Operations Management Analysis: Curators Coffee Studio Report

This report provides an in-depth analysis of Curators Coffee Studio's operational management and service excellence. It begins with an introduction and overview of the coffee shop, followed by an examination of the operational management processes that support the business, including an input-output model. The report then delves into the application of performance objectives, such as quality, cost, and speed, within the coffee shop. A detailed exploration of the supply chain is also included, examining the sourcing and delivery of coffee beans and other supplies. Finally, the report compares and contrasts the quality processes of Curators Coffee Studio with those of The Wet Fish Café, offering insights into best practices and areas for improvement. The report concludes with a summary of the key findings and recommendations for enhancing operational efficiency and customer satisfaction. The document has been contributed to Desklib, a platform providing AI-based study tools for students, offering access to past papers and solved assignments to aid in academic success.

OPERATIONAL
MANAGEMENT
AND
SERVICE EXCELLENCE

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASKS ............................................................................................................................................1
1. INTRODUCTION AND OVERVIEW OF VENTURE..............................................................1
2. OPERATIONS MANAGEMENT PROCESSES SUPPORTING COFFEE SHOP...................3
3. PERFORMANCE OBJECTIVES APPLIED ON CURATORS COFFEE STUDIO.................5
4. SUPPLY CHAIN OF CURATORS COFFEE STUDIO ............................................................8
5. COMPARE AND CONTRAST QUALITY PROCESSES OF CURATORS COFFEE
STUDIO WITH THE WET FISH CAFÉ......................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
ILLUSTRATION INDEX
Illustration 1: Curators Coffee Studio in London............................................................................2
Illustration 2: Input- Output model..................................................................................................4
Illustration 3: Coffee Supply Chain.................................................................................................8

INTRODUCTION
Operational management can be defined as an area of management which majorly
concerned with designing and controlling the effective process of production within business
organization. It is also concerned with redesigning of business operations so that business
enterprise able to achieve their goals and objectives in effective manner (Griffin, 2013).
Moreover, business ventures also need to effectively manage their important resources so that
they get best of the outcome for their enterprise. Operational management concept also assists
mentioned business entity to give good quality of products to their targeted buyers.
In relation to the above scenario, the organization undertaken for the present study is
Curators Coffee Studio, which is a special coffee house which was developed by a small group
of Antipodeans who were devoted to great tasting of coffee. It is a place to cherish beautiful
beans and expert brewing. This present document will focus on operational management process,
which will support the cited business venture. Apart from it, it will also emphasize on discussing
performance objectives which can be applied on Cafe Shop with certain improvements.
TASKS
1. INTRODUCTION AND OVERVIEW OF VENTURE
Curators Coffee Studio is a coffee shop in London which was developed by Antipodeans
which is a small group but has interest of great tasting of coffee. Cited firm gives different
varieties in coffee to their customers as this helps them in increasing their customers base as well
as productivity (Curators Coffee Studio, 2016). Further, with the success of first venture, cited
firm has come up with second coffee shop Curators Coffee Gallery which has opened near
Oxford Circus in June 2014. Moreover, their first coffee shop stand at 9a Cullum Street, London
EC3M 7JJ.
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Illustration 1: Curators Coffee Studio in London
(Source: Curators Coffee Studio, 2016)
Mentioned coffee shop serves speciality coffees, teas and fresh prepared food from in-
house kitchen and have effective suppliers who provides best of the material to the venture.
Moreover, customers who wish to take the latest brewing equipments and also retail coffee beans
is available so that they can pleasure the same taste of coffee at their place as well. However, the
major drawback which firm has is there not enough sitting at the coffee place and maximum of
six people can only stay within the shop. Apart from it, seating also is not that good which give
high comfort level to customers. But it is a place to cherish not anything then beautiful beans and
expert brewing. Espresso blends for cited venture comes especially from Nude Espresso and
guest beans specially from Square mills.
Moreover, Curators Coffee Studio is located in the heart of city which keeps the venture
engaged whole day long. They have large customer base and focuses on giving buyers the best
coffee experience so that they will be able to increase their revenue and profitability. With the
extreme success of the first coffee shop, cited enterprise has started the second coffee shop
within London only which is also contributing its best in the growth and development of
enterprise. Moreover, in the segment of small coffee shop, cited firm is giving stiff competition
to their major competitors like Espresso Room, Brill, Exmouth Market, Clerkenwell, Alchemy
Coffee, Blackfriars, etc.
