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Creativity and Innovation (CRI) Assignment

Added on - 03 May 2020

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Executive SummaryThis report contains a study report on the use of mobile phone and Facebook orderingat Burger Fuel. The study is based on the gap in research identified in the researchproposal. With the increasing popularity of application of technology in business, theneed to for creativity and innovation has also increased. The competition in the FastFood industry all the world has also increased rapidly over the previous one decade.Customers are becoming more complicated and they demand better goods andservices each passing day. Due to this reason, the need to innovate and offercustomers more value has arisen. The proposal of using mobile phones and Facebookto make orders for customers of Burger Fuel will have many positive effects to thecompany. The implementation of the proposal is also expected to bring aboutundesirable effects to the company. The study begins with a brief introduction of thecompany and the problem being investigated. The stakeholders to be affected by thechange include the customers, employees, shareholders and partners. Some employeesmay end up losing their jobs and changes in tasks may be implemented. Thecustomers will be offered products more conveniently and the services will beimproved. The value of stakeholder’s investment will increase as a result of increasein returns from the business. The change is expected to increase effectiveness andefficiency in Burger Fuel. The management and decision making tools used in thisstudy include the SWOT analysis, Cause-Effect relationship and Mc-Kinsley`s sevenstep model (Ursyn, 2014). Qualitative and quantitative research methods are used inthis study for data collection, analysis and interpretation. The findings of the researchare presented using tables and graphs as seen in the documents provided in theappendix. Both primary and secondary sources of data are used in the study. Theprocess of change is also presented in the paper in form of a table which contains the
recommended change and a detailed definition of the same. The final sections of thereport contain recommendations and conclusion based on the findings of the study.Contents
Introduction...............................................................................................................................................5Research aims and objectives....................................................................................................................7Methodology..............................................................................................................................................7Problem solving model and justification...................................................................................................8Problem identification...............................................................................................................................8Work out of major factors involved and possible causes of these factors...............................................9Research methodology and justification.................................................................................................11Data collection methods..........................................................................................................................12Data analysis and presentation methods................................................................................................12Management concepts used in the study...............................................................................................13Strengths..................................................................................................................................................13Weaknesses.............................................................................................................................................14Opportunities...........................................................................................................................................15Threats.....................................................................................................................................................15Findings....................................................................................................................................................15Analysis and interpretation.....................................................................................................................19Process of changes...................................................................................................................................22Recommendations...................................................................................................................................24Conclusion................................................................................................................................................25
IntroductionThis report analyzes the impact that introduction of mobile and Facebook system ofmaking orders will have on Burger fuel, New Zealand. Burger Fuel is a New Zealandburger restaurant that has more than 88 locations spread in 6 different countries. Thecompany is public and it has shares traded in the New Zealnd stock market, NZX.Burger Fuel was founded in the year 1995 by Chris Mawson in Auckland, NewZealand. Burger Fuel operates in other countries apart from New Zealand. Thesecountries include; Australia, United Arab Emirates (UAE), Saudi Arabia, Egypt,Kuwait, Iraq and USA. The key products offered by the company include;Hamburgers, french fries, wraps, soft drinks, milkshakes and ice cream. Therestaurant also has other side dishes which help to build up on its rich menu. Thecompany recorded revenue of $82,800,000 and an operating income totaling$18,700,000. Burger fuel continues to grow and is planning to expand to othercountries such as China and Libya (Brennan,& Schafer, 2010). For this to happen, it iscritically important for Burger fuel to keep on innovating so as to help increaseefficiency and effectiveness in its operations. The innovation and organizationalchange opportunity that was chosen as the basis of research is introduction of mobileand Facebook ordering system. The new method is intended to enable customersorder products from the company at the comfort of their sitting room after which theproducts can be easily delivered. The problem was identified after carrying out amarket research which indicated the growing need for the company to adopttechnology in its systems to increase efficiency both in its production and operations.The numerous requests by customers to have the company develop a system thatenables them to make orders without necessarily visiting the restaurants motivatedBurger Fuel to propose this change. This also prompted the idea of using mobile andFacebook applications as a method of making orders by customers. The problem is
