Analysis of Resource Allocation and CRM in Society Cafe, UK

This report examines resource allocation and customer relationship management (CRM) within the context of a small hospitality business, specifically Society Cafe, a UK-based enterprise. It identifies key determinants for resource allocation, including human resources, financial resources, business objectives, organizational area, machinery, employee performance, and well-being. The report discusses the application of tools like Gantt charts and critical path analysis for effective planning and resource allocation. It also elaborates on CRM processes for managing small businesses, emphasizing brand awareness, lead acquisition, and customer satisfaction. The analysis includes break-even analysis, cash flow forecasting, and a review of relevant legislative acts impacting small businesses. Desklib provides access to this document and many other solved assignments for students.

Small Hospitality
Business

Table of Contents
INTRODUCTION...........................................................................................................................3
Activity 1.........................................................................................................................................3
Determinants recognised during allotment of various resources to accomplish organisational
aim..............................................................................................................................................3
Practices and models utilised for formation of plans and resource allocation in Society cafe...5
Significance of formation of plans and assistance of resource allocation in successfully
attaining aims of the enterprise...................................................................................................6
Different processes of CRM for managing small concern & entities........................................6
How little organization, that can evolve nationwide with the benefits & limitations ...............9
Elements of the CRM procedure..............................................................................................10
Potential to develop transnational transaction..........................................................................10
Activity 2.......................................................................................................................................11
Break even analysis and itemised cash flow forecast for the first two months.......................11
Breakeven analysis could be applied to an organisational situation.........................................12
Interpretation of key financial statements.................................................................................14
Various legislative acts which influence small business enterprise. ........................................15
CONCLUSION.............................................................................................................................16
REFERENCES..............................................................................................................................17

INTRODUCTION
Various industries present in the small business sector are one of the primary contributors
to the financial development of a region (Shrafat, 2018). These types of small and social
corporate enterprises are formed in order to achieve higher quality of life through the financial
development of the entrepreneurs. Such small firms aim to offer high quality products which
solve various issues faced by the consumers and help the business stand out from the
competition. This gives the organisation competitive advantage in their industry and is one of the
main reasons behind their profitability. The present report includes two separate activities. The
organisation selected for this report is a small business organisation Society cafe which is based
in UK and a rising member of the food industry. The main objective of the firm is to provide
quality culinary and dining services to their consumers in order to create powerful name in their
sector. The first activity describes ways in which resource allotment helps attain various
business goals. Essential elements which ned to understood during formation and execution of
plans related to resource allotment are provided in this report. CRM process and other widely
used instruments and practices which help in resource planning are provided in this report.
Various statements related to financial aspects of an enterprise such as break down analysis,
prediction related to pecuniary resources and the involvement of such financial reports on overall
supervision of the company is given in this report (Pakroo, 2018). Apart from this various piece
of legislation which impact small enterprises are described in the report.
Activity 1
Determinants recognised during allotment of various resources to accomplish organisational aim
After the implementation of Brexit, the small business sector in Britain is filled with
growth opportunities which is assisting various aspiring entrepreneurs achieve their dreams of
starting a business organisation in their country. This is one of the main reasons behind overall
development of Britain as various skilled and visionary entrepreneurs have opportunity to earn
profitability which positively reflects on the overall progress of the British economy. These
entrepreneurs identify business opportunities in lucrative regions which help the company attain
profitability and compete with international organisations in the British market. Such small
enterprises conduct various operations such as evaluation of financial data, formation of strategy,
hiring talented employees and various other activities (Oliveira and et. al., 2017). Various

