Question

In: Operations Management

The owners have concluded that they need to know more about their customers and target market....

The owners have concluded that they need to know more about their customers and target market. To obtain a better understanding of each of these issues, they logged on to the Yahoo.com and Google.com search engines. They also spent some time examining trade literature. From this review of the literature, some "Best Practices" guidelines were found on how restaurants should be run. Below is a summary of what was found:
If you do not have enough customers, first examine the quality of your food, the items on your menu, and the service.
Examine and compare your lunch and dinner customers and menu for differences.
Your waitstaff should be consistent with the image of
your restaurant. How your employees act and be have is very important. They must be well groomed, knowledgeable, polite, and speak clearly and confidently.
Menu items should represent a good value for the money.
Service should be efficient, timely, polished, and cordial.
The cleanliness and appearance of your restaurant strongly influence the success of your business.
Follow the marketing premise of "underpromise and overdeliver!"
Empower your employees to make decisions to keep your customers happy. Train your employees on what to do to resolve customer complaints instead of coming to the manager.
Create a pleasant dining atmosphere, including furniture and fixtures, decorations, lighting, music, and temperature.
Learn more about your female customers. For family outings and special occasions, women make the decision on where to dine about 75 percent of the time. With this information, the owners next need to specify the research questions and hypotheses to be examined,
2. What hypotheses should be tested?
3. Should the literature search be expanded? If yes, how?

Solutions

Expert Solution

Suggestion on HYPOTHASIS TESTING:

1. If you do not have enough customers, first examine the quality of your food, the items on your menu, and the service.

Null Hypothesis:

Quality of food should be taken based on costumer reviews. More than 500 reviews will be required. The reviews should be taken for all kind of foods (i.e. veg, non-veg, starters, drinks etc). The 70% reviews should meets expectations. If Hypothesis is null, below are the alternative,

Alternative Hypothesis-1, 2, 3, 4:

(1) Base Skills of Chefs working in different shits, (2) Vendor supplies, (3) Ingredient Product, (4) Hypothesis test for best menu combinations

2. If Menu items should represent a good value for the money.

Null Hypothesis:

Different Manu combination. One with more items for starters and other with main course. If hypothesis is null, below are the alternatives,

Alternative Hypothesis-1, 2, 3:

(1) Chinese vs Mexican, (2) Veg vs Non-veg, (3) Grilled vs fried.

3. Service should be efficient, timely, polished, and cordial.

Null Hypothesis:

Average time to attend costumer arrived vs Food serving time (on costumer table) after they order

Alternative Hypothesis-1, 2, 3:

(1) 3 table dining space vs 2 table dining space, (2) Time taken for cleaning (after dining) vs time taken to vacant seat for new arrived costumer. (3) 5s cleaning method vs normal cleaning method.

4. How your employees act and be have is very important. They must be well groomed, knowledgeable, polite, and speak clearly and confidently.

Null Hypothesis:

One month study of costumer facial reactions when they saw Employees are well dressed and groomed.

Alternative Hypothesis-1, 2, 3:

(1) Employee knowledge for menu vs employee knowledge “how to act on costumer behavior(s)

5. The cleanliness and appearance of your restaurant strongly influence the success of your business. Create a pleasant dining atmosphere, including furniture and fixtures, decorations, lighting, music, and temperature.

Null Hypothesis:

Bight indoor lighting Vs Dim indoor lighting.

Alternative Hypothesis-1, 2, 3:

(1) Garden space vs dining space, (2) Matching colors of wallpaper to lighting vs Matching indoor plants with wall textures. (3) Success Posters Vs branding posters.

6. Empower your employees to make decisions to keep your customers happy. Train your employees on what to do to resolve customer complaints instead of coming to the manager.

Null Hypothesis:

Manger approach should be 1% for 100 costumer complaints/ concerns.

Alternative Hypothesis-1,2:

(1) Employees responsibility Vs Employee accountability. (2) Employee role clarity Vs Operational discipline

Null Hypothesis:

Manger approach should be 1% for 100 costumer complaints/ concerns.

Alternative Hypothesis-1,2:

(1) Employees responsibility Vs Employee accountability. (2) Employee role clarity Vs Operational discipline

7. Learn more about your female customers. For family outings and special occasions, women make the decision on where to dine about 75 percent of the time.

Null Hypothesis:

Booking done by male costumer Vs Booking done by female costumer

Alternative Hypothesis-1,2:

(1) Repetitive booking of female costumer equal to 2 times. (2) Review of female costumer should be 95% on quality scale.

Literature search be expanded, Yes

Suggesion-1: Other type of costumer segments should be analyzed based on the age group. The age group search should be different for females.

Suggesion-2: Different type of cultural food like Mexican, Indian shall be searched and need to analyze their demand.

Suggesion-3: Chef Categories and specialization are to be studied.

Suggesion-4: Seasonal Manu should be developed.


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