Paulo's Pizza has a fairly simple process, as shown in Figure 4.20. Answer the following questions. Assume that the capacity of the oven is 3 pizzas at a time and that you start with a single worker.
a. If orders for pizzas arrive every 10 minutes, how many pizzas can Paulo's sell per six-hour shift? How long will it take to fill a customer order?
b. What will the utilization of the single worker be? What is the effect of variation in demand (i.e., orders do not arrive exactly 10 minutes apart, but instead average 10 minutes apart)?
c. If a pizza sells for $16 and the ingredients cost $5, what amount of profit can Paulo's make per hour? What is the value of a second worker to help out Paulo? What will the utilization of the workers be?
d. Evaluate the value of a reduction in the pizza price to $13 if that will result in an average of one order every 7 minutes.

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Colledt S Cut pizzaDeiver Roll doughy Make pizza (min Unload oven ( min) and box Bake ( in Load oven 2 min (2 min) 6 min) FIGURE 4.20