MISM2301 Case 1

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Northeastern University *

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2301

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Information Systems

Date

Dec 6, 2023

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docx

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4

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1) What is the primary value discipline for Hard Rock Café, and what evidence do you have to support this choice? [list or table]. Hard Rock Cafe’s primary value discipline is customer intimacy. This can be observed through their commitment to implementing technologies like the Internet to increase customer retention. One way in which Hard Rock Cafe implements this is via tailored messages to the customers, a CRM system to strengthen their relationships via an online community, and by offering customers gift certificates for a simple survey. All of these services help Hard Rock Cafe not only please the customers more, but also get to know their customer base better, allowing them to cater to their wants in the future. Scott Little, the CFO of Hard Rock, also explicitly stated, "We're using technology to reach the customer. We're looking for technology to get the company to the next level.” This proves their primary profit driver is the customer relationship's lifetime value. 2) Describe 3-5 ways the legacy systems of Hard Rock Café made delivering on their primary value discipline more challenging prior to the Epiphany CRM implementation. [multi-part list or table]. Prior to the development of Epiphany CRM, which was intended to improve customer experience and create an online community, Hard Rock Café had a number of difficulties in delivering on its key value discipline. The first challenge was Data Fragmentation. The Introduction of individual restaurant management systems by owners and franchisees led to variations in data standards and item descriptions. The implications of this challenge gave Hard Rock inconsistent information that prevented the corporate office from properly analyzing sales, thus limiting the capacity to precisely comprehend client preferences and behaviors. The second challenge was inefficiency arising from manual processes by workers and delayed information from financial statements. As a result, both the inventory management system and the financial system were manually controlled and significantly out of date. For instance, the financial system required that restaurant managers email financial statements, which resulted in a delay and increased reliance on manual processes that made it challenging to respond quickly to issues like lost money. Another issue is the manual processes caused were the frequent inventory shortages Cafes would have for weeks, specifically merchandise, which is very significant as half of Hard Rock Cafe’s revenue is merchandise based. The inefficiencies caused by manual processes had a very significant negative impact on the general customer experience, greatly harming their ability to meet their primary value discipline. The third challenge arises from the difficulty of creating a unified customer experience. Prior to implementing the Epiphany CRM, it was difficult for Hard Rock to provide a consistent client experience due to the fragmentation of technology and the absence of
standards. Therefore, inconsistent customer experiences might harm a brand’s reputation and its capacity to draw in and retain clients, especially in a market where casual dining is fiercely competitive. These operational inefficiencies may result in losing client loyalty by discouraging consumers from becoming regular customers. The aforementioned challenges made it difficult for Hard Rock to fulfill its primary value discipline: improving customer experience and creating an online community. They lacked the data integration and current knowledge needed to meet customer expectations effectively. 3) Given your answer to #1, describe two data tables (each with at least four data fields) that you would expect to see in Hard Rock Café’s Epiphany CRM relational database. Note, you do not need to include actual values for any of the fields. Also, be sure to read the Special note on metadata in the Reading Assignments for this session. [table with descriptors for table name, data field, and data field metadata]. 1) The first table we would expect to see in the Hard Rock Cafe’s Epiphany CRM is one that predicts bands a visitor might like and alerts them when those bands play at the local Hard Rock. Table: Band Predictions The four Data Fields: PredictionID: Metadata: - Business Definition: Unique identifier for each transaction. - Field Type: Integer - Who is responsible for Data Entry: System (Auto-generated) CustomerID: Metadata: - Business Definition: Relates to the customer having their own ID. - Field Type: Integer - Who is responsible for Data Entry: AI or system administrator Predicted-Band: Metadata: - Business Definition: the band prediction based on customer behavior and preferences. - Field Type: Data - Who is responsible for Data Entry: AI or system administrator
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