Regency Cafe Business Case Analysis

This assignment requires you to analyze a detailed case study about a 'Regency Cafe'. The analysis should cover various aspects of the cafe's business, including its operational structure, target market, competitive landscape, and management strategies. You'll need to draw upon provided information about the cafe's services, customer base, and internal operations to evaluate its strengths, weaknesses, opportunities, and threats (SWOT). The case study also touches upon relevant literature in the fields of service marketing, microgrid technology, and public transport, highlighting the diverse context within which the cafe operates.

OPERATIONS
MANAGEMENT AND
SERVICE
EXCELLENCE

Table of Contents
INTRODUCTION ..........................................................................................................................1
TASK .............................................................................................................................................1
Overview ...............................................................................................................................1
Process of operation management .........................................................................................4
Performance objectives..........................................................................................................8
Supply chain operation ........................................................................................................10
Quality management through relevance to various organisational operation .....................11
CONCLUSION .............................................................................................................................12
REFRENCES ................................................................................................................................13

INTRODUCTION
Operation management considered as the activity of administration of organisational
practices in order to make highest level of possible efficiency in the boundary of firm. The
major purpose of operation management is converting labour and raw material in to finished
goods and services which create value for customers (Becerik-Gerber, Jazizadeh and Calis,
2011). This is most essential task for firm for effective implementation of tasks which are helpful
in generating profit and revenue. Regency cafe is a small contemporary art deco style cafe,
located in London. It is most popular small cafe in London opened in 1946. it is famous for its
high-quality services and products such as variety of coffee products, cakes, and fast food. The
major purpose of this firm is to provide best and variety of goods and services as per the
requirements of customers. This report contains the study about the process of operational
management and its importance. In this performance objectives, supply chain and quality
measured are also discussed in detailed manner.
TASK
Overview
Location:
Regency Cafe is operating its activities in London with more effectivenesses and
efficiency in services. This firm focuses on generating high profit through selling larger volume
of goods and services. It is firstly cited in 1946 in London. It is one of the best small cafe in
London which provides high quality services or products (Burke, 2013).
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Capacity:
Regency Cafe categorized their customers into different parts which is based on income
of person such as poor and rich. They provide services and products as per the standard of person
in different segmented areas. Their major feature is that they are capable to provide fast services
at the time of over crowd during peak season/rush hours. The company is able to serve more than
80 people at a single time. They administrate administer a well-planned management system for
providing fast and high quality services to their potential buyers (Chen and et.al., 2011).
Shop layout:
The cited firm is famous for providing fast services in very significant manner. The cafe
is designed as art deco style. Interior of cafe is very attractive because the decoration in internal
side of cafe is done with the photographs of Tottenham Hostpur, a famous football player. The
cafe is located in various BBC series with the addition of filming feature. They made possible
yield to establish a positive situation for customers where they can spend more time. Regency
cafe provides a very attractive sitting arrangement with more comfortable equipment. They have
some advance features like a big hall for arraigning a party for more than 100 people. They have
a wide area for serving goods and services to their consumers in very large scale.
Competitor:
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Illustration 1: Map of Regency Cafe

In today's scenario, there is lot of competition available at market place Regency Cafe is
having large number of competitors few of them are mentioned below:
 Laynes Espressos
 Coffee and Desert Colonna and Small's
Offered services:
Regency Cafe has wide range of products of high quality. They provide variety of goods
and services to their potential buyers. They supply services as per the living standard of people
such as they differentiate their customers as per their income level. They mainly focus on
establishing effective plan to give offer and best services to their clients and customers in very
effective affordable prices (Chen, Wu and Fu, 2012).
REGENCY CAFE
MENU LIST
BEVERAGE
 BEVERAGE
 Mug of tea 80
 Lemon Tea 60
 Herbal Tea 40
 Black tea white honey 70 Flavoured milk 80
BREAKFAST
 Eggs Benedict 60
 Fried Eggs 80 Boiled Eggs 40
COFFEE
 Hand Brewed 60
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 Black Cold Brew 70
 Machine Brewed 45 White Cold Brew 75
ESPRESSO
 Espresso 30
 Cappuccino 35
 Macchiato 60
 Latte 75 Americano 20
SPECIAL
 Vanilla Bean 55
 Salted Caramel 65
 Affogato 90
 Toffee Hazelnut 85
Process of operation management
According to the large population of London, Regency Cafe is the famous cafe which
provide high quality services to their customers in respect of maximising profit and growth. They
are focused on providing high quality services with variety of products as per the different
demand of customers. They offer wide range of goods with different ingredients in very less
prices. It is included as a low range food area in London and UK (Expósito and et. al., 2016).
