The Mongolian Grill

3005 WordsNov 1, 200813 Pages
TABLE OF CONTENTS EXECUTIVE SUMMARY 2 PROBLEM STATEMENT 2 SITUATION ANALYSIS 2 Mission 2 Objective 2 Background 2 Strengths 2 Weaknesses 3 Opportunities 3 Threats 3 FINANCIAL ANALYSIS 3 Assumptions 4 ALTERNATIVES 3 EVALUATION CRITERIA 4 Key Success Factors 4 Key Uncertainties 4 ANALYSIS OF ALTERNATIVES 4 Criteria #1 4 Criteria #2 5 Criteria #3 6 RECOMMENDATION 6 ACTION PLAN 7 CONTINGENCY PLAN 8 APPENDICES 9 Appendix A 9 Appendix B 10 Appendix C 10 Appendix D 11 Appendix E 12 Appendix F 12 EXECUTIVE SUMMARY John Butkus was considering changing the preliminary design of the Waterloo restaurant location to increase its capacity and serve customers more quickly. Mr. Butkus wants a design that…show more content…
• Customer service durations in the restaurant are variable, for example, some may take 90 minutes and some may take 60 minutes. Opportunities • Increased capacity presents opportunities for increased profits and provides better competitiveness in the very competitive restaurant industry. Threats • Adding a second food preparation area may create bottleneck that defeats the purpose of reducing the customer waiting time. • Utilizing seats in full capacity may make customers feel crowded and compromise the customers dining experience. • The market may not need the increased capacity. FINANCIAL ANALYSIS Assumptions 1. All data will only apply to busy nights (Thursday, Friday and Saturday), when the restaurant is in full capacity. 2. During the busiest hours, 6:00 to 10:00 pm, each table would seat 4 separate groups of customers rather than 3. 3. Information from the London location are used to analyze the Waterloo location, such as an average of 3 trips to the food preparation area during dinner, average group of 4 to 6 people spent 90 minutes on busy nights. • Analysis between design changes versus capacity changes (see Appendix D) - A combination design of adding a second food preparation area and moving the cooking grill will have the most impact on the capacity by increasing volume by 19%. • Analysis scenarios of design change associated with capital cost, operating expense, gross profit, and payback time (see Appendix E). - A
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