global
1. Describe three different forecasting applications at Hard
Rock. Name three other areas in which you think Hard Rock could use forecasting models.
-Point-of-sale system (POS), which captures transaction data on nearly every person who walks through a cafe's door. The sale of each entrée represents one customer. They forecast monthly guest counts, retail sales, banquet sales, and concert sales (if applicable) at each café.
-To evaluate managers an set bonuses, a 3-year weighted moving average is applied to cafe sales.
-"Menu planning". Using multiple regressions, managers can compute the impact on demand of other menu items if the price of one item is changed.
2. What is the role of the POS system in forecasting at Hard
Rock?
- It captures transaction data on nearly every person who walks through a cafe's door.
3. Justify the use of the weighting system used for evaluating managers for annual bonuses.
-To evaluate managers an set bonuses, a 3-year weighted moving average is applied to cafe sales. If cafe general managers exceed their targets, a bonus is computed.
4. Name several variables besides those mentioned in the case that could be used as good predictors of daily sales in each cafe. -Variables that could be used as good predictors of daily sales in each cafe, other than the aforementioned, include
a) the customer peaks; times of day when customers seem to frequent the cafe; days of week when customers seem to frequent the cafe
b) age groups and the respective preferences of these groups;
c) depending on the location of the individual cafe, a good predictor would be the cultural preferences of the people who frequent the cafe
d) similar to c, according to the location of the cafe, the financial status of the area and the customers is a good predictor of their choices for purchase.
Rock. Name three other areas in which you think Hard Rock could use forecasting models.
-Point-of-sale system (POS), which captures transaction data on nearly every person who walks through a cafe's door. The sale of each entrée represents one customer. They forecast monthly guest counts, retail sales, banquet sales, and concert sales (if applicable) at each café.
-To evaluate managers an set bonuses, a 3-year weighted moving average is applied to cafe sales.
-"Menu planning". Using multiple regressions, managers can compute the impact on demand of other menu items if the price of one item is changed.
2. What is the role of the POS system in forecasting at Hard
Rock?
- It captures transaction data on nearly every person who walks through a cafe's door.
3. Justify the use of the weighting system used for evaluating managers for annual bonuses.
-To evaluate managers an set bonuses, a 3-year weighted moving average is applied to cafe sales. If cafe general managers exceed their targets, a bonus is computed.
4. Name several variables besides those mentioned in the case that could be used as good predictors of daily sales in each cafe. -Variables that could be used as good predictors of daily sales in each cafe, other than the aforementioned, include
a) the customer peaks; times of day when customers seem to frequent the cafe; days of week when customers seem to frequent the cafe
b) age groups and the respective preferences of these groups;
c) depending on the location of the individual cafe, a good predictor would be the cultural preferences of the people who frequent the cafe
d) similar to c, according to the location of the cafe, the financial status of the area and the customers is a good predictor of their choices for purchase.