Analysis of Benihana Restaurant's Operational Performance (OPS802)

This report provides a qualitative analysis of Benihana restaurant's operation management, focusing on factors influencing operational performance, such as throughput and capacity. It examines the impact of management decisions, including the implementation of a batching strategy, and its effects on customer satisfaction and profitability. The analysis explores the use of queuing theory and the theory of constraints in optimizing resource utilization and addressing demand variability. The report also reflects on changes made to improve process performance and relates these changes to relevant theoretical frameworks, emphasizing the importance of strategic planning and informed decision-making in maintaining a profitable restaurant. The role of employee satisfaction and innovation is also discussed, highlighting their contribution to overall business success.

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OPERATION MANAGEMENT
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Introduction
Operating a restaurant business require more aggressiveness and innovation. Benihana
restaurant face competition due to technology advancement and market trend. The restaurant
took the best option by simulating its operation as a measure of finding the best way of getting
profit. Benihana restaurant came up with timeframe where Customers were serving with
cocktails and meals. Sitting arrangement was adjusted into various capacities so that workers can
help server Customers well. This report seeks to make a qualitative analysis of the restaurant
operation and reflect on the impact of the management decision making process.
Question 1
Factors that play a significant impact on the operation performance of Benihana
restaurant include throughput. Throughout in operation gives the maximum number of
Customers the worker can serve (Bragg, 2012). Benihana capacity determines the profit the
restaurant can get by helping customers. Proper utilization of all staffs at the restaurant can bring
a significant impact on the benefit that the business receives. One notice that Customers arrive in
a range of 2 to 12 people; a mean of 4 people is obtained when finding the probability
distribution. From computation, customers need 60 minutes average to complete meal; this data
is critical in decision making for the success of the business. Proper utilization of workers and
creating more space is essential to serve customers best.
The decision of the management of using batching strategy produced the highest
throughput. The decision was made after running the process twice, with and without batching.
Maximizing on proper utilization of employees setting them in the group help the restaurant
serve customers best. When customers are overwhelming, all workers waiters and chef should

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cooperate in serving customers. For instance, at takes of taking drinks, the only chef can spend a
fraction of their time help waiters saving drinks. The manager needs to ensure all workers are
utilized well and their grievance address to keep their staffs (Bukchin & Cohen., 2013).
Batching helped the restaurant get the highest profit from its operations. From the facts
provide, while using batching strategy, the restaurant managed to yield $121 profit from the
process. A loss of $201 is recorded in the second scenario, where batching was not involved. The
observation made from twenty runs conducted and the means obtained. The batching strategy
helped help the restaurant serve customers, especially during rush hours, where there are many
customers (Cergibozan & Tasan., 2019). The main objective of any business is to make a profit
and maintain customers for it to expand. The company that makes huge profit sometimes
considers increasing workers salary or gives bonuses as a mean of motivating them to continue
serving customers better. Batching helps benihana utilize staff effectively and at the same time,
the restaurant was able to get maximum profit (Trkman, 2010).
Adopting the batching strategy brought some difference in the general running of the
restaurant. Some of the significant difference includes customers’ satisfaction. Proper utilization
of staffs helps the restaurant to respond to customers quickly after sitting down (Schleyer &
Gue., 2012). The decision rearrange the tables help the restaurant accommodate more customers
hence increasing more sales. Retaining customers is the main objective of most business and
batching help the restaurant to reorganize its operation to serve better. The decision may be tiring
to staffs but working in shift night and day time creates a conducive environment to workers.
Also, selling varies meals and drinks in the restaurant are critical in attracting workers, making
the restaurant running throughout day and night. The decision may be unfavourable for staffs
that specialize in a particular field like accounting, chef and waiters/waitress, but it’s prudent for

