Response and Tech Memo

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Allison-and-Andrew-Anderson-have-successfully-oper-2.docx

Allison and Andrew Anderson have successfully operated Speedy Pizza in a popular ski area in Colorado. Although they believe sales have been increasing for both the dine-in and carry-out, the carry-out business seems to be presenting problems. They have asked us for a monthly forecast of the carry-out pizza for the next fiscal year along with some insights of the nature of the demand for their carry-out pizza beyond next fiscal year that would help them with their planning. I gladly agreed knowing that my associates could do it and do both requests well.

The Anderson’s have indicated to me that the demand for dine-in slightly fluctuates throughout the year but seems to be quite predictable. However, the demand for the carry-out seems to be highly volatile all year. This has caused them supply problems since they plan for deliveries in advance because of their mountain location.

They have provided us the following number of carry-out pizzas sold:

Carry-out

Pizzas Sold

Fiscal Year

2016

2017

2018

2019

January

2046

3489

4919

6357

February

2511

4209

5887

7554

March

3042

4956

6880

8806

April

2790

4472

6163

7845

May

2519

3957

5401

6835

June

2417

3742

5061

6372

July

2076

3150

4232

5303

August

1670

2514

3361

4204

September

752

1108

1467

1831

October

1298

1892

2509

3109

November

1890

2729

3565

4411

December

2517

3602

4684

5752

Analyze the Anderson’s problem, prepare a response memo to them adequately and appropriately responding to their requests, and prepare a separate technical memo to me presenting the details of your approach and analysis.