7. Objectives
Product/Service: Bring the menu up to 4.8 score in the next three months.
Pricing: Formulate a plan to make portion sizes proportionate to price without comprising on quality.
Pricing: Review the current list of ingredients that are regularly used and identify means to reduce cost. This should be done in the next 60 days.
Place: With the help of an interior fit-out firm, review the layout of the restaurant and determine whether an open kitchen/grill/mini-prep station can be installed in a place where patrons can see the cooks in action. Set up meeting in the next 14 days time. Review should be completed within 30 days of the meeting.
Promotions/sales/social media: Develop promotion to increase weeknight traffic by 5% in 30 days.
Promotions/sales/social media: Promote the uniqueness of the menu and modern American cuisine to encourage more patrons. Develop promotion in the next 14 days.
Promotions/sales/social media: Develop a procedure to proactively utilize social media to promote the restaurant to the 25-39 demographic. This procedure should be developed in the next 30 days.
HR Planning: Develop a formal procedure for a semi-annual review of HR processes that will help to identify and address any gaps that impact the overall operations of the restaurant. The procedure should be developed in the next 60 days.
Hiring: Restaurant needs to be showcased as a lucrative career option for young talent in the city, not just for the kitchen but other staff as well. Formulate a showcasing plan 45 days time.
Recruitment: Develop a recruitment plan for all positions in the restaurant which will help to identify the best talents among the applicants in 60 days time.
Wage parity: Conduct a competitor review to understand the difference in wages in any from competitor outfits. Review plan should be developed in the next 30 days and review should be completed in 30 days following the finalization of the plan.
Compensation/benefits: Review the healthcare plans for all employees and identify means to provide benefits to all employees regardless of nature of employment. Set up a meeting in the next 30 days.
Employee training: Formulate formal training plan for all positions. This should be done in the next 60 days including documentation on who will be trained on what and what the procedures shall be.
Job policies: All job positions will have documented policies. This task shall be carried out over the next 120 days.
Orientation: All new recruits shall be provided a 2-day formal orientation on all the operations of the restaurant. Formulate a orientation schedule. This should be completed in the next 21 days.
Performance evaluation/appraisal: Formulate a formal process of evaluation and appraisals which is somewhat independent of restaurant’s financial performance.
Operations: Identify opportunities for expanding the customer base to include families with children and the elderly. Set up a meeting, in the next 14 days, to review this point.
Operations: Review the list of ingredients that are consistently selling less although they get good reviews and identify methods to ensure that they do not increase cost of operations while retaining them. This should be done in the next 30 days.
Operations: Set up meeting with a technology consultant to understand the best cost-effective options for introducing cardless/cashless payment systems at the restaurant. Set up the meeting in the next 14 days.
Finance: Increase revenues by 5%-10% in the next 12 months.
Administrative Management: Implement improvements to customer relations by reviewing the various interactions between the stakeholders of the restaurant. Formulate a review plan within the next 30 days.
8. Strategies
8.1 Marketing Strategies
Marketing strategies are part and parcel of, and essential to, any business. Setting up a business is just one part of the business plan. There need to robust strategies in place that will help the business to be recognized and adopted by patrons . This is especially true for a business like restaurants which result in first hand, personal experience with the business’ product. Food is directly consumed by people and hence a matter of sensitivity and care. This section of the paper focuses on the marketing strategies for Matthew’s Restaurant.
8.1.1 Target marketing: The restaurant’s biggest customer base is the 25-49 demographic (close to 300,000 people in Jacksonville and over 15 million in Florida), of which the 25-39 subgroup is of special interest. According to the 2010 census, there are over 177,000 people in this age group in Jacksonville alone and over 7 million across Florida . This demographic is most likely to follow the latest societal trends of local produce, shift to vegetarian food, and appreciate modern American cuisine as a viable fine dining option. They are also most likely to be technology savvy and also are likely to have young children. Matthew’s is looking for avenues to make the restaurant attractive to people with young children. The 25-49 demographic is also the one that is more likely to be aware of Matthew’s from the various corporate events that the restaurant caters to. The above 64 demographic is not a prime target for the restaurant because the cuisine may not appeal to a vast majority of this demographic and the pricing may discourage retired people.
