BSBINN501 - Establishing Innovation Systems: Isarest Food Chain Plan

This report outlines a plan to develop an innovation system within Isarest Food Chain, a Kenyan-based fast-food company. The plan addresses issues such as customer service, employee attitude, and delivery delays. It involves analyzing the current organizational system, identifying gaps, researching best practices, and evaluating resources. Key stakeholders are identified, and ideas are generated to improve employee incentives, transportation, and online ordering systems. The plan includes testing, refining ideas, developing an operational plan, and a communication strategy. A system proposal is presented for trial, monitoring, and improvement. The goal is to implement a new system that rectifies flaws and incorporates ideas from various perspectives, with expert consultation to ensure informed decisions.

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Executive summary
The article is about a company by the name Isarest that is a fast food industry. There is brief
information about the company background in the introduction. The company seeks to come up
with a plan that seeks to enhance innovation within the company. The plan has been discussed in
details and the stages it will follow. There is a brief conclusion on the matter followed by
references from where the information was sourced.

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Table of Contents
INTRODUCTION...........................................................................................................................................4
CONTEXT OF THE NEW SYSTEM...................................................................................................................5
Objectives of the new system..................................................................................................................5
Analysis of current organizational system...............................................................................................5
Gaps or barriers identified.......................................................................................................................5
Current information available system.....................................................................................................6
Evaluating what is required to foster innovation.....................................................................................6
Identifying the key take holders..............................................................................................................6
IDEAS AND CONCEPTS GENERATION...........................................................................................................7
Creating ideas and how they support innovation....................................................................................7
Evaluating of the ideas............................................................................................................................7
Testing, exploring and challenging ideas.................................................................................................7
Selecting and refining idea......................................................................................................................8
Plan development....................................................................................................................................8
Operational plan......................................................................................................................................8
Communication strategy.........................................................................................................................8
Evaluation of training and coaching needs..............................................................................................8
TRIAL WITH THE SYSTEM.............................................................................................................................8
Developing and presenting a system proposal........................................................................................8
Determining context and parameters.....................................................................................................9
Monitoring and reviewing trial................................................................................................................9
Opening an improving process................................................................................................................9
CONCLUSION.............................................................................................................................................10
REFERENCES..............................................................................................................................................11

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INTRODUCTION
In this article I will look into a business by the name of Isarest Food Chain. It is Kenyan based
company founded in 1999. It deals in the fast food industry and also makes door to door
deliveries. The company has employed 300 employees and serves over 10,000 customers daily.
It also has branches in the East African region across 3 three countries and has about 50 outlets.
The company is well known for serving hamburgers but they also sell milk shakes, French fries
and pizza. Last fiscal year, the company made a net profit of $ 100,000 after tax. In the region, it
closest rival is the international fast food restaurant McDonalds. The aim of this report is to
develop a system that will develop innovation within Isarest Food Chain. Innovation in an
organization is the process of coming up with new ideas that will bring about desired change in
the organization to help it achieve set goals and targets. In this case scenario, we will view as
system to be something that is implemented in order to support innovation. The key components
to be looked into with regards to our report objectives are the structure, people and leadership.
Structure involves methods put in place to competently drive innovation. On the other hand,
people are the ones who come up with the innovation ideas while leadership is responsible for
implementing the innovation ideas. Despite obvious success last fiscal year, there were numerous
complaints as pertaining to health standards by customers and the attitude of the employees.
Also, there were few complaints with regards to delay in delivery of door to door services.

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CONTEXT OF THE NEW SYSTEM
Objectives of the new system
Via responses received from the company’s FAQ platform, the company has come up with the
following objectives:
1. Enhancing quality customer service in terms of and attitude of employees. Following a
reportedly bad attitude of workers, the company will look to curb this investigating what
could be cause of the attitude and come up with measures to curb this.
2. Delays with regards to door to door services. Customers have been complaining of
delayed delivery after ordering for goods and company will also look into this to ensure
faster delivery of goods.
Analysis of current organizational system
Following the problem revealed in the FAQ, Isarest will carry out a deep analysis of the current
organizational system to reveal any flaws and strengths to capitalize on. The company will
employ services of an external business analyst to carry out the task. The main advantage of
outsourcing and why the company decided to so is that an external analyst will not be biased and
the company will employed the services of a company with a good reputation and vast
experience in the sector. Paul, Yeates, and Cadle, (2014).The analyst will be charged with the
duty of coming up with data as pertaining to the company’s objectives. Employees will be
obliged to comply with the analyst.
Gaps or barriers identified
Following a thorough analysis by the company contracted to do with respect to the company
objectives, the following are the barriers that were identified:
1. There is no incentives for employees - Employee salaries and promotions take too long
before they are reviewed. An unprofessional attitude may be blamed on this as lack of
adequate incentives leads to low morale by the employees. Shah, Shah, and Jamali,
(2018).
2. There are inadequate transport facilities to make deliveries – the analysts unveiled there
not enough transport facilities to cater for the large demand of online sales which require
to door to door delivery.

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3. Congested traffic with regards to online purchasing - also, with regards to door to door
delivery, the company website charged with online ordering receives many order and due
to insufficient servers, the website has congested traffic leading to delays.
Current information available system
In this case, we shall look at what other systems from rival companies entail in order to use what
Isarest may have missed and consider application of the same for innovation. This will help the
company have a different perspective into innovation that it did not have. McDonalds being a
world leader in the fast food industry is an exemplary platform to learn from. Isarest will also
look at what is not working for them but is working for rival firms. Lutz, (2015).
Evaluating what is required to foster innovation
The company will look at the necessary measures that will aid in bringing about innovation.
Since pegging on one aspect or perspective is risky, Isarest will have to evaluate various options.
Also, the options need to be within reach of the company’s resources, that is, financially, human
resources and management.
Identifying the key take holders
Stakeholders are people with key interest in the system of the company, those involved in
effecting changes and those that are affected by changes in the system. The key stakeholders in
this case are:
1. Customers
2. Board of directors
3. Employees
4. Management
Since stakeholders have effect or affect the changes to the system, they should be involved to
ensure that their ideas and expectations are incorporated while making and implementing the
system changes.

