Hard Rock Cafe: Operations Management

As we know, Hard Rock and roll is the number one themes restaurant on earth. The first Hard Rock and roll Cafe opened its doorways to the general public on June 14, 1971, in London, Britain. Founded by Isaac Tigrett and Peter Morton, two enterprising and music-loving People in the usa. Although other theme restaurants attended and removed, Hard Rock and roll Cafe is still heading strong, with 129 restaurants in more than 40 countries, and new restaurants opening every year.

As an industry head, its strategy has improved with the times. Hard Rock and roll has migrated from a London restaurant modeled on the Tennessee cafe, to food with entertainment, to food with an event. Restaurant-goers don't just want meals; increasingly, they want an experience, and Hard Rock's procedure strategy is designed to provide that experience. Orchestrating all of this becomes an functions management responsibility.

All ten major businesses management decisions are required of operations professionals are: Design of goods and services; Handling quality; Process and capacity design; Location strategy; Design strategy; Human resources, job design, and work way of measuring; Supply-chain management; Inventory, materials requirements planning, and JIT; Intermediate and short-term arranging; Maintenance - can be significant in building that experience.

Let's check out HARD ROCK CAFE's service quality and product design, at Orlando's Common Studios, a traditional tourist destination, HARD Rock and roll CAFE provides over 3500 dishes every day (Heizer, J & Render B (2008), Ideas of Functions Management (8thed). Harlow: Pearson). In Hard Rock's case, the meals is the product, and its own quality must top the graphs. Operations personnel constantly review selections, and food research is ongoing. Hard Rock and roll chef are modifying the menu from basic North american - burgers and poultry wings - to add higher-end items such as stuffed veal chops and lobster tails (Heizer, J & Render B (2008), Principles of Operations Management (8thed). Harlow: Pearson). Quality surveys are done regularly. If food scores aren't a seven over a someone to seven level of quality, it's failing. Establishing quality criteria and handles to meet these specifications is the key to a successful restaurant.

The HARD ROCK CAFE Company also got raised Competitive Advantages through the creation of a distinctive advantage over competitors. Mainly they give attention to differentiation. It means they give another services and products than other restaurants, that your customer perceives as adding value. Those features are very difficult to copy!

Quality Management

Hard Rock and roll Cafe, an immensely successful restaurant and retail string with locations across the world, comes after religiously the service tenet of "increase checking" to reduce mistakes. The tenet is: Be cautious and don't make a blunder to begin with. If a blunder does occur, appropriate it before it reaches the customer. Hard Rock and roll Cafe Orlando implements two times checking through two "extra" people in your kitchen. One is stationed inside your kitchen and the other at your kitchen counter. The inside person reviews anything that is certainly going on, looking for indications of undercooked or overcooked meals, wilting lettuce, etc. The counter person, or "expediter, " bank checks each prepared plate against the order ticket before the plate is sent to the stand. While this system can be an added expenditure, it spent some time working well for this restaurant which on the busy day will provide 6, 000 dishes to customers and also require waited in line for a table for one hour or even more. (http://areas. kenan-flagler. unc. edu/Marketing/FacultyStaff). Quality is very important for Hard Rock Cafe, each and every waiter/meals is important. At Hard Rock and roll Cafe, operations managers are in charge of the grade of food, they not only design the foodstuffs, test the foodstuffs (dishes), analyze foods for the price of ingredients, but also have to research food, dealer and surveys about food quality.

Process & Capacity Design

At Hard Rock Cafe operations managers arrange the efficient employee schedules. Hard Rock Cafe acts over 100, 000 foods, such as: Starters; Sandwiches; Salads; Burgers; Sides; Entrees; Sweets; The development process, from receiving, to cold storage, to grilling or cooking or frying and twelve other steps, was created and looked after to yield a quality meal (Heizer, J & Render B (2008), Concepts of Businesses Management (8thed). Harlow: Pearson).

Location

Location is a major long-time decision, it can make or break business strategy. Location decision starts off with a global view on Politics Risk; Currency Risk; Community Norms; Brand Fit; Sociable Cost; Business Techniques.

