Business Decision Making Report for Food For Friends Expansion

This report provides a comprehensive analysis of business decision-making for Food For Friends, a restaurant chain looking to expand. The report begins with an introduction outlining the project's objectives and scope, followed by a detailed plan for collecting information using both primary and s...Read More

Business Decision Making

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Plan for collecting information through primary and secondary source for business
problem.......................................................................................................................................1
1.2 Present the survey methodology and sampling frame used..................................................2
1.3 Questionnaire designing for define business problem..........................................................2
TASK 2............................................................................................................................................4
2.1 Create information for decision making by summarising data representative value............4
2.2 Analyse the outcome to draw a valid conclusion for project................................................5
2.3 Analyse data through measure of dispersion for gaining and taking better judgement........5
2.4 Use of quartile and correlation coefficient for better decision making.................................6
TASK 3............................................................................................................................................7
3.1 Creation of graphs and charts for summarising information................................................7
3.2 Creation of trend lines for determine future aspects and attribute........................................8
3.3 Business presentation for evaluating things..........................................................................8
3.4 Produce a formal business report..........................................................................................8
TASK 4............................................................................................................................................9
4.1 Use of appropriate information processing tool....................................................................9
4.2 Prepare a project plan and determine critical path system..................................................10
4.3 Use of financial tools for decision making.........................................................................12
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Decisions are a best part of business on which managers have to made their keen focus.
Whenever any kind of modification or expansion related project used to take place in a firm then
management have to align their better and effective working so that chances of deriving
beneficial outcome could become possible (Aharoni, 2015). Thus, a business could become able
to sustain at market world for long period of course when they used to understand and estimated
each and every consideration properly and better. This project is based on business decision
making of Food For Friends whom want to open another chain of restaurant in London. This
project will going to include about various sources of data collection so that a better and
appropriate understanding could take place. It is also essential to analyse the data properly by
utilising suitable technique. Thus, various tools and techniques for analysing outcome also get
understand with this project. Although, managers have to utilise the software generated
information better through which long term consideration could become possible.
TASK 1
1.1 Plan for collecting information through primary and secondary source for business problem
Whenever any kind of future related project used to take place, managers of a company
have to craft better and define plan nature so that all things went well. This will enable business
to accomplish their targets in a definite frame so that effectiveness and efficiency in working
could be manage (Baker, 2018). Food For Friends want to expand their working for which they
need to collect information from various number of respondents. In this consideration, they are
going to consult with primary and secondary source of information so that expansion used to
take place in better and distinguish manner. Primary source: Sometimes, raw and define information is essential for business so that
better suited growth could be reflected to business and working. Primary information is
such nature of frame which could be determine through questionnaire survey, personal
interview etc. All these aspects enable in disseminate data properly so that effective and
efficient working options could be done.
 Secondary source: These are such sort of information which are already used to take
place. These could be in terms of profitability of a company census etc. Already organise
survey reports enable in better decision making without organising own.
1

FFF have to determine both of them where, beneficial approach is primary data method. This
will enable them in defining better and supportive outcome which further facilitate in designing
suitable gain.
1.2 Present the survey methodology and sampling frame used
Surveys are a core part of business which need to understand by business managers
properly so that better and efficient gain could be reflected (Dahl, 2017). There are various kinds
of survey methodology could be opt by Food For Friends in their working through which better
and efficient gains could be reflected: Questionnaire survey: One of a major kind of survey is questionnaire under which
various questions could be reflected by a respondent from target individual. This survey
enable in defining better and signified outcome in nature of frame.
 Personal Interview: Another survey technique which facilitate in defining an individual
perspective is personal interview. This survey enable in determine an individual opinion
and perspective better so that beneficial outcome could be gain so that effectiveness and
efficiency could be maintain and manage.
FFF would go with questionnaire survey, which enable and support them to designing the
things better and effective in nature. Moreover, for a questionnaire survey, it is important to
consult with some number of sampling tool as well. Sampling have certain kinds of frames
which define and signify as follow: Random Sampling: A random sampling is such technique or tool which enable to select
such respondents whom do not have any kind of interference with each other (Ferrell and
Fraedrich, 2015). It is really essential to understand and select such respondents so that
chances of gaining and deriving better outcome could become possible.
 Cluster Sampling: Under this method, all individual get divided into appropriate groups,
sets and subsets so that a better and define study used to take place. Cluster sampling is
helpful in order to determine the better and effective outcome through which
effectiveness and efficiency could be maintain and manage.
1.3 Questionnaire designing for define business problem
A questionnaire is a form in which a set of questions get provided for organising a survey
so that beneficial outcome could be drawn. For this project which is based on FFF, there are
mainly 10 questions lead to out in questionnaire which get organise on 80 respondents
2

