Assessment 1: Project Proposal

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1.0 Introduction

1.1 Company profile

The proposed business is Otago Café which is based in Otago city of New Zealand.
The company is providing eatery services to customers with inclusion of breakfast,
beverages, lunches and brunches on the menu. Some of these products include café latte,
frappes, the nest, eggs benedict, etc. which will be sold at Otago Café. The company belongs
to the restaurant and fast food industry of New Zealand and would be providing customers
high-quality and tasteful food.

1.2 Opportunity improving an issue in the business

Problem Statement: “Customer dissatisfaction is causing a decline in profits of
Otago Café”. It is identified that the students and staff members of Otago College had some
complaints regarding the quality of food that is served in the Otago Café. Further, the
company has been experiencing decline in the profits because most of the students tend to
have their breakfast and lunch in some other cafes and restaurants. Therefore, it is important
opportunity to improvement the satisfaction levels of customers through the services that are
provided by Otago Café.

1.3 Exploration of the issue

On exploring the consequences of this issue of declining customer satisfaction, it is
identified that the most negative effect would be on the marketing and operations of the
company. Otago Café would experience a degrading customer experience and corporate
image which also indicates inefficiencies in the operations. Further, the finance function
would suffer because there will not be sufficient profits and revenues generated to support
other functions. Additionally, customer dissatisfaction indicates employees are not delivering
the services as per the standard requirements which indicates a flaw in the HR (Human
Resource) function.

If the issue is not handled in time and there are no efforts made in improving the
same, then Otago Café could experience liquidation. Further, Otago College would have to
shut the café down and the employees working in it would have to seek alternative options.

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1.4 Benefits of examining the issue
On acquiring the opportunity of improving the issue and solve the same in Otago
Café, by enhancing the service quality and acquiring much better taste of the dishes, then
there will be following benefits acquired by the company:

 Increased profits and revenues for Otago Café and the college;
 Better relationship development with the customers;
 Enhanced reputation of the café in the perspectives of customers.

2.0 Proposed Project Plan

2.1 Research question

The research question for the present project is “What are the factors causing
customer dissatisfaction and how can these be handled for improving the condition of Otago
Café?”

2.1.1 Scope
The project is about the identification of factors that have led to customer
dissatisfaction in Otago Café and the completion of this project would help in identifying the
ways through which position of the café can be improved.

2.1.2 Project Strategy

Aim of the project

The aim of the project is to identify the factors causing customer dissatisfaction and
identify the ways of improving customer satisfaction conditions for Otago Café.

SMART Goals and Objectives

Following are the SMART (Specific, Measurable, Attainable, Realistic and Time-
bound) goals and objectives for the project:

 Goal 1: To study the factors contributing to customer dissatisfaction.

o Objective 1: To investigate the factors causing customer dissatisfaction in
Otago Café.
 Goal 2: To evaluate the ways customer satisfaction can be maintained in company.

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 o Objective 2: To identify and recommend the suitable ways of improving
customer satisfaction for Otago Café.
 Goal 3: To abide by the ethical guidelines of research and conduct the customer
surveys legitimately.
o Objective 3: To conduct the customer surveys and provide authentic results to
be applied by Otago Café.

2.1.3 Limitations
The limitation that could affect the project to succeed is the size of the research i.e.
the sample size for the research is only 20 customers that have experienced the services of
Otago Café. The limited number of participants often restricts the views and perspectives
which could limit the quality of results. Additionally, the budget of the research is quite low
i.e. $20,000 which restricts the number of activities and the expenditure that need to be
conducted as part of the research.

2.2 Resources
The resources that are required for running the project along with their importance is
described below:

Resources Reason for the need of Justification

resources
Human resources: two The human resources would The difficulty in conducting
people would be conducting be needed for conducting the the project would be
the research and there will project. resolved with team sharing
not be any salary provided and work distribution
to them.
Location: Meeting place The meeting place is There is limited time of 400
allowed for the research – required for conducting the hours provided to take up
Otago café and allowable discussions and activities. the café space for meetings
time is 400 hours. because this will help in
creating positive pressure
and reduce procrastination.
Technological: two laptops The laptops would be Only two laptops are
within the budget of $5000 helpful in storing mentioned because in
are required for conducting information and preparing situations one laptop
the activities and storing the the digital documents. becomes dysfunctional then
project data. second one can be used.
Meals and beverages: The project members would The paid meals and
Project team members can require eatables and beverages would help the
have meals and beverages in beverages while working for members to refrain
the budget range of $2500 long duration. themselves from energy
draining during the project.
Transportation: The Often the members would The transportation

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members would be provided require locomoting for allowance shall help the
a transportation allowance consulting the customers members to access the
of $2500 and acquiring their opinions. resources and move at
different locations to
conduct the project.
Stationery: The customer The stationery would be The inclusion of this
survey forms and other helpful in creating the resource in the budget is
stationery would be acquired customer survey forms and essential because customers
within the budget range of conduct the research with might not be available for
$1000 written communication. filling the details online.
Total Budget: $11,000

2.3 Timeframe
The project would be initiated from December 2019 and end by mid of May 2020.

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2.3.1 Gantt Chart
The following Gantt Chart presents the timeline of every stage of the research project throughout the period of 18 weeks.