very significant to Burger Fuel because its touches on three important aspects of theorganization which are people, systems and products. The solving of the problem byintroducing mobile and Facebook ordering will result to a lot of changes in theorganization and these changes are expected to affect various stakeholders within theorganization (Wu, Jakubowicz, & Cao, 2014). The employees, shareholders,management and the customers are likely to be affected by the change. The reportaims at investigating the impact that introduction of mobile and Facebook orderingsystem will have on Burger fuel and its various stakeholders. The report alsoinvestigates how the change will affect efficiency and effectiveness of theorganization. The scope of this project is limited to the impact the change will have onBurger fuel alone irrespective of what happens with competitors. The study focuseson investigating ways in which the change will impact positively on the company andhow it will help to increase customer satisfaction (Maumbe & Okello, 2013). This isin turn expected to increase customer base. The project objective include determineby how many dollars the proposal is expected to reduce the costs. The other objectiveis identifying how the proposal will help to reduce the labor force hence reducingcosts.Research aims and objectivesThe aim of this research is to analyze the viability of introducing mobile andFacebook ordering for Burger Fuel, New Zealand. The study aims at accomplishing avariety of objective and they include;Examining the amount by which the proposal will help to reduce the cost of laborInvestigating the impact that the proposal will have on service delivery andcustomer satisfaction.
To investigate the reduction in waiting time in minutes for customers who visitthe restaurantsTo investigate the percentage increase in customers as a result of the new system.To examine how the change will affect employee morale and performance.Investigate the percentage increase in revenue attributable to the use of mobileand Facebook as a method of making orders by customers.MethodologyThis section discusses the methods that are applied in conducting this study. Thisentails discussion of the problem solving methods used in identifying the problembeing discussed in this study. The method is named and the steps and proceduresundertaken when using this tool. The research methodology and the managementconcepts used in the study are also evaluated and analyzed in the study.Problem solving model and justificationThis research applies the cause-effect analysis model of solving problems. Thismethod was developed in the 1960`s by Ishikawa who was a pioneer of qualitymanagement (Traitler, Coleman & Hofmann, 2015). It combines the technique ofbrainstorming and mind maps. This helps in identifying all possible root causes of aproblem and provides alternative solutions to these problems. The following are thesteps followed using this model to solve the problem identified in the study;Problem identificationThis step involves writing down the exact problem that Burger Fuel is facing. Burgerfuel has been experiencing a problem of long queue in many of its stores in NewZealand and Australia. This is mainly due to the high number of demand for the
companies` products because they are of superior quality and have more healthbenefits as compared to those of competitors. The long queue result to long waitingtime which inconveniences customers. Some customers end up giving up on beingserved and they leave without purchasing what they intended to purchase. Thisproblem has resulted to loss of customer dissatisfaction which could potentially leadto loss of customers. Another problem related to the current system used by Burgerfuel is that its efficiency levels are very low. It has very high related to employees andother operational costs that end up reducing the profit margins of the company.Customers have been demanding adoption of technology and innovation that wouldhelp them to purchase goods from Burger Fuel without having to visit the restaurant.Companies in other countries such as Australia and USA mostly rely on onlinepurchase of products such as burger and pizza after which the products are deliveredto the customer at their preferred destination. The problem is affecting customers themost since they end up getting inconvenienced and the customer service may be poorat times due to pressure to cater for the many customers waiting in line. Theemployees of Burger fuel are too affected by the identified problem since they mayend up overworking themselves and hence lacking time for self development.Work out of major factors involved and possiblecauses of these factorsThis step involves identification of factors that may be part of the defined problem.These factors may be things to do with systems, equipment, materials and externalforces. In order to identify and evaluate the major factors that relate to the definedproblem, it is very important to use a well defined framework to identify these factorsto exhaustion. For this study, the McKinsey 7-S Framework is used. The modelanalyzes the seven internal aspects of an organization that are critical for the success
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