Sunday, February 9, 2020

Improving business through operations management Case Study

Improving business through operations management - Case Study Example According to one of the owners, they pointed three major for the reasons for closure of restaurants. Firstly, Deibel said the property they lost through the kitchen stalled them back hence considering the closure. Secondly, they were facing a lot of and stiff competition locally from other restaurants around Cambridge offering the same services for example nearby restaurants like Oronico restaurant, Charlie’s kitchen and the red house restaurant. Thirdly, they said they decided to close up the restaurant to allow them pursue other opportunities. Lastly, the owners of the building had sold the building they operated and it forced them to vacate. Insufficient capital: limited capital has a negative effect on the longevity of the restaurant. Owners should keep enough capital so that in cases of a loss and increased costs they can be indemnified back to normal position (Koch, Herman, and Garrett 11). Lack of health care covers to employees: Restaurant owners should consider health care programs so that they comply with the law. This helps or reduces costs when loss occurs like fire experienced in upstairs restaurant. Business operational management determines the life span, profitability and daily expenditure of the business (Koch, Herman, and Garrett 232). As we have seen above a restaurant should identify certain common challenges before starting or when during operation of the business for example competition which is

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