Broadway Cafe Project -SCM
Business Dilemma Define a way that you can revamp or reinvent your cafe using supply chain technologies. The leading companies in their respective fields all have one thing in common, they deliver their product to the consumer as fast as possible using innovative supply chain management techniques and technologies. Take for example Toyota who revolutionized the Just In Time manufacturing system. Most companies have a similar philosophy even outside of manufacturing, understanding that customers want and they want now. Keeping this philosophy in mind I believe there is a way to revamp the supply chain at the cafe.
Using app ordering the cafe can minimize wait time. The worst part of stopping for coffee in the morning is the dreaded line that waits, sure to make you late for work. The cafe could eliminate this horror by creating an app that allows consumers to place an order with a pick up time all from their phone. The technology could even be used for consumers enjoying the atmosphere of the cafe by allowing them to order from the comfort of their table. By simply creating an app that when launched displays a menu and allows the user to select their choice, applying their name or table number, and time to be picked up (if the order is to go).
The app could increase revenue by increasing the customer base, inventory needs, and most importantly cutting wait times. The customers who choose not to utilize the app would even be more enticed to come in because there would be a shorter line at the counter. Online ordering as well as app ordering has been successful in the pizza industry and I believe the cafe could benefit from the same model that caters to a customer on the go. BCP1 – Question 1 part 2 Making Business Decisions 1 How will you keep business running if you cannot receive your shipments from Brazil Beans, China Teas, and the custom coffee press machines?
A supply chain links customers to customers’ and suppliers to suppliers’. Therefore, the cafe in order to have a strong supply chain must have in place secondary manufacturers and suppliers. Assuming that the cafe places multiple small orders to sustain business it would be wise to assess the risk of the supply chain and understand that secondary, “what if”, suppliers are necessary. However, had these precautions not been in affect than the business could continue operating by using a different dock to import goods or by finding an alternative mode of transportation.
Both alternatives are going to be more costly but the retention of the customer and the long term outlook should be the cafe’s primary objectives. What strategies do you recommend to help the business continue working while the supply chain is completely disrupted by the dock workers strike? The suggestion I would implement upon disruption because of the strike would be shipping products via the air rather than the sea. In addition to the change of transportation a change in the size of the order would also have to be adjusted. Due to the cost increase of shipping products through the air the cafe would have to increase its order size.
This will help offset some of the additional costs of transportation by lowering the amount of times orders are placed. The cafe would also have to have some where to store its extra products for the time being. A low cost way to store extra products due to larger orders maybe the temporary rental of a storage unit. Another way to offset transportation cost would be to partner with other local cafes that offer the same products and place an order together. This idea may not be the most cost effective but it does allow minimal disruption in business and customer satisfaction.