*Meal = Burger, medium fries, medium drink
The servers assemble the burgers, and meals together to make the product. The ingredients for the products are ordered from fast food restaurant suppliers, who supply the product that you require i.e. chicken, beef, drinks, buns, etc. Before the product is assembled, the meat products, and fries must be deep-fried. The chicken burgers and fries can be fried in the same fryer. They must be fried continuously. The chicken pieces and apple pie must be fried in a ‘dough fry’. The hamburgers will be grilled in a flame grill for the best taste. Raw materials needed for the products are meat, bread, potato, cheese, dairy, and all salad ingredients. The different machineries needed for preparing the food products are, the deep fryer, dough fry, grill, ice cream machine, and drinks machine. There will also be a clear display cabinet, which keeps the grilled, and fried food hot. These machines ensure that the products are made to the best quality possible, and will make sure that workers find it easier and safer to work in the kitchen.
In the fast food market there are different types of production methods that can be used, but in the fried burger take-away sector the main method of producing the food is deep-frying and grilling, i.e. chicken and beef are either grilled or fried. Hence batch production is the most suitable method of production. These foods are cooked in batches, therefore keeping an eye on stock level will ensure that there is enough food in the display counter, but not so much that it is not able to be sold and goes stale, causing customers to be disappointed.
The main advantage of batch production is that it will allow workers to specialise in the different stages of producing the product, i.e. grilling section, deep-frying section, etc. The main disadvantage is that the method of production is monotonous, i.e. workers doing the same repetitive job, which is demotivating.
Dinoburger will only need new technology for the machines that are used to prepare the product. In the fast food business, where frying and grilling is involved, new technology adaptation can be useful, i.e. Automation time controlled grill/fryer, where the workers will not have to operate the machines. They will only need to supervise them as they work automatically.
Different suppliers must supply all the products that Dinoburger require to make their products. These suppliers supply to different business organisations. The suppliers that Dinoburger need can be found in the business page directory or by recommendation. They will need to supply Dinoburger with all the raw materials needed. Dinoburger will also need a supplier for packaging, drinks, and desserts. Dinoburger must make sure that they find the best price possible for the quality received, and must know the minimum quality standard. We must also make sure that the suppliers supply on time, and make sure that the suppliers are not having financial problems, thus going out of business. This will cause Dinoburger to lose time and money, especially if suppliers go out of business before completing and order.
Dinoburger will need to hold necessary amount of stock. We will need to hold stocks of raw material, which will be used to manufacture our products. Also, we will need to hold stocks of packaging, which our products must be sold in. We need to hold enough stock, so that we don’t understock. If we do, it could lead to loss of production and sales, e.g. if we don’t stock enough ice cream, it will result in a loss of money, customers, and reputation, when people order it and we can’t supply. We must also be careful not to hold too much stock. This is overstocking. If we overstock, the stock of food that we have can perish as foods go bad over a period of time, refrigerated or not. Also, if they are not fresh they will not be up to customer satisfactory.
Most of the stock at Dinoburger will be held in the kitchen department, of the restaurant in the refrigerator or freezer, i.e. meat products, raw materials, etc. Other stocks such as the different types of packaging will be held in the stock cupboards. This means that Dinoburger will save money, as it will not have to spend unnecessary money on building or renting a warehouse, and on top of that, insuring and running it. This also means that Dinoburger will have to have extremely large refrigerators and freezers in their kitchen department.
Dinoburger will ensure that its products and services are up to the required quality standard. We will make sure that quality is part of every process. The quality of a product is down to everyone. If a product is not up to standard, everyone involved in the production is responsible. To make every product satisfactory to the customers, we must recognise what it is that the customers want, and then provide it to them. The workers must also please the customers when serving, not being discourteous at any time, and being as friendly as they can to make the customers feel at home. Every time a product is sold to a customer, we will give our assurance that certain standards of quality have been met. This means that legal requirements have been met. This way, customers know that they are getting their moneys worth.
All the products and raw materials that Dinoburger purchases will be from some sort of a supplier. Dinoburger will purchase these products in large masses from the supplier at the best possible cost to keep cash outflow to a minimum. It may be necessary to purchase the products and raw materials from separate suppliers, depending on the supplier’s main field of profession.
