IEOM Index
This paper focuses on determining the minimum number of overtime hours needed to meet the organization’s Key Performance Index (KPI) at one of the Asian service companies, given the number of customer service officers available. The company also wants to identify the optimal number of cases each staff should handle to ensure they are optimally utilized and KPIs are met. Using the historical data, we identified the optimal balance of simple, moderate, and time-consuming cases a single staff should receive in a month. We determined the estimated duration needed to clear these cases based on the distribution. In addition, we developed a mathematical model that allows the user to determine the amount of sale applications, the department can clear within the stipulated working hours. Additionally, if the forecasted demand is too much for the sale department, the model could also be used to derive the number of working hours the department has to work overtime to meet a percentage of their demand. Based on the extra time needed, the model can also derive the additional manpower required to meet the KPI. The model and the provided historical data confirmed that the department has been constantly overworking since the surge in demand. We validated our model using the actual data from the operation, and the one-month planning model developed was able to attain a good result with a mean absolute error of less than 5%.