(customers) of restaurant so that services get improved. This will assist in providing beneficial
gain to a company which further enable in making a sense towards project working. Below is a
questionnaire for Food For Friends which enable them in analysing aspects of customers
regarding taste, quality, features, amenities etc.
QUESTIONNAIRE
Name:
Age:
Gender:
Q1. Do you think that quality met with appropriate standard?
a) Yes
b) No
Q2. Do you like the nature and behaviour of staff members?
a) Yes
b) No
Q3. Which will be a most suitable pricing strategy for business?
a) More than €13
b) Between €14 to €56
c) More than €60
Q4. Do you believe that amenities will going to provide appropriate satisfaction?
a) Agree
b) Disagree
Q5. Which place is suitable for new project?
a) Sea beach
b) Rooftop
Q6. Do you state any kind of change in location of restaurant?
a) Completely Hotel
b) Cafe
c) Partly restaurant partly hotel
Q7. As per your opinion products and services are required to expand?
a) Yes
b) No
3

Q8. Is is appropriate for you to standardise any kind of pricing strategy by FFF ?
a) Sufficient
b) Lack of sufficiency
Q9. Do you think new project will going to support business in order to manage efficiency?
a) Yes
b) No
Q10. Any further suggestion or recommendations?
TASK 2
2.1 Create information for decision making by summarising data representative value
Information or data need to create in better and supportive manner on the basis of survey
so that decision making process for a concern could become possible. Whenever judgement or
decision required for a concern, there is a need to implement suitable values on the basis of
gather information (García-Peñalvo and Conde, 2014). This will enable in deciding that things
went well or not. Below crafted information concern with opinion and perspective of various
customers of Food For Friends so that better and desire outcome could be gain. This will assist
management to draw an effective judgement through which opening of new restaurant could
become possible.
This result is based on questionnaire survey on 80 respondents of Food For Friends so
that a better understanding of the project could get done. This will result in identifying various
opportunities for business so that beneficial assessment of company products used to take place
in a better frame:
Ratings R1 R2 R3
1 50 30
2 25 55
3 25 35 20
4 47 33
5 52 28
6 27 3 50
4

7 48 32
8 55 25
9 40 40
Based on this gave data, nature of items are fitting and successful in nature whose
reflection could be found in less deviation of venture. Alongside this, business need to create a
lower cost of their items which can be manage the cost of by each gathering of client. This will
empower in characterizing things better and appropriate in nature so odds of characterizing
valuable pick up could wind up responsive. A total mend of fulfilment could be assessed and
given by each objective person which bolster administration to effectively grow their activities.
The new eatery connote area would be close to beach for a total date or trip.
2.2 Analyse the outcome to draw a valid conclusion for project
Ratings R1 R2 R3 Mean Median Mode
1 50 30 40 40 #VALUE!
2 25 55 40 40 #VALUE!
3 25 35 20
26.6666666
667 25 #VALUE!
4 47 33 40 40 #VALUE!
5 52 28 40 40 #VALUE!
6 27 3 50
26.6666666
667 27 #VALUE!
7 48 32 40 40 #VALUE!
8 55 25 40 40 #VALUE!
9 40 40 40 40 40
This project define and describe for the Food For Friends in which measure of central
tendency used to get determine. For this context, quality standard would get met up by FFF in
appropriate order which enhance satisfaction level of their clients. Along with this, business
provide good excellent amenities as well. This will enable them in maintain keen competitive
position at desire world.
2.3 Analyse data through measure of dispersion for gaining and taking better judgement
R1 R2 R3
5

