Little Bay Kilburn Restaurant: A Business Development Report

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SMALL BUSINESS ENTERPRISE

INTRODUCTION......................................................................................................................1
TASK 1......................................................................................................................................2
1.1 Producing profile of Little Bay Kilburn including structure, size, objectives etc. to
identify its strength and weaknesses......................................................................................2
1.2 Analysis of the organisation with the help of performance comparative measures.........3
TASK 2......................................................................................................................................4
2.1 Appropriate actions to overcome weaknesses of organisation........................................4
2.2 Analysing ways to maintain and strengthen existing performance..................................4
2.3 Exploring new areas for expansion of business operations.............................................5
TASK 3......................................................................................................................................7
3.1 Assessment of objectives and plans of existing organisation..........................................7
3.2 Revising plan to incorporate changes..............................................................................8
3.3 Action plan to implement changes...................................................................................9
TASK 4....................................................................................................................................10
4.1 Impact of proposed changes on organisation and personnel..........................................10
4.2 Planning to manage changes within business................................................................10
4.3 Monitoring performance improvement within business................................................11
CONCLUSION........................................................................................................................13
REFERENCES.........................................................................................................................14
APPENDIX..............................................................................................................................16
2.3 Ansoff matrix.................................................................................................................16
3.2 McKinsey 7S..................................................................................................................16
3.3 Kurt Lewin’s theory.......................................................................................................17
4.2 Kotter’s eight step model...............................................................................................17

INTRODUCTION
Small business requires effective management in strategies and plans to improve
performance for the expansion and profit purpose. In this regards, the report will cover profile
of Little Bay Kilburn including its strength and weaknesses, performance comparative
measures and appropriate actions to overcome weaknesses. Further, ways to maintain and
strengthen existing performance and new areas for expansion of business operations will be
discussed. Assessment of objectives and plans of existing organisation, revising plan to
incorporate changes and action plan to implement changes will be cover in this report.
Finally, the report will highlight impact of proposed changes on organisation and personnel,
planning to manage changes within business and Monitoring performance improvement
within business.
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TASK 1
1.1 Producing profile of Little Bay Kilburn including structure, size, objectives etc. to
identify its strength and weaknesses
Little Bay Kilburn: It is a colourful restaurant with bold décor and mezzanine balconies
offers different types of innovative dishes to its customers. It is located in UK and also a best
choice of couples. The number of staffs is 15 and the detailed profile is provided below:
Objectives: The objective of this restaurant is to provide quality foods while managing the
hygienic products at effective prices. In this regards, the objective of restaurants is hygienic,
quality food, reasonable price and effective environment. The main focus in on maintain the
satisfaction of customers.
Context: The restaurant is providing several dishes to people at an effective price. UK is
considered as one of the most ideal country for tourism and there is a scope for restaurant to
establish their operations for long period.
Structure and Size: The restaurant is managed by two managers and supervisors. The
employees are responsible for attaining consumers where feedbacks are provided by them for
improvement. The structure is very effective where balconies and booths are available.
SWOT Analysis
Strengths: The location of this restaurant is
very effective in enhancing customer base
(Storey, 2016). The staff and employees are
experienced and serving customers effectively.
Weaknesses: The working process is not
effective. Staff is always confused. Lack of
proper strategies and plans to manage sudden
arrivals. Fund shortfall is also a weakness.
Opportunities: Potential places is an
opportunity for business to attract tourists and
customers. Government policies are also
supportive towards funding schemes.
Threats: High competition in the market among
restaurants. The capacity of other businesses to
invest more in their operations.
1.2 Analysis of the organisation with the help of performance comparative measures
Customer satisfaction: It is important to consider products expectations in order to compare
the consumer satisfaction. Customers are likely to expect before taking considerations. The
experience consumed with services also reflect the quality perceived by consumers. In this
regards, assimilation will be assessed when the perceived performance is less than the
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performance level expected (Hillary, 2017). The objective and subjective factors will help to
determine the satisfaction level. Organisation potential is hygienic, cleanliness. Prices,
environment etc. that are low comparatively.
Employee motivation: It is important for the restaurant to ensure that the employees are
motivated in order to deliver quality services. In this regards, Mc Gregor’s X and Y theory is
effective in measuring the motivation level. In X category, employees are considered as less
motivated and in Y category they are highly motivated and committed towards their
responsibilities. The employee’s performance must be compared with their previous year
achievement to determine improvements.
Operation quality: In this regards, TQM approach which stands for total quality
management helps to evaluate the customer expectations to deliver the services. The small
business such as Little Bay Kilburn can make use of Ishikawa theory to improve quality of
services (Fredendall and Hill, 2016). The operations are less effective as compared to
previous year because of the deficiency in strategies and lack of motivation among staff. In
this regards, effect and Cause diagram can be measured to manage issues and its effect on
business.
TASK 2
2.1 Appropriate actions to overcome weaknesses of organisation
In order to overcome weaknesses, it is important for Little Bay Kilburn to take
necessary actions. In this regards, proper strategies will help to grab opportunities and fight
with weaknesses.
