Ineffective operational management: a case of Papa Garden

Abstract

Due to high quality of life and increase in free time and income, enjoyment of cuisines has been given considerable attention – leading to a significant growth of fast -food restaurants, especially in the central area of Ho Chi Minh City such as District 1, which has turned it into a key factor of most young people’s cuisine desires. In business development of restaurants like McDonald’s BT, Burger King, Double B Spagetti, Con Ga Trong, Papa Garden has been facing with fall in sales volume and low level of customer satisfaction in period of 2016 to 2017 since its first launch in 2016. In food industry, operational management is playing a vital role of a successful business performance of any service organizations. The aim of this study is to investigate the main cause and the main problem leading to these above symptoms and then provide potential suggestions for attainable improvement. The findings of this study identified that ineffective operational management is the key factor that results in low sales performance and low evaluat ion of customers on their experience at Papa Garden in comparison with others. Based on discussion and theories informed, this study also offered potential solutions and action plans to improve poor service operations management and overcome difficulties in low business performance and customer dissatisfaction. The two potential solutions that restauranteurs and many researchers have suggested include holding seminars, counseling sessions and team building activities; and applying recruitment and selection programs. Through insights of Board of Management and related theories informed, it is obvious to take consideration to execute the alternative solution of holding seminars, counseling sessions and team building activities at this time for improvement.