Description of the organization and/or department Chipotle Mexican Grill, Inc., also known as Chipotle, is an American chain of fast-food restaurants. Starting in Denver, Colorado, on July 13th, 1993, Chipotle has approximately 2,500 franchises as of 2018, spanning in the U.S. and four other countries.

Description of the organization and/or department

Chipotle Mexican Grill, Inc., also known as Chipotle, is an American chain of fast-food restaurants. Starting in Denver, Colorado, on July 13th, 1993, Chipotle has approximately 2,500 franchises as of 2018, spanning in the U.S. and four other countries.

With the growing awareness of a healthy diet in society, Chipotle aims to serve food that is ethically and naturally produced, using only high-quality ingredients. In 2015, an online survey conducted by Global Health & Wellness suggested that “88% of respondents stated they were willing to pay more for healthier foods”(Bellanger, 2018). The ratio was even higher for Millennials. As consumers opt-in for healthier dining, Chipotle gains more popularity since it tries to align with its mission of food with integrity. In a ranking of fastest-growing restaurant chains in 2009, Chipotle was ranked eighth, and in 2010 the third based on the number of increases in the U.S. In December 2010, Chipotle hired chef Nate Appleman, the winner of Rising Star Chef award from the James Beard Foundation and “Best New Chef” by the Food & Wine magazine.

“According to a 2010 interview with Steve Ellis, founder of Chipotle, the company served over 610 customers”(Chipotle.com) per day per store among their approximately 1,230 locations in the U.S. In 2015, the number increased to 2,190, and approximately 1.5 million people ate at Chipotle every day. That was over 685 customers per restaurant per day. Fast as it grows; however, the waiting time is becoming more of a more significant issue. In most cities during lunchtime on weekdays, the average waiting time is between 20 minutes and 35 minutes. In some places, people even have to wait longer. Speed and reliability are just as important as flavor and ingredient. Some research has shown that burrito lovers might move to a different “spot if the promised convenient ordering process turns out to involve a long wait”(PYMETS).

Chipotle tried to mitigate the waiting issue by leveraging modern technologies. They started a mobile ordering service since 2008. In the beginning, it took approximately 45 minutes for an order to be ready for a pickup, and the time is now close to 12 minutes, even with mobile orders increasing 41 percent to reach 8.8 percent of all sales between 2017 and 2018. With the advancements of the kiosks ordering system, Chipotle could make further improvements to its customer experience.

Stakeholders of the existing system

Who are the Stakeholders?

• Stakeholders are the people or groups with an interest in the success or failure of an organization.
• Stakeholders can affect or be affected by the organization’s actions, objectives and policies.

Some of Chipotle key stakeholders include:

• Employees, from whom Chipotle solicit feedback at town halls. Before town halls, staff employees can submit questions for senior leaders. Employees can also give feedback to their team leaders and via Chipotle internal Respectful Workplace Hotline. They can also contact ethics hotline, Chipotle Confidential, to submit complaints or concerns about business and operations. Chipotle also conduct a Culture Survey to solicit employees’ feedback.
• Customers, from whom Chipotle solicit feedback in a number of ways. Chipotle provides an online customer service tool through which anyone can contact us regarding any concern or compliment. Chipotle also conduct customer satisfaction research via online surveys and direct customer research surrounding specific launches or ingredients.
• Shareholders, who elect the members of Chipotle Board of Directors and vote on other important corporate matters
• Suppliers
• Regulatory groups
• NGOs
• Sustainability groups

Issues within the organization and/or with the system

The current system at Chipotle is divided in 5 sections. The first station is where the customer arrives and chooses from an option of Soft Burrito, Rice bowl or Taco. The second station is where the customer chooses the type of Rice and meat. Afterwards, the third station is where the customers choose what kind of vegetables they want. The 4th session is where the attendant packs the selected meal and gives it to the worker at the cashier. Which gives an average time of around 11 min for the customer.^[1] Meanwhile, the fast-food average waiting time is about 5 minutes.^[2] The waiting line at Chipotle is therefore more than twice the average time. The longer wait is at the third station where customers have many options to choose from for their vegetables. New customers or undecided customers can take a long time at this station therefore this can create some frustration for the customers that already know what they want.

Thus, we suggest a new automated system to reduce the waiting time and increase efficiency. Chipotle should have screen touch kiosks like found at McDonalds nowadays. This will reduce the waiting time because new customers might decide to go to the screen instead of making people wait in line therefore only customers that already know what they want would go through the stations. Current customers could also use the screens and only wait for their order. This new process will definitely reduce the queue waiting time. The automated kiosk could also improve the customer experience as shown by multiple articles, kiosks make the customer more comfortable because they know they can’t be judged for their choices^[3]. The customers also prefer screens because it is more convenient, efficient and accurate.

Interfaces between this system and other systems

There are several design features of a system of equipment that affects or is affected by features of another system. In the case of Chipotle, a Mexican Grill American chain fast food restaurant, customer service is one of the most important aspects of the company. The connection between Chipotle’s systems is detrimental to its business process. In designing Chipotle’s current food ordering system, the payment system is a system it connects to so that clients can order their food. In this case, the food ordering system is a system that the payment system interfaces with.

In an attempt to reduce the time spent in line waiting to order food and reduce transaction cost accumulated through streamline payment systems from Chipotle, credit or debit card payment system interfaces with the Point of Sales system. The Point of Sale system enhances and promotes better services with reduced cost. A mobile payment system will help customers get the opportunity to pay for their orders on their mobile phones. By paying on a mobile phone Chipotle will save on credit and debit card transaction costs. By introducing a touch screen interface to help reduce the long lines at Chipotle, orders are more accurate, and time is saved from standing in line. The touch screen system connects with the payment system.

On the other hand, the online ordering system provides a map for nearby Chipotle restaurants and helps display real time pricing and tax included. The online ordering system interfaces with the other systems. Another way to save time and help customers make a choice is by creating an identification for each customer with their order history. By having their order history customers could order in a click. This identification system connects with the ordering system, which in turn connects with the payment system. Another interface will be Chipotle’s security system where operations are streamlined, and valuable business insights are gained. This security system interacts with the managerial access control system of Chipotle.

^[1] https://www.academia.edu/5191558/Chipotle-Queuing_System

^[2] https://www.researchgate.net/publication/255857447_Analysis_of_Expected_and_Actual_Waiting_Time_in_Fast_Food_Restaurants

^[3] https://www.forbes.com/sites/quora/2018/08/09/why-is-mcdonalds-moving-toward-kiosks/#3b1d686f6681

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