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Impressive burger start their business with the objective to serve quality food to their customers in less time as compared to their competitors any how they achieve their in the beginning of the business but that comes down when they are plane to expanded their business and they introduced more menu list. Because of this it takes more time to serve the customer from taking the order to serve him. To minimize this they should considerate on the following points.
Volume - It is important here to distinguish between the actual volumes in this case the number of customers served that the impressive burger has to cope with, and the maximum it could cope with. This is called the capacity of the operation. Capacity is easier to measure because it can be calculated by multiplying the number of seats in the takeaway by the average number of customers per hour (calculated by timing the customers) and by the number of hours the takeaway is open. In other words, imagine there is a queue of people outside the restaurants, what is the maximum number of customers that the impressive burger could serve? Contrast this capacity figure with the actual number of customers in a day that the restaurant serves. You could ask the restaurant manager for this information or make an approximation from your own observations at different times of day.
Variety - There are two important aspects to measuring variety for restaurants. The first is the range of different foods that the impressive burger serves. Just count the number of different items on the menu to get an indication of this. The other factor to take into account is whether the impressive burger will 'customize' food to your own preference. For example, does it serve burger well-done, medium and rare? Does it allow you to choose the fillings for your sandwiches? Etc.
Variation - Possibly the easiest way to measure variation is the ratio of peak demand in a day or a week, to the lowest demand during that day or week. Again, you could try asking the impressive burger manager for this information or (if you have time) make observations throughout the day or even the week. So, for example, if the restaurant was busy up to its full capacity for part of the day but, at its lowest, was only ten per cent full, then the peak to trough ratio is 10:1.
Visibility - This is a relatively simple issue. Simply ask, how much of the preparation of the food do you witness. It is unusual to see every aspect of food preparation, for example preparing the vegetables, slicing the bread etc. But you may see food being cooked and assembled in some burger restaurants. The other way of looking at this issue is to ask you whether the preparation of the food is being deliberately put centre stage in the restaurant. Some restaurants deliberately do this so as to entertain customers while they are waiting for their food.
Role of Operation function:-
Operation management can make or break any business. Operation function plays an important role within organisation the reasons that the function exist.
Operation should be the implementer to business strategy.
The most basic role of the operations is to implement strategy. Most companies will have some kind of strategy but ii is the operation that puts it into practice. You cannot, after all, touch a strategy; you cannot even see is how the operation behaves in practice.
Operation should be a support to business strategy.
Another operation role is support strategy. This goes beyond simply implementing strategy. It means developing resources to provide the capabilities which allow the organisation to improve and refine its strategic goals.
Operation should be the driver of business strategy.
The third and most difficult role of operation is to drive strategy by giving it unique and long-term advantages.
For critically analysis the expansion of the impressive burgers PLC we need to measure some of the operation objective of the company either they perform good or bad.
Obviously every company want to do things right that is a company do not want to make mistakes and want to satisfy their customer need by giving them error free product. So it mean quality play an important role to judge the performance of the company so quality is the primary objective of the impressive burgers PLC so the main measurement of this objectives would be the level of the customer satisfied from the products. Either food freshly made maintain its original taste or not.
Every company wants to build loyalty among the customer in order to increase the number of the customer for this speed play an important part company wants to do things fast, minimize time between the customer asking for products from its order till its receiving. This is one of the problems of impressive burger that after increasing the menu they taking more time to serve the customer this is not keeping customer happy because they have to wait long for their orders.
A good company should do their work on time and products all time available for the customer. So dependability means that on time delivery in low volume-high variety operation to availability in high volume-low variety operation.
You would want to be able to change what you do, that is being able to vary or adapt the operation activities to cope with unexpected circumstance or to give customer. Instantaneous demand changes through volume flexibility are vital if the company is to maintain supply. Flexibility has moved from meaning product flexibility in low volume-high variety operations to volume flexibility in high volume-low variety operations.
Cost plays an important part in the operation management. That they should sell their product on reasonable price they produce goods and service at the cost which enables them to be priced appropriately for the market. Cost, in terms of the unit cost per product or service, varies with both the volume of output of the operation and the variety of products or services it produces. The variety of products or services in low-volume operations is relatively high, which means that running the operation will be expensive because of the flexible and high skill levels employed. Further, because the volume of output is relatively low, a few products or services are bearing the operation's high cost base. Also, and more significantly for the operation, the cost of each product or service is different. At the other end of the scale, high-volume operations usually produce similar products or services; output is high, so that whatever the base cost of the operation, it is shared among a high number of products or services. Cost is another objective in the failure of the impressive burgers PLC they have increase the inventory along this they are unable to serve more customer so that way we held more stock in restaurant which is result of the wastage this increase the cost of impressive burgers PLC.
