Pizza Store Simulation
January 25, 2012
Barnie Wallace, Ph.D.
“Equivalent of 350 slices of pizzas are eaten by Americans every second – a clear indication of the size of this multi-billion dollar industry (University of Phoenix, 2011).” A significant number of the pizzerias serve customers who, on average, arrive in groups of 2 to 4 every 3 to 5 minutes. In this simulation, we are to create a system to maintain a balance between the demand for service and the capacity to provide the service. Our purpose is to manage waiting lines as well as increase the service capacity of the business. We will implement different scenarios for a period of two months. ...view middle of the document...
At the beginning, 37 groups of four balked or left the restaurant without being served. Changing the distribution of tables and establishing a priority rule was a good decision. After making the change, the average waiting time changed to 5.96 minutes and the average queue length changed to 2.49; and a profit of $1,509 was earned.
This solution was successful reducing the waiting time considerably and making a reasonable profit. The wait staff and kitchen staff were not changed allowing operating costs to stay low.
Problems with the Ovens
Two of the four manual ovens broke down and the remaining two are malfunctioning. The mean processing time of the remaining two has increased to fifteen minutes. Another worrisome issue has been the mean processing time of the waiters. This has increased from eight minutes to thirteen minutes. We decided to buy the conveyor oven form Plax to replace both the manual ovens. This was a good decision since the mean processing time of the manual ovens had increased to 15 minutes. The mean processing time of the conveyor is 4.00 minutes and has reduced the waiting time considerably.
We also decided to buy the MenuPoint System. This reduced the mean processing time of the waiters from 13 minutes to eight minutes and had a significant impact on the waiting time. The average waiting time in the restaurant is now 4.11 minutes and the average queue length is 2.42.
This is a good solution as the utilization of all the servers in the restaurant now ranges between 60 to 80 percent and very few or no groups balked or left the restaurant without being served. The profit earned by this decision is $1,632 and the lost sales amount reduced to $345.
Renting Cream Puffs decision
To meet the increase in demand, we decided to rent Cream Puffs, the next-door bakery. This is a good decision as the capacity at Mario’s has increased by seven tables for four and four tables for two. The average waiting time is now 3.29 minutes and the average queue length is 3. We earned a profit of $1,998, but lost sales worth $690. This new decision gives the restaurant...