# Statistics of Cafe Coffee Day

Topics: Bar chart, Chart, Pie chart Pages: 5 (1036 words) Published: November 14, 2011
A Project on service time variation in Café coffee day

Structure
Service time
Project methodology
Analysis
Observation and recommendation

What do we sell?

Experience
Physical product
Ambience
Service

Quality of service depends on following aspects:

Quality of customer and staff interaction
Quality of complaint handling
Optimum service time

Optimum service time

What is it?

For this project, we have taken it as the time interval between taking the order to the service of order at the table.

Is it important?

Type of customer
Time of the day
Format of the outlet
Time period between the orders is taken and the order is served •Competition

Research methodology

Data collection
Sources of data
Sampling

Sources of data and collection

Primary

The primary data was collected by putting timing of order received and service timing on the KOTs of the respective order. •Data collection was done for 22 days in the __________________________.

Secondary

For secondary data, I referred to the websites of Café coffee day, Google, Wikipedia. •Books Statistics for management (Levin & Rubin),Principles of retailing(J Fernie). •Papers : Café coffee day and Barista, a comparative study, ASBM, Bhuvneswar. Sampling

Sampling was done randomly and 50 samples (KOTs) were taken daily. •Extraneous effects were removed by removing or not choosing very large orders and very small order. •All the orders were also noted with the time of delay due to factors other than considered.

Analysis

Statistical process control

Xbar chart
Rbar chart

Total quality management

Fishbone diagram
Pareto chart

X- bar chart

Xbar charts are the control charts for process means. The control limits in X bar charts place bounds on the amount of variability we are willing to tolerate in our sample means. In X bar charts we have •A center line X bar-bar or X grand mean

An upper control limit (UCL) line, with value = grand mean + 3 •A lower control limit (LCL) line, with value = grand mean- 3

R -chart

In R charts, we plot the values of the sample ranges for each of the samples. The center line for R charts is placed at R bar. •UCL (upper control limit) =R bar (D4)
where D4 = 1+3 d3/d2
LCL (lower control limit) =R bar (D3)
where D3 = 1 ² d3/d2
D4, D3, d2, d3 are constants

Analysis

ANALYSIS

As we plot the CL, UCL and LCL and the daily values of theX bar, a quick glance at the chart shows us that on the dates 15/10/11, 18/10/11, 22/10/11 and 30/10/11 the average serving time jumps above the UCL(upper control limit). •To check whether the cause for this variation is assignable or random, close investigation shows that there is some relation between sales on that particular day and the delay in service. •Now we can see clearly that whenever the sale is more thanRs.20,000, it is affecting the service time and the order is served late. Now we will try this same by excluding the outliers or the values above the UCL.

X- BAR CHART (without outliers)

From the above chart, we can see that once we remove the outliers the service time is well within control limits.

RBARCHART

The values of the daily ranges are in the control limits. This shows that there are not great differences between one day range to another day range, but these range values have to be compared with another competitor to get the advantage of this chart.

FISHBONE DIAGRAM (Total quality management)

The TQM approach to any business starts with the realization that all errors, defects, and problems have causes and there is only finite numbers of these. The fishbone diagram takes an unstructured list of factors that contribute to delayed service and organizes that list in two major ways. First, it gathers the factors into logical groups. And then, within the groups,...