Pronto Pizza is a family-owned pizza restaurant in

Vinemont, a small town of 20,000 people in upstate New

York. Antonio Scapelli started the business 30 years
ago as Antonio's Restaurant with just a few thousand
dollars. Antonio, his wife, and their children, most of
whom are now grown, operate the business. Several years
ago, one of Antonio's sons, Tony, Jr., graduated from
NYU with an undergraduate degree in business
administration. After graduation, he came back to
manage the family business. Pronto Pizza was one of the
earliest pizza restaurants to offer pizza delivery to
homes. Fortunately, Tony had the foresight to make this
business decision a few years ago. At the same time, he
changed the restaurant's name from Antonio's to Pronto
Pizza to emphasize the pizza delivery service. The
restaurant has thrived since then, and has become one
of the leading businesses in the area. While many of
their customers still "dine-in" at the restaurant,
nearly 90% of Pronto's current business is derived from
the pizza delivery service. Recently, one of the
national-chain fast food pizza delivery services found
its way to Vinemont, New York. In order to attract
business, this new competitor has guaranteed delivery
of its pizzas within 30 minutes after the order is
placed. If the delivery is not made within 30 minutes,
the customer receives the order without charge. Before
long, there were signs that this new pizza restaurant
was taking business away from Pronto Pizza. Tony
realized that Pronto Pizza would have to offer a
similar guarantee in order to remain competitive. After
a careful cost analysis. Tony determined that to offer
a guarantee of 29 minutes or less. Pronto's average
delivery time would have to be 25 minutes or less. Tony
thought that this would limit the percentage of "free
pizzas" under the guarantee to about 5% of all
deliveries, which he had figured to be the break-even
point for such a promotion. To be sure of Pronto's
ability to deliver on a promise of 29 minutes or less.
Tony knew that he needed to collect data on Pronto's
pizza deliveries.
Pronto Pizza's delivery service operates from 4:00 p.m.
to midnight every day of the week. After an order for a
pizza is phoned in, one of the two cooks is given the
order for preparation. When the crust is prepared and
the ingredients have been added, the pizza is placed on
the belt of the conveyor oven. The speed of the
conveyor is set so that pizzas come out perfectly, time
after time. Once the pizza is ready and one of Pronto's
drivers is available to make the delivery, the pizza is
taken in a heat-insulated bag to the customer. Pronto
uses approximately five to six drivers each night for
deliveries. Most of the drivers hired by Pronto Pizza
are juniors and seniors at the local high school. Given
the large number of deliveries made each evening, Tony
knew that he could not possibly monitor every single
delivery. He had thought of the possibility of having
someone else collect the data, but given the importance
of accurate data, he decided to make all of the
measurements himself. This, of course, meant taking a
random sample of, rather than all, deliveries over some
time period. Tony decided to monitor deliveries over
the course of a full month. During each hour of
delivery service operation, he randomly selected a
phoned-in order. He then carefully measured the time
required to prepare the order and the amount of time
that the order had to wait for a delivery person to
become available. Tony would then go with the delivery
person to accurately measure the delivery time. After
returning, Tony randomly selected an order placed
during the next hour and repeated the process. At the
end of the month. Tony had collected data on 240
deliveries. Once the data were available. Tony knew
there were several issues that should be addressed. He
was committed to going with the 29-minute delivery
guarantee unless the data strongly indicated that the
true average delivery time was greater than 25 minutes.
How would he make this decision? Tony also realized
that there were three components that could affect
pizza delivery times: the preparation time, the waiting
time for an available driver, and the travel time to
deliver the pizza to the customer. Tony hoped that he
had collected sufficient data to allow him to determine
how he might improve the delivery operation by reducing
the overall delivery time.

Assignment
Tony has asked you for some assistance in interpreting
the data that he has collected. In particular, he needs
to know if the true average delivery time for Pronto
Pizza is greater than 25 minutes. Use the data in the
file PRONTO.XLSX to answer his question. A description
of this data set is given in the Data Description
section. Also, examine the data for further information
that might help Tony in making his decision about the
29-minute delivery guarantee and in improving his pizza
delivery service. The Case Questions will assist you in
your analysis of the data. Use important details from
your analysis to support your recommendations.

Data Description
The data file contains the data collected by Tony
Scapelli over the past month on Pizza deliveries. Data
are recorded for each delivery order placed in the
manner described below.

The variables are defined as follows:

Day: Day of the week (1=Monday, 7=Sunday).
Hour: Hour of the day (4-11 pm).
Prep Time: Time Required (in minutes) to prepare the
order.
Wait Time: Time (in minutes) to prepare the order.
Travel Time: Time (in minutes) it took the car to reach
the delivery location.
Distance: Distance (in miles) from Pronto Pizza to the
delivery location.

Day Hour Prep Time Wait Time Travel Time Distance

5 4 14.86 3.08 6.02 2.5
5 5 14.84 13.81 5.47 3.3
5 6 15.41 9.91 8.99 4.9
5 7 16.34 2.08 7.98 3.8
5 8 15.19 2.69 9.01 4.9

1. Is there sufficient evidence in the data to conclude

that the average time to deliver a pizza,
once the order is placed, is greater than 25 minutes?
Perform an appropriate statistical analysis
and attach any supporting output.
2. What percentage of the time will Pronto fail to
meets its guaranteed time of 29 minutes or
less? Explain how you arrived at your answer and
discuss any assumptions that you are making.
Will they meet their requirement of failing to meet the
guarantee 5% of the time or less?
3. Does the day of the week have an effect on delivery
time? Attach any supporting output for
your answer.
4. Does the time of day have an effect on delivery
time? Attach any supporting output for your
answer.
5. Discuss Tony Scapelli's data design and collection.
Comment on any potential problems resulting
from the way in which the data were collected. Would
you recommend that he collect additional
data in order to better evaluate the pizza delivery
service? Explain.
4. Based on your analysis of the data, what action (or
actions) would you recommend to the owners
of Pronto Pizza to improve their operation? Attach any
supporting output that led to your
conclusion.