Activities Wee Wee Wee Wee Wee Wee Wee Wee Wee Wee Wee Wee Wee Wee Wee Wee Wee Wee
k1 k2 k3 k4 k5 k6 k7 k8 k9 k 10 k 11 k 12 k 13 k 14 k 15 k 16 k 17 k 18
Developin
g the
project
initiation
Acquiring
the
resources
Developin
g the
consent
forms and
questionna
ire for the
survey
Acquiring
the sample
participant
for the
research
Acquiring
the
consent
and
conducting
the
research

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Gathering
the data
and
analysing
the same
Preparing
the
findings of
the
research
project
Presenting
the
conclusion
and
aligning
with the
goals and
objectives
Closure of
the project

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2.4 Critical success factors
The critical success factors that would help in completing the project and succeeding
in the same are:

 Timeliness: The completion of the project in time is one of the critical success
factors. It is essential for the project to complete within the 18 weeks schedule that is
prepared.
 Quality: Project would be successful when the information provided is meeting the
quality standards.
 Costs: The budget of the project is $11,000 and the success factor is meeting the
budget constraints and not exceeding the expenditures.
 Stakeholders: The inclusion of stakeholders like employees, customers and the team
members should be effective and their expectations from the project should be
accomplished.

2.5 Ethical considerations

The principles of ethical research include obtaining informed consent, minimising the
risks or harm that is caused to the participants and protecting the anonymity of the
participants. The present research includes the involvement of customers that have been
taking services and consuming food from Otago Café. For the purpose of eliminating any
ethical issues, the customers would be involved through informed consent and there shall be
maximum transparency maintained with them. They will be explained the objectives and
purpose of the research and the benefit that will be acquired. Further, the participants will be
assured that their personal information would not be disclosed and used in any negative form
in the current project.

3.0Proposed Methodology

3.1 Problem Solving Models

Throwing light in relation with the problem solving models, they are being
characterizes as the strategy for working across all the parts of an issue and challenge to build
up a result. Through utilizing critical thinking models, it will be easy to discover the possible
answer of the issue being faced by the cafe. Besides, it supports in perceiving that what the
issue is and propose suggestion in regards to the issue (McCaffery, 2010). All the set

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objectives as well as goals can be accomplished effectively with the utilization of critical
thinking models. Furthermore, the management characterize as capacity to design, arrange,
watch and direct people or gatherings to accomplish objectives. It is a procedure of managing
or controlling things or individuals to achieve objectives. Basic decision making includes
choosing one of a few proposed choices and consequently, this strategy additionally includes
characterizing and surveying every imminent other options. These strategies are valuable and
important for diminishing the hazard in the association and will build the pace of benefit as
well (Johnsons, Scholes and Whittington, 2005).

3.1.1 Managerial Decision Making Theory 1 – Mind Mapping

Speaking in volume about the “Mind mapping”, it is a visual strategy to compose
thoughts and data in illustration. This problem solving model will be used to make thoughts,
to envision and to make and to settle on a choice and to tackle the issue. By executing mind
mapping instrument, Otago Café can make their customer satisfied through coordinated effort
and correspondence of the employees. In this manner they will also progress their business
too. Coming up next are the numerous advantages of “Mind mapping” (McCaffery, 2010).
Firstly, by utilizing visual thoughts or information representative can without much of a
stretch speak with others in a gathering. Likewise, this model will also diminish time being
required to finish undertakings and hence, will boost the efficiency of the staff members by
representation.

3.1.2 Managerial Decision Making Theory 2 – Cause and effect analysis

This is again defined as a visual tool that helps in determining all the probable
causes of a problem. This problem solving model is being devised by Kaoru Ishikawa, who is
an inventor of quality management. This model involves four main steps. The very first is
determining the problem. As in the current case, the main problem will be dissatisfaction
among the customers which might affect the profits of Otago Café. The next step involves
working out on the major factors being involved such as in appropriate staff members,
degradation of corporate image etc. The third step is determining the possible causes through
brainstorming all the causes being identified at the earlier stage. Finally, evaluating the
diagram that depicts all the probable causes of the identified issue in the café. One of the
major advantage of this model is that it will help in finding out the root cause of the problem
effectively (Mintzberg, 2013).