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the restaurant to serve customers best. Boredom among staffs is also minimized through batching
as teams are utilized whenever the need arises. Batching help the restaurant rearrange staffs such
that two groups of people can be attended by one staff.
Question 2
Having a bar in the restaurant is a good idea, but it will affect customers who don’t drink.
The bar will keep customers engaged as they won’t mind waiting for meals provided they are
served with drinks. The bar will also help the restaurant generate more income with an increased
number of customers, even though some customers who don’t drink will be affected. Rearrange
the restaurant by having different sections for specific customers like those who don’t drink help
the business satisfy all customers.
Changing dining time would affect some customers are used to the original timeframe.
But for the benefit of the restaurant progress, the changing the dinning time ensures the
restaurant remains occupied throughout (Wu & Pagell., 2011). The strategy will reduce waiting
time for customers as staffs will have an efficient mean of serving better. Few customers will
complain of uncomfortable seats, but rearranging dining room will ensure customers spend less
time in the restaurant. Spending less time in the restaurant due to seats will create more space for
more customers, thus making higher turnover rates.
To attract and maintain customers, Benihana restaurant must adopt measures to reduce
demand variability. Developing complementary services, promoting off-peak demand and
offering price incentives help the business attract more customers. The decision of implementing
demand variability measure affect profit turnover of the restaurant, which is the main objective

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of the company. Balancing the need for increasing profit turnover and incentives to customers is
essential in maintaining a viable business (Zimmermann, 2012).
The underpinned theory that is associated with optimum strategy help the restaurant to
find how and why in a social context, the measures that must be taken. Queuing theory is
essential for the restaurant in formulating best policy that will help the business serve customers
best. Customers waiting time is solved by utilizing the waiting theory strategy (Dharmawirya &
Adi., 2011). Making customers remain in the bar area for about twelve minutes help the
restaurant increase average order per value. Dealing with customers, especially at rush hours, can
be so challenging that one may end up losing customers. Queuing theory is critical to Benihana
restaurant is effectively utilizing its resources and staff to increase revenue collection.
Theory of constraints is critical for Benihana restaurant survival. The approach is focused
on the performance level of the company. The method is a model that detects system
management reserved from achieving its goals by several limitations (Golmohammadi, 2015).
This theory mainly focuses on the internal relation between workers and management. Proper
management is fundamental in setting up appropriate measures that will help the business obtain
maximum profit without affecting other factors. Proper utilization of the workers, such as
working in shift and increasing their salary is essential in ensuring they deliver quality services.
The theory is significant in ensuring managers become involved in providing services to clients.
Managers should not at any time become stumbling block but innovative that employee echo.
In summary, the Benihana restaurant offers essential services to the customers. With
batching techniques implemented, the business can grow steadily. Achieving the highest profit is
realized by considering all internal and external factors. They are prioritizing on the best way to

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serve customers fully, help the best to maintain good relation with the customers. The
willingness of employees to work tirelessly and cooperation from management to invest in
innovation and workers is essential. A good strategic plan is critical in assessing the progress of
the business. Finally, making an informed decision and using the proper procedure is necessary
for maintaining a profitable restaurant.

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Reference
Bragg, S.M., 2012. Throughput accounting: a guide to constraint management. John Wiley &
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Bukchin, Y. and Cohen, Y., 2013. Minimising throughput loss in assembly lines due to
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Cergibozan, Ç. and Tasan, A.S., 2019. Order batching operations: an overview of classification,
solution techniques, and future research. Journal of Intelligent Manufacturing, 30(1), pp.335-
349.
Cergibozan, Ç. and Tasan, A.S., 2019. Order batching operations: an overview of classification,
solution techniques, and future research. Journal of Intelligent Manufacturing, 30(1), pp.335-
349.
Dharmawirya, M. and Adi, E., 2011. Case study for restaurant queuing model. In 2011
International Conference on Management and Artificial Intelligence.
Golmohammadi, D., 2015. A study of scheduling under the theory of constraints. International
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Schleyer, M. and Gue, K., 2012. Throughput time distribution analysis for a one-block
warehouse. Transportation Research Part E: Logistics and Transportation Review, 48(3),
pp.652-666.
Trkman, P., 2010. The critical success factors of business process management. International
journal of information management, 30(2), pp.125-134.

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Wu, Z. and Pagell, M., 2011. Balancing priorities: Decision-making in sustainable supply chain
management. Journal of operations management, 29(6), pp.577-590.
Zimmermann, H.J., 2012. Fuzzy sets, decision making, and expert systems (Vol. 10). Springer
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