determinants that ned to be considered by an organisation during formation of plans related to
allotment of resources are given below:
Human resource: This factor is involved in the process of formation of strategies and
requires identification of various abilities which are essential for completing various tasks in a
timely manner and exceed consumers expectations which maximises consumers satisfaction. The
society cafe which is a small organisation present in UK understands the importance of this
factor in planning and allotment of various resources. This organisation has implemented various
policies which ensures presence of skilled workers in their company and improves their overall
output. This helps the company achieve high profits despite facing high competition from
various large and multinational competitions and meet various businesses objectives. In terms of
small hotel organisation human resource management can be done very effectively because there
is small number of staff and it is effectively managed by hote due to this they offer quality
services to visitors..
Financial resource: This is a factor of high significance as all operations conducted by
the organisation in order to offer various commodities for consumption in the market require
some amount of financial resource. Various plans constructed by an organisation ned to identify
financial neds of various departments and ensure that sufficient monetary funds are present for
timely completion of various operations. This not only ensures superior quality of the products
but also increases the response rate of the company which gives the organisation competitive
advantage in their industry. In case of Sociaty café, manger need to make sure that each
department has sufficient funds to complete their daily activities and the organisation is utilising
such funds with maximum optimisation.
Business objectives: Various activities conducted by the organisation ned to integrated in
manner to accomplish larger business objectives while ensuring that daily targets of the company
are also met. In relation to the Society cafe various, the organisation's overall objective is on
providing various culinary dishes which are unique and tasty which provide the consumers
superior culinary and dining experience. The organisation conducts their daily activities in
service to this business objective and considers this objective during their allotment of resources
in order to accomplish their long term as well as short term goals in a timely manner.
Organisational area and machinery: This factor revolve around allotment of resources
after considering the place and machinery needed to complete their daily tasks. Society cafe

provides their workers various culinary machinery required for production of tasty food items
and other machinery which is needed for completing their daily tasks (Anwar, 2018). This not
only reduces time wastage but also improves productivity as workers utilise machines instead of
doing manual labour. This helps the company attain their organisational objectives swiftly and
effectively.
Supervision of employee performance: This factor is centred around monitoring
employee productivity and implementing various policies which help improving daily output of
various employees. This practice gives the company information about limits of their overall
output and device various strategies such as training and development initiatives to enhance
daily output of each employee. Society cafe utilises this factor to improve employee
performance which reflects positively on quality of their products and helps the company
achieve high consumer satisfaction. This assists the company attain various organisational
objectives and tackle competition from large corporations.
Employee well-being: Another major factor which need to be considered during
formation of plans and allotment of resources is the maintaining positive and healthy working
environment and ensuring both physical and mental well-being of their employees. Society cafe
has enforced various policies which ensure hygienic working environment for every employee.
This motivates employee to achieve their highest potential and helps the company attain high
profits (Nyoni and Bonga, 2018).
Practices and models utilised for formation of plans and resource allocation in Society cafe
Various widely used models and practices help organisation formulate strategies and allot
resources to attain organisational objectives. Several such models and their utilisation in relation
to the respective small business enterprise is mentioned below:
Gantt Chart: This is a project management tool which is helpful for formation of plans
and constructing effective schedule for each project. The main characteristics of this chart is that
project management timelines are depicted in a horizontal bar chart which showcases completion
of every phase of the project and all the divisions associated with each phase of the project. The
main merits of this tool are that it improves clarity and reduces errors in resource allocation
while depicting all activities associated with the project in a defective manner. Society cafe
utilises this tool during planning and allocation of resources to complete their projects in an
effective manner without compromising on quality.

Critical path analysis: This is one of the most widely used project management tool
which includes identification of time required and interrelation of various activities in order to
complete the project swiftly and effectively. One other benefit provided by this task is that it
helps compare planed and actual development of the project to gain clarity about steps needed
for continuous improvement of the project.
Significance of formation of plans and assistance of resource allocation in successfully attaining
aims of the enterprise
Wise resource allocation is accomplished by formation of strategy for resource allocation
and gives various advantages to the organisation. This practice saves time and reduces time
wastage. Formation of effective plans related to resource allocation also improve overall output
of the company. This also helps the company complete their tasks in a given time period and
respond to issues faced by consumers rapidly and effectively. The respective organisation has
earned various benefits by formulating effective strategies for allocation of resources. Society
cafe is able to offer consumers various dining services in timely manners and complete their new
projects with superior quality (Mills, 2019). This helps the company achieve various objectives
swiftly and effectively.
Different processes of CRM for managing small concern & entities
CRM (customer relationship management) in context to the small enterprise and other
normal organisation possess the equal importance for their growth and development. This can be
different in the financial investment and number of the customers (Masiello and Izzo, 2019).
CRM is about the management of permanent customers, in order to retain them for long time.
This also involve the activities to develop new customers of brand and managing the existing
customers with satisfaction and positive value. This is essential for organisation because
customers are the important element of the business through satisfaction of which company can
achieve their goals, higher customers mean, higher sale and this means, higher profit. So, the
process of customer relationship management start from the organisation approach to make
people aware about their service in order to attract them and generate lead. Then it involves the
customers satisfaction with appropriate services and then finally the management of existing
customer data related to their purchasing, needs and preference so that they can be retain with
the approach of required product production and updated information of the new services.

