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Barbara Balzarini , Jessica Dunne, Nick Meusch , & Joey Raio. Background. Fast-casual eating and drinking establishment Offers highly customizable hamburgers and milkshakes, as well as bottled beer
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Barbara Balzarini, Jessica Dunne, Nick Meusch, & Joey Raio
Background • Fast-casual eating and drinking establishment • Offers highly customizable hamburgers and milkshakes, as well as bottled beer • Electronic ordering system with a touch screen menu, allowing customers to design their own burgers • Seats 40
Mission Statement Build-A-Burger strives to create a highly customizable dining experience utilizing top quality ingredients and modern technological advances, all while maintaining a unique restaurant atmosphere perfect for teenagers, college students, and families.
Core Competencies • Efficiency- touch screen ordering terminals will enhance accuracy in completing orders • Flexibility- a wide array of toppings, condiments, and choices will ensure every customer can receive the exact meal they crave every time they visit Build-A-Burger • Affordability- Smart shopping from reliable yet reasonably priced suppliers will allow us to reach a large consumer base, regardless of income
Core Processes • Supplier Relationship Process • Keep costs low for an inexpensive end product • Want reliable supplier relationships • Order Fulfillment • Ensuring quality and consistency • Customizing dishes • Customer Relationship • Listen to customer feedback • Offer rewards • New Service/Product Development • Ordering system helps achieve maximum customization
Market Analysis:Industry • “Fast Food” Industry: patrons pay before eating • Expected to continue it’s trend of long-term growth • As traditional concept of fast food evolves, restaurants will need to adapt to changing consumer preferences
Target Market Segments • Families are looking for quality food in a friendly dining environment that is affordable and meets the differing tastes of their families. • College Students are looking for first of all inexpensive food close to the local campus that has consistent quality and is customizable. • High School Students are looking for a restaurant that is close to their house that offers quality food at a reasonable prices.
Target Market Order Winners • Consistent High Quality • Customizability • Affordable price • Fun dining environment
Competitive Priorities • Stem from needs of target market • Price/Quality Balance • College students demand certain price level • Quality standards cannot be ignored • Flexibility • Consumer preferences grow and change • Technology-oriented society
Operations Strategy:Process Structure • Make-to-Order • Create products when a customer places an order • No finished goods in inventory • Ensures freshness & customizability • Keep low safety stock to conserve perishable resources/ ensure freshness
Operations Strategy:Resource Flexibility • Ingredients may change based on customer demand • Use survey results to determine what ingredients to offer • Will use input from customers to add new toppings, flavors, etc.
Operations Strategy:Capital Intensity • High capital intensity to emphasize: • Customization • High quality • Efficiency • Only employ 10 individuals • Chefs and runners—no waitststaff • Technological resources • Utilize touch screen ordering system
Quality Strategy:Six Sigma • Minimize defects • Maintain consistency in burger preparation & assembly • Measure variability in processes and address issue that we see • Improve customer satisfaction • Customers know to expect high quality food & service
Quality Strategy:Lean System • Remove waste and delays • Control inventory levels to meet customer demand • Reduce wait time of customers • Use the 5S method • Sort • Straighten • Shine • Standardize • Sustain
Quality Control • Establish quality control standards on ingredients • Gauge metrics that show the date of produce harvest and meat production • Customer order wait time will be recorded to ensure consistent and timely orders • This data will be analyzed using R-charts and X-charts • Customer feedback will be taken through an optional survey after ordering
Quality Control • Managers and employees will be properly training on quality assurance practices • Ingredients will be checked on arrival for freshness • Mangers will ensure proper ingredient storage and necessary documentation at each open an close • Ingredients will be checked periodically during the day
Supply Chain Management: Technology Suppliers • Guangzhou Yunhui Computer Company • China • Touch Screen ordering terminals • Restaurant Plus • Los Angeles, CA • Software for running ordering terminals
Demand Management • Forecasting Customer Demand- Year 1 • McDonalds- serves 69,000,000 customers at 34,000 locations per day= 2,029 customers per location per day • Project 5% of this figure on weekdays, 8% on weekends • Forecasting Customer Demand- After Year 1 • Historical Data & Trend Projection with Regression
Demand Management • Forecasting Product Demand- Year 1 • Divided into 6 product groups, customer purchase percentages predicted as follows: • Burgers- 70% • Hot dogs- 25% • Salads- 5% • Milkshakes- 60% • Fries- 85% • Bottled Beer- 30% • Forecasting Product Demand- After Year 1 • Historical Data & Trend Progression with Regression
Conclusion • Build-A-Burger’s plan to utilize technology to promote efficiency, flexibility and affordability will ensure it to be a staple on the main line