Organisation
Dinoburger is run by a partnership. The company is a limited partnership. There are two shareholders, Tomi Owoborode and Axel Foley, who both have limited liability. If the company becomes insolvent, we will not lose our personnel belongings, but will lose the money put into the business. This is because the company has separate identity from the shareholders. To show this, the business is called a partnership.
The Companies Act 1985
Company Limited by shares
Memorandum of Association of Dinoburger Ltd.
The Company’s name is Dinoburger.
The Company’s registered office is 53 Fentway RD, E17 5QP, London, Walthamstow.
The Company’s objectives are to sell quality fast food to the public.
The liability of the Members is limited.
The Share Capital of the Company is £2 divided into 2 shares of £1 each.
The Companies Act 1985
Company Limited by shares
Articles of Association of Dinoburger Ltd
Amount of Votes for each Shareholder: T.O-2 A.F-1.
The Proportion of Profits to each Shareholder is 51:49.
The Duties of the Company’s Directors- They have the right to authorise the company to borrow money.
The Chair Person for the AGM is Tomi Owoborode and will be held at 53 Fentway RD, E17 5QP, London, Walthamstow.
An organisation chart for Dinoburger
Each member of Dinoburger has a different role in the business, and earns different amounts of money.
The shareholders are at the top of the hierarchy and have totall control of the business. They earn the most amounts of money as they started the business and own the most amounts of shares.
Next is the manager of Dinoburger. The manager is responsible for the day to day running of the company.
The 2 Chefs are responsible for preparing the food products and will sometimes work at different shifts depending on how busy work is.
The 4 customer srevers will serve customers and work at the tills. They will also sometimes work at different night shifts depending on how busy work is.
The cleaner will clean the restaurant every night thoughroughly to make sure that the restaurant is in clean conditions all the time, despite the customer servers cleaning during the day.
The accountant will maintain and examine dinoburgers business accounts.
The location of the Dinoburger restaurant is in the main high street shopping area of wood green. This is an excellent place to have the restaurant, as it will be in direct competition with established fast food restaurants such as McDonald’s and Burger King. This was the location of my beloved aunts wool shop, so it is lucky that I have the loction that I was given. Also, the rent of the building is low, as my aunt had been renting the premises long before McDonalds and Burger King were there so the rent is low. Also, it would be hard to find a premices in such a good location now.
In this business, it is vital that there is communication between the customers, staff, and suppliers. I can communicate with the customers by many methods. One method is to provide the public with accurate advertising brochures, which will avoid disappointed customers. A customer could also find out about our premium policies, or we could send a fax to the public at their work or home. If the board of directors wanted to send a message to the customers, they could pass on a message through the manager. This is internal communication. Also customers can be communicated to by email and advertisement
Communicating with the staff is very simple. A message can be past on through the manager or the board of directors accurately by horizontal communication, or it can be sent through telephone by conversation.
Suppliers can be communicated to by telephone, fax or email. Their details are found in the business page directory or by recommendation. They can also be found on the Internet.
Finance and Accounts
In total, I will need£ £30,000 in capital, 50% of the sum will be coming from my sleeping partner. The other 50% will come from me. Cooking equipment will cost £6000. Included in that is the flame grill, refrigerator, freezer, etc. Redecorating and refitting the rented premises would cost £10,200. £1200 of it is towards new furniture that will be required, and the rest of it will go towards improving toilet facilities and redecorating wallpaper, flooring, etc. It will then leave us with £13,800 in working capital to cover day-to-day expenses like, wages for all the workers, raw materials and rent.
There are a few different financial records that Dinoburger must keep.
We must keep a bank statement. This shows the cash transactions made by Dinoburger. The bank provides this. A sales invoice book must be kept to show recordings of sales (cheque). A cash receipt book must be kept to record cash sales (cash). A purchase invoice book shows goods purchased from suppliers. All of these are recorded and kept by the accountant.
Marketing Campaign
Dinoburger aims to sell to all of the public. This includes children, teenagers, adults, and OAPs. We will make sure that our products appeal to all ages and genders. It must also appeal to people who get less income so that they can afford to eat there. It must appeal to people all over Great Briton, including all ethnic, cultural and religious groups, as people from different backgrounds will have different tastes.
