What is each additional customer worth in gross profit


Case Study Sunset Grill at Blue

Read the attached case and answer the below questions;

1. What is Sunset Grille's service concept? Evaluate their sustainability.

2. Describe demand variability from seasonal effects as well as weekday and weekend effects. How does this variability affect the business?

3. Suggest ways of better managing capacity, demand, and throughput:

a) What is the seating to seating (table turnover) throughput time? How can this be improved?

b) Using Exhibit 6, what capacity is needed per hour during various peaks?

c) Assuming that a qualified cook costs $17.00 per hour and can work on 2 meals at a time, and that other staff are $10.00 per hour, what staffing actions can be made to improve capacity at peak periods and how would these actions affect gross profit? How would you adjust capacity in staffing in peak vs. slow periods and how would meals per hour change as a result?

4. How would you improve facility layout & process flows?

5. What is each additional customer worth in gross profit? Estimate how your proposals would individually and collectively improve gross profit.

Solution Preview :

Prepared by a verified Expert
Finance Basics: What is each additional customer worth in gross profit
Reference No:- TGS01358023

Now Priced at $20 (50% Discount)

Recommended (91%)

Rated (4.3/5)