Pizza Store Layout Simulation

1008 Words5 Pages
Running Header: Apply the Learning Curve Theory Pizza Store Layout Simulation OPS/571 March 5, 2012 Pizza Store Layout Simulation Mario’s Pizzeria, located in Palm Springs, CA, has been open since 1950 and has become popular for its quality and authentic taste. The owner of Mario’s is looking to retire and will be turning the business over to his grandson. However, like any business there have been challenges, even though the customers enjoy the uniqueness in the food, the waiting time has been a concern for the business and to the company’s profitability. Mario’s grandson must examine alternative ways to run processes and apply the learning curve concepts to test the alternative against the existing process. The objective is to increase organizational performance in order to maximize profits for Mario’s Pizzeria. Learning Curve Concepts Applying the learning curve concepts to assist in improving and streamlining the process will allow Mario’s grandson to recognize the transformations of the company when each decision is considered and acted upon. In business it is important to understand that, “Learning curves are also an integral part in planning corporate strategy, such as decisions concerning pricing, capital investment, and operating costs based on experience curves” (Chase, Jacobs, & Aquilano, 2006). Mario’s grandson must understand a very important concept; it is not only about managing the waiting time for the customers but also maintaining the balance between the demand in service and the capacity to provide that service. Whenever there is a change to an element in the service system there must be attention made to the services capacity, the gains must be compared to the overall costs of the system. Measuring Performance Mario’s Pizzeria is located in a mall and the traditional pizzeria located in a mall has on average customers
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