Society Café is managing their customers with all these approaches some process is explaining
below.
Brand awareness
First step to the customer relationship management and acquiring is to make them aware
about the company, product and services along with the analysis of target customers in order to
offer them needs satisfactory products. For the generation of brand awareness there some steps
which have to done for Socity café Hotel as it is operated on small scale.
Identification of customer base: First process of the CRM is about analysing the
customer’s needs and this can be done by the aid of some marketing activities. Such as
communication to the customers with in the aid of social medial and digital networking. By
connecting them to in the suite and system where they respond more.
Segmenting your target audience: Next step is to segment the group of the similar
interest people in similar demographic segment. Through this marketer can understand the most

appropriate customers for their business, to whom they should provide the brand and product
presentation through campaigns.
Creating marketing campaigns: Then finale step of the brand awareness for CRM is
implementation of the effective marketing campaigns. Through which customers can get
introduce with to new products and services. By the aid of this process customers get attract
towards the brand and then lead will generate. In terms of Society Café need to implement this
process in order to make CRM stronger and influencing. In terms of marketing campaigns they
offer the job opportunity to local area people that represent CSR practice which also helps in
developing brand image in marketplace.
Acquire leads
Once the promotion, marketing is done then its the responsibility and process which
should be done by the sales representative to convert the customers interest into lead. This can be
done by the effective sales skills of the representative who can attract and influence the people to
try the products.
Convert leads into customers
Then another process of the sales man is to influence the people to become the permanent
customer of the company. This is the step where sales man has to understand interest of the lead
and then make them to parches the product or services by telling them relationship with their
needs and product.
Customer intimacy and satisfaction
This process is for both existing and new customers where small enterprise have to have
make their customers satisfied with quality and variety of the products. Manager of Society café
have developed new and innovative products with quality and according to customer’s demand.
In this process for CRM is can be done more effectively with the aid of technical support such as
the online servicing app, through which product and services should be provided to the
customers within the time.
Drive up-sells
In context to the small enterprise this is the most beneficial process of the CRM, through
this company can manage their existing customers without the huge investment. They can make
their customers up-to-date about the new product of their interest and offers of the products. So
this can be done by the storage of the customers data and updating massage to customers

according to their interest, by the aid of social media and emails (Kumar, Samalia, and Verma,
2017).
How little organization, that can evolve nationwide with the benefits & limitations
Transnational businesses is the running of the organisation out of the national boundaries,
this is great opportunity for the small scale companies to elaborate their business at multinational
level with the support of government (Kariv, Cisneros and Ibanescu, 2019). National
government support the development of Small enterprise at multinational level because it is
beneficial for the economic growth and development. Transnational activities help the small-
scale companies to increase their profit and market share by offering their survives to huge
numbers of customers. There are some activities and steps through which small scale businesses
can run their organisation at transnational level.
Innovating thinking and invention- Innovating the new business plan and strategies for
effective management is the most essential factor which aid those small enterprises to run their
business at transnational. This is the process which help them to sustain in the market with
innovative plan. Through this small business hotel like Society café can make the invention for
customers with more satisfaction strength in the products. Business organization can use their
creativity and leadership strength to become transnational.
By creating transmission channels- Another step to become the transnational is the
process of interacting and communicating with the multinational customers through the support
of transmission channels, such as the social medial and digital medial through which company
can promote their product at every level of the business and manage their needs by getting their
feedbacks. Transmission channels are the most essential way to co-ordinate with multinational
customers and activities. Society Café can use this process to promote their services after the
development of small branches at transnational level.
BY developing customer care programmes- Then other most important process which
aid to manage at transnational is providing the effective customer’s care. And for this potential
step is using the online management programmes such as the real time solution system, that is
online testimonials. Within the aid of some these kinds of online programmes company cane
manage their customers with their positive image.
Benefits:

Change in customer level: transnational development is beneficial for the small-scale
businesses because it helps them to elaborate their company in terms of employee's and financial
development.
Improvement in productivity level: By targeting the huge numbers of customers at
transnational level company can develop their productivity by increasing sale, profit.
Employment generation: Employment development is the most important factor which is
develop by this approach and beneficial for all nation, global and organisation. Because
through this economy improve.
Disadvantages:
High operating cost: In order to sustain at transnational level company, have to
effectively complete their operations and sometime cost of the resources and operation prevent
them to done this.
Labour exploitation: Most of the countries have their own employees cost which effect
the business plan and if company have follow their plan them some time it can lead exploitation
of the employee's which is illegal and this can prevent the organisation to done their operational
task (Duréndez and Madrid-Guijarro, 2018).
Elements of the CRM procedure
From the (Coomar) 2021 point of view there is the 8 major element of the CRM that is
related to the management of organisation functions in context to the customers care and
satisfaction. Such as human resources management in order to conduct the customer related
activities. Those elements are customers services for care of the customer related to their
quarries and issues. Sales activities for attracting and developing the new customers by creating
the more awareness (Cochran, 2019). Lead management, marketing, customers satisfaction,
data management and so on.
Potential to develop transnational transaction
Small sale businesses can develop in to transaction due to their positive effect on
national and global economy, along with this it aids to develop the employment for most of the
population through which finical improve and contribute to the economic growth. Another
potential of the small enterprise to become transnational is to follow the five steps of
globalization first is domestic company, then international, multinational, global then finally

transnational along with their innovative ideas and effective leadership style (Camfield and
Franco, 2019).
Various legislative acts which influence small business enterprise.
Small business organisation play a significant part in the economic development of any
region as they not only increase employment opportunities but also act as major source of
income for the government by submitting various taxes (Bodlaj and Čater, 2019). The British
government has implemented various pieces of legislature which cover small business sector.
Several of such legislations are provided below:
Health and Safety Act, 1974: This law involves maintenance of proper workplace
hygiene by every organisation and providing safety and security to their employee. The
enforcement of this law has influenced Society cafe as they have to ensure proper workplace
hygiene and eliminate factors which disturb employee well-being (Balachandra, 2019).
Data Protection Act, 2018: This law protect employee from the misuse of their personnel
data. The respective organisation has to gain consent from their employees before using their
personnel data.
Employment Law, 1996: This law was formed with the intention of reducing inequality
in British workplace. The respective firm has to ensure that each employee is evaluated in the
basis of their skills and given equal opportunities for carer progression (Apa, Grandinetti and
Sedita, 2017).

Activity 2
Break even analysis and itemised cash flow forecast for the first two months
As a strategy, a cash flow estimate presents how much money a company plans to raise
and pay out over a series of time periods. It is a type of declaration used by an entity to evaluate
details about cash inflows and cash outflows.
This argument is essentially prepared for a certain period of time (Bartley, 2018).
It allows each of an organization's stakeholders to evaluate whether or not the corporation is econ
omically or monetarily strong. Although John & Jenny Ecommerce is able to expand its compan
y at a faster pace than it really is really interesting for company owners to forecast likely costs or
expenditures that could arise in future.
Cash flow Forecast
1st Month 2nd Month Total
Opening balance (1,200)
Cash Sales Project 1 5,000 -
Cash Sales Project 2 5,000 10,000
5,000 3,800
Less: Variable cost
Project Materials 500 500 1,000
Less: Fixed costs
Office rent 1,000 1,000 2,000
Office furniture 500 500 1,000
Marketing 500 500 1,000
Legal and accounting
cost 200 200 400
Sub-contracted labor 2,000 2,000 4,000
Director's salary 1,000 1,000 2,000
12