Operation management:
Operation management play an essential role in performance of firm, as per the situation
of market Regency Cafe implement new and innovative techniques of operation management
just for increasing their productivity and every operation of firm. Operation management is the
combination of various activities such as operation procedures, supervision of products, supply,
marketing, promotion or supply chain. It helps in evaluating the operation of firm to identify the
effectiveness and efficiency of tools and techniques which are used by firm in effective
production.
There are process available which are followed by Regency Cafe is described as under:
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Purchasing process:
This is an essential stage in every business firm who are focused on providing goods and
services to customers. This process describes various stages which are followed by Regency
Cafe in buying raw material for making effective goods. Organisation store their raw material in
storage, it is an initial process of purchasing procedure. After utilising raw material for creating
finish goods, these outputs and results are also stored in storage (Hefetz and Warner, 2011). This
process is a wide collaboration of various aspects which are related with purchasing or goods
such as budget amount, purchasing request, converting information or message to manager of
purchasing department, transformation of ideas to suppliers so that cited firm can outset their
production or manufacturing process or make arrangement of delivering goods and services to
the right customers. With the help of covering all these aspects purchasing process move forward
towards attaining goals and objectives.
Batch production: This is very effective stage in operation management. This system helps in
dividing all aspect related with production into various small parts, this helps in reducing work
load form employees or workers. In Regency cafe, there are variety of coffee and fast food is
available and it is required for firm to use effective production process with integration of
various steps.
Serving: The cited firm adopt effective techniques for serving goods and services to their guests
and customers in an effective manner. They use attractive mugs and cups for serving variety of
coffee and tea to their potential customers. They purchase serving equipment in wide range for
providing large number of customers at a same time.
Stock: They produce products in very wide range and keep them as a stock, this helps them to
fulfil the demand of customers. Due to some issues and crises raw material is not easily available
to company so they production has been stopped. So, in this situation it is not possible for firm to
fulfil the demand of customers.
Mass production: It is adopted by firm for producing large quantity of goods at a same time. In
Regency cafe, some time large number of people are gathered in crowed and they want services
in very less time, so at this situation company applying the process of mass production to provide
fast and effective services to customers. Just for addressing market demand and needs in very
less time company use this process in an effective manner.
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Continuous production: This process is adopted by firm for managing high volume of
commodity with high standard. In Regency Cafe, they produce goods and services through
various stages of production operation. They purchase raw material in very large quantity form
different sources and then they use them in creating their production more effective in order to
receive more beneficial output and result. They use various tools and techniques for producing
tasty and high-quality food and coffee for their customers (Logenthiran and et. al., 2012).
Seven wastes:
Management have to use various sources through which they can increase the
productivity and profitability of a company. This is helpful for maximising and enhancing the
company profit generation capacity and make work accordingly.
Following are the seven waste of a company which have to take in account by the company at
the time of production: Transport: It is required to move material from one place to another. It is helpful for an
organisation to serve the product to their target users. It adds some value to the product
and consider as the waste. Management have to use appropriate channel through which
goods can be reach to the potential customers. Regency cafe is established thei outlets in
most possible location where individuals can reach easily with the help of using
appropriate transportation facility (Moghaddam and et. al., 2011). in this company not
incurred huge amount of mone. Hence, transport lead to get fluctuate business per
business.
 Inventory: It is a major assets of company which is not get sold due to some reasons of
market. For every business, it is a waste for company because company store them at
particular location and helps in decreasing the cost of production. For a Cafe, it is
required for them to store some products which are helpful in producing goods and
services as per the demand of customers. Motion: Many of the time it get happen that machines which are used for manufacturing
are running down without any use. It leads to increasing the cost but company is not able
to generate more and more profit and revenue. Thus, it is a waste for a company.
Company purchase coffee machine for producing coffee for customers and it helps in
increasing profit.