8.1.2 Positioning: Matthew’s restaurant has a well-known position as a fine dining restaurant. The aim is to now further strengthen this relationship with the customers by positioning the restaurant as a fine dining establishment that promotes and utilizes local produce and fresh food, which are the current driving trends for restaurant patrons. Already the restaurant’s majority ingredients are locally sourced, hence the revamp of the positioning will not be a difficult transition. The restaurant also wants to be positioned as the all-time fine dining place to go to and not just a special occasion place. The positioning statement of the restaurant shall be as follows:
Matthew’s Restaurant wants to be the fine dining restaurant that you can go to on any day for a unique culinary experience and to enjoy the best of local produce, meats and seafood. Matthew’s is the place where your experience will transform even the most mundane of days into something extra special. Our wine list is extensive and award winning, we have a full-service bar, and professional service. Prices can be moderate to high when compared to some competitors but this is to ensure high quality of ingredients. Majority of the ingredients are locally sourced and exotic ingredients are fully seasonal and subject to availability. Our slogan is “When you dine at Matthew’s, your everyday becomes a special day.”
8.1.3 Marketing mix variables:
8.1.3.1 Product/Service: Matthew’s is planning to make the menu more appealing to the growing vegetarian and vegan customer base. This will initially be reflected in the catering menu which will feature at least two vegetarian options each in the starters and mains. An additional option will be provided to convert these to fully vegan options on request. Based on the response to this addition, vegetarian and vegan desserts shall be introduced to the catering menu. Based on the responses to these options, these dishes will be incorporated into the dinner menu as well.
8.1.3.2 Price: The plan is to make the portions more in proportion with the pricing. While the core ingredient price may remain inflexible in certain due to seasonality or rarity or purchase cost, the dish will be augmented with ingredients that can add to the portion size without negatively impacting the cost margin for the dish. The aim is to ensure that for every portion the restaurant is able to maintain a margin of 8%-11% on average.
8.1.3.3 Place: While the location for Matthew’s is a prime location, the restaurant itself may benefit by making some or all of the kitchen operations visible to the customers. This will be in keeping with the trend for customers to want to see how the food is being prepared. This aspect needs to be reviewed.
8.1.3.4 Promotion: The promotional mix for Matthew’s will be social media, advertising, and sales promotions.
The primary target audience is in the age group of 25-49. The secondary target audience is young families and families with elderly members.
The message that Matthew’s shall promote is “When you dine at Matthew’s, your everyday becomes a special day.”
The objective of the promotion efforts is to reach at least 80% of the target population of Jacksonville and between 10%-15% of the target population in Florida.
Promotional mix: Social media shall be engaged to achieve maximum promotion penetration in the target demographic. This is anticipated to be the path of least resistance since majority of the target demographic are regular social media users. Promotional material shall be displayed in websites like Facebook and Twitter. Instagram will also be leveraged by uploading pictures of certain menu items and patrons dining with appropriate hashtags. An Instagram channel that allows people to upload pictures from their favorite dining experience is another way to create engagement with customers. The first 100 entries can get $30 off on any weekday dinner for the next 4 weeks. Subsequent promotions can offer more discounts or free wine or free side dishes.
Advertising channels used shall be newspapers – an ad in the Florida Times-Union and their website Jacksonville.com for a period of 4 weeks every quarter and a quarterly ad in other city newspapers like Miami Herald, Palm Beach Post, Tampa Bay Times; a total of one ad per quarter.
Sales promotions shall be done through the catering services. For catering orders of 50 or more people, one side dish or dessert from the dining menu shall be included for free. This will introduce large groups of people to the unique dishes on the restaurant’s menu.
8.1.4 Marketing Action Plans
Matrix
8.2 Human Resource
8.2.1 Planning
8.2.1.1 Strategy: Develop a plan for reviewing HR processes on a semi-annual basis. This will help to improve the efficiency of the operations.
8.2.1.2 Tactics
8.2.1.2.1 Action Plan:
The owners and HR team will be responsible for developing the plan
Research the best method that can be used for the review process
The plan must be ready in the next 60 days
8.2.2 Values, morale and motivation
8.2.2.1 Strategy: Employees need to be given formal growth plans to keep up the morale and motivation.
8.2.2.2 Action Plan
HR to formulate a plan for the growth path of each designation.
Plan must be read in the next 90 days
8.2.2.3 Policies: The growth strategy must be applied as a policy for all employees uniformly.
If designation of employee is Front of House, then a policy example would be:
Designation: Front of House
Employee shall be provided with opportunities for training
Employee must avail at least one certification opportunity
During the Mid year appraisal, employee shall apply for a promotion or change of role.
Targets shall be given either in the form of courses to complete or extra hours to work in order to get on the job training on desired profile.
Employees promotion shall be based on the performance throughout the year.
8.2.3 Compensation, benefits and incentives
8.2.3.1 Strategy: Competitor review to be conducted to understand the wage disparity compared to competitors and also to formulate benefits plan for all employees.
8.2.3.2 Action Plan:
Management team to conduct a competitor review within the next 30 days to understand the wage differences.
HR team to formulate a plan that will enable all employees to enjoy certain benefits like medical benefits. Plan should be formulated in the next 60 days.