Finding the perfect location for each cafe is another functions management decision. The business systematically narrows the search from country to city and then exact street corner. It is the job of Oliver Munday, Senior Director of Worldwide Caf Development, to help make the choice. Hard Rock has a significant brand. We're a global brand. We've been around for thirty years. An integral part of the reason we've been around for such a long time, I love to think, is the fact we've considered a great deal of health care and attention in considering the markets we should expand into, which is an extremely critical pursuit since it really underwrites and underpins the near future success of the Hard Rock brand. If I make a mistake, if I select the wrong market, easily make a negative decision, that impacts us all for a long time because these are major long-term commitments. Going into new market segments and booking space and signing new leases for a ten to fifteen, sometimes longer time frame, so once that decision is manufactured, it's there permanently virtually, and so we have to be careful so it is an important, proper exercise to be sure that on a global basis we're looking at the right marketplaces and we're entering the right market segments, and we're also moving in at the right time. (http://cdis. missouri. edu)

Layout Design

Another businesses management decision is layout. Businesses professionals have to set-up the process for purchase, engineering, redesigning existing site, and food cover as well. Businesses managers must consider the kitchen flows for food preparation and restaurant and pub layout for maximum income. Every little bit of the knowledge strategy including memorabilia, music, and visuals assumes a new significance. This means light, sound, screens, modern-day music, and circulation paths are made to showcase memorabilia and expose customers to merchandise on the market. The retail retailers generate close to half the companies income and are carefully built-into restaurant layout, movement, and work channels.

Human Resources

HR is the aware of the company which is a genuine "support centre" for employees, serving with training programs and being the tone of voice of these. With employees, seeking individuals who are interested in music, want to serve, and present the experience to visitors. To spread the nature of rock and roll 'n spin by delivering an exceptional entertainment and dining experience.

According to Jim Knight, Manager of Corporate Training: When you start talking about a human resource department that really is a true support middle for such a huge, international company, you kind of have to understand that the cafes and the people that work within often will stand on their own whenever we were much smaller, but I believe there's a job that recruiting now takes on to type of be the conscience of the company and ensure that we're doing the right thing by the individuals, so I don't mind us being truly a voice for the kids, and doing that which you can to help recruit, maintain, to truly train them, to build up them, to expand them. Whatever we can do to support the individuals-I think that's really what recruiting is all about. (http://cdis. missouri. edu)

Supply Chain Management

Hard Rock works together with certified suppliers to ensure fresh, quality meals. Menu item selection depends on supplying right amount of ingredients from qualified suppliers on time.

Inventory Management

Also takes on a different so this means at the Hard Rock and roll Cafe. You can find of course food and products, but Hard Rock and roll also offers over forty million dollars invested in one of the world's largest choices of rock-and-roll memorabilia inventory. The majority of which is on the wall space of its cafes across the world, mainly from Elvis, The Rolling Stones, Jimy Hendrix plus the Beatles. The souvenirs are in one restaurant only a short time frame and then should go the next one in another city or country, to show holidaymakers new souvenirs on a regular basis.

Scheduling

Scheduling is another of the ten businesses management decisions. With twenty-three departments and over six hundred people on the payroll, Hard Rock Orlando General Director, Ken Hoffman, considers many factors when preparing work schedules. We look at sales. We look at sales for prior year, to see what kind of business we performed during that week when we're writing the agenda. We also take into consideration any events-community events-in the area, seasonality. We also take a look at tendency for our trade for days gone by few weeks, and then what we do from that is we come up with a sales forecast. The sales forecast is actually that nucleus that people write the routine from. (http://cdis. missouri. edu)

Operations managers considers many factors when preparing work schedules like: Sales; Sales for priority, kind of business: meal, items etc. ; Community situations in the area; Seasonality; Sales tendency in last couple of weeks and Sales forecast

Maintenance

Quality and control are key to success. Menu review; Surveys; Kitchen, bar, retail shop layout and equipment maintenance and Maintenance of memorabilia at Orlando.