Causes and suggestions
The main reasons in the failure of impressive burgers PLC is their poor planning because they have increase in their menu due increase in the menu a dramatically change came in the demand which they cannot handle and this will result of their failure.
Inefficient planning and controlling of impressive burgers PLC
Planning and controlling is to ensure that the operation process run effectively and efficiently and produce products by customers.
Poor planning is visible in the impressive burgers that they increase their menu but they did not give a proper training to their staff which one of the main cause of failure in the impressive burgers PLC. Because their machinery is same staff is same. Staff did not know about the new thing.
Planning and controlling:-
Operation resources plays an important part in order to making the design activities and work effectively they need to be planned and controlled. Planning and controlling is the activity of to look after the operation resources and choose a resource for the operation and then make sure that they really doing it. In Impressive Burger plc we can simply see that there is lack of proper planning and controlling activity they have increase their menu but they didn't increase their staff and machines which become one of the main cause of their expanding failure and also they didn't train their worker for more customers that why the quality of food suffer and customers become unhappy of the service.
How to make a good planning:-
The first and very important component of the planning is that an operation manager should now that what is the organisation goal and how to achieve those goals and he should set some objective in order to achieve those goals and after that he should make some follow up step on the execution of the plan e.g. impressive burger manger should make some marketing plan and hiring plan and sales plan.
They should set the following goals.
A quick service their customer.
Provide a quality food to their customer that of their rivals.
Earn more profit.
In planning and controlling the volume and timing of activity in operation four activities are necessary:-
Which dictates the amount of work that is allocated to each part of operation?
Sequencing - This decides the order in which work is tackled within the operation
Determines the detailed timetable of activities and when activities are started and finished
Monitoring and control:-
It involves detecting what is happening in the operation, re-planning and intervening in order to impose new plans.
Impressive Burgers PLC has to do capacity planning for their expansion of business and has to increase the number of staff. Capacity planning means to forecast you're planning according to the demand from the customers. First impressive burgers have to forecast demand fluctuation, they have forecast demand on daily or weekly basis, like demand of burgers can be low in the morning time but can be very high at lunchtime or after work time similarly demand food can be low on Monday and Tuesday but it can be high on weekends. As an operation manager this should be known so that order of stock can be given according to that. Impressive burgers also have to do measure capacity either they have staff and material to meet the demand at the peak time.
Activities of operation management
Impressive burgers PLC operation managers are responsible for all the activities in the organisation which contribute to the effective production of goods. These responsibilities are divided into three categories.
Direct responsibility for the activities which produce and deliver products. Following are the direct responsibilities.
Understand the operation strategy objective: - our first responsibility is to understand that our aim is to reduce time taken on the customer. The means developing a clear vision that how the operation should help the organization achieve its long term goals.
Developing an operation strategy: - so as operation managers should set a general principles which cab guide decision making towards the organizational longer term goals.
Designing the operation products, service and process: - design is the activity of determining the physical form, shape and composition of product, services, and process.
Planning and controlling operation: - planning and control is the activity of deciding what the operation resources should be doing then making sure that they really are doing it. A poor planning and controlling we can see in impressive burger PLC. As they increase the menu to give a variety to their customer but they did not increase the number of the staff and even they did not give them proper training as well.
Improving the performance of the operation:- this a continuous responsibility of the operation manager that day by day he take some step which help to improve the performance of the operation.
It working together with the other parts of the organization which forms the most important indirect responsibility of the operation management. Not that indirect means that these responsibilities are unimportant. On the contrary, it is fundamental of modern organizational principles that functional boundaries should not hinder efficient internal processes. So developing and improving the relationship between operation and the other function of the firm should be central to operation contribution to overall performance.
Both the direct and indirect responsibilities of the operation management are largely focused on those concerns which are clear and immediate benefits to the organization itself. But manager should have set of broader responsibilities. Some of these are to the long term interest of the business, some are to the environment in which the business operates and some to the well being of the employees. Impressive burger PLC should consider the following points.
