Question 2.

Does Calveta’s operating approach offers a sustainable competitive advantage?

Main Issue

Yes, Calveta’s is able to create and maintain a sustainable competitive advantage throughout its operating approach.

Analysis of issue

A. Possess own principles or strategies “Antonio’s Way”.

In order to increase or twice the revenue as promised to his father within five years, Frank need to consider on the growth strategies for his organization. With these, Frank is always concern about the principles or strategies that proposed by his father and it’s applied throughout the organization, which is “Antonio Way”. This principles conveys the ultimate aim of Calveta’s which is quality of services and customer satisfaction, leads the development of employees in Calveta’s, maintaining the stability of profitability growth. As a fact, “Antonio way” provides a clear track of direction for Calveta’s in terms of operations on how to manage the organization effectively. “Antonio Way” also helps Frank in managing the organization. For instances, when frank in the dilemma of continuing or expanding calveta’s operation into hospital segment or acquiring Great Southwest Dining , Frank used “Antonio Way” as a guideline to make a better decision that related with calveta’s operation. This aspect highlights that such principles will provide an efficient channel of operation for the organizations and maintain sustainability of the competitive advantage of calveta’s through practice of “Antonio Way’ by knowing what need to be done and to accomplish for the Calveta’s achievement.

B. Quality of food and services.

Calveta’s maintains its sustainable competitive advantage by solely emphasize and prioritize the issues of upgrading the quality of food and services time to time. Since, any bad reputation of quality of food and service will jeopardize the trust and experience of customers towards the organizations. This will lead to an increase of competition due to the shifting of customers to other organizations. In order to avoid this conflict, Calveta’s is more concern on the quality of food and services in which they have their own recipe’s and make better nutritious food for the resident. Calveta’s also provides fresh and healthy ingredients instead of processed food product for the older people in order to maintain a healthy lifestyle and diet. In comparison, competitors are practicing common system of food delivering system like serving a large group of customers in a time regardless of the quality of services. On the other hand, calveta’s have their own infrastructure of delivering the food services by having teams and menu offering to serve each senior living facilities in different ways according to their needs. With these, Calveta’s is efficient and well known on how to create and maintain sustainable competitive advantage when comes to the aspect of quality of food and services.

C. Priority more on customer satisfaction rather profit and minimize costs through cost control model.

In calveta’s operating approach or overall of primary goals are highly concern on the customer satisfaction, in which calveta’s knows that prioritizing customer satisfaction as an important element for the growth of the organization and maintain sustainable competitive advantage. Calveta’s ensures that their operation well efficient to serve the customers and to strengthen the relationship with customer in which calveta’s possess their own channel to deliver the best services for the customer in a unique way services by having teams and menu offering to serve each senior living facilities. Apart from that, calveta’s cost control model direct the organization in terms of minimization prices and optimization of customer satisfaction in long run. Consequently, these factors help calveta’s to maintain their customers in all material aspects and to avoid any mobilization of their customer to competitors market.

D. Employee welfare and development as a fundamental for Caleveta’s operations.

From father to son, calveta;s are consistently consider on the core elements of employee development in compliance with “Antonio ways” and this aspect act as a fundamental for calveta’s to maintain sustainable competitive advantage in which good employee reflect the well operation performance of an organizations. With these, Calveta’s moving forward to recruit fresh professional graduates into their management and offer them with an attractive benefit packages. By this, the new employees will be enthusiasm and motivate strive hard to achievement of Calveta’s excellent operations and ultimate goals. Calveta’s forecast its commitment towards employees in terms of pay-for-performance plan, seminars, training, frequent feedback and recognition. Calveta’s creates opportunities for employee career development and makes them to be functionally flexible. In a nutshell, employees in calveta’s are motivated and well developed towards the excellence operations and goals. This factor enables calveta’s to avoid any frequent turnover in management or shifting of good employees to competitors.

E. Calveta’s is capable of entering new markets and grasp new opportunity.

In spite of that, calveta’s well-established organization and tremendously reputable in serving the senior living people. This factors enables calveta’s to stabilize its sustainable competitive advantage in the industry in which calveta’s create additional services in their operation such as cleaning services. Meanwhile, calveta’s also aware that penetrating into hospital segment will create a massive opportunity for the business since calveta’s are reputable as a leader of health care industry. Moreover, calveta’s feels that they are core competencies to enter into hospital segment due to calveta’s operation culture that is parallel with the hospital system.

Recommendation

As far concern calveta’s may add some features into it operating approach that will enables calveta’s to create and maintain sustainable competitive advantage continuous for better achievement. Such as:

A. Expand more attractive employee benefits

• Constantly improve employee welfare time to time.

• Reward employees for excellent achievement as to recognize good performance and make the employee feel that they are valued and appreciated.

• Calveta also may offer a trip for an employee that achieves the highest performance of the month, restaurants coupon, certificate, a day off and free lunches.

B. Maximization of customers satisfaction

• Use feedbacks from customers as an improvement tool.

• Extend and increase various choices in the menus and maintain the worker that is desired by the customers.

• Provide training for employees in the manner of serves the customer in an effective way.

• Calveta’s may expand the business operations into many segments. For example, penetrating a market that consists of young people as well the older people by conducting surveys on their needs and initiate the operation into a broader scope.

C. Improvement in the management structure

• The COO should be assisted by an assistant in order to monitor all the report by the division president.

• Ensure more time to be spent to overlook the needs of the employee.

Conclusion

In a nutshell, the alignment of calveta’s strategies, principles “Anotonio Way”, mobilization of primary or ultimate goals: quality element and costumer satisfaction helps calveta’s to stabilize its sustainable competitive advantage in the industry. As indeed, calveta’s have set up its own reputation as compared to the competitors throughout the application of the discussed elements that act as a shield for calveta’s operation excellent and effectiveness.