Westlake Lanes memo

1036 Words Nov 13th, 2013 5 Pages
MEMORANDUM
TO: Shelby Givens (General Manager, Westlake Bowling Lanes - here onwards "WBL")
FROM: Kumar Gaurav (Candidate # 75745133, UBC)
SUBJECT: Recommendation towards business planning for WBL
DATE: 2nd September 2013
Key Issues:
Shelby Givens, G.M of WBL could not get the business on track to repay the funds the board had loaned it 16 months before. In Jan 2010, the business profited for the 1st time in two years. But, now she wants to decide on a future direction for the business, so that the debt payment can be speedy and her job gets more interesting. She also deals with multiple external and internal challenges, such as, boosting employee morale, revamping the underperforming F&B section, and growing the customer base.
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2) Invest money towards developing WBL into UBL: Seeing the current debt in the business, the current demographic data, market trend and the required investment to develop from now, it can only be expected to break even in the next 5 years. Investing more money whilst staying in debt seems a risky way to take (profit 506.32% of the monthly average in 2009), with investment of $850,000.
3) Invest money towards developing WBL into KFA: Using this business plan, even though the investment would be late, it would take another 3.5 years for WBL to break even, considering profit as $6100 per month (profit 359.1% of the monthly average in 2009) and an investment of $240,000.
4) Implement team restructuring, cost cutting and marketing strategies:
a. Seeing that Gary Spalding is ageing, a part-time stand-in needs to be recruited and Gary 's soft and hard skills are transferred to him gradually.
b. Business hours should be analysed in order to understand the non productive hours. In these hours, 80% of the electrical equipments can be turned OFF. These hours can be utilised in making stand-in training programs to ensure the self-sustainability of WBL
c. Marketing strategies should be restructured and customer capturing schemes be initiated. WBL vouchers can be printed with Train/Bus route maps on the back side. These pocket maps can be made available at various outlets.
d. F&B section can be improved by partnering with local
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