Operations Management Strategy Of Hard Rock Cafes Tourism Essay

The Hard Rock Cafe ( HRC ) was established on June 14, 1971 in London by two American business communities who love Rock music are Isaac Tigrett and Peter Morton. Hard Rock began its planetary enlargement in 1982, when Tigrett and Morton agreed to develop the Hard Rock coffeehouse in their different parts of the universe. They opened the Hard Rock Cafe in locations every bit diverse as Los Angeles, San Francisco, Chicago and Houston. In 1990, The Rank Group, Plc. , a London-based leisure company, acquired and continued enlargement of this construct in their geographic district. In March 2007, Seminole Tribe of Florida purchasing Hard Rock International, Inc. and other relevant units from the Rank Group and proprietor of the Hard Rock Cafe until now.

Nowaday, with over 170 locations in over 51 states worldwide, including 133 coffeehouse and 15 hotels / casinos, Hard Rock has become a genuinely planetary phenomenon. Get downing from London, England, to New York, Los Angeles, Paris and Tokyo, and still is now Hard Rock Cafe has extended to remote venues such as Kuala Lumpur and Ho Chi Minh… Presently, the Hard Rock Cafe activities in the countries of concern such as insouciant dining in eating houses, casinos and hotels.

This study will critically measure the operations direction scheme of Hard Rock Cafe and the operations direction challenges and chances forA Hard Rock when sing anA enlargement of its concern into Hanoi.

II. Measure the operations direction scheme of Hard Rock Cafe .

As professor C.Markides of London Business School says, “ The fast one is non to play the game better than competition, but to develop and play an wholly different game ” . With strategic distinction, directors of Hard Rock Cafe make effectual determinations in 10 countries of operation direction – these are the 10 Strategic Operations Management Decisions. In this subdivision, study will analyse the evaluate the operations direction scheme of Hard Rock Cafe as described in the affiliated instance stuffs

1. Design of goods and services

Tr?°a»›c ha??t, cac nha qua??n ly ta??i Hard Rock Cafe luon luon ghi nha»› ra?±ng cac sa??n pha?©m ma ha»? A‘ang cung ca??p cho khach hang khong cha»‰ la ba»?a A?n, tha»©c ua»‘ng hoa?·c A‘a»“ l?°u nia»‡m maf con la intangibly kinh nghia»‡m A‘a?§y A‘a»§ ca»§a Rock & A ; Roll.

Cac khoa??n thu ca»§a Hard Rock Cafe co khoa??ng 40 % ta»« ban hang va pha?§n con la??i ta»« dining bill of fares, A‘a»“ ua»‘ng, khach sa??n va song ba??c va ta»• cha»©c cac bua»•i hoa nha??c stone. Trong tha»±c ta?? , ta??t ca?? cac A‘ong gop vao nha»?ng gi ma khach hang ca??m nha?­n A‘?°a»?c la “ Rock & A ; Roll kinh nghia»‡m ” khi ha»? sa»­ da»?ng da»‹ch va»? ca»§a Hard Rock Cafe. Sau A‘ay, chung Ta co tha»? tha??y nha»?ng sa??n pha?©m va da»‹ch va»? A‘a»?u A‘?°a»?c thia??t ka?? va thia??t ka?? ta??i cac A‘a»‹a A‘ia»?m khac nhau.

( First, the directors at Hard Rock Caffe ever understood that the merchandise that they offer to clients are non merely repasts, drinks or keepsakes, but besides intangibly full experience of Rock & A ; Roll.

Approximately 40 % gross of Hard Rock Cafe from selling ware and the remainder from the dining bill of fare, drinks, hotels and casinos and organized stone concert. In fact, all contribute to what clients perceive as “ Rock & A ; Roll experience ” when they use the services of the Hard Rock Cafe. We can see the merchandises and services are tailored and designed in different locations. )

a. Meals and drinks

Hard Rock Cafe constructing the system traditional bill of fare beside the bill of fare changes on a regular basis depending on the clip and topographic point.

With traditional bill of fares, Hard Rock Cafe was about able to run into the outlooks of traditional clients, although they may see any HCR different in different states, they besides can be used Hard Rock Cafe ‘s familiar dishes. In fact, a Hard Rock Cafe ‘s client said that he has visited Hard Rock Cafe in Japan many times during his bussiness trip because it is the lone topographic point he can acquire Mexican nutrient in Tokyo.

Some other bill of fare dishes and drinks regular alteration depending on the locations and different times through gross revenues analysis and civilization in each state, part different. For illustration, the Hard Rock Cafe in England, though there are still steaks and beefburgers, but the bill of fare replacement beef by lobster and fish because the British are still concerns about huffy cow disease.

B. Merchandise

Because 70 % Hard Rock ‘s guest are tourist, so Difficult Rock Cafe has designed a rich system of goods in each part, different state. Hard Rock Cafe ‘s points frequently rich in assortment and alone. Besides, Hard Rock Cafe has developed nines, forums for members worldwide to discourse trade and other alone goods that they collected from Hard Rock Cafe.