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 Waiting: For raw material, an organisation has to wait for some time. This helps in
adding value to the products and avoid wastage because business organisation have to
wait for the response of various number of factors which affect the business. Regency
cafe has to wait for the response of their users on their product for creating more and
more inventions. Overproduction: Another major waste for an organisation is overproduction which is
consider as the worst situation for a company. Many firms produce more than the demand
which lead to enforce them to use some warehouses for this purpose. At Regency cafe
shop few times they produce more than the demand of customers. Over processing: Many companies lead to overprocess their machines which is not
suitable for an entity. If the machines are used in very wide range than if may affect the
performance of company. This is a waste because it do not increase the profit of a
company. Every electronic thing needs to be prepare by proper maintenance if it is not
done in effective manner than machine got affected form various issues.
 Defect: These are the errors which are taking place in any good production. It is a waste
because that material is not appropriate for the business. Regency Cafe have to analyse
the defects in their products and work on them so that they can minimise this waste and
maximise their customer trust and loyalty towards them (Nakayama and Bucks, 2012).
4V's of operation management:
Operational department of company help in producing more and more quality products
and services to the number of users. For any firm it is very easy concept to produce more quality
products to their customers in order to reach at final result which is associated with the help of
measuring different step of production function. To understand the complete process it is
required to identify 4V's i.e. volume, variety, variation and visibility.
1. Volume Dimension: Management have to measure the production volume which is
produced by an organisation. It is a process through which company can identify the
number of products which are manufactured by the operational department of a company.
Regency Cafe have good and effective volume dimension in which they only produce
such sort of products and services which are in demand and reflect some value to their
users.
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2. Variety: One of a major thing through which maximum number of users can get variety
of goods and services as per their needs and wants. HR of a company have to recruit such
number of employees who are helpful in adding some new and creative ideas for
achieving targeted goals and objectives in an adequate manner. Different taste of coffee
as Hand Brewed, Black Cold Brew, Machine Brewed, White Cold Brew are available in
cited organisation. At Regency Cafe all these type of beverage and food items are serve
to their customers as per their order and requirement. This is helpful for them in
generating more and more profit for the business. As variations are consider as the best
thing for every firm.
3. Variation: It is consider as the change which is taking place in the production of product
which manufacture by a company. Variations as per time is must and this is helpful for
the long term perspective of an organisation. Management have to take this thing in their
account and make necessary changes in their products as according to time and taste of
their users. This concept is also helpful for attain all the goals and targets in an effective
manner without harming the environment (Niknam, Azizipanah-Abarghooee and
Narimani, 2012).
4. Visibility:A only thing which can attract the vast number of user is visibility in
production and variations in goods and services which render by any firm. It is a moral
duty of every business to identify the basic needs and interest of their users in order to
provide them most effective and high quality services. According to their different
demand and need. Regency Cafe deliver quality services to their users and this is a visible
to each one of them. Hence, as per this, they can generate more and more profit because
all the activities which perform by them in the eyes of customers.
These factors have to consider by Regency Cafe as all of them are helpful for an organisation
long term benefit. This lead to provide them strength and make their activities appropriate in
nature. Management have to consider these factors for the operational management. As all the
production related work get done through them so organisation production department have to
follow this.
Performance objectives
These are defined as the milestones by which the goals and objectives can be achieved.
This includes various factors like risk mitigations, business continuity, response in emergency
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and hazard prevention. Short terms goals are designed for the evaluation and development
programmes and the long term goals are designed for planning and investment procedures.
Regency Cafe has there main objectives to perform all its activities in planned ways in order to
achieve the best outcomes. This is beneficial in attaining business goals and objectives.
Five performance objective includes the following as: Quality Performance Objectives:
This is an vital task for every firm uin order to maintain the quality of there goods and
services. The firms should use quality raw materials in order to produce good quality products.
This is useful for them in achieving there goals and targets in planned and effective ways. The
cited firm is focusing on effectively maintaining the quality of there products and services.
The selected firm is providing good services and this is the outcomes of there
quality measurement. Regency cafe is giving quality services to there customers so that they
become happy and satisfied. Various goods are offered by the company with good quality which
helps in referring there services to large group of customers. If they are offering quality food
products than customers will have faith in their products this will help in increasing there sales
ratio.
 Speed performance objective:
The major quality of Regency Cafe is to they give quick response on customers wants,
they provide fast service to their customers in order to give satisfaction to them. The needs of
customers are not sustain, their wants are changed as per the change in new market trend. so
company focused on adopting variation and changes. Quick service is strength for company with
this large number of people are attract towards firm, they provide effective and fast service to
their potential buyers (Xu and Chen, 2011). Regency Cafe provide training to they employees in
respect of serving goods and services as per different wants of consumers.
