Review and Implementation of Business Plan | Assignment Help
Analysis of Strengths and Weaknesses of Business Plan
It is noted that Rooster Burger is operating on breakeven since its inception, indicating that there might be some issues in business plan of the restaurant which did not set clear scope of its business activities.
Strengths of Rooster Burger Business Plan
In terms of strengths of business plan of Rooster Burger, the market need has been carefully identified along with characteristics of target customers. The products as well as delivery services are well aligned with identified needs of the target market. The unique selling point of Rooster to deliver to customers on their desks is clearly communicated in the business plan which indicates that understanding of customers’ preferences is realized by the business.
The mechanism to communicate with customers and to approach them is highly important for defining success of any new business and its importance is realized in business plan of Rooster Burger (Goncharova, Solosichenko & Merzlyakova, 2019).
Weaknesses of Rooster Burger Business Plan
Although, Rooster Burger has defined the market need in clear manner, yet it has not highlighted the points of pains (for customers) which are not being addressed by the competitors. The business plan has not provided any detail of the competitors with which Rooster Burger is aiming to compete. Without assessing the positioning of competitors, the statement of competitive edge cannot be defined and success of future business cannot be assured (Fahey, 2020).
Rooster Burger’s business plan has not detailed its pricing strategy, which makes it vague that whether business is aiming to follow value based or cost based pricing. It cannot be assessed that whether price of products is acceptable by customers and whether they associate value creation with Rooster Burgers meals. The lack of detail on pricing makes it difficult to make projections about revenue and future profitability of business (Cant, Wiid & Sephapo, 2016).
The information on customer relationship has also not included in the business plan. The lack of clarity on managing relationship with customers can affect future sales and revenue of restaurant (Ponnam & Paul, 2017).
Finally, the financial forecasting has not been performed and without such projections it is difficult to assess that how much sales are needed to achieve the breakeven and to perform beyond breakeven (Palepu et al., 2020).
Evaluation of business performance against different indicators
Evaluation of profit and loss
. The gross profit is measured as the percentage of revenue and it will help to identify that how much profit is being made by Rooster Burger as result of its sales (Palepu et al., 2020). Rooster Burger can modify the product, price or service quality. Such response can help to increase the level of sales and thus profit can be improved.
Community awareness and branding evaluation
The evaluation of community awareness about Rooster Burger can serve as the indicator for measuring success of its branding approach (Naderi, Paswan & Guzman, 2018). The survey can specifically be conducted in CBD, Docklands and Southbank with an aim of measuring recognition and reputation of Rooster Burger. The online ordering service will also generate data and traffic on the website of Rooster Burger can be used as an effective indicator to measure awareness of Rooster Burger in target community. In case of any discrepancy in enhancing the community awareness, promotional campaigns can be modified and extensive communication mechanism can be adopted to enhance reach of communication messages of Rooster Burger.
Evaluation of environmental impact
For a startup venture like Rooster Burger, the environmental impact can be measured through its capabilities like energy efficiency, material usage and community contribution, if any. Energy usage of Rooster Burger can be tracked from utility units consumed each month and effort can be made to lower the energy usage.
Evaluation of sales and workforce effectiveness
The evaluation of sales and workforce effectiveness can be combined in one component, as service quality is defined directly by the workforce, which then fosters the level of sales. In order to assess the satisfaction level of workforce, such as delivery staff and waiters, the satisfaction survey can be administered (Lebedev et al., 2018). Moreover, the customers’ satisfaction with the staff should also be assessed by conducted short interviews from the customers who regularly order food from Rooster Burger.
Partners
Our aim in Rooster Burger is to ensure that customers receive freshly made burgers at their desks and in order to achieve this goal we source material on daily basis to keep the food fresh. The extensive promotion through flyers and electronic word of mouth are helpful to spread word among target market and with increase in sales, future expansion in new products as well as in new markets can be assured.
Financiers
In order to ensure financial pay back from business, the viable market is being chosen whereby customers need delivery of freshly made food on the desks. By approaching the customers with fresh and high quality food at their desks, with easy delivery methods, Rooster Burger is expecting to become popular among target consumers.
Customers
Rooster Burger is the solution for customers who are too busy to leave their desk and want to consume freshly made burgers at their desk with easy to order options. The burgers are of premium quality and taste with highly reasonable prices and are made fresh. Soon, the customers will be provided with other high quality food options in addition to burgers.
Staff
Rooster Burger is an equal opportunity employer, where maintenance of high service quality and good behavior are key requirements to get in the team. The commitment with values of integrity, honesty, accountability and customer experience is expected from the staff at Rooster Burger. The staff is treated with respect and they are also offered flexible working hours, providing the option of part time job.
Approach to manage Underperformance
Underperformance of the business is mainly in the form of business failure to meet projected financial performance (Vermeesch, 2018). However, it can also take other forms, such as lack of compliance with workplace policies and lack of compliance with expected behavioral standards (Otuteye & Siddiquee, 2020).
Problem Identification
The drivers of underperformance are needed to be identified at this stage (Vermeesch, 2018). In case of Rooster Burger, the underperformance might be caused by the notion that menu of Rooster is very limited and there are no options to choose from.
Assessment and Analysis of problem
At this stage the gap is needed to be assessed between what customers demand and what is being delivered to them (Yu, Minniti & Nason, 2019). For instance, customers might want variety of food options to choose from.
Developing an action plan
In this step, manager of Rooster Burger can make decision that whether they should add any new menu items or use promotional offers for encouraging increasing level of sales. At this phase, the clarification regarding performance expectation of the new solution should be developed along with inclusion of time frame in which improvement in expected (Otuteye & Siddiquee, 2020).
Ongoing Monitoring
It is notable that any well develop strategic initiative might not succeed and corrective course of action is required to assure its success (Bearman, Castanelli & Denniston, 2018). The last step to manage the underperformance of Rooster Burger is to carry out and ongoing monitoring of the business actions. For instance, if new menu items are added to improve the performance of business, then sales record should be maintained to view any improvement in overall revenue of restaurant followed by introduction of new menu items.
UPDATED BUSINESS PLAN
Executive Summary
Rooster Burgers will be a new restaurant, located in one of the busiest suburbs of Melbourne. The restaurant will have a seating arrangement of up to 60 people. Rooster Burgers will offer variety of food, to cater large sector of the public.
The restaurant will be open seven days a week, on weekends the restaurant will offer special theme nights to attract new customers. Rooster Burgers will have cosy atmosphere, with vibrant colours, jazz and country music will be played, and will have a DJ on Friday and Saturday nights. During the busy summer months restaurant will offer a special summer menu, featuring lighter fare, exotic drinks, as well as non-alcoholic offerings. The restaurant will also provide catering service to special Function arrangements, that will on demand only.
