Abstract :
THIS PAPER is based on a management consultancy investigation carried out in the Parts department of a motor vehicle dealership. Originally thought straightforward it grew into a major investigation into the organisation and operation of the department, and involved the consideration of certain company objectives. The investigation consisted of Method Study, Work Measurement, and the application of the more intricate aspects of Queueing Theory. Highlighted were two company objectives that appeared to conflict, and needed reconciliation to achieve effective `customer service/business management¿¿. They were: (1) Achievement of an efficient level of customer service. (2) Efficient utilisation of labour. Previous attempts at this conciliation had been unsuccessful due to: differing terms and conditions of employment for members of the two trade unions involved; job demarcations; constraints by working methods; and the physical limitations of the department structure and layout. An efficient customer service existed but to the detriment of efficient labour utilisation. Recommendations made brought about a successful reconciliation of the two objectives with considerable financial, and fringe benefit for the employees concerned. The investigation has wide implications and application where face-to-face service is to be efficiently provided, and the `Service Level to Cost Incurred¿¿ relationship must be harmoniously reconciled. Failure to do so creates an imbalance to the detriment of one or the other, and in the long term both. (Face-to-face service being that provided to meet customer requirements of an immediate nature, eg. shop counter assistant, petrol pump attendant, switchboard operator, receptionist, etc.)