In add-on, Hard Rock Cafe besides has other services such as hotels, casinos, concerts… Hard Rock Cafe slogan “ Love all – Serve all ” so irrespective of age, sex, rich or hapless, category when semen to Hard Rock Cafe, wholly people ever feel welcome and service with attitude enthusiasm

2. Qua??n ly cha??t l?°a»?ng

Quality is one of the most of import factors in all industries and it is non an exclusion for Hard Rock CafeThey do non even advert the quality in their slogan because for the fact that they see it as the nucleus value of the trade name. Quality direction is an of import factor relate to the success of the Hard Rock Cafe. “ Be careful and do n’t do a error in the first topographic point. If a error does happen, rectify it before it reaches the client. “ , that is principle each employee has to retrieve in their initial preparation.

HCR implement service dogma of “ dual checking ” to minimise mistakes. In order to implement this service dogma, Hard Rock Cafe Orlando hires 02 excess staff. One to look into the quality of nutrient being put into cookery, one to look into and compare the order to the helpings before before conveying it to the client. Besides Hard Rock Cafe besides careful in choosing providers, even they give quality policies with standard indexs that providers must run into.

3. Procedure and capacity design

During 40 old ages of uninterrupted development, Hard Rock Cafe has developed from a saloon merely to go a planetary concatenation of more than 100,000 repasts served each twenty-four hours. Hard Rock Cafe has continued to modify and optimise their procedure and design capacity. In fact, Hard Rock Cafe was praised in the application of engineerings in operation direction and their strategic determinations.

4. Local choice.

As we know, 70 % of Hard Rock Cafe ‘s guest are tourers, have found it spread outing to “ finish ” metropoliss. Although this scheme has achieved success in the past decennaries, but the recent economic crisis really had a negative impact to touristry industry. Therefore, new options of Hard Rock Cafe is locate long-run rental in other metropoliss such as Nottingham, Manchester or Birmingham is non the peak tourer metropolis. This is a wise strategic determination of the Hard Rock Cafe because in conditions of planetary economic crisis, touristry industry is affected. The scheme above will assist Hard Rock Cafe cut down dependence on touristry, and maintain gross while the tourer industry in crisis.

5. Layout design

Hard Rock Cafe has different designs in different states, metropoliss and parts. For illustration, Hard Rock Cafe in Chicago is decorated by a really large electric guitar standing in forepart of the buiding and most of the chairs are located in a big room while Hard Rock Cafe in Prague, The Czech Republic is decorated by a Hard Rock guitar in the fount of a ball. Hard Rock Cafe do non demo the same faculty design of Hard Rock Cafe in every topographic point. Layout design of Hard Rock Cafe flexibly changed based on graduated table and civilization of different parts but basic characteristics of Hard Rock were maintained. It is carefully considered that whether they should engage cafe store in a long clip, construct a new store or merely set up or fix, and how to do it go perfect and efficient.

6. Human resources and occupation design

Hard Rock Cafe built a particular and alone concern civilization.

All the employees of Hard Rock Cafe are required to hold non merely working accomplishments but besides the passion of stone music ; in add-on, their features must be suited for their work. Hard Rock Cafe implemented a preparation procedure allowing an employee to work in different places, which means that one individual can be a waiter, retail merchant or even a kitchen coverer.

Hard Rock has policies to promote internal every bit good as trueness of employees, make every status for employees to be able to develop and go fond of in a long clip in every different place. “ 60 % directors of Hard Rock Cafe are promoted from hourly employee ranks ” , the above interesting information is a motive assisting non merely long-time employess but besides hourly employees, parttime employees strive to work with the spirit of passion, creativity and dedication for their better hereafters when they become fond of Hard Rock Cafe.

7. Supply-chain direction

Hard Rock Cafe has ever set the criterion for the provider to guarantee the best nutrient beginnings.

In 2003, HR has implemented supply concatenation betterment, which helps Hard Rock cut down 44 % of shop infinite in North America, 20 % of operational costs, better 22 % of service degrees, optimized conveyance cost, distribution web, contract footings and the protection duty, better operational efficiency.

8. Inventory

Hard Rock Cafe arranges Stores harmonizing to advanced methods, such as Just-in-Time stock list control. The goods are arranged handily for acquiring out to utilize. Souvenir shop with about 6000 pieces of stone ‘n ‘ axial rotation memorabilia is checked sporadically and refreshed in the rhythm of 5-7 old ages.

The good direction of supply-chain helps Hard Rock to maintain a safe and effectual stock list. Food beginnings for nutrient processing in Hard Rock Cafe are ensured to be fresh, clean and on clip.

9. Scheduling.

Hard Rock Cafe applies short-run and long-run prognosis to schedule their services. All the computing machines of Hard Rock Cafe usage a common database. This helps system directors define day-to-day gross revenues gross in each given clip in each shop of Hard Rock to rapidly present seasonably and effectual program for each different shop of HARD ROCK CAFE.

