Learning Curve Theory
based on three assumptions:
1. The amount of time required to complete a given task or service will be less each time the task is undertaken.
2. The unit time will decrease at a decreasing rate.
3. The reduction in time will follow a predictable pattern.
Individual Learning (autonomous)
workers perform tasks more proficiently; tendency for performance improvement to "plateau"; occurs naturally
Organizational Learning (exogenous)
new "production" methods and tools; improved service design from the standpoint of ease of "production"; layout; automation; administrative changes
Interruptions in the learning curve (Re-learning)
occur when:
(i) new services are introduced
(ii) the design of the process is changed
(iii) intermittent "production" occurs for the same service
Plateauing
typically has two phases:
(i) initial or start-phase representing the early manufacturing experience with the service
(ii) the steady state phase representing the point at which learning is minimal
Has been observed with a much greater frequency in machine-intensive (as opposed to labor-intensive) production environments
