Topic > New Business Management Proposal – Belly Happi Café

Index Mission StatementSociocultural DimensionImportance of Goal SettingGrowth Strategy – Product Development StrategyCompartmentalization ApproachVision SkillsControlControl Methods (Time Control)Equal Opportunities in EmploymentThis report aims to provide an overview of the planning, proposed organisation, guidance, control, ethics and social responsibility for starting a new business entity in food and beverage industry called Belly Happi Café. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay. Belly Happi Café is slated to be a new small start-up offering fusion, healthy and halal food for Muslim diners and the masses. The planned location is Bali Lane, in the Arab Street area, where the liveliness of young hipster cafes has emerged in the last 5 years. The restaurant would be able to cater for 50 dinners in a single sitting. The concept of halal healthy food will be its competitive advantage as the population of health-conscious young adults is increasing. Mission Statement The mission statement is essential for any company, whether it is a new start-up, a small business or a large chain. It articulates the company objective both internally and to the public and serves to guide stakeholders throughout the company in achieving the intended purpose. Belly Happi Café's mission is to "Produce healthy and extraordinary halal food, offer welcoming service and make every guest who chooses Belly Happi Café leave a happy belly." The mission statement reflects the company's structure, customer focus and current capabilities. Singapore is a country with a high percentage of professionals, managers, executives and technicians (PMETs) earning more than $2,500 per month 'currently low unemployment and good economic health, consumer purchasing power is strong, as evidenced by the International Monetary Fund's ranking of Singapore's GDP as fourth in the world in 2017. Furthermore, according to an article in The New Paper published on Il 21 August 2017, it was estimated that Singaporeans eat out for 78% of their meals and noted that young people are increasingly busy with work The fact that people have strong purchasing power and eat out more out of home demonstrates the demand and represents a good business opportunity for Belly Happi Café to take advantage of offering healthy and halal fusion food Sociocultural dimension Related to the previous paragraph on the high percentage of PMET, Singapore is also facing a growing aging of the workforce. According to a 30 June 2017 HRD magazine article titled "Singapore's workforce 'ageing rapidly'", it states that the percentage of residents aged 60 and above in the workforce has increased from 5.5% in 2006 to 13% in 2016. In place of workforce demographics, it represents an opportunity for Belly Happi Café to adopt fair employment practices and support the government's push to re-employ older workers as part of its corporate social responsibility (CSR) efforts. As in all businesses, you need to set goals. Generally, most organizations have 3 levels of objectives for top management, middle management and lower management, namely strategic (company level), tactical (divisional level) and operational (department level). These 3 levels form a hierarchy and form a means-ends chain, which means that the achievement of objectives at the levels is necessarylower to achieve higher level objectives. Importance of Goal Setting Goal setting would be beneficial for Belly Happi Café as well as for all businesses. However, it is crucial to set good goals to facilitate the identification and motivation of employees and provide a sense of direction in achieving desired results, as well as provide a standard for performance evaluation. Good objectives need to be SMARTSpecific, i.e. defined clearly and precisely, for example who needs to be involved, what you are trying to achieve and when (timeline), where, why and how. Measurable, i.e. expressed in quantitative terms, would make an objective more tangible and measurable progress. Attainable, i.e. challenging but realistic objectives intended to inspire motivation and results. Relevant, i.e. key result areas/activities that contribute most to the company's performance and competitiveness. Time-limited or clear and realistic specification of the period of time for which the achievement of the objectives will be measured. Providing time constraints would also create a sense of urgency. Achieve breakeven within 6 months of operation and earn a profit of at least $120,000 by the one year anniversary date of July 31, 2019. An Assessment of Belly Happi's Competitive Strength and Position A bar was built using the Five Forces Model of Porter. The risk of substitute products or services is high as Singapore is a food paradise and there are certainly many substitutes for good healthy halal food, for example fast food, hawker food, other restaurants and halal cafes. Where strictly substitute products exist in a market, this would increase the likelihood that customers will switch to alternatives in response to price increases and therefore reduce the power of suppliers and the attractiveness of the market. Threats from new entrants are high as profitable markets typically attract new entrants and barriers to entry into the food and beverage industry are very low, meaning it would be easy for new 'copycat' cafes to enter the market and offer similar if not the same menu items and question the existence of the Belly Happi Café. Therefore, Belly Happi Café must develop its competitive strength and position in the food and beverage industry within the first year of operation and regularly conduct environmental scans, as well as assessments of opportunities and threats, internal strengths and weaknesses to understand the factors that influence profitability and inform strategic decisions. Growth Strategy – Product Development Strategy Belly Happi Café will adopt the product development strategy according to Porter's competitive strategies model to achieve its strategic objectives in the next three years. Belly Happi Café will develop and offer new unique products and quality services, such as fusion, healthy, halal food and a hospitality service for the current market that will differentiate itself from other F&B outlets. Belly Happi Café will adopt and implement these two approaches from the beginning, namely by offering an aesthetically appealing café experience from the start and serving quality food and drinks. We will constantly review and improve features and new menu items along the way. To support the planning and achievement of strategic objectives, it is important to establish the Belly Happi Café's organizational structure that maximizes the deployment of resources with clear formal lines of authority and coordination across various functions. Departmentalization Approach The Belly Happi Café would departmentalize using the traditional functional approach where activities are groupedtogether