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ANALYSING THE DIFFERENT ORGANISATIONAL TECHNIQUES

JOSE,S restaurant is a small 58 seats restaurant that is located in England fully grown business place .It is decorates with pure Spanish Mexican style .interior design and background music present the Spanish culture

Restaurant offers big range of Mexican food .basically it deliver two things at a time, one is preparing food and second is serving food with in restaurant. Kara---- is a new gradually student of this restaurant who make or prepare the beverage for customers. He cope up his staff to achieving the restaurant’s goals.resturant staff include waiter and cock. He believes that the good relation with staff is more important, because cocks are only the main source to maintain such a high quality.

They are more customized in term of order, because customer service is their primary goal. So they used to fulfil all orders and expectations in term of good quality and test. The good cooking’s depends on cooking requirements if material and ingredient is good, meal will in good test and delicious. Last time cook inform that supplied material is not up to the marks. As a result they have spent more of time to prepare good food for their customers. Which increases delivery time .another good thing of the restaurant is that they are customer focused; thire waiters treat their customers very nicely and keep on eye customer’s table. So that their needs can be fulfil by them as soon as possible.resturant also has a wide range of menu, their menu exhibits different verities such as chicken, beef, floor and vegetable. Among than 23 items are those which can very quickly to combine them as on requriments.so we can say that their inventory and customer relationship management is quite impressive

But in the other hand restaurant cannot manage his raising demand on Friday and Saturday nights when customer have to wait up to 45 minutes outside the restaurant and some time it depends on customer queues that causes of bad effects on restaurant’s good will and reputations .it means that restaurant has zero capacity cushion for new customers another problem with this restaurant is that it take longer time to serve foods to their customer. as a result customer have to wait a lot on the table .as well as the customer who are wait outside the premise because they use to prepaid fresh food for their customers which result more delay for those who wait outside.

Major issues discussed

Production process and inventory management

Inventory manage

‘‘Managing inventories is a process that requires information about

expected demand of inventory and in hand and on order for every

Item stocked by the firm’’ (Jeff Hey,2010,9e, By Krajewski/Ritzman/Malhotra,Pearson Education)

Although it is responsibility of cock or staff but manager also take part to control inventory system. He knows that what stock should be order to supplier. The menu of restaurant consist of 23 items, which are managed by cock because he have to prepare meal order by mixing up these entries

Production process

‘‘Production process means is to Identify the key inputs and outputs of a process collect data on their behaviour over the entire operating range estimate the steady-state behaviour at optimal operating conditions and build models describing the parameter relationships across the operating range’’ http://www.itl.nist.gov/div898/handbook/ppc/ppc.htm

Process characterization is an activity in which we:

identify the key inputs and outputs of a process

collect data on their behaviour over the entire operating range

estimate the steady-state behaviour at optimal operating conditions

and build models describing the parameter relationships across the operating range

The result of this activity is a set of mathematical process models that we can use to monitor and improve the process. In my point of view

‘‘production process means how works flow from one department to another department’’

In the restaurant when patrons entered .the serving department starts its work, the waiter welcomed them and guide to seats. After he reads daily special .the customer ordered to him. Waiter takes order of meal and it give to cooking and food predation department

The cock takes this recite of order and start to prepair the order .according to main menu which consist 23 items. The cock easily makes different order of meals with the help of basic stock .all the meal which is order form a table that approximately complete in same time.

Now waiter checks all meal is correctly placed and pleasing to eye. If any mistake is there .he will correct this and offer to customers. After the meal finish by customers waiter approach there and take order, if any further beverage need. Bring this beverage with smile .after finish all things waiter present bill. The manager do not take any business check, he only received cash or major credit as payment

Competitive environment

‘‘The external business environment in which a firm compete with others by changing and adopting new organizational needs.’’ (Jeff Hey,2010,9e, By Krajewski/Ritzman/Malhotra,Pearson Education)

In this restaurant see outside the building, what changing’s in business? What competitors are doing how it compete e.g. other organization develop new verity of food. Now it is the responsibity of manager of restaurant that he must lunch new deals of food for compete with their competitor.

