1. April 20, 2014 Erin Lopynski ARAMARK Dietetic Internship
Management Business Plan: Southwest Gardenburger at Upper Chesapeake Medical Center
April 20, Erin Lopynski ARAMARK Dietetic Internship

2. Statement of Purpose
To allow Dietetic Intern to organize a business plan with a focus on the implementation of a retail food promotional week.
Includes:
Objectives
Company Summary
Market analysis
Marketing strategy
Financial plan
Resources
Evaluation

3. Mission Statement
“University of Maryland Upper Chesapeake Health (UM UCH) is dedicated to maintaining and improving the health of the people in its communities through an integrated health delivery system that provides high quality care to all. UM UCH is committed to service excellence as it offers a broad range of healthcare services, technology and facilities. It will work collaboratively with its communities and other health organizations to serve as a resource for health promotion and education.”
“Our mission is to Deliver Experiences that Enrich and Nourish Lives. From our food and facilities businesses to our uniform and medical technology maintenance businesses, we deliver experiences that enrich and nourish lives every day. As a company, we have five focus areas: our consumers, our clients, our employees, our shareholders and the communities in which we work and live.”

4. Business Objectives Specific Goal: Objective:
Increase sales from previous week by 10%
Objective:
Customer satisfaction

5. Company Summary
ARAMARK offers catering, retail, patient services and environmental services at UCMC
Just4You® menu
The Healthy for Life™ platform in the retail area
ARAMARK partnered with UCMC 14 years ago, since the opening of the hospital in 2000
ARAMARK has a guaranteed net budget contract with UM UCH, which infers that UM UCH guarantees to meet fiscal goals specified by ARAMARK
Financial incentive basis – if UM UCH is over budget, write ARAMARK a check, or if under budget, can get a bill back
Consumers are saying good things about Aramark recipes and UM UCMC
Positive Net Promoter Score of 33%
Participation in on-site dining is excellent with 88% eating at least one meal per week
On-site dining captures a 46% Market Share

6. The Garden Café Cafeteria stations: Low Prices
Grill
Home station entrées
Sandwich/wrap/Panini station
Pizza station
Self-serve hot meal item station
Salad and soup bar
Refrigerated and non- refrigerated, packaged To-Go items
Low Prices
Open, bright dining area with outdoor patio
Cafeteria

7. Market Analysis Competitive local businesses The Daily Grind Café
– 5th floor of UM UCMC
Higher prices than Garden Café
More relaxing environment; more dimly lit
Most popular for beverages

8. Market Analysis Cont’d
Competitive local businesses
Pats Pizzeria
– within 1 mile radius of UM UCMC
Higher prices than Garden Café
Sit down dining facility; can order to go; does not deliver
Most popular for crab dip pizza, crab cakes and Philly Cheese steak

9. Market Analysis - SWOT Strengths: Weaknesses Opportunities: Threats:
Cafeteria in a convenient location (ground floor)
Low prices
Employee and volunteer meal discount
Accepts many forms of payment
Wide selection of foods
Different lunch specials each month
Offers “To-go” items
Friendly/Caring staff
Quick cooking/assembly, typically no more than ~5 minute wait before paying
Three cashier service
Manageable flow of traffic in and out
Open/Bright cafeteria seating
Outdoor seating
Weaknesses
Hard to find from certain entrances if unfamiliar with the hospital
Can become extremely packed during busy hours
During busy hours, cleanly appearance of cafeteria may suffer
Hot “To-go” items rarely available
Refrigerated “To-go” items available, but very limited options
Customers leaving with minimal purchase (i.e. coffee) or without a purchase
Opportunities:
Increase combo meal purchases through improved marketing – more obvious signs, word of mouth
Addition of organic food, gluten-free options and/or more vegetarian items to attract the health-conscious population in a hospital
Take advantage of display plates, food sampling/other marketing tactics
Maintain frequent cafeteria users while focusing on driving participation and frequency among medium and light users.
Threats:
Lack of near-by parking
The Daily Grind Café on the 5th floor
Intimidation of long lines during busy hours, although rarely more than a 10 minute wait
Other food courts within 1 mile of the hospital
Employees and patient’s families bringing meals from home
Hospital census
Change in economy

10. Local Demographics Sex (US 2010 Census Data):
Female – 51.1%
Male – 48.9%
Race (US 2010 Census Data):
White – 81.2%
Black – 12.7%
Hispanic/Latino – 3.5%
Asian – 2.4%
American Indian/Alaskan Native – 0.3%
Native American/Pacific Islander – 0.1%
Age (Healthy Harford CHAP 2010 Data)
18-24 – 14.9%
25-34 – 15.7%
35-44 – 22.9%
45-54 – 20.9%
55-59 – 7.8%
60-64 – 6.4% %
*Median Household Income within the Community Benefit Service Area (CBSA) (US 2009 Census Data):
$75,364
*Percentage of households with incomes below the federal poverty guidelines within the CBSA (US 2009 Census Data): 9.2%
*Percentage of uninsured patients at UCMC:
3.4%
*Medicaid recipients:
1.1%
*Place of residence:
Small town suburbs