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Problem solving strategies: These strategies are very effective for organisation to resolve
problems and issues. The problem of outdated facilities can be solved by these strategies to
improve production process quality.
Quality management: A quality management staff is very important for the organisation in
order to manage process of quality products. This will also help in monitoring the production
process to maintain quality.
Planning: Planning not only helps in conducting the process but also manage overall
functions within business (Kato and Charoenrat, 2018). Planning is also essential in order to
analyse the future risks associated with operations.
Proper management of financial data: Financial data must be managed well and cost
cutting strategies must be formulated in order to overcome the organisation weak financial
areas. In this regards, proper utilisation of resources will help to improve overall
performance.
Market research: Market research is important in order to identify market trends,
environment, customer needs etc. This will help in assessing the competition level to manage
strategies accordingly.
Innovation: The firm requires innovation in their operations and production process
according to the needs of market and customers. This will help in covering a large consumer
base for organisation effectively.
2.2 Analysing ways to maintain and strengthen existing performance
In order to maintain and strengthen the performance of Little Bay Kilburn, it is
important to formulate and implement growth strategies. In this regards the strategies are
provided below;
Market segmentation: It is a process of dividing market into various segments according to
the people nature. In this regards, market must be categorised in terms of behavioural,
geographical, demographic and psychographic aspects. This will help in providing services
according to the requirements of people to enhance sales and revenues.
Target customers: Market segmentation also helps in defining the target customers for
organisation. target customers are those people who are likely to purchase services from
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organisation (Vorley, Fearne and Ray, D, 2016). this will help in targeting people that are
relevant for the services offered by Little Bay Kilburn effectively.
Leveraging partnership: The business faces issues in maintain relations with vendors. In
this regards, management must leverage partnership in order to work effectively and
accordingly. The organisation is able to share profits with partners to strengthen their
performance and become sustainable in market. Partnership also helps in innovative practices
that are crucial for business to compete others.
Use checklist: In this regards, the firm must prepare checklist in order to prioritise work that
will help in growth and development in operational activities. This will also help in
improving performance of business by prioritising work process.
Employee engagement: Effective engagement of employees helps to motivate others in the
business (Piperopoulos, 2016). It provides flexibility at workplace and employees feel
encouraged to manage certain changes to improve performance.
2.3 Exploring new areas for expansion of business operations
Expansion of business operations is one of the most important thing to enhance
growth and development in business. In this regards, there are several strategies available for
organisation to expand their operations in which Ansoff matrix is one of the effective strategy
helps in determining the expansion path.
Market penetration: It is a strategy where the organisation sell the existing products in the
existing market in order to increase growth. Market penetration strategy will help to enhance
the market share, use of services, restructuring market and growth of market (Ansoff Matrix,
2019). The strategy is very effective for Little Bay Kilburn in order to drive competitors and
make use of services by existing consumers to secure development of business.
Market development: It is also a strategy that can be used by organisation in order to sell
their existing products and services in new markets. Market development strategy is useful in
sustaining the new geographical market, applying the various policies regarding product
prices and adopting different distribution channels effectively and efficiently.
Product development: Product development is a strategy useful for business to enhance
their market share by introducing new products and services in existing market effectively.
The strategy is very effective that it helps to develop new competencies, introduction of
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innovative and new services in market, increasing consumer preferences and needs insights,
generating market monopoly and to attract number of consumers towards brand effectively.
Diversification: It is a strategy that can be considered by business in order to develop new
products and services in the new markets. The strategy is very risky that it requires huge
investment and there is also a chance of failure.
Hence, it is recommended to Little Bay Kilburn to adopt market development and
creation strategies to increase growth and development. This will help in enhancing sales and
revenues. In order to expand business, Little Bay Kilburn is also able to use diversification
strategy (Lussier and Sonfield, 2015). In this regards, new branches or products can be
established into aa new market with the help of acquisition or partnership.
TASK 3
3.1 Assessment of objectives and plans of existing organisation
In order to increase growth of business, it is important for the organisation to develop
a plan and set of objectives to maintain and sustain the performance.
Business objectives
 To enhance consumer satisfaction by 5%.
 To increase profits by 10%.
 To develop market by adopting promotional and survey strategies.
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Business plan: Expansion of business by entering into new markets by the end of 2019. To
attract number of customers with quality dishes. In this regards, several strategies will be
adopted by organisation to remove obstacles and improve growth.
Marketing strategy: Marketing strategies are important for Little Bay Kilburn in order to
analyse the market environment, customer choices and preferences and advertisement of
products. This will include promotional activities including advertisement on social media
platform, YouTube, Twitter etc. This will help to attract more people towards services
offered by business.
Financial indicators: The business is able to borrow funds from various sources such as
finance institutions according to the requirement. Private firms also provide financial help in
order to grow operations (Bean, 2015). The survey of market must be done to acquire
information regarding consumer requirements to avail services effectively.
Objectives assessment: It can be said that the objectives are not in line as per the
opportunities available for business. In this regards, technological innovation will help to
achieve the objectives.
