1. have developed the transformation process for a product (good and/or service) and described how the product is designed, produced and delivered to the customers.
2. have applied operations management concepts, frameworks and tools to support the development of operations strategy and operating system for the business.
3. have applied creative and analytical skills to solve business problems.
4. have learned to manage a team in the project work.
To achieve these goals, you are expected to develop a business proposal of starting up a Traditional Chinese Restaurant (yum cha) or a food shop that makes and sells dim sum/Chinese gourmet or Western food/snack/cake to be located on school campus. Because of pandemic, you need to provide an online platform for our students and staffs to order “Take Away” as well. Local investors have shown interest in your concept but want proof that you know what you are doing and can be profitable.
A. Research, discover and document operations of similar businesses.
Through observations of similar businesses in this area, and by asking questions and gathering product catalogs, process flowcharts, service blueprints, job descriptions, facility layouts, operation plans, photographs, videos, verbal explanations, or similar materials from various sources, you will determine how your competitors perform their operations activities. In short, you will discover and identify the inputs, value adding transformation processes, and outputs of competing businesses.
B. Develop, describe and analyze your business’s operations strategy and operating system.
Specifically, your group has to:
1. identify your business’s target customers and their needs.
2. develop your business/competitive strategy.
3. identify and justify your operations strategy in terms of competitive priorities using the
concept of order winners and qualifiers.
4. develop and define your products with drawings, bill of material, explicit job instructions for moments-of-truth, etc. The products should be new in the market and address the needs of your target customers.
5. develop and justify production/service process and map the process with flowcharts, process charts, service blueprinting, etc.
6. determine the required capacity (e.g. number of machines and staffs) and the store size according to your store’s layout with justifications. Staff paths and the size and position of kitchen, work bench, cashier, seats (if there are), store room, waiting area, machines, equipment and other production resources are illustrated by diagrams.
7. develop and justify inventory management policy such as type and amount of inventory and replenishment practices.
8. determine product price, estimate monthly sales revenue and operating costs, and project annual financial return from your investment. You need to determine the maximum acceptable rent and operating costs.