Info Systems Strategic Planning
BIANCA CAFIQUE is a coffee shop that deals with retail selling of coffee beverages that are served with complimentary pastry to the customers. The shop has 50 employees in total who work in shifts of two. A shift comprises of 25 people inclusive of the supervisor, waiters and the baristas. The menu of the coffee shop is built around espresso-based coffee beverages like cappuccinos, mochas and lattes (Borgmann et al., 1989). Each type of beverage will be offered with whole, soy or skimmed milk (Borgmann et al., 1989). Each of the beverages is based on a shot of espresso, which is prepared in the espresso machine by forcing heated water through ground coffee at high pressure (Borgmann et al., 1989). The trained and highly skilled baristas are charged with the preparation of the unique coffee. The pastry served with coffee is a complimentary gesture of appreciation so there will be no charges levied on them. The coffee is served by the waiters and payment is made at the cashier with either cash or debit cards.
Goals and objectives of the shop
Improving customer management- Due to the high numbers of customers frequenting the shop, there is need of improving their management so that there can be smooth flow inside the shop (Timmons 1999). This is the most important objective since it will increase the effective running and customer satisfaction.
Expanding and opening more branches presumably in the whole country. The goal of the firm is expanding their customer base beyond the locality and goes National. This will be vital for the future existence sustenance of the shop. Growing nationally will help get a very large customer base and this will lead to large revenues in terms of profits (Timmons 1999).
One major objective of the shop is minimizing operating costs. Large volumes of operating costs that is payment, purchases, rent and taxes really pull back the company. Minimizing such costs will really help grow the business to higher and more profitable levels.
Improving contract performance is another objective that the shop has placed. Better performance are the motivating factors for employees and with hardworking and smart working employees then that means growth for the shop (Timmons 1999). When the waiters get good motivations they will relate to the customers and this will create customer loyalty that will really build on sales in the coffee shop.
With time, the shop has a goal of opening a small institute where matters coffee will be taught. Techniques of making coffee will be taught in that school. This will help the business in diversifying its source of revenue.
Strategic plan of the coffee shop
The coffee shop employs three strategic plans that give it an edge in the industry from the competitors. The strategies are;
The company uses the strategy where the customers will be given the complimentary pastry in order to win many customers. Since other companies sell the pastry hand in hand with the coffee, the shop decided to avail them free to the customers. This is totally different and the notion of saving by the customers where they want to save even the last cent they can will push them to the coffee shop where they will get quality and quantity for less cost (Alestete 2014).Customers are always moved and swayed with unique things like the serving of pastry as complimentary. This is why it attracts many customers.
The company always dries and roasts its own coffee with their machines. This will make them incur less cost than what is incurred when buying the already ready coffee. The coffee shop will be a low cost producer in the coffee industry as compared to the other companies in the market. This makes the coffee shop to be an above average performer and with this it gives the company a competitive advantage over the other companies (Rothaermel 2013). When a company cuts cost then automatically it increases its profits. Growing profits will provide dominance in the market.
Here, the shop puts much attention into the small segments that will not affect the market at large greatly. The shop puts the priorities of some customers into much attention like some customer like their beverage in steel cups. The shop will offer them in the steel cups without much complication. This strategy creates customer loyalty and a feeling where a customer feels much appreciated and this great and beneficial for the company (Rothaermel 2013). The shop also orders customized utensils that it uses. This comes with a cheap wholesale price and so this strategy will save the shop money in the long term and increase its revenue attainment.
The above strategies are connected to the Porter’sThree Generic Strategies (Alestete 2014). It is with these strategies that the company gets a competitive edge over its competitors in the market. It will grow to dominate the market if the strategies are implemented smartly and also to the latter. Dominance in the market is what will help the coffee shop grow and achieve its objectives and targets (Rothaermel 2013). Strategies will also improve the employees’ discipline and motivation since they will be working with targets and outlaid plans that should be followed by them (Alestete 2014).
Alstete, J. W. (2014). Strategy Choices of Potential Entrepreneurs. Journal of Education for Business, 89(2), 77-83.
Borgmann, M., & Mahlich, G. C. (1989). U.S. Patent No. 4,852,474. Washington, DC: U.S. Patent and Trademark Office.
Rothaermel, F. T. (2013). Strategic Management: Concepts. McGraw-Hill Irwin.
Timmons, J. A., & Spinelli, S. (1999). New venture creation: Entrepreneurship for the 21st century.