# Apply the Learning Curve Theory: The Relationship Between Unit Production Time And Cumulative Number Of Units

Topics: Learning curve, Profit, Experience curve effects Pages: 3 (820 words) Published: February 23, 2013
Apply the Learning Curve Theory
Julia Salazar
OPS/571
January 28, 2013
Hiram Velez
Apply the Learning Curve Theory
According to Chase, Jacobs, and Aquilano (2006), a learning curve is a line displaying the relationship between unit production time and cumulative number of units produced (p. 135). Any business environment on individual or organizational level can benefit from using the learning curve. Additionally, “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, p. 135).

Pizza Store Layout Simulation

The path to a successful and lucrative business involves finding the correct formula that would calculate how to decrease losses and maximize sales. Mario’s Pizzeria store layout simulation required the class to take a position of a restaurant manager and decide how to increase current profitability. The third assumption of the learning curve, “the reduction in time will follow a predictable pattern (Chase, Jacobs, Aquilano, 2006, p. 135), applies to this weeks assignment the most. A manager should always consider operational characteristics such as the line length, the number of customers in the restaurant, the waiting time spent in the line, the total time spent in the restaurant, and the service facility utilization (University of Phoenix, 2002).

Performance Metrics
| |Groups |Groups |Balked 2/4 |Avg. wait |Avg. queue |Profit |Lost sales | | |of 2 |of 4 | | | | | | |Week 1-2 |71 |105 |2/38 |11.64 |3.13...