Tim's Coffee Shop

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Analyze Report for Tim’s Coffee Shop



Nicole Badgley

Executive Summary
The coffee shop can become more profitable with some minor changes. The business is open 20 hours per day. It would be wise to expand the business hours to 24 hours per day. While the competition, Queequeg’s Coffee has more locations, Tim’s Coffee Shop is the closest to the railways and the university. By opening all night, those late night study cram sessions could turn profitable, as a latte at 4AM will help the students relax, stay focused and study.

In comparison with the survey, the overall rating of the company is good. To remain more competitive with pricing, Tim’s Coffee Shop has to keep its prices more In line with Queequeg’s Coffee, as the ratio of 7/1 is significant, as Queequeg’s Coffee has the market share advantage. The ambiance of the business is charming and inviting, but the company must cease its cash only practices and start accepting debit and credit cards, as today’s students and business people rarely carry cash. This is the 21st century and the business must adhere to the demands of the 21st century patrons. Regarding the employees, it appears the majority of the employees have been written up at one time or another and some many times. Reorganization of employees and management needs to be considered. Hiring new staff with the goals of the coffee shop in mind would be a plus. The promotion of purchase 10 coffees get one free is a plus factor for the business, as many companies, airlines, hotels and nail shops, have frequent guest programs. Guests like to feel rewarded and this program will continue to work for Tim’s.

The business should never sell anything exclusive. Jenna’s donuts might be good, but offering variety is what will sell, as a business makes its revenues off of its sales. The more variety and items that can be sold will increase revenues. .

Regulations and Management

In regard to government regulations all of these posters are the Fair Labor Laws, Equal Opportunity Employer, Family Medical Leave Act etc need to be displayed where they can be read by all employees. Management responsibilities are not differentiated between the manager and the assistant manager. The managers need to make sure that the staff know the vision statement and ensure that they are doing what they can to meet the short and long term goals of the coffee shop.

Action Items:

I would suggest that Tim remove all the other information that is on the cork board and place it on a different cork board or move the poster to a different location where they are visible to read by all the employees. The managers need to read the customer comment cards to help the coffee shop reach its vision and goals. There needs to be a separation between the manager and assistant manager’s position.

HR Analysis

I observed that the employees seem to like their jobs. They are mostly on time and polite to the customers. Then I observed employees who did not appear to care about their jobs by coming in late, leaving early and being rude to customers.

Action Items:

It is apparent that Tim has internal employee issues, as the majority of the employee have been written up more than once and some as many as six times. Tim MUST not let poor employee’s become detrimental to the success of the coffee shop.

Marketing Analysis

The only advertising Tim does is in the coffee shop so that the only people that see them already come to the coffee shop. Tim could try different ways to advertise the coffee shop. He could make a radio advertisement, put poster in the windows of the coffee shop or he could have flyer made and added the new paper.

Action Items:

Strengths: The coffee shop is in a great location. It is located near the train station and a college.

Weaknesses: Employees don’t care appear to care about the...
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