...Objectives Process design: Amazon’s Challenge Measures: Capacity, Time, and More How do we quantitatively evaluate a process? – Capacity – Time – Other? ARES: – Charging Ahead to Push Electric Cars – Latest Starbucks Buzzword: ‘Lean’ Japanese Techniques 1 Amazon in 1990’s: Delivering Books 2 Amazon’s Potential Solutions What do customers want? Inventory – Large selection – Fast delivery – Low Price Eliminate the uncertainty Print on demand/eBook Transfer/Share the uncertainty How do we deal with uncertainty ? Or why is it so difficult to deliver books to customers on time and at a low cost? Transfer the inventory to a distributor 3 Potential Solutions: Transfer the inventory to the distributor Example: In the early days of Amazon.com the company did not keep any inventory of books. 4 Potential Solutions: Transfer the inventory to the distributor Amazon’s Order – The supplier Ingram kept the books for Amazon. – Once Amazon received an order, it was transmitted to Ingram. – Ingram would ship the book directly to the consumer. Amazon’s Post Order Process 5 Ingram’s Order Ingram’s Book Inventory Ingram’s Post Order Process 6 1 Potential Solutions: Transfer the inventory to the distributor ARES Changing Ahead to Push Electric Cars What are the advantages for such an arrangement for Amazon and Ingram? – Risk pooling (less inventory is needed) What are the disadvantages...
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...determine the break-even quantity for which the firm would be indifferent between manufacturing the part in-house or outsourcing it. Using Equation 2.1 we compute Q* = ______FC_______ = $45,000 = 2,250 parts VC2 - VC1 $160 - $140 If demand is greater than 2,250 produce in-house (make) If demand is less than or equal to 2,250 outsource (7) (a) If demand is forecast to be 2,500 parts, should they make the part in-house or purchase from a supplier? Whenever the anticipated demand (volume) is greater than Q*, the firm should produce the part in-house. If demand is less than 2,250 then purchase from a supplier (outsource). In this case the part should be made in-house. b) The marketing department forecasts that the upcoming year’s demand will be 2,500 units. A new supplier offers to make the parts for $150 each. Should the company accept the offer? Q* = ______FC_______ = $45,000 = 4,500 parts VC2 - VC1 $150 - $140 Whenever the anticipated demand (volume) is less than Q*, the firm should outsource (purchase) the part. Since 2,500 is less than 4,500 the part should be outsourced to the new supplier (accept the offer). (c) What is the maximum price per part the manufacturer should be willing to pay to the supplier if the forecast is revised to 1,500 parts using the...
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...Ridhi Mundra 13A1HP124 Company: McDonalds The McDonalds Corporation is the largest hamburger fast food chain in the world. It serves around 68 million customers daily in 119 countries. The company’s headquarters is in USA. The company has expanded its business across the globe through franchisee and affiliations and company owned outlets. McDonald’s revenue is not just from sales of the fast food but also royalties and rents i.e the company has many sources of other incomes as well. The company very well understands the changing customers need and accordingly alters its menu. To enter the Indian market McDonalds completely changed its menu to suit the Indian taste buds and has been very successful. The company follows a low cost leadership strategy and thus is able to deliver a low cost happy meal. The company provides good quality fast food at very low prices that competitors find it very difficult to match. The company is able to deliver its products at low prices because firstly they have vertical integration for few of its raw materials plus they buy other ingredients in bulk which lets them take the advantage of economies of scale , secondly they employee people with just basic educational qualification as mostly everything is machine operated the art of cooking is not needed. Thus the employees cost is also low. McDonalds also has its own institute called the Hamburger institute where it trains employees. Since the employees are trained especially for the...
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...To evaluate the Real Gross Domestic Product we must use the equation Normal Gross Domestic Product equals the quantity of products being sold multiplied by the base year's price, or NGDP=QxP. With this equation we can calculate for the base year first: 10 shirts x $20 would be $200, and 5 hamburgers x $5 would be $25. We would then combine the total price for the year which is $225. To get the real Gross Domestic Product for 2014 we would use the quantities from 2014 with the prices of 2013. This equation would be 15 shirts x $20 is $300, and 10 hamburgers at $5 is $50. The real Gross Domestic Product for 2014 would be $350. (Investopedia, 2015) In order to calculate the growth rate for the Gross Domestic Product we must use the equation: 2014 real Gross Domestic Product minus the 2013 real Gross Domestic Product divided by the 2013 real Gross Domestic Product. This would be $300-$225/$225=0.333. This would mean that the growth rate for the real Gross Domestic Product would be 0.333 percent. (Investopedia, 2015) Full employment does not actually mean every person in the country has a job. Full employment means that every member of the labor force that was actively seeking employment is now employed. This level of employment involves everyone except the chronically unemployed as well as members of the workforce that are now retired. The chronically unemployed include members of the workforce that are capable of working, but are unable to find a job due to not having the skills...