One of the main problems of impressive burger PLC that they are not able to handle the change management. They are unable to circulate the change among their staff this reasons why company going toward the loss. A good planning and its implementation are very important to make a good management change. This will also be measure by those who are going to affect by this change. A change should be achievable, realistic and measureable. There are some reasons because of which impressive burger fail to manage the change first is they did not train their mangers about the new menu stuff. This is not an employee duty to manage the change his duty is to performance on his best. It is manager responsibility that to make some plan for manage the change and select a reasonable route to implement it. As we know that at impressive burger only menu has change but the staff and the machinery has not change this shows the lack of planning in the management because if you are going to offer more things in menu it is obvious that turnover is going to be high and for that you need more staff and more machinery to deal with the demand. The staffs is getting more rude because they have to more work with same number of resources and because of the increased number of customers the orders are getting mixed up.
This one of the ongoing organisational process this very helpful for create new opportunities, it is not possible to avoid, and also it is very helpful for a organisation to achieve their goals.
Causes of change:-
Internal change occure when an organisation is plane to change in the structural, leadership or bring new technology because of this change an organisation may be effect by its profit as impressive burger suffer.
Change in the policies by the government, technology advancement, demographic changes, change in the market, changes in the economy conditions.
Why impressive burger collapse?
1. New service development: because of growth of new services all the schedule and activities of company disturbed. Numbers of operations within the impressive burger increased, but number of staff and machines remained same.
2. Lack of proper arrangement: due to fast growing changes, there should be need to arrange staff, equipment, inventory, cleaning services, maintained etc. Because of the lack of proper planning all schedules is disturbed and cause problems.
3. Reduction of staff: as the operation of PLC company increases, there is need to be recruiting new staff. but plc company did not focus on these things. results of less no. of staff:
Poor productivity levels
Bad feeling among staff
4. Lack of training: due to increasing customers and functions of PLC there is need to be trained staff. Lack of proper training causes customers unsatisfaction.
5. Lack of machinery: main problem of the company
Is that they increase their operation function But there is reduction of equipments or resources. The staff cannot do anything without useful resources like electrical equipment, fridge, microwave oven etc.
6. Lack of motivation of staff: motivation encourages staff to do their services properly.but lack of motivation from high authority side, the staff don't know how, when and why to do this.
Dissatisfaction about the job
High level of absenteeism
The search for a replacement
7. Overburden of staff: due to less number of employees, the responsibilities of each staff member become double. For e.g. the person who cooks food, now doing dish washing as well. These type of workload became employees frustrated, irritated and they can't serve customers properly
8. Time consumption: due to lack of machinery and equipment, the whole process from food making to serving becomes time consuming the order that suppose to be completed in 4 min is now taking 9 min.
9. Hygienic problem: due to lack of proper staff and equipments, the hygienic problem increases. Because there is not proper cleaning of store inventory, kitchen, bathroom. So that the customer feel uncomfortable to sit on these places.
10. Lack of quality: quality is consistence conformance to customer's expectation, the quality of product decreases day by day due to overall problems.
11. Incomplete order: due to untrained and rude staff the customer's order remains uncompleted. This is also the main cause of their operation problem.
Strong Human Resource department. The HR Department must be practical in developing career assessment, training and placement opportunities, and wages and benefit packages. My HR department should keep the following point in their mind before do any hiring or training etc.
The HR department should know the goals of organisation so in job interview a manager should tell to the employee that we need that kind of the skilled or requirement. This will help to find out the right person.
By understanding the skill mix of staff today and linking it to the skills needed in the future, the organization allows individual employees to determine what they need to do in order to remain gainfully employed. It also gives the training department a clear mandate regarding the type of skills training they need to make available to staff.
In Prahalad and Hamel's excellent book Competing for the Future, they suggest that businesses identify their core competencies and build strategies based on these fundamental building blocks. This provides a foundation for the organization and employees to build a career development process that matches what the organization needs.
A HR need to find out what kind of management and skills organisation required so they work with line managers to identify likely candidates so that they can begin preparing them for positions once they become vacant. Often succession planning is left to chance. Baseball provides a good analogy for effective succession planning. With its farm systems player's move up from A to AA to AAA as their skills increase and as openings occur.
HR team need to work with the line manager to redeployment within the organisation.
It very important thing for the motivation of the employee that they should create some opportunities for the employees so employees find out something new for the business as well as they satisfied from the job.