Operations management is an important element in restaurant management. Hard Rock Café has had a very high brand recognition percentage throughout the world because of its operations management. In this paper we will try and discuss the 10 decisions Hard Rock Café has gotten right in making it one of the most successful companies in the service industry.
Goods & Services Design
A restaurant sells two products: one is tangible product, such like food, souvenir, or drink. Other is intangible product, like service, atmosphere, or a smile. Products design is a major challenge that directly impacts the long-range success a restaurant. Designing goods and services defines much of the transformation process. Costs, quality and HR decisions are often determine by design decisions. Designs usually determine the lower limits of cost and the upper limits of quality.
Retail is now a standard and increasingly prominent feature in Hard Rock Cafes (since close to 48% of revenue comes from this source). Retail nature is many customers, high churn rates, shifting customer loyalty, brand image driven business, speedy product design and implementation, innovation to dream up new products, low shelf life of some products, and competition through media.
The product development process in restaurant include: Food research, people tastes always change and enjoy fresh new things; Planning, The output of the planning phase is the project mission statement, which specifies the target market for the product, sales goals and key assumptions; Concept development, in this phase, develop about the proposed product concept. Identify target market, establish customer needs, and determine method requirements and availability. Generated alternative product concepts, and select a single concept for further development; System-level design, the system-level design phase includes define the proposed product architecture, cost analysis; Detail design.