11. UCMC Demographics Status Gender 12% 85% 4% Male Female
Prefer not to answer
Job Classification

12. Market Segmentation
The current UCMC menu and services match the demographic scope of the account
Reasonable price given income of $75,000
Pertains to Maryland Population
Age group from years old and equal male to female ratio, a food item for everyone
81% white population, variety of options to satisfy average American
The home station, changes weekly
The self-serve hot item station, changes weekly
The grill, one or more specials every month
There are currently no known underserved groups who need more attention

13. Target Market UCMC survey conducted in December 2010
The average amount of days that cafeteria users will choose to buy the cafeteria’s food per week is 4.1 days/week
The target market, at ninety-six percent of traffic in the cafeteria, is employees
Only 3% of visitors/families dine in the cafeteria
The majority, or 40% of these cafeteria users are ages years old and are 85% female

14. Marketing Strategy: Product
The burger is 461 calories, 21 g of total fat and 1,204 mg of sodium
Appealing because the vegetables in the patty are actually visible for consumers
The burger is comprised of brown rice, beans, red peppers, corn, carrots and spices
Exciting “southwest” toppings: pico de gallo and guacamole mayo, lettuce added
The Aramark recipe calls for a potato bun
This meal can be made a combo with chips and a fountain drink for $1.99 extra

15. Marketing Strategy: Price
The retail manager set the price of the burger at $4.29
Promotional item is typically a 40% food cost percentage boost
For the Southwest Gardenburger, with the food cost of $1.73, Aramark recommended a minimum standard retail price of $4.99

16. Marketing Strategy: Place
The Garden Café
located on the ground floor between the Emergency Department and the Kaufman Cancer Center
The burger will be cooked and assembled at the grill station in the cafeteria

17. Marketing Strategy: Promotion
The Garden Café will promote this burger for two consecutive weeks, only during the week
The first five days the burger will be sold without using any extra marketing strategies
Edited flier, approved by Marketing Production Manager
permission and table cad permission denied.
Decided to hand out samples on Tuesday of promotional week due to poor Monday sales

18. Flier

19. Sales Forecast
The amount of Southwest Gardenburgers sold during the first week were counted and used as a sales forecast for the second week
April 7-11th
total of 65 burgers
generated $278.85
April 14-18th
The aim of the promotional event is to sell 10% more Southwest Gardenburgers
sell at least 72 burgers
minimum of $308.88

20. Employee Resources Tom Pugh Susan Bruso Ryan McMahon
Assistant Director Non-patient Services
Susan Bruso
Marketing Production Manager
Ryan McMahon
Grill Cook

21. Equipment Resources Grill Refrigerator Convection oven
Serving utensil, spatula
Plates
To-Go boxes
Prep bowls
Cutting board and knives
Whisk and spoons

22. Food Resources Delivered on both Mondays of promotional event weeks
Sysco:
garden burger, pepper jack cheese, lime juice, guacamole, kosher salt, and mayonnaise
H&S Bakery:
the hamburger rolls
Keany:
the leaf lettuce, cilantro, plum tomato, yellow onion, jalapeno pepper, chives and garlic cloves

23. Financial Resources: Breakeven
Sales
Sales per unit
$4.29
Units Sold
196
Variable Cost (VC)
Labor per unit
$0.22 (4 hours, $11.00/hr, 196 units sold)
Raw food cost
$1.71
Total VC
$1.93
Fixed Cost (FC)
Marketing
$0.30
Insurance and misc. administration
$10.20
Total FC
$10.50
Breakeven (BE)
FC/ (Selling Price – VC)
BE = $10.50/ ($ $1.93)
Total BE
$4.45

24. Financial Data Burgers sold Gross Sales Week 1 Monday 10 $42.90
Tuesday 12
$51.48
Wednesday 17
$72.93
Thursday
Friday 16
$68.64
Total 65
$278.85
Week 2 11
$47.19 26
$111.54 20
$85.80 21
$90.09 13
$55.77 91
$390.39

25. Evaluation How success was measured? Why the burger was successful?
Assess if the objectives and goal were met
Goal met and greatly surpassed
The Garden Café sold 91 Southwest Gardenburgers, with net sales of $390.39
Sales were increased by 40%, which is substantial when compared to the 10% goal
Objective met – Customers Satisfied
After the samples were handed out to 160 smiling customers, sales boosted immensely
Why the burger was successful?
Fliers and Samples
Burger brought to customers attention and taste
Health benefits
Vegetarian
Improvements?
Hospital team member
Table Cards
Display Plate – Lemon Juice

26. Questions?
Thank you!