Quality management

Derived from the ISO 9001:2000 standard, these eight principles are (1) Customer focus: Management should understand (and anticipate) the customers' needs and requirements, and strive to exceed customer expectations in meeting them; (2) Leadership: Management should establish unity of purpose and direction, and create and maintain an environment in which everyone can participate in achieving the organization's objectives; (3) Involvement of people: Management should involve all people at all levels so that they willingly that an objective is achieved more efficiently when activities and associated resources are managed togeth contribute their abilities in achieving the organization's goals; (4) Process approach: Management should recognize as a process; (5) Systems approach: Management should recognize that identifying and understanding interrelated processes, and managing them as a system, is more efficient and effective in achieving the organization's objectives; (6) Continual improvement: Management should aim at steady, incremental improvement in the organization's overall performance as a permanent objective; (7) Factual approach to decision making: Management should base its decisions solely on the analysis of data and information; (8) Mutually beneficial supplier relationships: Management should enhance the interdependent relationship with its suppliers for mutual benefit and in creation of value.(businessdictionary.com) BusinessDictionary.com. BusinessDictionary.com. BusinessDictionary.com.

Quality management process of three parts:

1 inputs 2 process/transformation 3 output

In the Mexican restraint cock is major source to define quality but he said last time that our external supplies do not supply good material in form of chicken and vegetable that supplies are below standard.

Due to this Mexican restaurant take long time to prepare food and due to late predation, restaurant delivery order of meal speed become more we can solve this problems by lean system

‘‘Reduce extra and unnecessary activities from main activity’’

We can use continuous improvement in a lean system .we reduce our Wastage of time which incurred by slow delivery speed of the product .because the cocking .time become high due to more bone than meet. If restaurant get high quality material than they will not consume more time in cooking the delivery speed become high.

More customization and customer contact

‘‘The extent to which the customer is present, is activity involved

And receives personal attention during the service process.’’

In the restaurant customer actively participate in service development when waiter asked from list what they required it depends on their choice. When we use pull method under lean system in which restaurant make the list or curry for customer to select anyone of these.

Capacity management

The capacity management is the serious issue of the Mexican restaurant the manager of the Mexican restaurant do not pay attention towards restaurant capacity because it has no capacity to manage huge demand of food serving and preparing the food. In the peak time this situation became worse and customer or standing outside the premise this situation impose bad impact on the restaurant good will and people diver to anther restaurant

Now the manager must be trying to manage the situation in positive conditions and cash this situation .manager should handle this (high demand of the meal) more customers which are willing to enjoy your meal. But this situation become more worse .it handle only by acquire new building and adjust more seats in current bullying of the restaurant.

Question NO#1

How should quality be defined at this restaurant?

Solution:

Before giving the answer of this question would like to gave definition of quality which will support the answering of this questioning the end.

According to ISO 9000AND 2000

ISO 9000:2000 addresses quality management by specifying what the firm does to fulfill the customer’s quality requirements and applicable regulatory requirement while enhancing customer satisfaction and achieving continual improvement of its performance.(Jeff Hey,2010,9e, By Krajewski/Ritzman/Malhotra,Pearson Education)

By OGC Prince

‘’Quality is a question of identifying what is about the project’s product or services that make them fit for their purpose of satisfying sated needs’’.

