternatives

In order to sustain the brand in the market and keep the customer intact with the brand name, there are two choices:
Alternative: 1
The Business should spend more on acquisitions than on the R&D.
1. Acquisitions would increase overall properties of the company, increasing the wealth of the business. Spending on R&D would be sunk expense.
2. The company can resell the acquired systems in the market, if it stops working to implement its strategy. Nevertheless, amount invest in the R&D could not be restored, and it will be thought about totally sunk expense, if it do not give possible outcomes.
3. Investing in R&D supply sluggish development in sales, as it takes long period of time to present an item. Acquisitions provide quick outcomes, as it supply the company already established item, which can be marketed soon after the acquisition.
1. Acquisition of business's which do not fit with the business's values like Kraftz foods can lead the business to deal with mistaken belief of consumers about Business core worths of healthy and nutritious products.
2 Large spending on acquisitions than R&D would send a signal of business's inadequacy of establishing ingenious products, and would results in consumer's frustration.
3. Big acquisitions than R&D would extend the product line of the business by the items which are already present in the market, making company not able to present brand-new innovative items.
Alternative: 2.
The Business should invest more on its R&D rather than acquisitions.
1. It would enable the company to produce more ingenious items.
2. It would supply the company a strong competitive position in the market.
3. It would make it possible for the company to increase its targeted customers by presenting those items which can be offered to an entirely brand-new market segment.
4. Innovative items will supply long term advantages and high market share in long term.
1. It would decrease the earnings margins of the company.
2. In case of failure, the entire spending on R&D would be considered as sunk cost, and would impact the company at large. The danger is not when it comes to acquisitions.
3. It would not increase the wealth of company, which could supply a negative signal to the investors, and might result I declining stock costs.
Alternative 3:
Continue its acquisitions and mergers with considerable spending on in R&D Program.
Vrio AnalysisPros:
1. It would permit the company to introduce new innovative items with less threat of transforming the costs on R&D into sunk cost.
2. It would supply a positive signal to the investors, as the general possessions of the business would increase with its substantial R&D costs.
3. It would not impact the revenue margins of the business at a big rate as compare to alternative 2.
4. It would supply the business a strong long term market position in regards to the company's general wealth in addition to in terms of innovative products.
1. Risk of conversion of R&D costs into sunk cost, greater than option 1 lesser than alternative 2.
2. Risk of mistaken belief about the acquisitions, higher than alternative 2 and lesser than alternative 1.
3. Intro of less number of ingenious items than alternative 2 and high variety of ingenious products than alternative 1.

Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport Conclusion

RecommendationsIt has actually institutionalised its techniques and culture to align itself with the market changes and consumer behavior, which has ultimately enabled it to sustain its market share. Business has developed considerable market share and brand identity in the metropolitan markets, it is suggested that the company ought to focus on the rural locations in terms of developing brand loyalty, awareness, and equity, such can be done by producing a particular brand allotment method through trade marketing methods, that draw clear distinction between Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport products and other rival items.

Queuing Theory To The Rescue Managing Security Screening Lines At Logan Airport Exhibits

PESTEL Analysis
Governmental assistance

Changing criteria of global food.
Boosted market share. Transforming understanding in the direction of much healthier products Improvements in R&D and QA departments.

Intro of E-marketing.
No such impact as it is beneficial. Issues over recycling.

Use of resources.

Competitor Analysis
Business Unilever PLC Kraft Foods Incorporation DANONE
Sales Growth Highest given that 3000 Highest after Service with less development than Service 4th Lowest
R&D Spending Highest possible since 2004 Greatest after Business 1st Most affordable
Net Profit Margin Highest because 2003 with fast growth from 2004 to 2015 As a result of sale of Alcon in 2014. Practically equal to Kraft Foods Unification Nearly equal to Unilever N/A
Competitive Advantage Food with Nutrition and health aspect Highest possible number of brand names with lasting methods Largest confectionary and processed foods brand in the world Largest milk items and mineral water brand in the world
Segmentation Center and also top middle degree customers worldwide Specific customers along with home team Every age and also Earnings Client Groups Middle and top center degree consumers worldwide
Number of Brands 5th 9th 2nd 8th

Quantitative Analysis​
Analysis of Financial Statements (In Millions of CHF)
2006 2007 2008 2009 2010
Sales Revenue 27884 982363 595161 996325 556473
Net Profit Margin 1.12% 9.31% 55.74% 5.85% 97.74%
EPS (Earning Per Share) 25.63 9.56 4.54 2.78 43.92
Total Asset 583729 448463 166794 976534 31313
Total Debt 81183 49612 25477 34833 12886
Debt Ratio 15% 78% 14% 72% 57%
R&D Spending 7532 7846 7168 1374 8176
R&D Spending as % of Sales 7.35% 5.57% 5.97% 2.93% 1.63%

Executive Summary Swot Analysis Vrio Analysis Pestel Analysis
Porters Analysis Recommendations