for common function based on similar skills, work activities, skills and use of resources. The functional approach would result in efficient use of resources, allow for the deepening, specialization and progression of skills, and provide top managers with direction and good control within their respective functions. Leading means promoting vision and change and having the ability to influence, build commitment, inspire and direct people towards the achievement of personal and corporate goals and objectives. Since Belly Happi Café is a new start-up, it is important for managers to possess these two key skills at this juncture to develop and take the organization into the future: vision skills and power management and influence skills. Vision Skills Vision skills involve having an idea, a vision, and a clear sense of the future and the directions needed to get there successfully. A leader with vision is an essential ingredient of effective leadership. It is of utmost importance that Belly Happi Café starts off on the right foot. The Chief Experience Officer (CEO) and their respective department heads must first have a clear and short organizational vision statement. The corporate vision statement of Belly Happi Café is proposed to be “To create the best dining experience and become the most loved place for extraordinary and healthy halal food.” To support this corporate vision, Belly Happi Café would formulate and initiate policies and programs in areas such as customer experience management (e.g. desired level of professional attitude of staff, timeliness of service, suggestions to diners on menu items, turning dissatisfied patrons into repeat customers) which would be applicable to Operations and F&B departments ; Food innovation (e.g. stimulating creativity for fusion food and innovation to keep up with the consumer landscape and food trends) which would be applicable to Business Development and F&B departments. The CEO and the respective Department Directors must then effectively communicate the vision and involve all staff in realizing the vision. Power is the potential ability to influence the behavior of others, while influence is the consequence that a person's actions have on the attitudes, values, beliefs and/or behaviors of others. An effective leader is someone who leverages the use of the appropriate type of power to achieve goals and objectives. There are five types of power that could be applied within the Belly Happi Café at different times to achieve goals and objectives, namely: Legitimate power associated with a formal management position in an organization and the authority granted, e.g. the CEO and his department heads are empowered to lead and make decisions; reward power that comes from the authority to bestow rewards on other people, for example the F&B manager can use rewards such as recognition, promotions or salary increases to influence the behavior of F&B associates in timely service or displaying desired attitude level professional; coercive power which refers to the authority to punish or recommend punishments, for example the respective department directors have the power to fire consistently underperforming staff or to refuse promotion of undeserving staff; reference power, which could also be defined as leading by example, does not depend on a title or formal position but derives from an individual's personal characteristics that arouse respect, admiration and emulation from others, for exampleexample a leader who demonstrates exemplary behavior, conduct and ethics in the workplace; expert power which refers to a person's power of superior or specialized knowledge and skills related to the tasks performed and for which others follow, for example the director of human resources and finance would likely accept the recommendations of the director of business development regarding the innovation for market competitiveness, due to a lack of in-depth knowledge of the industrial landscape. ControlOrganizational control is the systematic process of assigning, evaluating, and regulating resources/activities on an ongoing basis to make them consistent with established expectations to achieve an organization's objectives. For effective control, managers must plan and establish performance standards, implement an information system that provides knowledge of actual performance, and take corrective action if there are deviations from the standard. Many restaurants and food and beverage outlets are fixated on costs, competitors, new menu offerings and pricing which may overlook the fact that HR issues can make or break the business. Therefore, it is proposed that Belly Happi Café focuses on human resource control. This includes processes to regulate employee performance and behavior, with the aim of improving employee skills and implementing rewards, financial incentives or training and skills programs to encourage employees to focus on activities necessary to achieve organizational objectives. There are inescapable truths: the most successful restaurant is the one with the best people, and you only have one time to make a good impression on a customer! It is therefore important to ensure that suitable candidates (who have aptitude, good attitude and good fit with the organisation) are hired. There must be clear policies for selection and recruitment, clear job descriptions, employee relations, remuneration, rewards, welfare, improved training and development opportunities to improve the skills of staff at all levels, e.g. chefs, kitchen, F&B manager, F&B Associates. And there must also be clear and established service standards and guidelines. A restaurant with knowledgeable and highly engaged staff would be able to create the best dining experience for every customer. Control Methods (Time Control) There are three types of control that managers can use, which are determined by the time period in which control is emphasized in relation to the work performed. The three types of control methods (temporal controls) are illustrated below: Pre-control, i.e. controls that take place before the execution of the work. In relation to the human resources control scope described above, this pre-control method should be applied at the beginning of drafting job descriptions, determining the actual staff required for each department/job function, designing the various policies and processes of human resources for recruitment and screening, employee relations, people management, compensation, rewards, welfare and career development and training roadmap. Establishing policies and procedures from the outset, before they become part of the system (i.e. before actual recruitment activities begin), attempts to control the quality and/or quantity of financial and human resources and mitigates unwanted activities that could compromise organizational achievements/results. Concurrent Control i.e. controls that occur as the work is carried out. In relation to the scope of human resources control described above,.