Harvard Case - Congestion in Cafe 67
"Congestion in Cafe 67" Harvard business case study is written by Robert D. Landel, Sean Boes. It deals with the challenges in the field of Operations Management. The case study is 2 page(s) long and it was first published on : Dec 20, 2016
At Fern Fort University, we recommend a multi-pronged approach to address the congestion issues at Cafe 67, focusing on operations strategy, supply chain management, and customer experience. This will involve a combination of process improvement, technology implementation, and staff training.
2. Background
Cafe 67, a popular eatery at Fern Fort University, faces growing congestion during peak hours, leading to long queues, frustrated customers, and decreased staff efficiency. The case study highlights the challenges of managing high demand with limited space and resources.
The main protagonists are:
- Sarah, the manager of Cafe 67, responsible for daily operations and staff management.
- The University, concerned about student satisfaction and the overall image of the cafe.
- Customers, who experience long wait times and a less-than-ideal dining experience.
3. Analysis of the Case Study
The case can be analyzed through the lens of operations management, specifically focusing on queueing theory, bottleneck analysis, and process design.
Queueing Theory: The long queues at Cafe 67 indicate a mismatch between customer arrival rate and service rate. This can be further analyzed by identifying the specific points in the service process where customers are waiting the longest.
Bottleneck Analysis: Identifying the bottleneck in the service process is crucial. This could be the order taking process, food preparation, or the cashier. By addressing the bottleneck, the overall service flow can be improved.
Process Design: The current layout and workflow of Cafe 67 might be inefficient. A detailed analysis of the process flow, including customer movement, order placement, food preparation, and payment, can reveal areas for improvement.
4. Recommendations
Short-Term Solutions:
- Implement a Queue Management System: Introduce a queuing system with designated lines and clear signage to manage customer flow and reduce perceived wait times.
- Optimize Order Taking: Implement a mobile ordering system, allowing customers to place orders remotely and reducing wait times at the counter.
- Staff Training: Train staff on efficient order taking and food preparation techniques, minimizing delays and improving customer service.
- Peak Hour Staffing: Adjust staffing levels during peak hours to match demand, ensuring sufficient staff for order taking, food preparation, and customer service.
- Limited Time Offers: Introduce limited-time menu items or promotions during peak hours to encourage customers to order faster options.
Long-Term Solutions:
- Expand Facilities: Explore options for expanding the cafe's physical space to accommodate increased demand.
- Invest in Technology: Implement a Point-of-Sale (POS) system with integrated ordering and payment capabilities to streamline the process.
- Data Analytics: Utilize data analytics to track customer flow, order patterns, and peak hours, enabling better forecasting and resource allocation.
- Process Improvement: Implement Lean Manufacturing principles to identify and eliminate waste in the service process. This could include value stream mapping to identify non-value-adding activities.
- Customer Feedback: Regularly collect customer feedback to identify areas for improvement and address specific concerns.
5. Basis of Recommendations
These recommendations are based on:
- Core competencies: Focusing on improving operational efficiency and customer satisfaction, aligning with the university's mission of providing a positive student experience.
- External customers: Addressing the needs of students and faculty by reducing wait times and improving the overall dining experience.
- Internal clients: Supporting the cafe staff by providing them with the tools and resources needed to efficiently serve customers.
- Competitors: Benchmarking against other university cafes and implementing best practices to remain competitive.
- Attractiveness: The proposed solutions are cost-effective and have a high potential for ROI, as they aim to increase customer satisfaction, improve staff efficiency, and ultimately boost revenue.
6. Conclusion
By implementing these recommendations, Cafe 67 can significantly improve its operational efficiency, enhance the customer experience, and address the congestion issues. This will require a collaborative effort between the university, cafe management, and staff, with a focus on continuous improvement and data-driven decision making.
7. Discussion
Alternatives:
- Outsourcing: Consider outsourcing some of the operations, such as food preparation or delivery, to specialized companies. However, this could compromise quality control and potentially increase costs.
- Self-service kiosks: Implementing self-service kiosks could reduce wait times but might not be suitable for all customers.
Risks:
- Implementation challenges: Implementing new technology or processes can be challenging and may require significant training and support.
- Cost considerations: Some solutions, such as facility expansion or technology upgrades, can be expensive.
Key Assumptions:
- The university is committed to improving Cafe 67's operations and is willing to invest in necessary resources.
- Customers are receptive to new technologies and processes that improve their dining experience.
- Staff are willing to embrace change and adapt to new workflows.
8. Next Steps
- Form a task force: Establish a team comprising university representatives, cafe management, and staff to oversee the implementation of the recommendations.
- Develop a timeline: Create a detailed timeline outlining key milestones, deadlines, and responsibilities for each task.
- Pilot testing: Implement pilot programs for new technologies or processes to assess their effectiveness before full-scale rollout.
- Performance monitoring: Regularly track key performance indicators (KPIs) such as customer satisfaction, wait times, and staff efficiency to monitor progress and make adjustments as needed.
By taking a proactive approach and implementing a comprehensive strategy, Cafe 67 can overcome its congestion issues and become a more efficient and customer-centric dining destination for the Fern Fort University community.
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Case Description
In this exercise the manager of Café 67 asks for help dealing with the large queues of students during the Darden school's second coffee (approximately 20 minutes) who all want lunch at the same time.
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