Barbara Balzarini,Jessica Dunne,Nick Meusch,& Joey Raio

Background Fast-casual eating and drinking

establishment Offers highly customizable hamburgers

and milkshakes, as well as bottled beer Electronic ordering system with a touch

screen menu, allowing customers to design their own burgers

Seats 40

Mission StatementBuild-A-Burger strives to create a highly customizable dining experience utilizing top quality ingredients and modern technological advances, all while maintaining a unique restaurant atmosphere perfect for teenagers, college students, and families.

Environment

Core Competencies Efficiency- touch screen ordering terminals

will enhance accuracy in completing orders Flexibility- a wide array of toppings,

condiments, and choices will ensure every customer can receive the exact meal they crave every time they visit Build-A-Burger

Affordability- Smart shopping from reliable yet reasonably priced suppliers will allow us to reach a large consumer base, regardless of income

Environmental Scanning

SWOT ANALYSISSTRENGTHS• Great tasting food• Customizable burgers

& shakes• Laid back, fun

atmosphere• Affordable

WEAKNESSES• No previous

restaurant experience• BRGR Joint failed in

the area• No established

reputation

OPPORTUNITIES• Large market of college

students in the area• Students enjoy getting

off campus

THREATS• Price of ingredients may

rise• Competition in area• Technology may fail us

occasionally

Core Processes Supplier Relationship Process

Keep costs low for an inexpensive end product Want reliable supplier relationships

Order Fulfillment Ensuring quality and consistency Customizing dishes

Customer Relationship Listen to customer feedback Offer rewards

New Service/Product Development Ordering system helps achieve maximum customization

Market Analysis:Industry

“Fast Food” Industry: patrons pay before eating

Expected to continue it’s trend of long-term growth

As traditional concept of fast food evolves, restaurants will need to adapt to changing consumer preferences

Market Analysis:Surrounding Area

Township Median Household Income Population Median Resident AgeRadnor Township 89,114.00$ 31,041 31.7Bryn Mawr 49,188.00$ 3,779 23.5Villanova 174,511.00$ 9,189 N/AHaverford 104,924.00$ 7,058 N/A

Target Market Segments Families are looking for quality food in a

friendly dining environment that is affordable and meets the differing tastes of their families.

College Students are looking for first of all inexpensive food close to the local campus that has consistent quality and is customizable.

High School Students are looking for a restaurant that is close to their house that offers quality food at a reasonable prices.

Target Market Order Winners Consistent High Quality Customizability Affordable price Fun dining environment

Competitive Priorities Stem from needs of target market

Price/Quality Balance College students demand certain price level Quality standards cannot be ignored

Flexibility Consumer preferences grow and change Technology-oriented society

Menu

Operations Strategy:Process Structure Make-to-Order

Create products when a customer places an order

No finished goods in inventory Ensures freshness & customizability Keep low safety stock to conserve

perishable resources/ ensure freshness

Operations Strategy:Resource Flexibility Ingredients may change based on

customer demand Use survey results to determine what

ingredients to offer Will use input from customers to add new

toppings, flavors, etc.

Operations Strategy:Capital Intensity High capital intensity to emphasize:

Customization High quality Efficiency

Only employ 10 individuals Chefs and runners—no waitststaff

Technological resources Utilize touch screen ordering system

Quality Strategy:Six Sigma

Minimize defects Maintain consistency in burger

preparation & assembly Measure variability in

processes and address issue that we see

Improve customer satisfaction Customers know to expect high

quality food & service

Quality Strategy:Lean System Remove waste and delays Control inventory levels to meet customer

demand Reduce wait time of customers Use the 5S method

Sort Straighten Shine Standardize Sustain

Quality Control Establish quality control standards on

ingredients Gauge metrics that show the date of produce

harvest and meat production Customer order wait time will be recorded to

ensure consistent and timely orders This data will be analyzed using R-charts and X-

charts Customer feedback will be taken through an

optional survey after ordering

Quality Control Managers and employees will be properly

training on quality assurance practices Ingredients will be checked on arrival for

freshness Mangers will ensure proper ingredient

storage and necessary documentation at each open an close

Ingredients will be checked periodically during the day

Supply Chain Management

Supply Chain Management: Technology Suppliers Guangzhou Yunhui Computer Company

China Touch Screen ordering terminals

Restaurant Plus Los Angeles, CA Software for running ordering terminals

Demand Management Forecasting Customer Demand- Year 1

McDonalds- serves 69,000,000 customers at 34,000 locations per day= 2,029 customers per location per day

Project 5% of this figure on weekdays, 8% on weekends

Forecasting Customer Demand- After Year 1 Historical Data & Trend Projection with Regression

Monday-Thursday Friday-SundayCustomers Per day 102 163

Demand Management Forecasting Product Demand- Year 1

Divided into 6 product groups, customer purchase percentages predicted as follows:

Burgers- 70% Hot dogs- 25% Salads- 5% Milkshakes- 60% Fries- 85% Bottled Beer- 30%

Forecasting Product Demand- After Year 1 Historical Data & Trend Progression with Regression

Product Monday-Thursday Friday-SundayBurger 71 114Hot Dog 25 40Salad 6 9Milkshake 62 98Fries (order) 87 139Bottled Beer 31 49

Products Sold Per day

Estimated Start-Up CostsStart-up Costs

Advertising $ 15,000

Liquor License $ 20,000

Labor Training $ 1,440

Space Deposit $ 12,000

Restaurant Supplies & Equipment Investment $ 57,626

Total Start-up Cost $ 103,166

Estimated Fixed & Variable CostsMonthly Variable CostsUtilities (Electricity, Water)

$ 2,500

Food $ 17,000

Beverage $ 10,000

Total Variable $ 29,500

Fixed Costs (per year)Labor Wages (est. 10 employees) $ 310,000 Property/Liability Insurance $ 5,000 Workers Comp Insurance $ 8,000 Rent $ 144,000

Total Fixed Costs $ 467,000

Conclusion Build-A-Burger’s plan to utilize technology to

promote efficiency, flexibility and affordability will ensure it to be a staple on the main line