Besides, Hard Rock Cafe has besides implemented long-run prognosis, factors impacting gross such as seasons, vacations, economic prognosis. This helps HARD ROCK CAFE present long-run programs.

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10. Care

HARD ROCK CAFE has ever conducted periodical studies to hold suited accommodations. Controling and keeping of quality are the keys for Hard Rock ‘s success. All equipments in kitchens, bars, eating houses or retail stores are frequently maintained.

Besides, Hard Rock Cafecreated its ain web site: www.hardrock.com and keep a hebdomadal overseas telegram telecasting plan on VH-1. This contributed to develop and keep HARD ROCK CAFE trade name worldwide.

Assessment 2: In visible radiation of the above, A discussA the operations direction challenges and chances forA Hard Rock when sing anA enlargement of its concern into Hanoi.

Hard Rock Cafe A‘a A‘a??n Via»‡t Nam nh?°ng cha»‰ a»Y thanh pha»‘ Ha»“ Chi Minh. Khi ma»Y ra»™ng kinh doanh vao Ha Na»™i, Hard Rock ca?§n pha??i nghA© va»? nha»?ng A‘ia»?u kia»‡n sau A‘ay:

Opportunities

First, Hanoi in peculiar and Vietnam in general has proportion of immature population, they are really sensitive and speedy to have new 1s. At Ha Noi, there are a batch of immature people love Rock but there is non any a alone and professional cafe-style stone as HARD ROCK CAFE. So the presence of HARD ROCK CAFE in Hanoi will busy the attending and love of stone fans, this is a beginning of possible clients and loyal if HARD ROCK CAFE knows how to work.

Second, Ha Noi is the capital, the largest economic centre in northern of Vietnam. Resident of North and South Vietnam frequently crowd to Ha Noi with many different grounds: for their concern, work, analyzing… So, if HARD ROCK CAFE is successful at Ha Noi, it would be a solid foundation to spread out their concern into adjacent states and other large metropoliss in Vietnam.

With cultural features alone, HARD ROCK CAFE is one of the first alien cafe-style in Vietnam, it will make attractive force for everyone who want to bask java with the new manner, the most the immature. Besides, HARD ROCK CAFE will hold a clients is the European, American… , who has been familiar with the manner coffeehouse of HARD ROCK CAFE, is working long term in Ha Noi.

In add-on, immature and inexpensive labour is an of import advantage. In Ha Noi, HARD ROCK CAFE can enroll immature and enthusiastic labour cheaply than other states. Besides, Vietnam is considered one of the political government most stable, this brings peace of head for the directors of HARD ROCK CAFE when they expand its concern into Hanoi. The Government of Vietnam has established a system of open-door policy, promoting foreign investors to put and develop Vietnam ‘s economic system, create occupations for local people.

Challenges

However, besides the chance, Hard Rock Cafehas to confront many challenges when sing an enlargement of its concern into Hanoi.

First, it is the societal hazards. Peoples in Hanoi have a wont of basking their ain java. They like to sit in a cafe-street ( on pavement ) with a cup of java is inexpensive, processed harmonizing to traditional methods and speedy, read newspapers or watch the people passing by, instead than sitting closed room luxury..

Second, non many people spend about 100,000 VND – a comparatively high monetary value compared with the income of people in here – for a cup of Hard Rock java, so Difficult ROCK CAFE should study the indexs of life criterions of people in Ha Noi to offer sensible monetary values. In add-on, local people were familiar with the gustatory sensation of the familiar trade name of java that they used in a long clip as Trung Nguyen, Tay Nguyen, G7… and will take a long clip to accept the new gustatory sensation from the HARD ROCK CAFE.

Third, theoretical accounts cafe with unrecorded music are progressively popular in Hanoi and its monetary value is different from lower to higher degrees with their ain manner. Rock is a genre non much popularity in Hanoi in peculiar and Vietnam in general. Most people who love stone are under 30 old ages old, that is besides a challenge for the HARD ROCK CAFE.

Fourth, information systems concern in the Viet Nam market will convey limited to the Hard Rock trouble if they want to research and prediction for the concern. Unlike developed states, Vietnam unfinished concern information systems, so it is a challenge for the research workers of the HARD ROCK CAFE in the procedure of informations aggregation or market study and that will impact the scheme and program of Hard Rock.

Addition, human resources is a challenge for HARD ROCK CAFE. HN have cheap labour market, immature, nevertheless locals are non familiar with the working manner is intense, yet professional and understand the concern civilization of Hard Rock. So after enlisting, HARD ROCK CAFE likely need to pass more clip preparation before they can make.

In drumhead, all above factors create non merely troubles but besides the chance to open chances for Hard Rock to find the appropriate program when sing a concern enlargement in Hanoi. It ‘s ever a concern for all operations directors to do the right determinations, non merely for Hard Rock Cafe.