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IDEAS AND CONCEPTS GENERATION
Creating ideas and how they support innovation
The ideas that the company will create will help to achieve the goals of innovations the company
has set out. The ideas the company has created are:
1. Employer will review the strategy used for promotions and review into their
remuneration will be done more regularly and will be based on merit.
2. Acquire more transport facilities to enhance quicker swifter delivery to ensure
transportation is prompt.
3. Isarest will also seek to upgrade the TCP protocol in their website to ensure that it rids
deadlock in the website thereby easing traffic in the website and eliminating the delay.
Pusuluri, Aggarwal, and Sivachandar, (2018).
Evaluating of the ideas
Evaluating the ideas involves Isarest calculating whether their implementation is viable given the
resources endowed to the company like finance and time frame.
Testing, exploring and challenging ideas
Once the ideas have been discussed with the stakeholders, then the company has to test, explore
and challenge them. This ensures that time and money are not wasted.
1. Testing – this involves gathering of raw data about the ideas and evaluating whether they
will work by use of a “dry run’ to test failure or success. Wyss, et al (2017).
2. Exploring – this involves doing an analysis with regards to comparing and contrasting the
proposed ideas with those of other successful firms and with older systems that are in
place. This gives the firms to borrow or improve on the old and existing systems that they
deem viable.
3. Challenging – this involves considering the opinions from third parties who may
constructively criticize some of the ideas and this provides a useful insight on improving
on the ideas.

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Selecting and refining idea
This involves picking the best viable ideas and refining these ideas with those previously tested
in a bid to save time, money and man power.
Plan development
Analyses of the potential impact of new system and consultation with stakeholders
This involves determining the need for specialized assistance and how to integrate this into the
system planning. After that, Isarest is to analyze the impact of implementation of the changes to
the system to the stakeholders and consulting them with regards to the new system to be put in
place. Cotter and Fritzsche, (2014).
Operational plan
This will then provide a platform to come up with an operation plan which will include a budget,
time frame and responsibilities involved in implementing the new system. Thomas, and Silva,
(2016).
Communication strategy
The company will come up with way to communicate to stakeholders on the implementation of
the ideas to improve the system and when and how the ideas will take effect. Bharadwaj, (2017).
Evaluation of training and coaching needs
To implement the new ideas, the company will need to coach and train some of its staff who will
be involved of putting the new system in place and ensuring it works according to plan.
TRIAL WITH THE SYSTEM
Developing and presenting a system proposal
A system proposal is the final step involved before trial of the proposed new system. The
proposal provides a way forward in the implementation of the new system and presenting it to
stakeholders for approval. Chang, (2016).

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Determining context and parameters
This includes looking at the conditions involved in implementing the new system and if they are
favorable. Determining the parameters involves boundaries involved with trying out the new
system.
Monitoring and reviewing trial
This involves scrutiny of the trial at all stages and evaluating if the trial is achieving the
anticipated results. Hair Jr, et al (2015).
Opening an improving process
After the trial and obtaining results, the company in collaboration with stakeholders will seek to
come up with ways to improve on the results achieved and the way forward.

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CONCLUSION
To implement the ideas of coming up with a new system, Isarest has come up with a plan on the
stages involved with coming up with the new system to rectify the flaws. All the stakeholders
will consulted to ensure that action plan incorporates numerous ideas from all perspectives. Also,
expert consultation and services will be required to make informed decisions.

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REFERENCES
Bharadwaj, A.V., 2017. Constructing Communication Strategy Templates for Managerial
Persuasion and Argumentation Cases. International Journal of Marketing & Business
Communication, 6(1).
Chang, J.F., 2016. Business process management systems: strategy and implementation. CRC
Press
Cotter, R.V. and Fritzsche, D.J., 2014. The business policy game. Developments in Business
Simulation and Experiential Learning, 21.
Hair Jr, J.F., Wolfinbarger, M., Money, A.H., Samouel, P. and Page, M.J., 2015. Essentials of
business research methods. Routledge.
Lutz, A., 2015. Millennials are telling a big lie about McDonald’s. Business Insider.
Paul, D., Yeates, D. and Cadle, J. eds., 2014. Business analysis. British Computer Society.
Pusuluri, R., Aggarwal, R. and Sivachandar, 2018. Simulation Study of Feedback based
Adaptive TCP Protocol for improving the Performance of TCP and High Speed Data
Transmission Based on Congestion Window Size. INTERNATIONAL JOURNAL OF GRID AND
DISTRIBUTED COMPUTING, 11(1), pp.1-11.
Shah, G.M., Shah, A.S. and Jamali, N.M., 2018. Impact Of Financial Incentives On Employees
Performance: A Case Study Of National Bank Of Pakistan (Nbp) 2004-2015. Grassroots, 51(2).
Thomas, S. and Silva, D., 2016. Strategic management.
Wyss, R., Hansen, B.B., Ellis, A.R., Gagne, J.J., Desai, R.J., Glynn, R.J. and Stürmer, T., 2017.
The “Dry-Run” Analysis: A Method for Evaluating Risk Scores for Confounding
Control. American journal of epidemiology, 185(9), pp.842-852