50 30
25 55
25 35 20
47 33
52 28
27 3 50
48 32
55 25
40 40
Standard
Deviation Variances
14.1421356
237 200
21.2132034
356 450
7.63762615
83
58.3333333
333
9.89949493
66 98
16.9705627
485 288
23.5017729
828
552.333333
3333
11.3137084
99 128
21.2132034
356 450
0 0
On the basis of this evaluated project which signify about standard deviation and
variances of a project. Under this, standard deviation define about distance of project from mean
6

value or average to the value concern in project. Along with this, variances are variation which
usually arise in a series so that better and signify outcome could be drawn.
As per the aspect of FFF, it get evaluated that staff have good working behaviour as well
as amenities will used to provide appropriate and suitable satisfaction to each and every
individual. This will result in reflecting better and suitable gain in nature so that effective and
better outcome could be drawn.
2.4 Use of quartile and correlation coefficient for better decision making
Ratings R1 R2 R3
Correlation
coefficient
1 50 30 -1
Quality with
staff
behaviour
2 25 55
3 25 35 20
-
0.98422771
69
Price with
location
4 47 33
5 52 28
6 27 3 50
7 48 32
8 55 25 #DIV/0!
New pricing
strategy
with project
implementat
ion
9 40 40
This stated about relationship of two variables with each other. On the basis of provided
determination quality of products are appropriate in range with effective staff behaviour. This
will assist in describe better working efficiency of a company in against with higher standard.
7

TASK 3
3.1 Creation of graphs and charts for summarising information
1 2
0
10
20
30
40
50
50
30
1. FFF provide good quality standard products and services. This get evaluated through project
working and delivery of products and services. Business need to estimate this thing in better and
determinant manner through which better effectiveness and efficiency could be manage.
1 2
0
10
20
30
40
50
60
25
55
2. Staff behaviour also play an important role in order to define and gain better outcome and
results. FFF signify and proclaim a better and suitable behaviour with each and every individual
so that suitable working could be implement.
8

3.2 Creation of trend lines for determine future aspects and attribute
1 2
0
5
10
15
20
25
30
35
40
45
50 47
33
4. FFF provide high standard products and services which facilitate in made each and every user
satisfied. This will result in defining things better and supportive in frame so that management of
suitable gain could become possible.
3.3 Business presentation for evaluating things
3.4 Produce a formal business report
The Management
Food For Friends
Dated: 10th May 2018
Subject: Related with new chain execution of activities
Based on gave data to Food For Friends which get increase through poll study on 80
respondents related with opening of new eatery. Under this venture, business will going to
decide about taste and inclination of their customers with the goal that viability and productivity
could be keep up and oversee.
Based on sorted out information, nature of items are great in residency which empower in
supporting things better. In spite of the fact that, activities are successful in outline which
express that deviations are less in residency with the goal that powerful and better working
should be possible. Alterations are required to done regarding halfway lodging and
incompletely bistro in nature. In this way, advantageous area for new tie is close to ocean
shoreline with the goal that an ever increasing number of people used to pull in different
gatherings of individual. Items required to extend increasingly in nature with the goal that it
used to extraordinary a joy of fulfilment to assorted gathering of clients.
Along these lines, based on study, extension could be term as fruitful in outline so adequacy and
9

productivity in activities could be made which additionally empower in improving overall
revenue. In this manner, helpful trait could be pick up and attracted request to oversee
reasonable working perspective.
Thanks
Quality Assurance Team
TASK 4
4.1 Use of appropriate information processing tool
Data required to conveyed down from upper section to bring down one out of a
characterize and compelling way (Ghattas, Soffer and Peleg, 2014). This data handling empower
in outline the things better and steady in outline with the goal that proficiency in working could
be occur. Consequently, administration need to actualize and gauge better data preparing
apparatus which additionally empower in drawing fitting judgement. Sustenance For Friends
required to gauge appropriate data preparing apparatus through which better and decided result
used to get made: Decisional support system: This sort of emotionally supportive network actualize and
execute for the senior administration of an organization, Here, every last thought used to
decide legitimately related with venture so helpful pick up could be support (Pettigrew,
2014). Nourishment For Friends could be run with decisional emotionally supportive
network where expert required to see every single thought legitimately to gain and
determining better result.
 Management information system: Another framework or data handling apparatus for
Food for companions are administration data framework (Power, Sharda and Burstein,
2015). Here, administrators assemble information from bring down level and after that
incorporate them in their reports. This will empower them in better comprehension of
venture and issues with issues so better and plan result could be infer so viability and
proficiency could be keep up and oversee.
4.2 Prepare a project plan and determine critical path system
Plan define as essential and beneficial aspect of business which need to follow up in
better manner. Thus, whenever any kind of further or expanded project used to take place then
business associates have to align their working as per that. A project plan is a process under
which all kind of related activities get included which determine for completing the activities in
10