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2. OPERATIONS MANAGEMENT PROCESSES SUPPORTING COFFEE
SHOP
Operational management process plays a crucial role in the success of business
enterprise. This process also helps in transforming input into output by using effective measures
and approaches for venture. Apart from it, it also assists in developing output to sell out the final
product in market (Brown, Bessant and Lamming, 2013). Further, in order to have successful
operational management process, cited firm emphasize on different measures so that they can
attain best of the business results in order to achieve their desired goals and objectives. These
measures consist of total quality management method, just in time method, six sigma method etc.
This operational management process has efficiently helped Curators Coffee Studio in
organizing their operations and control organizational cost for future business growth.
Cited firm can implement input-output model in order to have effective operations within
the business enterprise. This model is considered as a qualitative economic technique which
shows the interdependencies of both elements for success of business organization. Input is the
major source of cited coffee shop and it includes capital, material, labour, suppliers, equipments.
Inputs are the internal components which organization contribute in order to improve their
business operations (Becker, Kugeler and Rosemann, 2013). Capital is essential as well as with
more capital Curators Coffee Studio will be able to expand their operations to different parts of
the London which will increase their brand image and productivity.
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Illustration 2: Input- Output model
(Source: Operations management: The input/output transformation
model. 2016)
Secondly, there is a transformation system which consists of external environment
components and also of monitoring and controlling. For external environment, cited coffee shop
has to take care of their customers, suppliers, competitors, etc. This is because they are the major
source of earning for the venture and if supplies and customers are not satisfied then the
organization result will definitely pamper (La Rosa and et.al., 2011). Moreover, cited
organization has selected suppliers who provide them the best quality of products for preparation
of coffee. Therefore, with this customers also get best coffee experience and they become they
loyal customer base for the organization.
Moreover, Curators Coffee Studio has to consider some major external forces as well like
government regulations, change in technology and the economy of the country in order to have
effective operations. Government regulations is important as cited venture has to conduct their
operations by considering the same so that they get best of the support from local body as well.
Further, technology is also increasing constantly and cited firm need to upgrade their machinery
and equipments so that they will be able to give stiff competition to their major competitors who
are working within the same industry (Ramezani, Bashiri and Tavakkoli-Moghaddam, 2013).
Monitoring and controlling is done by the owner of Curators Coffee Studio as person sees how
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the operations is been done and make necessary changes as well when it is so required. Further,
it is important as well so that the efficiency and productivity of firm is maintained.
Furthermore, environment and monitoring/control makes transformation system which
includes components like transportation, storage, alteration and inspection. These all plays an
effective role in the success of business enterprise (Sapolsky, 2013). Further, the combination of
both input and transformation system makes output. Output facilitates goods and services to the
customers so that cited coffee shop able to achieve their goals and objectives and increases their
revenue effectively. Further, Curators Coffee Studio gives coffee to customers at the best of the
price which attracts large customer base towards the organization.
Moreover, apart from the model, cited firm also need to consider quality control and
managing waste operational process as it will increase their effectiveness in performing the
business operations. Further, quality control also plays a crucial role in the success of enterprise
as it emphasize on all major factors which include in production of coffee. Further, a certain
criteria is followed by the venture so that buyers get the best coffee which will maximize their
wants. Owner of coffee shop is responsible for satisfying the quality requirement process.
On the contrary side, waste management is also important in the success of coffee shop as
they need to manage and recycle the waste material so that they will be able to contribute their
best for the development of society and nation (Grant, 2012). Further, mentioned coffee shop
should direct customer's that they have to place and dispose all the waste at one particular place.
With this, no harm will be done to environment and cited firm will be able to accomplish their
mission and vision as well.
3. PERFORMANCE OBJECTIVES APPLIED ON CURATORS COFFEE
STUDIO
According to Kacar, Irdem and Uzsoy (2012) performance objectives for business firm
plays an effective role as these objectives are based on five different elements which
organization has to accomplish in order to achieve their stated aims. Mentioned coffee shop also
need to improve its performance and productivity so that they can increase their market share in
highly competitive market. No matter if cited firm is getting profits every year, their rise in
operating expense like administrative cost, overhead expense will affect their overall
performance and impact their revenue as well.
