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Michael would like to open a new burger restaurant - HSC - SSCE Business Studies - Question 21 - 2022 - Paper 1
Question 21
Michael would like to open a new burger restaurant. (a) Outline a performance objective relevant to this business. (b) Recommend an appropriate inventory managemen... show full transcript
Worked Solution & Example Answer:Michael would like to open a new burger restaurant - HSC - SSCE Business Studies - Question 21 - 2022 - Paper 1
Step 1
Outline a performance objective relevant to this business.
Answer
Dependability would be a key performance objective for this burger restaurant as customers expect consistency. They want their burgers served in the same timeframe, maintaining the same size, temperature, and taste with each purchase.
Step 2
Recommend an appropriate inventory management strategy for this business.
Answer
A just-in-time (JIT) inventory management strategy would be appropriate for this restaurant. This approach minimizes inventory costs by ordering ingredients as they are needed for production, reducing waste and ensuring freshness.
Step 3
Compare each layout in terms of efficiency and profitability.
Answer
In Process Layout Option 1, the proximity of the stove to the raw meat refrigerator maximizes the efficiency of cooking. However, the customer journey from seating to cash registers may be longer. In contrast, Process Layout Option 2 places the burger assembly station near the stove, allowing for faster production times, while the positioning of cash registers encourages quicker payment. Thus, Option 2 may enhance profitability due to quicker service and better customer flow.