From my point of view quality is something that you give something unique to customer or delivers something new which your customer do not aspect. When a customer enters in the restaurant, he will expect a lot of things from the restaurant some of the are listed below:

Safe and secure environment

Exceptional greeting from staff (waiter)

Good customer support (after sale service)

Good food quality

Delivery time should be minimum (fast delivery)

Artificially created environment (such as background music)

As for as this restaurant is concerned, they used to follow almost all item, which are listed above. they provide a very safe and secure environment to their customer and the customer do not feel afraid when they are inside the premise .the restaurant also provide exceptional greeting to their customers which is a good sign business for them. The restaurant also conducts survey from their customers on various attributes to achieve their high quality and enhance their abilities. The restaurant also provides good quality food according to their desire and expectations. They used to prepare good food according to their desires they adopt a procedure of continues improvement as their primary target is to deliver food according to customer taste. the restaurant has also created a relaxed environment with the help of restaurant background music and other things .but the drawback of this restaurant is that, they deliver food very late to their customers which gave negative sign in the term of restaurant quality .nobody (customers) have time for wait for an hour, they need to deliver food as early as possible. So that restaurant takes step to reducing timings of the delivery. They can employee more cock or more kitchen utilities so that so that food can be serve within a reasonable time. The restaurant also a problem with their space, as the result of these customers has to wait lots outside the premises. Due to this customer divert to another restaurant and the Mexican restaurant lose their customers

Question no. 2

What are the restaurant’s cost of poor quality?

Solution:

‘‘Poor quality means if the product and service does not satisfy or fulfil customer needs and expectations.’’

The quality process is also depends or consist of inputs and outputs quality as well. The restaurant inputs depend on supplier relation. Which quality of raw material he supplies to restaurant. the output depends on customer mood and expectations, what they require form restaurant due to Spanish Mexican restaurant the customer might be expect such a high and traditional quality food, which they used to in Spain .now restaurant fail to provides and achieve such a Spanish traditional food and also external supplier supply them below standard material e.g. poor quality vegetable and ingredients.

It shows poor relation with supplier means that restaurant’s manager is not able to create good and healthy relations with supplier .that why supplier supply them poor quality resources. Last time his shipment is so poor e.g. supplied chicken with more bones than meat due to this delivery speed become low off peak time and in peak time this situation become worse

On the other hand restaurant don’t have any capacity cushion the mean of capacity cushion is

‘’The amount of reserve capacity a process use to handle sudden

Increases in demand or temporary losses of production capacity.’’

(International operational management by Krajewski/Ritzman/Malhotra, )

Capacity cushion = 100%- average utilization rate

In the last Friday and Saturday nights customer wait up to 45 minutes outside the restaurant premise .because restaurant is full of customers .a outstanding party is called after any other departure in the peak time a meal is also take more time than off peak time .

Current Capacity

In this diagram we take time on X-axis’s and capacity on Y-axis. According to this diagram in the peak time demand is more and place of restaurant is unable to handle this situation and staff of the restaurant are face difficulty to fulfil customers requirements it but in the off peak time they manage all the thing easily.

The third problem which if find is about inventory system of the restaurant is not up to the mark. I mean inventory management system not properly managed.

Managing inventory is a process that require information about expected demans, amount of inventory on hand and on order for every item socked by firm

In the restaurant only cock manages stock. He only manage 23 main items that is not enough meet the peak time that requirements cock also manufacture the meal too late .it took 12mins in off-peak time that is too late

The restaurant only selects a market segment of Spanish people (Mexican) as a target market. However London is liberty as militia nation’s place or culture .because majority of London’s people belongs to any nation of the world. That why only Spanish people came here for parties or dinners

The restaurant manager does not take any interest in continues improvement under total quality management. The continues improvemt means:

‘’The philosophy of continually seeking ways of improve processes based on a Japanese concept called kaizen.’’

So main reasons for poor total quality is low speed of preparing and delivering enjoy able meals and other is waiting hours outside the premise

Question no#3

Use some if the tools for improving to assess the situation at jose’s.

Solution:

There are many tool that can use to improve the quality of jose’s Mexican restaurant .but i only use

Plan –study –do –act (Deming wheel)

Six sigma

Pareto chart

Tool to improving quality

The first tool is plan-do- study- act that can use to enhance restaurant quality

We can used plan-do-study-act cycle for continues improvement of quality.