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...PART II PRODUCERS, CONSUMERS, AND COMPETITIVE MARKETS CHAPTER 3 CONSUMER BEHAVIOR ------------------------------------------------- QUESTIONS FOR REVIEW 1. What are the four basic assumptions about individual preferences? Explain the significance or meaning of each. (1) Preferences are complete: this means that the consumer is able to compare and rank all possible baskets; (2) Preferences are transitive: this means that preferences are consistent, in that if bundle A is preferred to bundle B and bundle B is preferred to bundle C, then we should be able to conclude that bundle A is preferred to bundle C; (3) More is preferred to less: this means that all goods are desirable, and that the consumer will always prefer to have more of a good; (4) Diminishing marginal rate of substitution: this means that indifference curves are convex, and that the slope of the indifference curve increases (becomes less negative) as we move down along the curve. As a consumer moves down along her indifference curve she is willing to give up fewer units of the good on the vertical axis in exchange for one more unit of the good on the horizontal axis. This assumption also means that balanced market baskets are preferred to baskets that have a lot of one good and very little of the other good. 2. Can a set of indifference curves be upward sloping? If so, what would this tell you about the two goods? A set of indifference curves can be upward sloping if we violate assumption...
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...T here are several factors involved in every outdoor adventure that determine the overall success of the experience. Some are beyond our control: we must rely on good fortune to provide sunshine, good fishing and perfect scenery. Many more of the ingredients vital to our happiness in the field are within our control. With proper planning and execution, we can assure ourselves of comfortable sleeping accommodations, protection from adverse elements, good company, and memorable eating. Eating need not be a simple matter of survival; it can be an integral part of your enjoyable outdoor experience. The modern camper has a whole new arsenal of foods and utensils at his fingertips, adding variety, taste, nutrition, and ease of preparation to the menu. By knowing the elementary nutritional requirements, the food combinations available, and the best techniques of preparation, anyone can create beautiful and delicious meals. For a healthy diet, one can refer to Canada’s Food Guide in order to include the proper nutrients. Each day’s meals should include the daily requirements from the four basic food groups: milk and milk products cereal, bread and pasta fruits and vegetables meats and alternates Cream of mushroom soup, Caesar salad, steak, baked potato, mixed vegetables, strawberry shortcake and tea or coffee comprise a dinner containing the four basic food groups. But, as appealing as this would be on the seventh day of a ten-day canoe trip, there are some problems associated...
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...Menu Production Records The materials in this packet were developed with permission from the South Dakota Department of Education and Cultural Affairs Division of Education Services Menu Production Packet. 1 Menu Production Records Performance Objectives The participant will demonstrate an understanding of the Michigan Menu Production Record by completing assigned parts of the form. For more information about production records, refer to: A Menu Planner for Healthy School Meals, USDA (FNS-303), 1998. Introduction to Menu Production Records The Menu Production Record is a tool that is used in every foodservice operation, including restaurants, commercial cafeterias, and institutional cafeterias. Its main purpose is to plan and control food production. A written production record provides a place for the manager to plan the amount of food that will be prepared and then record what was actually served. Adjustments can be made to the Menu Production Record during preparation and service in order to indicate any changes that may need to be made. Since the Child Nutrition Programs receive reimbursement for lunches, breakfasts, and snacks that conform to the meal pattern, the School Food Authority must provide documentation to the state and federal government about the food and the amounts that were served. The Menu Production Record becomes the documentation of the amounts served. It is also the basic record that will be used by the state agency during a review to determine compliance...
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...Determine how Five Guys’ philosophy sets it apart from other fast-food chains. Sell a really good, juicy burger on a fresh bun. Make perfect French fries. Don't cut corners. That's been the business plan since Jerry Murrell and his sons opened their first burger joint in 1986. When they began selling franchises in 2002, the family had just five stores in northern Virginia. Today, there are 570 stores across the U.S. and Canada, with 2009 sales of $483 million. Overseeing the opening of about four new restaurants a week, the Murrells are proof that flipping burgers doesn't have to be a dead-end job. Four years ago, before franchising, Five Guys was just a little family burger operation with five locations and a steady, if cultish following, in Northern Virginia. Today the business is by some estimates heading toward $1 billion in value. Five Guys has 87 locations. Most are in the Washington region, but a hundred more will open along the East Coast this year, and another thousand are being phased in. Each store, the company says, pulls in about $1 million a year. How Janie and Jerry Murrell and their five sons, the Five Guys, so quickly bit into the nation's $58 billion-a-year burger business is a little bit of a burger whodunit. The Murrells can be gregarious, but they are given to moments of silence when asked how their business grew so big. Their success probably includes a combination of ingredients, though: keeping the business strategy simple (sell burgers and fries) while...
