Learning Curve Theory

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Category: Business and Industry

Date Submitted: 11/07/2010 05:30 PM

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Learning involves accumulation, consolidation, exploration, articulation and feedback, all of which can be seen in effective operations management. The principle of the learning curve theory is process improvement. The process improvement will occur as a result of the repetitive nature of the tasks. This improvement can occur on an individual level and on an organizational level. “Learning Curve Theory" is based on three assumptions:

1. The amount of time required to complete a given task or unit of a product will be less each time the task is undertaken.

2. The unit time will decrease at a decreasing rate.

3. The reduction in time will follow a predictable pattern” (Chase, Jacobs, Aquilano, 2006).

The purpose of this assignment is to explain how I can apply the learning curve concepts to test the alternative against the existing process at Mario's Pizzeria which is a business process simulation provided at the University Of Phoenix website. The average wait time to get a table at Mario’s has been estimated to be seven to nine minutes, considerably close to industry limits. Decisions need to be made and processes changed to enable Mario’s to reduce its wait time allowing more customers to be served within a reasonable amount of time while keeping balance between the demand for service and the capacity of the system to provide the service. The process must be defined and appropriate metrics identified in which to measure the process efficiently.

Performance Metrics Data

The table for process performance data for the metric identified in the Pizza Store Layout Simulation is as follows:

Weeks No of Customers for Group of 2 No of Customers for Group of 4 Avg. Wait Time(Min) Avg. Queue Length Profit ($)

3-4 71 105 4.96 2.5 1477

5-6 67 109 4.32 2.26 1695

7-8 96 143 3.32 2.72 2040

There is definite improvement in average waiting time for customers from weeks 3- 4 through weeks 7 – 8. It has decreased from 11.67 minutes in weeks 1 – 2 down to 3.32...