Chris: 30-9-09 Feedback on interview schedule
Good idea to go deep into the cashiers/staff – they often have good ideas.
You need full in-depth interviews with 2 other restaurant owners:

- Neighbouring non-competing restaurant for insights about what local customers like
- Distant identical restaurant for ideas about what to offer

Presentation:

Submitted on 11 Sep:


Submitted on 18 Sep:


Interview plan - submitted by paper on 26/Sep, resubmitted on 30/Sep


Dummy pack - submitted on 5th Oct

B. Switch focus to revenue increasing ideas, getting evidence from mystery shopper/tests/interviews, and you can help NSH.

Dummy pack v2 - submitted on 14th Oct


Final pack submitted on 23th Oct



FEEDBACK ON PROPOSAL:


Jessica’s team – New Sam Hing

B. Good start. Refocus your work – I expect that though you will find some opportunities, the biggest solution will be attracting new customers. Expand this section on issue tree/ analysis.

Objective
Clear question – how to return to profit within 6 months.
Can put the business drop and pricing tried into background to keep this cleaner

Scope
Exclude pricing drop from solution space – tried and didn’t work

You have put a cross against too many ideas because you think they won’t have impact within 6 months. Revisit this – we are not talking a big business here, you could change the menu tomorrow and see an impact next week.

Analysis
Shift focus more on how to attract new customers than cost analysis
Benchmark cost structure against a similar restaurant. Quick breakeven analysis to see if cost can be big enough.
Create P&L model for the restaurant
Interviews – non-customers in the area, and customers who switch to the bigger restaurant – who switched, can they switch back? Interview noodle shop owners in different areas - What are they doing that works?
Capacity analysis – how can you drive traffic in slack times?
Promotion ideas – how to recruit new customers?
Product differentiation – what can Mr Wan do that Mr Lee cannot copy? Signature dish? Theme? Service.

Issue Tree
Consider different cuts for how to increase revenue. Look at other team's restaurant trees for inspiration. Example:
- New customers/existing customers.
o Existing customers – increase frequency of visit and increase purchases per visit.
o New customers – new channels (e.g. delivery, catering; walk-by take away), new segments (e.g. residents, workers, teens)
o New customers - Customer decision-making – awareness, trial, regulars
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Question from our team:Thanks Chris for the comments. One thing we get confused is,we do issue tree in order to identify possible solutions, and then we do hypothesis so that an analysis can be created to check if the solution is workable or not.So say one of the solution we identified is "Change the salary structure of the staff so that part of the salary is linked to the performance of the restaurant", then the hypothesis we created is "Save 1% of the total HR cost by adjusting salary structure to be 80/20 fixed/variable", and the we can do financial modelling based on historcial data to test if this is really workable.For those solution that is not so easy to measure, such as "create a signature dish for the restaurant", how can we write a hypothesis and how can we do analysis to test this out? i can only think of to do customer research or to do free testing (just like starbucks did to ask customer to try their new cakes)..but for these we cannot measure the result and probably cannot directly answer the question how can mr wan regain the profit in 6 months' time.My question is how should we handle some of the solution like above that cannot be measured, how should the hypothesis be made? and if it cannot give a measurable outcome, then that means we cant tell Mr Wan how much profit we are targetting?

Many thanks.




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