This article covers meaning & overview of Arrival Rate Distribution from operations perspective.
Arrival Rate Distribution can be defined as the distribution of mean number of calling units arriving at a service center per unit time where service center maybe ticket booking counter, airport, post office etc. with number of ticket bookers, passengers, mails etc. respectively as calling units.
Generally there are two important distributions for arrival rate:
PoissonDistribution
Sequence of random events like arrival of passengers in airport, can be explained by counting function N(t), where t is the number of events that occur in time interval [0,t]. This process comes under poisson distribution only if
Probability for N(t)=n is P{N(t)=n} = (e-λt)* (λt)*n/n! where α = λt
Exponential Distribution
Arrival rate distribution is said to be exponential when
Exponential Distribution is linked with Poisson distribution. When arrival rate is governed by time interval of ‘λ’ , then for fixed time T, arrivals are governed by poisson distribution with mean value ‘λT’.
f(x) for exponential distribution is given by
f(x; λ) = λe-(λx) if x > 0 or x= 0
0 if x < 0
Example
Consider a telephone exchange where calls arrive exponentially with λ =5.Find probability thattime between one call and next call is greater than 1 minute but less than 2 minutes.
P(x1<X<x2) = e- λ X1 - e- λ X2
= e- 5 - e- 10
= 6.6925 X 10-3 = 0.0067 (approximately)
Hence, this concludes the definition of Arrival Rate Distribution along with its overview.
This article has been researched & authored by the Business Concepts Team which comprises of MBA students, management professionals, and industry experts. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
Browse the definition and meaning of more similar terms. The Management Dictionary covers over 1800 business concepts from 5 categories.
Continue Reading:
What is MBA Skool?About Us
MBA Skool is a Knowledge Resource for Management Students, Aspirants & Professionals.
Business Courses
Quizzes & Skills
Quizzes test your expertise in business and Skill tests evaluate your management traits
Related Content
All Business Sections
Write for Us