Group 3
Week 2
Vivian Montoya
Jeremy Vigil
Sondra Young
INSTRUCTOR
Barrington Shaw
EXECUTIVE
SUMMARY
Pic Your Pizza was established in 1996 and is family owned but not operated. The Family/owner has no desire to participate in the business. They just want to “Collect the money”. Owner is unwilling to add more staff because this will take money away from their Vacation home. This has compounded our problem below. We are a thriving business, which handles 50 square miles. Our delivery driver is getting a workout. We have a lobby with 3 tables and not much else. We have put our effort in the quality of our food not the esthetics of the restaurant. We are a local shop and many customers are regulars. Many customers are very satisfied with the tastes of our pizzas but service has suffered because of our popularity. We use fresh ingredients and add special spices to our dough. This gives our pizzas a unique taste. This has given us a nitch market and has allowed us to compete with the national chains. I.e. Pizza Hut. Word of mouth has made us a local icon for our area. Some people say we have the best pizzas in the state of Colorado. We would agree but we’re biased.
THE PROBLEM
Pic Your Pizza is experiencing a high volume of phone calls. This is due to the popularity of our Pizza. The pizza orders are not being delivered accurately. Pizza orders are getting delivered to the wrong address along with the wrong order. This is happening 25% of the time so that is 25% profits we are losing due to pizza remakes. Also we are losing time our delivery driver could be using to deliver other people’s pizzas. We only have two phone lines so our potential customers are hearing a constant busy signal. We find that our cashier is overwhelmed with phone calls and irate hungry customers. We are currently using an old fashioned cash register with a carbon copy of receipts to write down the actual phone order. The only employee communication here is hollering back to the cooks in the background and passing on the carbon copy phone receipts. In the mean time the receipts are getting lost and the wrong information is being passed on to the cooks.
THE
SOLUTION
We want to upgrade our cash register to a computer system. We want to establish our own web-site as well. We can network our web server and our cash register so we make a list of pizzas needed on a first come first serve basis. The World Wide Web is quickly becoming the most effective way for anyone to advertise their products and services to potential customers globally. The price of this world wide web advertising or internet advertising campaign is less expensive than that of the traditional local advertising campaign. We want our customers to be able to pick and choose the pizza they want. Our new system will provide the following:
· This system will provide inventory control.
· This will increase customer service and accuracy of orders while at the same time decrease all the carbon copy receipts.
· It will increase direct communication to our first line cook.
·
It will help address the fastest growing advertising
medium in the pizza business.
·
We will be able to handle our higher call volume.
FEASABILITY:
COST
Owners have taken
out a $50,000 loan. This will be enough to get the business on the right track
and also do the system upgrade. Forecasting increase in sales this year and
calculating increase in profit will help pay back the loan and pay for the new
website designed including the system upgrade. Improving advertisement by going
online and with the new system, customer service will be highly increased along
with sales.
OPERATIONAL
The operation will
definitely change dramatically. Especially the impact it will have on customer
service since the new system will automatically enhance and allow us to handle
a higher volume of customers in a more organized manner. Calls will also be
handled promptly and customers will be able to receive a confirmation number
that will enable us to handle problems more efficiently.
TECHNICAL
The technical aspect
is a big plus for our business. However we are using the same computers and our
own server. We are only hiring a web designer to do all the upgrading of our
system and create our new website. Training will be provided. Employees are not
computer literate. Not only will training need to be done for the website we
will need to train employees on how to use the computer. Customer will also
need to be trained. We expect customers to be calling us on how to use the
website.
