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I need an explanation for this Business question to help me study.

Please to respond to each discussion with at least 100 words each. Replies should be constructive regarding experiences in these operations management decisions from the simulation.


This week for the simulation I chose to do the the quality management simulation. In this simulation you are managing a restaurant with a goal of achieving $360,000 in profits while being able to get a star rating above 3.5 stars. I achieved an actual profit of $407157 while raising our star rating to 4.5. I was able to drop my failure rate from 14.73 to 11.96. I did this by strategically investing in different faults that the restaurant had and immediately solving critical issues that popped up. I started off with a low amount of cash on hand so I prioritized what investments I felt would help improve the overall quality of the restaurant. I started off by buying a new pizza oven since the pizza was embarrassingly bad and I retrained my kitchen staff to fix issues with a slow kitchen. By the end of the first month I hired a new kitchen staff and replaced my vendor for meat and dairy. In February I had issues dealing with the patio I decided to downsize the patio menu and have staff dedicated to the patio to keep customer satisfaction high in that area. With the changes in the first two months I was able to reach my star goal and drop the failure rate to 13.76%. In March I retrained the wait staff due to shortcomings. April I was forced to hire a new valet company since the current company was not preforming up to a reasonable standard. In May there was a pest problem that I had remedied immediately, and I decided to invest in some televisions for the restaurant since it was a low-cost investment. In June we ran out of napkins, so I purchased more, and I invested in iPad’s for the staff to try and remedy issues occurring due to check confusion. In July I had maintenance issues dealing with the plumbing and refrigeration, so I hired a plumber and replaced the refrigerator. In August I decided that I would purchase a new computer system. The complaints about checks continued and purchasing the iPad’s did not do enough to fix the issue so I decided to make the bigger investment in the computer system. The last three months were mostly uneventful, I had to repair the HVAC system, retrain the staff and buy new glassware. I noticed every decision I took throughout the year helped lower my failure rate and raised the rating of the restaurant while keeping profits high. My only regret is that I did not purchase the computer system earlier. I attempted to fix the issues with checks by going with the less expensive option of using iPad’s but ended up needing the computer system a couple months later since the issues dealing with checks next resolved.

2)After completing the quality management simulation of making investment decision for a restaurant, I can say I have expanded my knowledge on a few key areas in this type of business. First, quality management isn’t just the manager making decisions, it involves a team effort and can often be better accomplished by training staff to understand the goal of the restaurant. This is first seen by the initial complaints of customers, stating waiting staff is redistributing untouched bread at other customers table and employee messaging the manager asking if it was alright. This just showed me the staff is uninformed of the procedures and policies of handling food, so the proper approach was to train staff. Secondly, I enjoyed the ways in which the simulation did not let you cut corners just like you can’t in life. For example, when the reviews started showing complaints of the power going out, the decisions presented were to buy candles, or have the electricity fix it which cost far more money. I chose the candle option because of the fact it was far cheaper and it could ambiance to the restaurant. Although the ratings did increase somewhat and many customers even enjoyed the candles the problem did arise again later, so calling the electricity company then was the better option as the first time it was not properly fixed. Had I made the choice to fix the issue before hand I would have ended up spending less money on fixing the lights. Because situations like that do very well happen to businesses every day, it was an important lesson to me as it shows that sometimes when you try and cut corners or taking an easier way out, it can end up costing you more in the long run. Which goes to show that the choices operation managers must make should not always be the cheapest option and spending more now can avoid problems occurring later.

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