Based on a site visit to the IGA Distribution Centre, below are be comparisons between the IGA National Distribution Centre and the well known popular Hard Rock Café.
TRANSFORMATION PROCESS
Both companies follow the same traditional Production System model with inputs relating to money and labour with the same outputs resulting in producing a good or service.
However if we compare the transformation processes, both companies have different objectives especially in the output result as IGA’s output is based on tangible goods and Hard Rock Café is based on service being an intangible good.
IGA Transformation Process focuses on a ‘locational’ transformation which refers to transportation and delivering items to its destination.
INPUTS
• Money – capital
• Staff – staff to service customers and cook food
• Ingredients – Food items to be prepared
• Machine – Kitchens and food machines
• Method – cooking the food and serving the customer
TRANSFORMATION PROCESS
• This part of the process is where the inputs will be utilised to create the output.
In IGA’s case, the products will be picked using either the automated picking system or the manual voice picking system. The products are then picked and put into their coded boxes ready to be scanned and dispatched. The boxes are then loaded onto the trucks ready for delivery to its destination.
OUTPUT
• Goods are delivered to IGA stores on time.
Hard Rock Café Transformation Process focuses on an ‘exchange’ transformation with refers to a service and experience being provided.
INPUTS
• Money – capital
• Staff – staff to service customers and cook food
References: • Operations Management, 9th Edition Heizer and Render • Operations Management Chapter 1, Lecture Notes • IGA Distribution Centre notes and site visit • http://www.roymorganonlinestore.com/News/1030---Coles-improve-in-Customer-Satisfaction-whil.aspx • www.hardrock.com