 Dependability of performance:
The overall performance of firm is based on its high quality goods and services which are
offered by firm to their customers. Regency Cafe produce products as per the market demand.
They are mainly depend on high quality material for producing best quality goods for their
customers.
 Flexibility of performance:
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Regency Cafe is more flexible in nature, they are mainly focused on changing preference
of customers because of producing variety of goods for fulfilling the needs of buyers. Firm adopt
the market changes into proper action and use new and innovative tools and techniques for
producing products as per new market demand. They provide best guidance to their staff
members for using new equipment for developing their services. With trhe hlp of new tools
employees can improving their skills and knowledge for their future growth (Antara and
Sumarniasih, 2017).
 Cost performance objectives:
Cost and capital is an important aspect of every business firm. The cost is affected by the
change in product price and quality. If firm wants to produce high quality goods than it is
required for firm to incurred high cost. Regency Cafe use flexible cost strategy to produce high
quality goods with more ingredients to satisfy needs of consumers. They offer variety of
products in different affordable prices, so that customers can easily take the advantage of offered
services.
Improvement which is important for firm:
It is essential for Regency Cafe to conduct a marketing survey for knowing the chaining
needs and wants of customers in order to producing new and effective goods for satisfying their
current needs. They need to provide an effective training session to new employees to get
familiar with the organisational environment. It is required for firm to adopt less cost effective
tools and techniques to produce high quality goods with low cost (Parveen and Puterbaugh,
2013).
Supply chain operation
It is very essential aspect of operation management in every business firm. Supply chain
is considered as various activities which are related with operation, production and supply of
goods. Regency Cafe take many steps into proper action for implementing effective supply
chain.
Process of supply chain:
Suppliers of company: Regency purchase raw material from different organisations who
are supplying different quality of material. They buy goods on the basis of different
requirements.
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Flow of information: An organisation is categorised into different departments for
effective management of work. It is not possible for an individual to manage all activities and
task in a single time, so they divide their work into various segments. It is required for firm to
transfer relevant and important data to each department, they give proper assistance to their staff
members for effective utilisation of resources (Ghazzawi, 2013). Finance department give data
and information about activities related with financial budget, plan, required capital etc.
Marketing department helps in providing detail related with new and changing needs and wants
of customers. Accounting department keeps the record related with capital and cost of firm for
long run of business activities.
Single or multiple resourcing:
Single sourcing is the most significant part of operational management. In this raw
material is supplied by a single supplier, for producing more innovative and effective goods.
Mostly just in time producers are select single suppliers for delivering raw material. Regency
Cafe using single sourcing suppliers for fulfilling the requirements of things which are important
in operation function.
Multiple resourcing is considered as the combination of various activities related with
operation management. This is widely used by the technology infrastructure and IT operators.
Regency Cafe adopt most effective tool and techniques for improving overall condition of
organisation at market place in respect of attracting large number of customers (Parveen).
Outsourcing and in sourcing:
This method is used by firm for dividing the work into various departments of firm. In
sourcing helps in providing services to operation management of firm. Outsourcing helps in
making arrangement of tools and techniques which are required for operation function of firm.
Quality management through relevance to various organisational operation
Quality management: It is most important element of operation management, this is
focuses on different functions and operation of firm. Most of the customers are attracted towards
quality of goods so manager of firm give the surety to render high quality services to their
potential customers.
Various operations of business are describes as under:
Manufacturing business: This business can be considered as the manufacturing concern
who produce goods with the help of appropriate raw material (Larassati, 2013). Regency Cafe
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use effective techniques for manufacturing product for providing satisfaction to their customers.
They are mainly focuses on transforming raw material into finished goods and services on the
basis of different demand of customers.
Service operation: In this the companies who are providing service facility to people are
involved in this. Regency Cafe mainly concentrated on increasing their profit with the help of
improving their sales facility. They provide more effective services than their competitors.
CONCLUSION
As per the above report it has been concluded that operation management play an
important role in business firm. Regency Cafe is small organisation which is famous for its
variety of goods and services in different prices. It is necessary for firm to adopt various tools
and techniques which are helpful in increasing growth and success of firm by producing more
effective and efficient goods and services. The major purpose of operation management is to
converting labour and raw material in to finished goods and services which create value for
customers.
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