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...(Save 20%) Play on the Bay Package Includes: Group Lunch, All Day Ride Pass, Boardwalk Beast (Save 27%) *Above Pricing Includes Hot Dog Meal. Please complete next section for meal breakdown. _ Total Qty Price $13.99 $21.99 $24.99 $31.99 Price Incl $ 1.50 $ 1.50 Price $29.99 $39.99 $16.50 $17.50 $ 3.00 $ 3.00 $ 2.00 $ 4.50 $ 5.00 $ 3.00 $12.00 $ 2.25 $10.00 PACKAGE MEAL SELECTIONS Hot Dog Meal: Served with Chips, Cookie and Juice ($6.00 if purchased individually) Hamburger Meal: Served with Chips, Cookie and Juice ($7.50 if purchased individually) Qty Total Chicken Tender Meal: Served with Chips, Cookie and Juice ($7.50 if purchased individually) *All lunches require pre-ordering and pre-payment If you are unable to pre-pay, a credit card authorization form must be submitted with this registration form to hold your reservation. Group Additions and Individual Group Tickets Basic Package All Day Ride Pass, Boardwalk Beast Ticket, Stingray Reef Exhibit, Stingray Food (Save 33%) Deluxe Package Basic Package plus a $10 gift card (Save 27%) All Day Ride...
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...Five Guys “The Standard of Excellence” Jalisa Williams Garcia Mills-Tate Strayer University October 28, 2012 Five Guys “The Standard of Excellence” Five Guys Burgers and Fries was started by Janie and Jerry Murrell and there 5 sons. Opening their first store in 1986 in their home town of Arlington, VA, the Murrells were set to take a competitive market by storm (Boone & Kurtz, pg.78). One would think that opening a burger joint with the likes of mega chains (e.g. McDonalds, Burger King), was out right crazy but determined to tap into this common market these classical entrepreneurs using $70,000 (Burke, pg. 95) as a start-up began their venture. Philosophy Jerry Murrell believed in two simple philosophies “Sell a really good, juicy burger on a fresh bun. Make perfect fries. Don’t cut corners” and “Treat that person right, he’ll walk out the door and sell for you”. These mindsets are what have propelled the company into what it is today. Without the customer or their employees Five Guys may not have been able to survive the recent downturn of the economy. Values Five Guys main focus is to provide customers with great service and great food. They believed that by making a quality burger and fries they would make the customer love them so much they would not have to pay for advertising because the customer will advertise for them. Word of mouth advertising is the oldest form of advertising and with the quality of their food this form of advertising has brought...
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...The length from your wrist to your elbow is the same as the length of your foot. Your heart beats 101,000 times a day. During your lifetime it will beat about 3 billion times and pump about 400 million litres (800 million pints) of blood. It is impossible to lick your elbow. Well, for almost everyone… but a few can. Your mouth produces 1 litre (1.8 pints) of saliva a day. The human head contains 22 bones. More on the head and brains On average, you breathe 23,000 times a day. Breathing generates about 0.6g of CO2 every minute. On average, people can hold their breath for about one minute. The world record is 21 minutes 29 seconds, by David Merlini. On average, you speak almost 5,000 words a day – although almost 80% of speaking is self-talk (talking to yourself). Over the last 150 years the average height of people in industrialized nations increased by 10 cm (4 in). In the 19th century, American men were the tallest in the world, averaging 1,71 metres (5’6″). Today, the average height for American men is 1,763 m (5 feet 9-and-half inches), compared to 1,815 m (5’10″) for Swedes, and 1,843 m (5’11″) for the Dutch, the tallest Caucasians. The tallest nation in the world is the Watusis of Burundi: 1.98 m (6 feet 6 inches) tall. If the amount of water in your body is reduced by just 1%, you’ll feel thirsty. It is impossible to sneeze and keep one’s eyes open at the same time. 55% of people yawn within 5 minutes of seeing someone else yawn...
