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Goventure Small Business

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For my project, I ran Coffee-Roma, a coffee shop located in the business district of a large city. My simulation ran for 60 days. Over this timeframe, I hired 7 employees and earned gross revenues of $89,984.20. From those revenues, my net profit totaled $14,046.83. Below are the details of how I attempted to best run my business.

What adjustments did you make to try and improve performance?

The primary adjustments that I made to improve performance included proper staffing procedures and inventory control procedures.

With respect to staffing, I found that I initially had trouble serving customers quickly enough during peak hours. Customers dissatisfied with their queue times often left the store, resulting in lost sales. Accordingly, I hired additional personnel and ensured that at least three employees staffed the coffee shop during those hours considered to be peak. I found that these staffing changes led to a dramatic increase in customer satisfaction, at least as far as wait times were concerned.

Perhaps the most important adjustment was implementing an inventory control procedure. When I first opened the shop, I had no idea which of my products customers would most frequently purchase. Over the first few weeks, I came to understand that customers purchased donuts and muffins at extraordinarily high rates, and they also consumed milk, cream, and sugar – accessory products – quickly. In any instance where one of these products’ inventory levels dropped to zero prior to the close of business, I found my daily customer satisfaction levels, and more importantly revenues, taking a significant hit. Moreover, because shipments did not arrive until approximately 9:00 a.m. the following morning, the following day’s early sales numbers suffered. Because donuts and muffins (two days) and milk and cream (seven days) had relatively short shelf

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