Module B: International operations management Case: Benihana of Tokyo Case Preparation: 1. 2. 3. 4. 5. What are the differences between the Benihana production process and that of a typical restaurant? Examine the production system in detail. (Try and draw a simple process diagram). What are the major design choices which generate operating efficiencies? What is the process flow at Benihana? How many customers can the restaurant process and what is this as cash flow? What role does the
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1) Sales and costs (percentages are relative to gross sales‚ unless stated otherwise) | Percentages | Dollars/yr | | Typical Restaurant | Typical Benihana Restaurant | Typical Benihana Restaurant | Gross Sales | 100% | 100% | $1‚300‚000 | Food Sales | 70-80% | 70% | $910‚000 | Beverage Sales | 20-30% | 30% | $390‚000 | Food cost‚ % of food sales | 38-48% | 30% | $273‚000 | Beverage cost‚ % of beverage sales | 25-30% | 20% | $78‚000 | Gross profit | 55-65% | 73% | $949‚000 |
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Case study: Benihana of Tokyo Benihana of Tokyo has been very successful for the last 40 years since 1964. From a small restaurant‚ it has developed into a chain of themed restaurants. The success of Benihana has been attributed to the superb total quality management (TQM) process especially in maintaining the overall exotic ambience and the high quality food provided. All these strengths contribute to providing an unforgettable dining experience to its consumers and are reflected in their ability
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customers something different from any other restaurant in the country. He was in New York‚ the city of Broadway shows. Theatre is what people come here for and to get theatrical experience with their lunch or dinner‚ what better one would ask for? Benihana also wanted to serve their food in authentic Japanese style in the environment where customer would feel that they are really in Japan and having Japanese dish. The customer base was of the
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CHALLENGE 1 How many additional customers can Benihana service with batching? First of all‚ it was obvious from the first glance that batching strategy was the right one‚ as it was profitable. On the contrary‚ the non-batching strategy it was not profitable and there was a loss of $ 201.58. This is due to the fact that batching allows the restaurant to use fewer chefs which lowers the fixed costs maximizing the profit. We can also notice that in the cases of batching versus the cases of non
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1. Prepare a detailed process flow diagram of a Benihana restaurant on a typical busy night. a) See exhibit 1- Benihana restaurant flow diagram 2. Describe the process flow diagram in detail and contrast it with that of a typical sit-down restaurant. a) See exhibit 2 – typical restaurant flow diagram b) Benihana is much like a typical restaurant in terms of the main process flow of the customers. The flow begins with hungry people entering the restaurant and ends with full/satisfied people
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REVIEW OF THE LITERATURE BATCH COSTING INTRODUCTION Historically‚ because of the industrial background of cost accounting‚ specific order costing has tended to centre around the manufacturing environment. Given the developments both in cost accounting and performance evaluation over the last 20 years or so‚ cost accounting is now being applied in manufacturing‚ non manufacturing ‚ service and even in non profit making organizations. Cost Accounting is usually considered only as it applies to
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has been achieved by firms practicing TQM. Try to assess what TQM Means for Benihana of Tokyo business model and what are the expected benefits of TQM implementation at it? TQM places quality responsibility on all members of the organization; this is opposed to the earlier models of ‘quality control’ where such responsibility was effectively confined to one particular organizational sector. So considering this‚ for Benihana restaurant it is not only the responsibility of the top management Rocky but
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Case study teaching notes Trans -European Plastics TEP makes a range of more than 500 plastic household items using batch injection moulding.The case highlights increasing problems with inventory shortages and declining service levels‚at the same time that total inventory levels were at a high level. The company was evenconsidering investing in a warehouse extension. This case allows students to explore theunderlying reasons for this situation‚ and there is considerable numerical data that can
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restaurant which is an existing restaurant in Kato Paphos. Benihana is located near the sea‚ in the heart of one of the most popular tourist places for summer holidays in Paphos‚ Cyprus. It was set up in 2006 and had followed a successful track for almost seven years. However after the founder left the country‚ the restaurant remained closed until recently pending the completion of the obtainment of the estate from the ex owner. Benihana is an existing medium-sized restaurant with a fully equipped
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