The HARD ROCK CAFE is not only a network of restaurants. Those are as well hotels in a few locations (Orlando, Las Vegas) and network of retailers where tourists can purchase souvenires with HARD Rock and roll CAFE special custom logo. Special because each shop has special collection with logo design of HARD Rock and roll CAFE and the name of the city. The 48% of sales coming from goods. (www. hardrock. com)

THE HARD ROCK's global operation management strategy successfully combines

Music

International locations

Globally branding merchandise

The World Wide Web attention to each mission experience

Operations management is an important aspect in restaurant management, but at Hard Rock, it's the key to providing their particular experience at every single cafe.

In light of the aforementioned, discuss the operations management troubles and opportunities for Hard Rock when contemplating an enlargement of its business into Hanoi.

From my point of view, an effective operation management effort must have a mission so it is aware where it is going and a strategy so that it know the way to get there.

So, what's HARD ROCK CAFE mission & strategy?

With quest is: to spread the nature of Rock and roll 'n' Spin by delivering a fantastic entertainment and eating out experience. They can be committed to as an important, contributing member of the community and offering the Hard Rock family a fun, healthy, and nurturing work place while ensuring our long-term success.

With mottos: Love All - Help All; All Is One; Save the Planet; Take Time to Be Kind (www. hardrock. com).

The HARD ROCK international procedure strategy is Multi-domestic Strategy

They use existing local model globally

Franchise, joint projects, subsidiaries

Let's analysis circumstance of HARD Rock and roll CAFE when considering an extension of its business into Hanoi to see their the functions management issues and opportunities.

With a SWOT evaluation, we will have a formal overview of the internal Strengths and Weakness and the external Opportunity and Dangers. Beginning with SWOT analyses, organizations position themselves, through their strategy, to have a competitive progress.

HARD Rock and roll CAFE opened in HCMC, December 2009, located at the commercial and domestic Kumho Asiana Plaza, the restaurant is the first of the four HARD ROCK CAFE retailers to be opened in Vietnam.

It is part of franchising arrangement between U. K. -established Hard Rock and roll International and the Viet Thai International Joint Stock Company, owner of the popular coffee shop chain Highlands Coffee which includes more than 60 shops across Vietnam. (Tuoi Tre Paper)

The world-renowned HARD ROCK CAFE brand began as an American diner in London, opened up by two American music enthusiasts in 1971.

Hard Rock commenced its global enlargement in 1982 with the beginning some outlets in a few of the biggest cities across the globe, including LA, NY, Paris, Tokyo and Berlin.

HARD Rock and roll CAFE, the originator of theme-restaurant eating, is actually a haven for rock and roll n' roll admirers, offering a full rock experience through cafes, hotels, casinos, memorabilia and music venues.

The brand nowadays includes over 157 venues in more than 52 countries and 127 cafs and 12 hotels/casinos throughout the world.

High-profile rock-themed restaurant chain HARD Rock and roll CAFE is planning to start three new outlet stores in Hanoi Capital, northern Hai Phong City and central Danang City by 2012.

The extension of HARD ROCK CAFE franchise in Vietnam is targeted at tapping the probable of a growing economy and an extending young population, the prospective customers of the string, corresponding to David Thai standard director of Viet Thai International Joint Stock Company.

The precise plan, however, is undisclosed.

Viet Thai International, owner of the popular coffee shop chain Highlands Coffee, late last year authorized a franchising arrangement with U. K. -established Hard Rock International to build up four HARD ROCK CAFE venues in Vietnam.

The chain will bring international artists to perform in its Vietnam-base venues and invite local performers to tour to HARD ROCK CAFE outlets across the world, Thoi Bao Kinh Te Sai Gon (Saigon Economic Times) newspaper reported.

American hip hop musician Darryl "D. M. C. " Matthews Mc Daniels was the first international artist to execute on HCM city's HARD ROCK CAFE stage.

Mc Daniels, an associate of hiphop group Run-D. M. C. , whose more than 30 million copies have been sold worldwide, was asked to join local artists to perform at the opening nights the caf the other day.

The 542 square meter newly-opened caf was officially exposed on January 22 at the commercial and home Kumho Asiana Plaza in the city's central Region 1.

The place includes 205 car seats and the standing up space for 400 guests, a live music part, a pub and a Rock Shop advertising souvenirs.