8.2.4 Employment laws: No major changes are required in this area.
8.2.5 Job Creation Process
8.2.5.1 Strategy: All job policies shall be documented in order to improve the output from employees and which in turn enables better appraisals. The job policies will detail the responsibilities of each position and the expectations of management.
8.2.5.2 Action Plan:
HR to develop and document job policies for all positions in the next 120 days
Management team will review and approve the policies
8.2.5.3 Policies: An example outline of a policy is as follows:
Job Description: Waiter
Duties and Tasks
1. Order taking
a) Greeting customer and acknowledging any party that cannot be attended to immediately
b) Use notepad or electronic entry system to capture, table number, number of covers and orders
2. Serving food and beverages
a) Servers shall be temperature conscious at all times. Food to be served hot shall leave the pass as soon as it is ready, frozen dishes shall be served as soon as they are plated.
And so forth
The other items that the job policy shall include are the job design, job enlargement, job description, job specification.
8.2.6 Recruiting
8.2.6.1 Strategy: Recruit the best talents in the city for all positions.
8.2.6.2 Action Plan:
HR to develop a plan that will help to recruit the best talents in the city
Plan should include methods by which the restaurant can be placed as a lucrative employer
8.2.7 Selection
8.2.7.1 Strategy: Ensure candidates are able to learn new things at a fair pace
8.2.7.2 Action Plan:
HR to formulate 2-step interview process. First step shall be a practical session for the position applied (e.g. waiter will have to demonstrate skill in a simulated environment or in real time). Second step will involve candidates who successfully passed the first step.
Management to approve the process document.
Process should be developed in 60 days time.
8.2.8 Orientation
8.2.8.1 Strategy: Restaurant should have a 2-day orientation program
8.2.8.2 Action Plan:
In conjunction with representatives of Front of House and Back of House, HR will develop an orientation schedule that covers 2 days for every new recruit. The new recruit shall be introduced to all the operations and formal training will begin.
Management team to approve the document.
Documentation should be ready in the next 21 days.
8.2.9 Training
8.2.9.1 Strategy: Formal training sessions shall be conducted for all new recruits
8.2.9.2 Action Plan
In conjunction with representatives of Front of House and Back of House, HR will develop an training schedule and documentation for every new recruit and employee.
All documentation must prepared, reviewed and signed-off by management in the next 120 days
8.2.9.3 Policies: The training policy shall be applicable to all employees and shall make provision for additional training for any position and also for cross-functional training for any employee who formally requests such training.
8.2.10 Performance Appraisals and discipline
8.2.10.1 Strategy: Appraisals shall be conducted twice a year. A mid-year appraisal to set targets for employees and end of year appraisal for promotions and financial changes.
8.2.10.2 Action Plan
Management team to formulate a plan that will make the appraisal process independent of the financial performance of the restaurant.
Plan to be reviewed and signed-off in 60 days time.
8.3 Finance
8.3.1 Strategy: Increase revenues in the 12-month period
8.3.2 Action Plan:
Promoting the restaurant to a target demographic.
Marketing to other cities
Strengthening social media engagement with customer
Re positioning the restaurant as a viable choice for everyday fine dining.
Look for avenues for cost efficiency
8.4 Operations
8.4.1 Strategy: Improve efficiency
8.4.2 Action Plan
Identify opportunities for expanding the customer base to include families with children and the elderly. Set up a meeting, in the next 14 days, to review this point.
Executive Chef to review the list of ingredients that are consistently selling less although they get good reviews and identify methods to ensure that they do not increase cost of operations while retaining them. This should be done in the next 30 days.
Set up meeting with a technology consultant to understand the best cost-effective options for introducing cardless/cashless payment systems at the restaurant. Set up the meeting in the next 14 days. Managing partner is responsible for this point.
8.5 Administrative Management
8.5.1 Strategy: Improve customer relations
8.5.2 Action Plan:
Formulate a plan to review the interactions between stakeholders of the restaurant.
Present the review to management.
Identify areas of improvement that will help customer experience.
9. Controls
Strategic Controls:
Management team keeps track of daily events in the restaurant.
Management team keeps track of the events happening in the restaurant business in general.
Management team does a periodic review of people and process performance.
Operational Controls:
For all the strategies that have been identified, there shall be a weekly review by the management team to check the progress of each goal.
In case an item is not progressing as expected, an alternate strategy shall be implemented.
Works Cited
EDR. Area Profiles. Office of Economic & Demographic Research. 24 July 2016 <http://edr.state.fl.us/Content/area-profiles/index.cfm>.
Lorette, Kristie. The Importance of Marketing for the Success of a Business. 24 July 2016 <http://smallbusiness.chron.com/importance-marketing-success-business-589.html>.