To be able to sell to these people, we must advertise, package, promote, price and distribute our products well.
The SWOT Analysis can be used to help illustrate the Strengths, weaknesses, opportunities and threats of Dinoburger. Most of these are explained in the text below.
Dinoburger’s advertising will be advertised through the media. This will include national and local newspapers, trade newspapers and journals, posters and transport, and directories – including yellow pages. Advertising is a very important aspect of a business as this how a business can reach out to customers. Advertising on T.V. is too expensive for Dinoburger, but perhaps if the business is successful, it will be able to in the future. The packaging of our products is extremely important. It must be able to let customers know immediately that it belongs to Dinoburger. The colour and design of the product must reflect the image of the product e.g. a bright and colourful package with cartoon characters will obviously be a children’s meal. All packaging must also have the company’s logo on it. Sales promotions will be used to give Dinoburger a short-term boost of sales. Money Off can do this. Giving vouchers to customers if they spend a certain amount of money, etc can do this. Better value offers are used to attract customers by giving out freebies or free meals. Competitions can attract customers by giving them a holiday or car for free. PR promotions can be used for example to promise to donate a certain amount of money to charity every time a particular product is purchased. The marketing budget it £1800. This is how much will be spent on all the advertisement methods each year. The prices of the products at Dinoburger will be competition based. This means that they will be based on the prices of products at other fast food restaurants, but our prices will be cheaper. We must avoid putting the prices too low, otherwise this could suggest that the products at Dinoburger are not good quality, or that there is something wrong with them. Dinoburger will distribute their products by selling directly to customers at Dinoburger branches.
The fast food market is constantly increasing. More and more businesses are starting up, and some are more successful than others. The competition that Dinoburger will face from other fast food restaurants is trying to attract the same customers. Dinoburger will try to persuade the customers to buy from us rather than other established fast food restaurants by making sure that the products have better quality, are better priced, and that they get more value for their money. Also, our services will be more keen and enthusiastic to work, and will always want to do their best.
If competitors bring out new products that are better than Dinoburger’s, then we will have to try to equalise by making our version of their product. Dinoburger will try to always have new, bright so that it will be the other fast food restaurants trying to keep up with us rather than us following them, when we have expanded the business enough.
There are few fast food restaurants that actually care about what the customers want, and do not focus enough on it. They also do not care about what the customers are eating. All they care about is making profit at all costs. Dinoburger will focus on the customers need just as much as making profit, and all products will be more nutritious and beneficial to customers than at other fast food restaurants. The staff at Dinoburger will be very dedicated to their jobs and will always work at their hardest, to try and make Dinoburger as successful as possible.
The only weakness for Dinoburger so far is that Dinoburger is currently only a small business and does not have as much money as well known fast food restaurants, which is a big disadvantage if Dinoburger is in direct competition with them, and more money will a big advantage.
There are many different things that Dinoburger need to know about potential customers in order to satisfy their needs. For this reason, a questionnaire has been conducted to give us at Dinoburger all the information we need to know. This secondary research will be tested out on the public.
The questionnaire was carried out on 30people of different ages, 6 male, 6 female, and was varied over different races to get a wider range of opinions.
1. Are you male or female?
⬜ Male ⬜ Female
2. Which age group category are you in?
⬜ Under 10 ⬜11 – 15 ⬜ 16 – 20 ⬜ 21 – 25
⬜ 26 – 30 ⬜31 – 35 ⬜ 36 – 40 ⬜ +40
3. What do you think about food products at established fast food restaurants?
⬜ Good ⬜ Bad ⬜ Unhealthy
⬜ Just right ⬜ Other
4. How often do you visit fast food restaurants?
⬜ Every day ⬜ Once a week ⬜ Once a month
⬜ Other
5. Roughly at what time do/would you visit fast food restaurants?
⬜ Morning ⬜Mid-day ⬜Afternoon
⬜ Evening ⬜ Night ⬜ Specific time
6.When you do buy from fast food restaurants, do you buy single food products or meals?
⬜ Single ⬜ Meal
7. What attracts you to buy from a certain fast food restaurant?
⬜ The quality of their food ⬜ Their reputation
⬜ Other
8. Do you think the designs on packages at established fast food restaurants reflect their company? If not, what could be done to improve it?
