Published by MBA Skool Team, Last Updated: July 05, 2012
What is Erlang B Formula?
The Erlang B formula that is also known as Erlang loss formula calculates the blocking probability of a service system generally telephone networks. For example, in case of a telephone network, the blocking probability is the probability of a call being lost due to all attending servers being busy and there is no buffer space for waiting or queuing the calls.
The formula is given as follows,
Pb = Probability of blocking
E = the total amount of traffic in Erlangs given by λh, where λ= rate of arrival of new calls & h= average call time
m = number of server or resources in the service system
and it is assumed that the calls received follow a Poisson distribution.
The Erlang B formula is mostly used to calculate the minimum number of servers of resources that would be required to achieve a required probability of service delivery during peak times.
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