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3.1.3 Managerial Decision Making Theory 3 - Brainstorming
Contemplating about brainstorming, it is a method by which a gathering can get
answers for a particular issue in the association. Conceptualizing can create new thoughts and
furthermore help to comprehend about where the business is battling and where need to more
concentration too. This tool will also supports to gets more suggestion for improving the
development and gainfulness of Otago Café which might face the problem of customer
dissatisfaction. As indicated by the balustrade, advantages of conceptualizing are, it
encourage people to assemble their thought regarding specific issue and produce the group
working climate (Edward and Sahadev, 2011).

3.2 Management Concepts and Tools

For the purpose of improving the customer satisfaction level and profitability, Otago
Café will make use of the subsequent management concepts and tools.

 Planning – Planning is a procedure of making a choice for the things that needs to be
done, who will do it and in what way later on. By effective planning, Otago Café can
think about their present circumstance and where they need to go. Planning will be
done in relation with training and development of the employees so that they can
deliver effective services to the customers.
 Directing – Directing assumes a critical job in top administration. It is a one sort of
order or heading to perform in a specific technique for lower level specialist. This
function will help café to coordinate their representatives with a certain goal in mind
(Bloom and Van, 2007). The advantages of the coordinating will aides in improving
the work quality, upgrade execution and correspondence ability.
 Controlling – Controlling is also considered as the crucial capacities in the board. It
is used to check the mistakes and articulates in what way it will be fathomed. By
utilizing this capacity, Otago Café will be in a position to direct as well as control
their activities. It will assist them with knowing whether the objective is accomplished
or not.

3.2.1 How will you choose between solutions

There are numerous answers or solution available for solving the issues, but that
solution will be selected will offer best suggestion. I will pick the right solution dependent on

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scarcely any criteria, for example, it has least cost, more advantages, increasingly significant,
progressively productive and less dangerous.

3.2.2 Planning / Implementation of chosen MDP models

I have selected cause and effect analysis, mind mapping and brainstorming models. I
will actualize these administrative choice theories earlier, throughout and amid each phase of
research procedure and venture occasions.

3.3 Proposed Research Methods

Follwing research process will be proposed to Otago Café:

 Defining the problem – Firstly it will be vital to determine the main issue within the
firm.
 Develping problem statement – It involves goals & research questions of the study,
 Development of theoretical outline – This step will define the research study and also
clarifies the reason behind the study of the research problem.
 Selecting design – Research design will be selected that will be used to study a
specific area (Kumar, 2019).
 Accumulation of infromation – Information will be gathered and measured with
different methods.
 Data analysis – Statistical tools will be applied for defining and evaluating the data.
 Elucidation of results – Recommendations will be made in relevance to the problem.

3.3.1 Proposed Data Collection

It is being referred as an organzied method of accumulating as well as measuring
information from variety of sources. There are usually two types of data i.e. primary and
secondary (Miles, 2004). The former one is the raw information which has not been collected
before. On the other hand, the latter one is defined as the data which has been accumulated
earlier. Both primary as well as secondray data will be gathered in the present study. Primary
data will be explored through conducting survey of 20 customers of Otago Café and
secondary data will be collected through exploring numerous articles, magazines, literatures
and books.

3.3.2 Proposed Data Analysis

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 It is being referred as the process through which collected information is being
analysed using different techniques (Saunders, Lewis and Thornhill, 2012). There are two
types of data analysis i.e. quantitative and qualitative. In the present study, quantitative
analysis will be used for analysing the data. In this regards, statistical analysis tools such as
bar graph and charts will be used significantly.

4.0 Conclusion
Consequently, from the above discussion it can be concluded that Otago Café can face
problem related to customer dissatisfaction which will ultimately reduce the profitability of
the business concern. In this context, it will be helpful for the café to analyse the problems
and then select a suitable solution based on the issue being identified. The above report
includes proposed research methods, problem solving methods as well as management
concepts and tools that will be used by Otago Café for improving its profitability and
satisfaction level of the customers.

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References

Bloom, N. and Van, R.J., 2007. Measuring and Explaining Management Practices Across
Firms and Countries. Quarterly Journal of Economics. 2(1), pp.25-30.

Edward, M. and Sahadev, S., 2011. Role of Switching Costs in the Service Quality, Perceived
Value, Customer Satisfaction and Customer Retention Linkage. Asia Pacific Journal of
Marketing and Logistics, 23(3), pp.327-34.

Johnsons, G., Scholes, K. and Whittington, R., 2005. Exploring Corporate Strategy. 7thed.
UK: Prentice Hall.

Kumar, R., 2019. Research methodology: A step-by-step guide for beginners. Sage

Publications Limited.

McCaffery, P., 2010. The higher education manager's handbook: Effective leadership and
management in universities and colleges. London: Routledge Farmer.

Miles, M.B., 2004. Qualitative Data Analysis: A sourcebook of New Methods. Beverly Hills,
CA: Sage.

Mintzberg, H., 2013. The nature of managerial work. New York: Harper and Row.

Saunders, M., Lewis, P. and Thornhill, A., 2012. Research Methods for Business Students.
6thed. Pearson Education Limited.

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