⬜ Yes ⬜No please state why
9. What would you change at established fast food restaurants to improve them?
Please state
Results of questionnaire
1. Are you male or female?
Male=15 Female=15
2. Which age group category are you in?
Under 10=4 11 – 15=4 16 – 20=4
21 – 25=4 26 – 30=4 31 – 35=4
36 – 40=4 +40=2
3. What do you think about food products at established fast food restaurants?
4. How often do you visit fast food restaurants?
5. Roughly at what time do/would you visit fast food restaurants?
6.When you do buy from fast food restaurants, do you buy single food products or meals?
7. What attracts you to buy from a certain fast food restaurant?
8. Do you think the designs on packages at established fast food restaurants reflect their company? If not, what could be done to improve it?
9. What would you change at established fast food restaurants to improve them?
* For this question, answers were mostly one or two words, and the majority said that services could be improved.
From the research, there has been a lot of useful information that could help Dinoburger help customers.
The research showed that about a 1/3 of people are not happy about the health of the food. Dinoburger’s food product will be much more nutritional, and give more customer satisfaction.
Research also showed that almost 50% of people visit fast food restaurants once a month. The results were very varied, and there is not really a set figure on this. The results of the questionnaire showed that the older generation tend to visit fast food restaurants in the morning and evening. This is perhaps before or after work. The younger generation tend to eat fast food at mid-day. This could be on their lunchtime breaks at school. Dinoburger will make all their products throughout the day continuously to always suit customer satisfaction.
The results show that 50% of the people asked are drawn to a fast food restaurant by the quality of the food, and the other 50% by the reputation of the fast food restaurant. Dinoburger will provide the best quality food that the fast food industry has seen, and hopefully this will help Dinoburger develop into a well-known and respected company.
The packaging of the Dinoburger products must be well designed as nearly 100% of people asked thought that this was an important aspect to have.
The target market of Dinoburger is all of the public. Everyone in the public is a potential customer, but it is our job at Dinoburger to make the public buyers of our products. To attract the pubic into buying our products, we must advertise ourselves well. We will advertise in national and local newspapers, trade newspapers and journals, posters and transport, and directories – including yellow pages.
The message we will put across to the public is that Dinoburger is a new type of fast food restaurant that puts the customer before profit, and that we actually try to make our product s a good as we can. Basically, we are the new kids on the block.
Dinoburger could avoid customer resistance by always producing new and appealing products, or special deals, that will make the customers want to buy from Dinoburger, and not go somewhere else because our products are not appealing anymore.
Dinoburger will stay within the law by not breaking the law or doing anything illegal. The success of Dinoburger’s campaign will be measured by seeing how much profit is made after advertisement, compared to how much was being made before advertisement.
Evaluation of plan
Overall I think that the plan went reasonably well. The plan covers all of the details that needed to be covered, and explains what Dinoburger’s aims are and what they hope to achieve.
The introduction shows the general outline of the business and explains why the business should be successful. It shows what Dinoburger will need to do in order to be successful, and also shows the main advantages of being in a sleeping partnership. The product and production system explains what it is that Dinoburger will be selling and where they intend to purchase these items. It also clarifies what new technology must be purchased in order to run the business. It also shows where the location of Dinoburger’s first fast food restaurant will be located.
The organisations page shows the company’s act 1985, and also shows who runs the business and also has an organisations chart to show the hierarchy of all the workers at Dinoburger.
The finance and accounts explains how much money will be needed to run the business, where the money is coming from, and what the money is being spent on. The marketing campaign explains whom Dinoburger intends to sell to (the target market) and how they intend to do it. It shows the strengths, weaknesses, opportunities and threats of Dinoburger.
The last part of the plan was a questionnaire, which asks the public all the important questions that Dinoburger needs to know the answers to, to make Dinoburger as successful as possible.
Bibliography
In order to accomplish this piece of course work, there were many places where I had to find out information about the fast food business. Most of this information was found on the Internet, as this was an easy way to access the information that I needed, and most of it was from trusted websites.
On page 3 ‘Product and production system’, all the grilling and frying machines that would be used to prepare the food products was found from
On page 6 ‘Organisation’, the map that shows the location of Dinoburger’s restaurant was found from
The questions in the questionnaire were composed myself, and the results were obtained from the public.
