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Pizza Hut Delivery! An Operational Analysis of the
Delivery System Asuncion, Dalman, Doromal, Dy,
Generoso, Mejia, OngMay 11, 2010
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Overview, Process
• 2 main areas– Customer relations station– Actual Pizza Hut branch
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CRS • Customer info– first information that is
automatically asked is the customer’s phone number
– If the customer has previously used the service, the system will automatically recognize the phone number • then proceeds to take down
the customer order, verifies that all order is complete and correct, and informs the caller the total price. If not, the process repeats itself
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CRS
• If new customer– call back after 2-5minutes to verify the customer
information and order
• Order time is targeted at 2 minutes or under
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Actual Pizza Hut Branch• electronic call order slip
is received by the branch and is automatically printed out – pre-order employee
monitors these requests
• pre-order team – assembles the basic
ingredients of the pizza– prepare time is targeted
at 2 to 2 ½ minutes tops
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Actual Pizza Hut Branch
• “Make Pizza” stage– oven for over 5 to 5 ½ minutes tops– then cut and dispatched, including cutting the
pizza into slices, packaging it into the appropriate box and sealed, assembling the other orders (i.e., a liter of soda), and all the condiments that go with it• done in 3 ½ minutes or less
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Actual Pizza Hut Branch
• package is then given to the delivery personnel who take the pizza to the desired location
• The total process of making the pizza once the call order slip has been received to actual delivery should be 30-45minutes or less.
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Delivery
• When the delivery person reaches the destination– protocol mandates that
he presents each order to the caller
– If everything is satisfactory, customer proceeds to receive everything and pays for the food• cash, EPS, or credit card
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9
CUSTOMER CUSTOMER SERVICE CENTER
PIZZA HUT BRANCH
Total Cycle Time:
Min.: ___min
Max:___ min
Ave.: ___min
Total Distance Traveled:
Min.: ___m
Max.: ___m
Ave.: ___m
START
Call 911-11-11
A
A
Call routed to CSR
CSR gets contactdetails and order
First time caller?
B
C
Call verify
N
Y
B Call Order Slip C
Prepare time
Make Pizza
Cutting and Dispatching
Delivery
Delays? D
Branch Mgr coordinates
N
Y
C
D
Correct and in good
condition?
EN
Y
E
END
Order complete and
correct?A
N
Y
O.R. presented to customer
Receives and pay
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Mudas1. Delay in taking
down the order– Communication-
related problems
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Mudas 2. Delay in making the pizza– Different
promos presents several difficulties for personnel to produce • i.e. sausage-
filled crust w/ cheese dips
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Mudas 3. Delay in delivery– motorvehicle
may not have enough gasoline
– heavy motorist traffic
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Mudas– delivery man may not
have enough “load” or credits for his cellphone to call if:• He could not find the
place of delivery • He is outside the
customer’s house but there is no one to receive the food delivery
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Mudas• there is no
definite queuing system for assigning who will deliver the food next
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Countering the Mudas
• With regards to taking the customer’s order– ask clarificatory questions – ask the customer to speak more clearly
• With regards to making the pizza– Strategize the work table/environment.– Study the overall lay-out and experiment with
different arrangements.
• **these two countermeasures are not corrected with regards to the flow of the system
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Countering the Mudas
• With regards to the delivery: additional steps or sub-operations along with the overall flow– rider is already assigned by the time the orders
have been cooked– motorcycle has already been checked and is ready
for the next departure – rider has enough cellphone credits to make a call
and text – rider knows the route to the place of delivery
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17
CUSTOMER CUSTOMER SERVICE CENTER
PIZZA HUT BRANCH
Total Cycle Time:
Min.: ___min
Max:___ min
Ave.: ___min
Total Distance Traveled:
Min.: ___m
Max.: ___m
Ave.: ___m
START
Call 911-11-11
A
A
Call routed to CSR
CSR gets contactdetails and order
First time caller? B
C
Call verify
N
Y
BCall Order Slip and assign a rider for the
delivery
C
Prepare time while rider checks motorbike, phone, and route
Make Pizza
Cutting and Dispatching
Delivery
Delays? D
Branch Mgr coordinates
N
Y
C
D
Correct and in good
condition?
EN
Y
E
END
Order complete and
correct? A
N
Y
O.R. presented to customer
Receives and pay
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