Scott Mooney, Alejandro Arroyo, Melissa Sanders, Julia Eklund & Elizabeth May

Agenda  Mission Statement  Organization Strategy  Market Analysis  Competitive Priorities  Operation Strategy  Process Choice  Quality Strategy & Control  Supply Chain Selection  Demand Management  Costs  Inventory Management  Questions?

Mission Statement “To offer unique, dynamic combinations of food to your average college student in a light hearted environment when you really want it!”

Menu

Organization Strategy  Environmental Scanning  College students  Upper class  Core Competencies  Lighthearted & hip environment  Ideal hours  Core Processes  New Service/ Product Development Process  Customer Relationship Process

Market Analysis  Market Segment  Target Market-male and female college students aged  Needs assessment Location/ Hours  Order Winners fun and unique atmosphere the unique combinations of food

Competitive Priorities Unique menu selection with a variety of options Quality & good tasting foodFast serviceLong hours of operation

Operations Strategy  Order Fulfillment  Make-to-Order  Inventory Strategy  Types of Inventory: Ingredients & Supplies Ingredients: Lot size = 1 week’s inventory Safety Stock = 2 day’s inventory Supplies: Lot Size = 1 week’s inventory Safety Stock = 1 week’s inventory

Inputs  Ingredients: Pork shoulder Brisket Hot dogs Pasta Potatoes Tortilla chips Onions Flour Eggs Sugar Spices Supplies: Plates Napkins Cups Utensils

Equipment  Commercial fryer  Steam tables  Commercial oven  Commercial char broiler  Commercial sink  Refrigerator & freezer  Dishwasher  Soft Drink Machine  Mini-Fridge  Cash Register & Credit/Debit card swipe

Process Choice- Job Shop  Customer involvement= HIGH  Resource Flexibility  Products= HIGH  Employees= MODERATE  Capital intensity=LOW

Quality Strategy – Total Quality Management  Continuous Improvement  Continuous Quality Improvement Initiative (CQI)  Customer Satisfaction

Continuous Quality Improvement  Structure – Assets the Establishment Possesses  Process – Activities/Tasks  Output – Immediate End-Product  Outcome – End Result and Customer Satisfaction

Quality Controls - Inputs  Supplier Quality  Reliability  Local  Employee Training  Ordering/Receiving  Cooking  Identifying & Eliminating Waste  HACCP Program – Food Safety

Quality Controls - Outputs  CQI Initiative and Customer Satisfaction  Conformance to Specifications – Consistent Quality  Value – Efficient Processes yield Low Costs  Fitness for Use – Unique Dishes, Late Hours  Support – Customer Support  Psychological Impressions – Atmosphere & Experience  Restaurant Quality – Customer Experience  Employee Training

Supplier Selection  Competency  Capacity  Commitment  Control  Cash  Cost  Consistency  Culture  Clean  Communication

Demand Management

Queue Management X-bar R-bar

Start up Costs & Fixed Costs

Variable Costs ProductCost Per UnitPrice Pulled Pork Pancakes$3.15$6.50 Brisket Cheesesteak$4.10$8.50 Macaroni & Cheese$2.34$4.50 Hot Dogs$1.94$4.00 Pretzels$2.03$4.00 Fries$1.92$4.00 Nachos$4.22$8.50 Onion Rings$3.05$6.00 Tater Tots$2.11$4.50

Inventory Management  Periodic System  Cut costs  Establishes a routine Orders placed on Wednesday Two Day Safety Stock Pulled Pork Pancakes9 Brisket Cheesesteak11 Special Shack Weiner10 Mac N' Queso55 Pretzels (Crazy Cinnamon)43 Pretzels (Plain)11 Pretzels (Salted)14 Fries (Regular)20 Fries (Sweet Potato)20 Fries (Parmesian)12 Nachos12 Onion Rings41 Tater Tots12

Questions??