Plan:

It is the first step of Deming wheel. In this step we analyze or observe what the problem is. In which area we can improve then we make documentation. In documents objectives and goals are set which company want to achieve

In Mexican restaurant manager should observe that there should a problem .and think where is problem .either problem in supply chain management or any other department .now manager thinks that problem with supplier that he does not supply good material or below standard material like chicken with more bones than meat and vegetables with appear wilted .now problem is find manager should make plan to report to supplier of his performance, return his goods and get new high quality supply. There is another option that manager should use which is to find new supplier at low cost and high quality provider.

DO

The manager and team implement the plan and monitors progress after collect the data of the improvement

In the JOSE’S Authentic Mexican Restaurant that material should be return to supplier and get good high quality material like chicken and collect the information about chicken’s and vegetable’s supplier .and proposal must be sent to different supplier

STUDY

The manager analyses and collected data during previous step do .find out the result correspond to the goals set in plan or not. In the restaurant scenario manager now evaluates the result that supplier supply high quality material or not and another supplier accept your proposal or not. If supplier not is send high quality chicken and may be other supplier does not accept your proposal .now you should move or again make plan with new commitments.

ACT

This last step of this Deming wheel. If result is success full this documentation become standard for all who may want to use in future. In the restaurant supplier supply high quality material and chicken against bad ones and new supplier accept you proposal sent you good quality material now manger able to manage the standard of the restaurant in present and as well in future

Another tool we can use that is about six sigma improvements

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Define

Determine the characterististisc of quality process and find the gap between customer satisfaction and company capabilities. (International operational management by Krajewski/Ritzman/Malhotra, )

In the restaurant‘s customer is not satisfied because they have to wait up to 20mintus and restaurant has no ability to handle this situation .restaurant does not deliver food below 20 minutes

Measure

Quantify the work the process does affect gap. Select what to measures collection plan sources and prepare a data collection plan. In Mexican restaurant manager think that why delay time take too much time make plan how this make quick faster and batter to customer and see where most of the time consume

Analyze

Use the data to perform analyze and establish procedures to make the desired outcome routine and apply data analyze tools e.g. cause–effect diagram and scatter diagram

In this restaurant manager analyze that because of late meal preparing and delivering is in cooking department .why preparing department took too long time? The reason is in defective raw material because supplier does not supply nice material such as poor quality chicken and low standard vegetables lasted restaurant received chicken with more bones. In my views main reason in this point or place where most of the time is consumed.

Improve

‘’Modify or redesign existing method to meet the performance objectives, implemented the changes.’’ (International operational management by Krajewski/Ritzman/Malhotra, )

Now we know, what is the problem, where is problem. in this step manager so the restaurant must be use some tool for improvement and introduce new method of working in the Mexican restaurant .manager needs to redesign way and technique of working ,cooking and preparing food. In this way we can solve these problems and reduce the time of preparation food. Manager should also improve supply chain management by creating good relation with current supplier and may contact with new supplier by any source e.g. internet or personal contact but using modern techniques.

In the service department of the restaurant staff should be more efficient and quick in their work. They use some new techniques to time saving in delivery speed. Manager should also make the time schedule for waiter and cock that how much time they spend on a meal and serving a customer. Time depends up the customer’s nature and ordered meal but manager sets the average time for these activities .he should be implements all the new and modern tools regarding to time saving.

CONTROL

Monitor the process to make sure that the performance level are maintained as well the statistical process control tools can be used to control the process.