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Further, the analysis of planning and control also plays a crucial role as it will help cited
firm to achieve their goals and objectives within set time period. Coffee shop also knows that the
resources are scare and they have to use these resources efficiently and effectively so that
productivity of firm is maintained. Owner of coffee shop need to plan activities with proper
segmentation of their task and duties. Further, the division of work will give provide smooth
functioning and this will help cited venture to get a competitive advantage over the rival firms
who are working in the same industry.
First of all, cited venture will define its strategy and then identifies the performance
objectives which will help them in achieving the strategy. However, Zareei and et.al., (2011)
argued that if objectives are not met within specific time duration, then firm will take relative
measure in order to achieve them. These performance objectives are based on five major
elements and these are quality, speed, dependability, flexibility and costs. Description of same
has been given down under:
Quality Performance Objectives:
From the view point of Scheer (2012) quality is considered as degree of excellence which
is measures against other things which is of similar nature. Quality need to be right so that cited
firm will be able to increase their customer base and increase their revenue as well. Further, the
quality of the products can be measured by the coffee shop in terms of the performance,
reliability and durability. Further, the physical appearance of coffee shop also plays a crucial role
as Curators Coffee Studio should be well managed and organized. Staff which are employed
there in must be skilled and well trained so that they will be able to give the best coffee
experience to customers with prior standard and in minimum time duration. Further, cited
venture is also emphasizing on minimizing the errors in their products. However, Chaabane,
Ramudhin and Paquet (2012) argued that quality of product comes to know when venture will
start taking feedback from their customer base. This will give them an idea regarding what they
are lacking of and what sudden changes they can make in order to improve the quality standard
of coffee.
Cost Performance Objectives
Anh and Matsui (2011) stated that cost performance objectives comes into play due to
variation in unit of cost and certain change in volume and products so produced. This element is
also considered as a major operational objective where organization compete with price.
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Moreover, owner of Curators Coffee Studio also knows that price is essential factor which will
help venture to determine their performance objectives. Mentioned enterprise has to reduce the
cost of resource input and should make better use of them in order to achieve their specific
targets for particular time period. Moreover, Kumar, Kim and Kumar (2012) argued that cited
coffee shop implement the competitive pricing measure for all their products and services. With
this firm will keep the price of their coffee products by considering that of their competitors.
This pricing strategy will increase their existing customer base and will develop new ones.
Speed Performance Objectives
Speed is time duration from beginning of operation till the time it gets end. Speed
objectives refers to the rate at which organization generates its sales quotes and how fast they are
able to give effective services to their large customer base. External speed can be seen from the
time when customer requests and receives the order. Internally it can be seen when staff started
preparation of coffee and when it is completely made (Liang, Chen and Turban,2011).
Speed gives various benefit to Curators Coffee Studio as with better speed, they will be
able to take more of the orders and with this, their productivity and efficiency gets increased.
Further, customer's will also get their order within specific time period and they will become
loyal customer base for the venture. Further, by implementing, improvised production method
and promptness in delivery, time gap between customers requesting the product and the time
when they actually received will be reduced.
Dependability Performance Objectives
According to Smith, Bruyns and Evans (2011) dependability can be seen in ventures
operations if they produce and delivers the coffee products to their customer's on exact time and
also at agreed cost and price. Organization can also measure its dependability by seeing the
consistency of product. Dependability also saves time, money and give firm stability. Moreover,
Kikwasi (2011) argued that by implementing standard machinery and also by providing staff
effective training business enterprise will be able to achieve its desired goals and objectives.
Further, cited coffee shop consider this factor in order to achieve its planned sales target so that
their market share exists and organization earns good revenue. Moreover, clientele base of cited
firm is satisfied as venture provide different variety in coffee's and also in foods.
Flexibility Performance Objectives
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Flexibility plays a crucial role in the success of enterprise as cited firm need to be flexible
and should adapt new changes and requirement in most possible and desired manner. Further, the
staff of Curators Coffee Studio is well trained and developed. Moreover, cited firm do not
compromise even with the taste of the coffee so they have skilled staff who works with best of
their efforts so that customer's get maximum satisfaction (Vaidya and et.al., 2013). By taking
necessary feedback from customers, employee's of cited firm will be able to make strong
relationship with their customer's base. Further, by accepting the changes which are so described
by customers need flexibility and by implementing those, firm will achieve their stated goals and
objectives. Mentioned coffee shop is dealing in highly competitive environment, therefore they
have to make necessary changes whenever it is required.
