In: Operations Management
Hunter Co.:
The Hunter Company is a chain of restaurants that are widely distributed across the Kingdom of Saudi Arabia. The business started in 1995 with one branch in Jeddah. It was very successful as it was always crowded and widely complimented by customers in terms of food quality, hygiene and service level. The company then created an expansion strategy to meet the increasing demand. Between 2000 and 2015, The Hunter Co. has opened 50 branches in 30 cities in Saudi Arabia. However, Hunter Co. reported 30% drop in earnings for the second quarter of 2015. In an attempt to understand the causes of such drop, The Hunter company has discovered that customer satisfaction level massively dropped! While gathering information related to the reasons behind the major drop in customer satisfaction, the following comments were given from customers. Many complaints about inappropriate staff behavior. Moreover, complaints about food quality. The service varies from time to time and from a branch to another. Long waiting time. Employees are not taking care of hygiene and cleanliness. In general, they confirm that the food and service quality are below the standards set by the company. The following comments were given by the restaurant staff: Salary is different for the same levels in different restaurants. Nobody cares about how we feel. The company`s CEO says that quality is a priority, but they have brought low quality raw materials to save money. High staff turnover pressure on existing serving staff and managers. The Hunter restaurant is under a real threat of going out of business. They need for transformation to re-gain customer trust.
Answers-
-Analysis of the Problem:
b. The Reasons:
-When asked about there were different objections from the customers which were expressed as follows:
Inappropriate conduct of the staff,
Reduced food quality,
Long holding up time,
Lower cleanliness and neatness kept up by the customer.
The additionally guaranteed that all the gauges kept up at the eatery was underneath what was set.
Simultaneously, there were sure focuses advanced by the café staffs or workers as for the reasons for the decayed gauges and customer grumblings. Which were as per the following?
Low pay being paid to the workers which is underneath the business normal,
There is nobody to address their problem or talk for them,
Despite of the motto of the company which is 'quality is need', the company gave workers low quality crude materials/fixings,
High staff turnover which thus pressed the current staffs.
c. Proposed Solutions:
Presently going to the solutions for the above expressed problems, for example drop in deals because of drop in customer fulfillment and the objections set forth by both the customers and the representatives, we can say that the two ought to be managed independently.
Be that as it may, here the need or the initial step ought to address and taking care of the worker's problems and furthermore recruiting new representatives in order to guarantee that there are sufficient individuals in the group. The pay for the workers ought to likewise be expanded or raised to atleast meet or be over the business standard and furthermore bring great pay bundles and rewards in order to guarantee they are paid the best for the endeavors put in by them.
The company the board ought to designate a HR or any such staff who might address the problems of the representatives and to whom they can reach to at the hour of difficulty. This HR should hold the ability to be the extension between the worker and the administration. The company ought to likewise guarantee that the crude materials (state meat, vegetables, natural products, flavors and so on.) gave by them are best in quality as they are serving the food which they have prepared utilizing this fixings and this would have a general effect in the food quality.
In the event of turnover of staff, a post employment survey ought to be directed in order to know the purpose behind leaving and when one staff has left a renewed individual ought to be recruited immediately.
Presently going to the customers protests, larger part were about the staff as they were not respectful or conveniently carrying on, didn't keep up neatness and cleanliness, there was all the more holding up time and the food quality was lower. Furthermore, it very well may be understood that this would be tackled when the representatives are glad as their prerequisites are satisfied.
D. Risk to the associations if the proposed changes are not made-
If the above proposed changes are not made by the Hunter Company, they would have progressively disappointed customers and workers.
This would in the long run lead the company to misfortune more deals and mounting obligation. As the time passes they may even be made bankrupt without any problem.
Thus, it would be strongly suggested that they receive the arrangement and get things directly before it's too late.
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