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Clove Restaurant

Course: MGT 314


Group Report
Section: 7
Group: 7

Submitted to:
Khan Muhammad Saqiful Alam (Sqi)
Lecturer, School of Business, North South University

Submitted by:
Name ID#
Asif Rahman Sohan 0930610030
Tasmia Zakariah 1010266030
Md. Ashiqur Rahman Chowdhury 1120408030
Ashraful Alam 1120708030
Mohammad Hasanur Rahaman 1130436030



Date of Submission: 19
th
April, 2014






Executive Summary

We have analyzed the existing operations of Clove Restaurant in order to find out how they are
performing. From our analysis, we have figured out the reasons which are leading to
inefficiencies in the performance of Clove Restaurant. There is decline of their sales because
they could not retain customer satisfaction. The findings from polar diagram states that Clove
has very low dependability, low speed and low service quality which are causing problems. The
three process maps for three different processes also suggest that the operation of Clove
Restaurant is not efficient. The suppliers often take time to deliver the ordered materials because
of transportation issues. The food preparation process is also very time-consuming. Finding
rotten items and screening out the materials is sometimes a time consuming activity while it is
time for cooking. On the other hand, the billing system of Clove Restaurant is not effective as it
is a manual system rather than automated billing system. So, we have come with various
solutions for the existing operations problems of Clove Restaurants. They can improve their
speed by training their employees which will also improve service quality and thus will lead to
increase in customer dependability. Suppliers can be given order from one week before so that
they can arrange the transport facility beforehand and deliver materials in a short period of time.
Clove can improve their process by screening out the raw materials before they store it in
inventory. Also, they can prepare the bill using an automated system such as computer and they
should start to prepare the bill while the customer is having their food; which will ultimately save
customers time and thus customer will be satisfied.








Contents
Introduction ..................................................................................... 1
Background ...................................................................................... 1
Operations Analysis ......................................................................... 2
V Diagram ..................................................................................... 2
Improved Polar Map ........................................................................ 3
Existing Process Maps ..................................................................... 4
Material Purchasing Process from Supplier ................................... 4
Food Preparation Process ................................................................. 5
Customer Order Process .................................................................. 6
Improved Process Maps ................................................................... 7
Material purchasing process from supplier .................................... 7
Food Preparation Process .............................................................. 8
Customer Order Process in Clove Restaurant ................................ 9
Fish Bone Diagram ..................................................................... 10
Single Minute Exchange of Die (SMED) .................................... 10
Benchmarking ............................................................................. 11
Recommendations .......................................................................... 12




Page 1


Introduction

We have observed the existing operations of Clove Restaurant and then we have analyzed the
performance of the operations and tried to apply the concepts we have learned in our Operations
Management course to improve the existing performance of Clove Restaurant. Thus, our main
objective was to analyze the current operations of Clove Restaurant and also to come up with
improvements for the operations. We have focused on mainly three of the main functions of
Clove Restaurant such as food preparation process, materials purchase from supplier, customer
order process. For improvement of these functions, we have also drawn three improved process
diagrams for three particular processes. Our study for this report could have been slightly better
if could have more access to information. We did not have enough data as Clove Restaurants
website was not working for couple of months. Besides, the manager of the Clove Restaurant
with whom we had discussions was not willing to share much information for confidential
reasons.



Background
For our report, we have chosen a restaurant named as Clove Restaurant located at Bashundhara
Residential Area. We have chosen this restaurant because we had sufficient information about
the internal operation of this restaurant. Clove is one of the old restaurants in Bashundhara area
so there was high chance of getting the fast mover advantage. Instead they were unsuccessful and
are still lagging behind from their competitors such as Boomers, Wok & Cook, Shawarma
House, FFC. This restaurant is running inefficiently which provides us with the opportunity to
identify the problems in their operations. We have focused on mainly three of the processes of
Clove Restaurant: food preparation process, material purchasing process from supplier, customer
order process.







Page 2







Operations Analysis
V Diagram
Volume
Low High

Variety
High Low

Variation
High Low

Visibility
High Low

3.2 Polar Map



Page 3




Improved Polar Map

By analyzing the Product Life Cycle (PLC) of Clove restaurant we have found that the
restaurant falls in the early growth stage. The rate of growth of Clove restaurant is relatively
slow compared to those of its competitors such as FFC, Boomers, Shawarma house, Wok &
Cook, etc. As Clove is in the growth stage the PLC suggests that Clove should improve their
Speed, Quality and Dependability for making their restaurant more successful in the
upcoming years.