HARD ROCK CAFE's business is very successful in Ho Chi Minh city, however in Hanoi whether it's still same with Ho Chi Minh? As, the living standard in Ho Chi Minh city is greater than Hanoi,

A HARD Rock and roll CAFE franchise gives you to be part of 1 of the most successful internationally identified brands anywhere in the world. (www. hardrock. com)

Think about whether Hanoi gets the requirements the HARD Rock and roll CAFE looks for. While they don't require certain exact qualifications, franchise applications are very competitive and you'll want strong certification. Business experience, marketing experience, management experience, experience with restaurants, night clubs, bars and live music can help your chances.

Find a spot for the franchise attractive to the HARD ROCK CAFE. You can find 120 HARD ROCK CAFEs in 40 countries, so opportunities are limited. You need to find a sizable metropolitan area that will not already have a HARD Rock and roll CAFE.

Assign people in your organization the duty of deciding if a difficult ROCK CAFE makes sense for your enterprise. Involve a business strategist, accounting and retain a franchise attorney at law. The HARD ROCK CAFE offers you benefits including advice on site location, design help, access to consultants, procedures and budget advice, grand starting assistance, business planning, marketing, advertising, promotion and training. However, they do take 5 percent royalties on food and 10 percent royalties on goods.

With the company's mottoes embody the Hard Rock philosophies: "Love All-Serve All, " "REMEMBER TO Be Kind, " "All is One, " and "Save the Planet. " The emphasis of the initial restaurant was on dealing with all customers evenly well, a strategy that has paid off worldwide. The business's anti-elitist-and ostensibly American-stand has made people around the world feel safe and welcome in the Hard Stones, and customers have responded by purchasing the chain's hamburgers, beers, T-shirts, and pins. HARD Rock and roll CAFE has always positioned importance on environmental and humanitarian issues, pursued with a definite sense of "coolness. " This emphasis has contributed to the chain's attractiveness with customers, a few of whom could be called "followers, " so devoted are they to the restaurants. HARD ROCK CAFEs around the globe still stick to the original eyesight of its founders, which was to provide customers with a whole rock and roll experience.

The U. S. -structured Hard Rock projects to open up hi-end cafe outlets in Vietnam by master-franchising the name to an area partner, vice president of Hard Rock and roll Oliver Mundo said yesterday.

Hard Rock and roll vice president Oliver Mundo and James Cavalaris, director for Asia Pacific franchise development and functions of Hard Rock, satisfied the Vietnam Franchise Membership yesterday in HCMC to discover a grasp franchisor for the company's plan.

"We've decided to open HARD ROCK CAFE shops in Vietnam. However, we still look for a right partner to franchise our business, Mundo said.

"A professional franchisor must pay to Hard Rock and roll from US$200, 000 to US$1 million for the initial cost, in addition to 1% of total earnings for promoting the brand, 5% of food income and 10% of clothing and present earnings, he said.

According to him, some 35% of total revenue of a HARD Rock and roll CAFE shop comes from

clothing and gift business.

Hard Rock's guidelines permit its partner in Vietnam to open only one HARD ROCK CAFE shop in each city. (http://franchise. business-opportunities. biz)

HARD Rock and roll CAFE with all the Know-How is

Initial ideas: "Nothing could possibly be the same as the original thing", CMO of Hard Rock and roll, Mr. Steve Glum, said with Detroit Free Press journal on Nov 2003, "They are able to imitate us, take our original model and add different content but we have nothing that everyone can simply contact that is music and mementos about rock and roll 'n' move which other restaurants cannot attain. "

Customer interest: To be a live museum and locating in touring places, HARD ROCK CAFE quickly became a famous brand, captivated a great deal of tourists. Famous HARD ROCK CAFE T-shirt printed out with metropolis name where these were bought was another fascination to holidaymakers.

(Extraction from "Brand Royalty - Successful know-how of 100 top quality world brand names" printed by Frist Information - (Phuong Trinh - VnBrand))

AND THIS STRATEGY WORKS

#1 on earth - 92% name-brand recognition

The HARD ROCK CAFE is within the very best ten of the world brands reputation.

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