4. SUPPLY CHAIN OF CURATORS COFFEE STUDIO
According to Kikwasi (2011) supply chain is a system which is adopted by business
ventures so that they can manage their operations effectively and also deliver the final product to
customers in desired manner. It is also considered as a sequence of activities which are involved
in production and distribution of commodities. This chain starts from the procurement of product
till the time it is received by the customers. Bigger coffee shops like Starbucks, Costa Coffee has
large supply chain as these countries have their effective production throughout the globe. But
Curators Coffee Studio is a small firm which operates within London only. Therefore, Eriksson,
Hilletofth and Hilmola (2013) also supported that supply chain channel of mentioned coffee firm
is small but it is essential too. Suppliers are considered as important factor for the success of
venture and in relation to this, mentioned firm has to implement suitable supply chain man policy
in order to increase their efficiency and productivity.
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Illustration 3: Coffee Supply Chain
(Source: Disrupting the Coffee Supply Chain. 2014)
This supply chain helps mentioned business enterprise to maintain the stock of the coffee
so that customers will never go from the firm empty handed. Firstly, there are farmers who grow
coffee in their field. After certain time period, it is cultivated and transported to cooperative and
second level cooperative respectively. After that, central exporting collector inspects the volume
and purity of coffee and allow the product to get shipped in different countries. When the coffee
bean reaches to the home country, it is imported through lorry and different transportation
medium to commodity traders (Clegg and Wan, 2013). These traders send that beans to various
coffee industries and now the functioning of industry gets started. By crushing the coffee beans,
pouches and bottles of coffee is filled and the same gets labelled and sealed as well. These
packets and pouches are then transferred to different coffee shops so that the coffee shop owner
able to function their operations. With prior effective channel, cited firm will be able to give the
best coffee experience to their large customer base. This lead towards the achievement of
organizational goals and objectives as well.
Product and service design of Curators Coffee Studio is different as compared to other
medium sized coffee shop. The design which cited firm uses helps them to increase their
goodwill, revenue and productivity. Manager of the cited firm understand the needs and demands
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of their potential customers and make products accordingly so that they have large customer
base. Further, maintaining the quality standards in venture will improve their productivity and
also they come to know regarding what are their strengths and weakness.
Furthermore, order winners and qualifiers are two different concept of selecting a product
and customer before selecting the product consider many of the things in order to maximize their
wants. Order winners come into play when customers receive competitive advantage like quality,
delivery good, product design, and flexibility. On the other hand, competitive advantages for
order qualifiers is that cited firm can demonstrate their product to customers and can become
viable competitior.
Apart from it, the main purpose of supply chain management is to improve the trust and
collaboration among supply chain partners so that best product is given to firm. With this, the
Curators Coffee Studio will be able to modify their inventory visibility and velocity of inventory
movement. Further, less control and supply chain partners will lead towards the development of
supply chain concept (Disrupting the Coffee Supply Chain, 2014). Moreover, some prior
objectives of supply chain management has beeen discussed down under the major objectives of
the supply chain are discussed down under:
 Maximizing value so generated: Suppky chain will be more successful when it will
have more revenue and surplus. The cost of the product also varies by seeing the process
as how many parties are involved in the process.
 Source of revenue: For Curators Coffee Studio, they have only one source of revenue
and it is their customers whom they have to satisfy immensely in order to improve their
operations. Mentioned organization need to produce different varieties in coffee so that
more of customers gets attracted towards it in order to achieve their stated goals and
objectives.
5. COMPARE AND CONTRAST QUALITY PROCESSES OF CURATORS
COFFEE STUDIO WITH THE WET FISH CAFÉ
Food and beverages industry is growing constantly with the passage of time. From the
view point of Söderlund (2012) Curators Coffee Studio having immense brand image within
London and due to this, cited venture was able to expand their market share and has opened their
new coffee shop. Further, the needs and demands of customers are also changing and those
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