Manager should take close relationship with staff to control all the activities and implementation. The restaurant manager make sure that high level of performance is trying to achieve and how much attain. he ensure that staff of the restaurant (waiter and cock) adopt new techniques which are stated in restaurant and understand all the procedure .how much they reduce the time in delivery and cooking of meal. Manager makes chart and table to check and evaluate the performance of the staff. And give suggestion where they are making and doing the mistake in polite managers

On the other hand manager must control supply chain management systems and develop more relation with the supplier if the supplier deliver wrong or below standard material it will be return and impose penalty if he doing same in future. In this way manager easily control situation of restaurant

Capacity cushion

‘’The amount of reserve capacity a process uses to handle sudden increases in demand or temporary losses of production capacity’’(International operational management by Krajewski/Ritzman/Malhotra, )

Capacity cushion = 100% - average utilization

Mexican restaurant has no capacity cushion .it operate at its maximum level of production .in the off peak time restaurant easily manage customer came and quickly seated .but in the peak time on the Friday and Saturday nights customer wait up to 45 minutes outside the restaurant premise in the car parking. This situation easily managed in long term planning but difficult in short run. But manager can be mange something in short runs. He should be manage more chair in the restaurant and by make fast and quick service by staff. So in this way Mexican restaurant serve more customers in short run.

(from International operational management by Krajewski/Ritzman/Malhotra, )

In this diagram we take time on X-axis and capacity on Y-axis, according to this restaurant operate his maximum capacity in normal daily routine but in peak time specially on weekends’ demand this situation become more worse .because restaurant has not any capacity cushion for uncertainty

Parato charts

When manager discover some problem , he will need to certain attention toward in this scenario the manager use the pareto chart that is use full tools for statistical data . Through this manager easily know what the cusecs are and where it effecting: for manufacturing the activity could be product defects and factor could be missing

Pareto concepts called 80-20 rule its means that 80 percent of the activity is the caused by 20 persent of the factor . Manager can control 80% problem by concentrating only 20% factors, Jeff Hey,2010,9e, By Krajewski/Ritzman/Malhotra,Pearson Education) in this restaurant problems are found by manger that are :

More crowds in weekends

Service is not good by waiters

Delay in serving time

Food is not enjoyable

More expensive low capacity

These are majored problems which are badly effecting the restaurant good will and reputation now manager is understanding these problems thinks about the effective solutions for the Mexican restaurant

Table of Parato chart

TABLE

PROBLEMS

COUNT

PERCENT OF TOTAL

Late in Serving

25

33.33

More Costly Food

16

21.13

Outside wait

13

17.54

Not Enjoyable Food

11

14

Waiter Satisfactory

10

13.33

Total

75

100

According to the table the bigest problem is more late takeing time in customer serving . althoug clint get seat but the waiter did not serve the in reasonable time or quickly.so customer become angry and go to or diverst an oth resturant. It means 33.33% peoblem due 25 factor. If manager control this problem , he will over come 33.33% problem of the resturant

Graph

You can see in the graph most common problem is slow and late serving to the customer. other inconvenience are less costly then its .which are costly food wait out side the restaurant premises ,food is delicious , preparing food and serving food.(Jeff Hey,p154-155,2010,9e, By Krajewski/Ritzman/Malhotra, Pearson Education)

CONCLUSIONS

The manager of the Mexican must be control their external supplier and supplies .in the supplier side he must be receive only good inputs materiel like pure and high quality material .through this manger and staff able to prepare food and deliver food on time .

Another issue that is low capacity of the restaurant as you know restaurant has no capacity to manage and handle the increasing demand of the Spanish food. We can solve this problem in short run ,if manager reduce the time of delay the delivery of the food when waiter serves the customer in short period of time then restaurant become able to serve more customer in same time in the long period manger require new building with new and effiction staff .

Referencing

Jeff Hey,2010,9e, By Krajewski/Ritzman/Malhotra, Pearson Education)

http://www.itl.nist.gov/div898/handbook/ppc/ppc.htm

NIST/SEMATECH e-Handbook of Statistical Methods, http://www.itl.nist.gov/div898/handbook/, date.(Links to specific pages can also be referenced this way, if suitable.)

http://www.businessdictionary.com/definition/key-principles-of-quality-management.html

www.medscape.com

www.brighthub.com/office/project-management/.../8708.aspx

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