Page 4


Existing Process Maps
Material Purchasing Process from Supplier
















N



Y


Check availability of
materials
Place orders for shortage materials
Supplier receive the order
Supplier manage ordered product
Supplier arrange transport facilities
for delivery
Cloves staff receives ordered
materials
Match the
product
with order
slip
Take the raw materials to
inventory and store it
perfectly


Page 5



Food Preparation Process








N


Y







N


Y
Collect materials from
storehouse/inventory
Clean and cut stuffs as required
Properly
cleaned or not?
Take specific amounts of
items/ingredients
Turn on the oven/cooker, and start
to cook/boil food items
Mix spices and other ingredients if
required
Check whether
properly
cooked or not
Keep cooking
Put the oven/cooker off and
decorate dish and serve
Find rotten items and throw out



Page 6


Customer Order Process









N N


Y Y













Welcome the customer
Give the food menu
Customer gives the order
Order
Available?
Ask for
alternate
orders?
Request customer to wait
Waiter serves the ordered food
Customer waits and waiter
prepares the bill
Customer pays the bill and
then leaves
Waiter says sorry for the
inconvenience


Page 7


Improved Process Maps

Material purchasing process from supplier












N


Y







Check availability and
place orders for shortage
materials

Supplier receive the order
Supplier manage ordered
product and facilitate transport
Cloves staff receives ordered
materials
Match the
product with
order slip

After screening,
store the perfect raw
materials


Page 8



Food Preparation Process




































Collect perfect raw
materials from inventory
Clean and cut stuffs as required
Take specific amounts of materials,
mix spices and other ingredients
Turn on the oven/cooker and start to
cook/boil food items
Strict monitoring and recheck the
taste and textures by Chef and his
assistants
Turn the oven/cooker
off and decorate dish
and serve


Page 9




Customer Order Process in Clove Restaurant























Welcome the Customer
Waiter gives the menu to customer
then tells about the items available
Customer gives the order
Waiter requests customer to wait
Waiter serves the ordered food and
then prepares the invoice
As customer finishes the meal,
waiter presents the bill
Customer pays the bill
and then leaves

Page
10




Improvement tools and techniques

Fish Bone Diagram




Single Minute Exchange of Die (SMED)

SMED is applicable for Cloves bill payment process. During our observations we have
found that the waiter asked the manager to prepare the bill while the customers finish their
meal. Making the bill according to the customers order is an internal factor for the Clove
restaurant. So, the waiter can prepare the bill when customers are having their meal. If a
customer wants to add any food item later they can easily adjust it by adding the price of

Page
11


that item with the total bill. This will help the restaurant to fulfill more orders of customers
and efficient time management of the company.



Benchmarking
For improving the service quality and customer dependability we have chosen Boomers
restaurant as a benchmark. Thus, we are undertaking competitive benchmarking. We have
chosen Boomers Caf as both Boomers Caf and Clove Restaurant falls in the same
category of food business, so it has higher relevance. Moreover, the reason for choosing
this restaurant is because this restaurant has several branches in Dhaka city and most of the
branches have performed decently. Unlike Clove Restaurant, Boomers Caf has been able
to built customer dependability through quality service. So by following or setting the
standards at par with Boomers, Clove can see how they are performing compared to
Boomers and where they need to make further improvements.


Page
12



Recommendations

From the outcome of the operational analysis, we have developed some of the
recommendations for Clove Restaurant:

The polar diagram showed that Clove Restaurant has lower dependability, medium service
quality and lower speed. Training the employees will help Clove Restaurant to improve
their employees skills as they will be able to deliver food in a relatively quicker time.
Delivering the food in a quicker time will also improve their quality of service. If the
quality of service improves, then customer can depend more on Clove Restaurant. This will
ultimately increase dependability as the customers will feel they are getting value for their
money.

We have also identified three major processes of Clove Restaurant which suggests that
those three processes are time-consuming and should be improved. For instance, to deliver
food to the customers in a quicker time Clove can store some semi-processed food.
Moreover, they can prepare the bill when the customer is having their meal as this will
eliminate the waiting time of the customer.

As Clove is one of the old restaurants in Bashundhara Residential Area still they have not
been able to establish a very good brand image. So, we have recommended that they can
set one of their competitors as benchmark such as Boomers Caf and can try to measure
their performance with those standards of its competitors.