The strengths of this restaurant include excellent customer service, quality products, and competitive prices. Another strength is that they are licensed to sell alcohol. Weaknesses include the small size of the restaurant and poor temperature regulation within. Due to the size of the restaurant, the drink options are limited. Additionally, there is not space enough for a warming fridge. Customers need to be on time to pick up takeout orders, to avoid food getting cold and soggy while sitting on the counter.
The opportunities mostly include re-location or additional Ottawa locations. With their excellent reputation, there is an opportunity for Big Bone BBQ to expand into other parts of Ottawa and Canada. The threats of the restaurant include the competitors in the area. There is a Wild Wings right across the street that they must compete with, as well as Montanas less than 5km away. Considering ribs and wings are the main attraction for Big Bone, they must strive to maintain competitive prices and superior qualit
y against Wild Wings and Montanas.
The Issue at Hand
Although profit margins at Big Bone BBQ are good and the restaurant is overall successful, there are operational issues in place that decrease productivity. The main issue that faces the restaurant is inventory. Inventory is ordered using a gut feeling basis, and a fixed- period model that is occasionally changed when demand is known to change. For example, when a large catering order or reservation is booked the owner knows to order extra food and raw materials for that week.
Food in the restaurant is prepared on a made to order system. Meaning all food is cooked or prepared in advance. Products are cooked in advance and wrapped and conserved in the fridge or freezer. Freezer items are pulled at night and placed into the fridge for the following day. Products are reheated when orders are made. Preparation is done twice a day, once before lunch and again before dinner. The only forecasting done is using very naive approaches on a daily, weekly, or yearly basis.