Business plan assessment
Suitable Plan is suitable as per the objectives.
Acceptability  Some stakeholders are not accepting the plan
 High risk of financial availability
 Good returns
Feasibility Lack of skilled people for marketing.
Competitors edge The plan is innovative in terms of plan for competitors.
3.2 Revising plan to incorporate changes
It is important for organisation to revise the business plan in order to improve
different aspects. In this regards the weaknesses of plan are provided below:
Weaknesses: In order to complete objectives, the time limit is too short and the objectives
are also not in line as per the weaknesses and strengths. There is also lack of skilled
employees.
McKinsey 7S
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Strategy: The strategy must consider operation, marketing, employee engagement and
financial activities to enhance scope and business profitability (McKinsey 7s Model, 2019). In
this regards, promotional activities are useful to reach new customers, recruitment to select
best employees and proper training to improve motivation and performance.
Structure: The business hierarchy must be defined and communicated to all staff to
determine the information and communication flow. In this regards, decisions must be
centralised to manage the flow of information.
Systems: Systems will help to operate operations smoothly. In this regards, structured system
such as reporting, orientation sessions and supervision is important to bring production flow.
This will also help in improving staff competency level.
Skills: Training and development programs are crucial in order to improve staff performance.
This will help to add value to business to focus on managing quality of services effectively.
Staffs: The manager requires to provide proper guidance to staff to improve quality and
performance. This helps in guiding them towards approach required to manage coordination
among them.
Style: Autocratic leadership style must be followed in order to manage overall performance
such as participative, alternative and leadership styles to make decisions.
Shared values: The team goal is to enhance equity in customers by managing certain values.
Cultures and religions must be valued to avoid discrimination at workplace.
3.3 Action plan to implement changes
Action plan is important for Little Bay Kilburn in order to set priorities and improve
work management. The plan must be implemented according to the time requirement
effectively. In this regards, the business is provided in appendix.
In order to implement the plan, the Kurt Lewin’s theory can be used by business
which involved three steps provided below:
Unfreezing: At this stage, business will prepare for the elimination of existing functions and
structures such as inefficient employees, process and strategies (Kurt Lewin change theory
three step model – unfreeze, change, freeze, 2019). This will help workers to understand the
importance of plan.
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Implementation: Staff will follow the new plan at this stage to provide their best efforts to
the growth and development in business. Change will be managed for implementation. At
this stage, employees will grow in order to observe benefits that helps to motivate them for
further improvements.
Refreezing: At this stage, changes will provide results in terms of benefits within process.
The management will monitor innovations and productivity improvement effectively. In
addition, misunderstandings will be reduced to get desire productivity efficiently.
TASK 4
4.1 Impact of proposed changes on organisation and personnel
It can be said that changes are imperative for business to accomplish competitiveness.
The flexibility within functions and structure will help to achieve the goal of increasing
profits. The major disadvantage of Little Bay Kilburn is that it cannot attain large number of
customers. Thus, changes are planned in various factors such as staff management, customer
handling, structure etc. to drive business values (Williams and Horodnic, 2016). The impact
of changes within business are considered from two perspectives which are provided below:
Positive impact: The changes within business structure will help to define the flow of
information and increase coordination level. Employees will be aware of reporting to top
management and get information regarding their responsibilities. Participative style of
leadership will increase the motivation among employees. Performance monitoring will also
help to define the improvements in productivity so that managers can share feedbacks to staff
for further developments.
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Negative impact: There are some negative issues associated with changes. The changes will
become successful only with the equal contribution provided by staff towards the purpose of
change. In addition, resistance is common that staff may confused to follow the change
procedure within system (Soloman, 2015). The hesitation among staff can create conflicts
that can affect the production and profits of organisation.
4.2 Planning to manage changes within business
There are some certain aspects which needs to be considered in order to manage the
proposed changes within Little Bay Kilburn effectively. In this regards, active participation of
staff is important within decision making process. Training programs will also help to
improve performances and build strong relations between management and staff. The
business is able to make use of Kotter’s eight step model to manage changes.
 In the first stage, urgency will be created towards proposed changes. The employees
must understand the requirement of changes within business.
 The second phase will lead workers towards change where managers are required
leadership skills to guide employees towards changes (Kotter’s 8 step Model of
Change, 2019).
 Vision will be designed at third phase towards changes so that employees can
understand the purpose of change within system and process.
 The fourth phase will provide emphasis for the vision communication. Here,
information will be shared to employees.
 Barriers will be addressed at fifth phase and emphasis to eliminate them to ensure
smoothness in operations.
 Short term goals will be created at sixth phase to analyse success which will also help
to motivate workers.
 In seventh phase, positive and negative aspects will be analysed by monitoring
changes.
 At last stage, culture will be defined to support changes. Positive efforts will be made
to ensure benefits are achieved form changes for long time.
4.3 Monitoring performance improvement within business
There are different methods available for Little Bay Kilburn in order to monitor
improvements within operations and performance. In this regards, several theories can be
adopted by management such as:
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