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...have realized the importance of operations management because effective operations management gives the potential to improve both efficiency and customer service simultaneously (Slack et al, 2010). With the development of the world, supply chain has become a key for company to success in every industry. Harrison and van (2008) mentioned logistics can support supply chain to achieve competitive advantage though meeting end-customer demand properly. The company can gain better performance by using suitable logistics system to increase its competitive advantage. The McDonald’s Corporation is one of the models good at using its special logistics system to support the supply chain. The McDonald's Corporation is the world's largest chain of hamburger fast food restaurants, serving around 68 million customers daily in 119 countries. Headquartered in the United States, the company began in 1940 as a barbecue restaurant operated by Richard and Maurice McDonald. In 2012, McDonald's Corporation had annual revenues of $27.5 billion, and profits of $5.5 billion（McDonald’s Corporation, 2012）. McDonald entered China market in 1990 to open the mainland’s first branch in Shenzhen. The emergence of KFC and McDonald inspired many China’s catering enterprise join in the competition of food and beverage chain industry. Some China’s catering enterprise imitate McDonald’s chain expansion mode, but they failed in the end. People come to realize that the competition among restaurant chain is not only...
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...Strategic Human Resource Management McDonald’s Restaurant Rose C. Masiku, Olutosin Babatunde, Jose Mira Uguina, Alberto Villarrubia Garcia, Paola Aguirre B00031200, B00029719, B00054480, B00065743 and B00065744 Department of Business School of Business & Humanities Institute of Technology, Blanchardstown Dublin 15. Word Count: 3500-4000 Actual Word Count: 3,857 EXECUTIVE SUMMARY The aim of this project is to analyse McDonald’s human resources practices from a strategic Human Resources management perspective. Strategic human resource management is a concept that relates to the way an organisation links its human resource strategies and practices to the organisation’s objectives and strategy. Since it’s a ‘strategic’ approach to human resource, the company’s strategy according to (Johnson, Scholes & Whittington 2011; p3) should be ‘the direction and scope of an organisation over a long- term, which achieves advantage in a changing environment through its configuration of resources and competences’. However there have been many debates varying from academics to critics about what strategic human resource management (SHRM) actually embraces and implies for organisations. Definitions range from 'a human resource system, that is tailored to the demands of the business strategy', (Snow, 1984)to 'the pattern of planned human resource activities intended to enable an organization to achieve...
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...comfortable environment to eat inside of the restaurant, because the restaurant was the first fast food business to offer people the option of dining in the restaurant or going to the drive thru(www.burgerking.ca). With McDonalds being the largest fast food chain in the world, Burger King rates as the second largest hamburger fast food restaurant in the world, with Wendy’s following right behind it (Armstrong/Kotler, 450). Burger King came to be the second largest hamburger fast food chain in the world with a total amount of sales at $7.9 billion in the year of 2003, falling behind McDonalds with their sales being $22.1 billion (Armstrong/Kotler, 450). Burger King’s most popular product, the Original Whopper Sandwich was introduced to the world in 1957. The Whopper became a huge success and is still a world known sandwich that has a perfect fire-grilled taste (www.burgerking.ca/en/1121/index.php). This tasty hamburger was created to satisfy their customer so that any one as customer can have their food their own way which relates to their slogan "Have it your way", created in 1974. They state that their vision is to "proudly serve the best burgers in the business, plus a variety of real authentic foods....all freshly prepared.... just the way you want it" (www.burgerking.ca/en/1121/index.php). One of their goals is that they try hard to...
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...A Report on the Product/Services/Promotional Strategies Offered by Nike Nike is a worldwide manufacturer of apparel and accessories that is listed on the New York Stock Exchange under the symbol, NKE. Founded in 1964 by Phil Knight and Bill Bowerman as Blue Ribbon Sports only to later become Nike in 1978, Nike is currently headquartered in Beaverton, Oregon. With total revenues exceeding $19Bn, Nike is currently the world leader in sports apparel and accessories and has a strong presence in almost every part of the globe. Initially founded as a running shoe company, geared specifically for runners, Nike grew and expanded to the point that they offer both footwear, clothing, and related accessories for every sport on the planet. The different types of specialized products to suit this purpose is mind-boggling and their desire to stay on the cutting edge of both fashion and design/functionality is admirable. For example, Nike has helped not only create and pioneer state-of-the-art footwear in sport of football, they also have helped create a variety of accessories to help the football athlete achieve the highest success. Things like padded undergarments, uniforms, chinstraps, and gloves...just to name a few. And this pursuit isnt limited to major sports like football and basketball. Nike has more eclectic product lines, such as their own balls and bags in golf. Or an line of pads and headwear for cricket. The list is truly endless. The symbol and trademark of Nike is their...
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