better manner (Sharma, Mithas and Kankanhalli, 2014). Food For Friends managers will go to
execute a plan properly through which better and define outcome could be resource. Along with
this, project management plan, managers need to go with critical path system as well. This will
enable them in determine the shortest path so that all essential activity used to get completed.
Food For Friends need to perform such consideration better so that effective and essential
gain could be evaluated as well as project used to get execute in a define manner. This will result
in estimating beneficial gain for long term projects of a company which currently related with
expansion and opening of one new restaurant.
Name of activity Time period Predecessors
Scope in market 3 days
Location for the restaurant 5 days 1
Investment 5 days 1
Return on investment 4 days 3
Target market 8 days 1, 2
Advertisement 10 days 5
Lay out for decision 3 days 6
11

1+2+6+8 = 17 days
1+3+5+7 = 16 days
1+ 4= 5 days
1+6+8 = 15 days
Shortest path to execute the project is 5 days under which whole project have to get done
in an appropriate manner. Food for friends have to take this path in account and do all activities
in an appropriate manner. This critical path management enable an organisation to analyse
shortest manner of working.
4.3 Use of financial tools for decision making
Fund is a spine of a firm which need to comprehend by supervisors of an organization so
they could evaluate proper back in thought (Solomon and et. al., 2014). There are different sort
of monetary apparatuses get assessed for a firm which need to comprehend by supervisors with
the goal that they could use to assess different thought appropriately. In this manner, with
powerful monetary thought association will wind up ready to bargain out with different angles in
better and unmistakable casing. The major monetary devices for Food For Friends are connote as
take after:
1. Net present value: This state about the present estimation of money inflow with
introduce estimation of money surge over a characterize time frame (Zsambok and Klein,
2014). It is extremely basic to decide the net present estimation of an undertaking with
12

the goal that better and connoted result could be attracted request to augment adequacy
and effectiveness.
2. Internal Rate of return: It is totally connote and connected with inner variables of
business where odds of impact of outer elements like expansion and so on not used to
happen. Consequently, to estimate the potential gainfulness of activities, IRR is one of a
best and fitting method to run with so viability and productivity could be keep up and
oversee.
Project
Discounting
factor Discounted cash inflow
Year Cash Flow 12% Present Value
1 50000 0.893 44645
2 64000 0.797 51020.8
3 58000 0.712 41284.4
4 70000 0.636 44485
Total present value of
five years 181435.2
Initial investment of
year 190000
Net present value
(Total discounted
cash inflow – initial
investment) -8564.8
Internal rate of return 9.94%
FFF would not used to run with this undertaking of extension in light of the fact that there
money related assessment not characterize better and steady result. The underlying speculation
of an organization is around 15000 where they just assume to get - 8564.8 which is negative too.
13

Alongside this, their marked down rate is 12% where impact could be evaluated with respect to
the 9.94%. Consequently, for administration, this venture is neither suitable in working and
usage.
CONCLUSION
It get concluded from the project that business decision making is not a easy thing and it
really required to analyse aspects properly. Managers of a firm need to address and assess the
various consideration in better and signified frame so that chances of designing better and
suitable gains could become possible. For analysing the consideration, management need to
gather diverse range of information properly with suitable sample size. Along with this, through
various representative values business could become able to determine negative and positive
attribute better which further enable in define considerable outcome. Although, graphical
presentation and trend lines enable in defining the results better so that senior management could
understand it. Moreover, software generated information enable in defining the things in a
suitable and effective manner.
14