Business Analyst of Tim’s Coffee Shoppe
After carefully analyzing your Coffee Shoppe, I have found several aspects that are considered strengths and weaknesses. Tim’s Coffee Shoppe has already established its presence in the busy downtown area of Sunnydale, Illinois. Your shop is located by a large college and Horvath and Arbanes Station, which are major bus stations. The shops’ location is great because of the steady traffic flow throughout the day and it is accessible from several parts of town. The shop is lacking a few technological updates as well as organization. From my analysis, I concluded that only accepting payments in the form of cash is making you lose some of your potential customers. The shop should accept several forms of payments to better accommodate the customers’ preference and increase revenue. Everything should be done electronic with hardcopies as back up documents. The menu should be revamped as well. The shops’ is spacious all around, however the back rooms are clutter especially in the storage area. If you could clear the clutter, you would have more room for storing supplies. You could buy materials at a larger capacity which would save you some money, since buying in bulk is more cost effective. According to the income statement in your file cabinet, your supplies for the previous year cost you $135,827. As far as management, you have ten employees and the majority of them seem satisfied with their employment there but you can sense the morale is low. One of the hardest challenges employers face is boosting morale. We will need to think of creative ways to approach the employees and their overall opinions about their job. It would be in wise to seek new employees or assign current employees, who are strong in leadership to management positions. If you were to go this route it would be in your best interest to assign one to each shift. Also with reviewing your income statement, I found that a lot of your profits went to paying out employee salaries; therefore you may want to consider evaluating payroll to adjust your hourly pay rates. Regulations are very important, and you should consider these a serious matter. You want to enforce the rules and make sure they are visible at all times. After evaluating your balance sheet, I can safely say it looks great financially because your shareholders equity and assets are more than your liabilities; however there are some things that need to be overlooked to ensure that you continue to be financial successful. Overall Tim, your shop has a good reputation in Sunnydale and with the right marketing strategies, budgeting, goal setting, affordable prices, tasty menu selection , and outstanding customer service your business will prosper.
Regulations and Management
You are running your business as a sole proprietorship. Being that you are a small business and it is only you running it, you may want to look into assigning managers within your company. You may want to reconfigure your employee’s shifts as there is a big issue with attendance and adhering to the schedule. As stated previous invest in a credit machine because this will help your checkout process run a lot smoother and make things easier for your customers who might not have cash on hand. Also there was a complaint by one of the employees that the cash register needs to be upgraded. An updated cash register would be a great investment along with the credit machine. Having an updated cash register will help balance out your inventory and keep track of sales better. The break room is a mess. The message board that is located in the break room is cluttered with unnecessary papers. The laws and regulations are not visible because it is covered by announcements. The laws, regulation and general rules should always be visible. The message board should not have anything else on it besides regulations, announcements...