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FINALIOA Analysis 2016
FINALIOA Analysis 2016
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Student: 1735120
Introduction
The focus of this study is specifically analyzing the service and queuing problem of a Jollibee outlet
in Negros Occidental, Philippines. This study is to provide discourse diagnoses of these problems.
The focal point of this analysis is the data from the 3rd week of October, the highlight of the
MassKara festival in Bacolod City, Philippines. Where approximately 500 customers (walked-in
transactions) dined at Jollibee during the peak period of 10am to 2pm. They received around 30
customers complain within that period. (Source: Lampon, Jollibee Bacolod Manager) We can cay
that the situation was unavoidable during the day of the highlight of festivity in one of the biggest
city in the Philippines and the outlet is full of people.
Organizational background:
Jollibee Restaurant, Philippines is a large company
with 2,933 stores worldwide outside the Philippines
with branches in: USA (26), Vietnam (32), Brunei
(11), Jeddah (7), Qatar, Hong Kong, and Kuwait (1
each), “firmly establishing itself as a growing
international QSR player”. (Jollibee, 2016) Jollibee is
3-market segment, the other 2 are: Greenwich
(pizza-pasta fastfood segment) and Chowking
(Oriental Food Market). Its latest acquisition and
master franchise are: Red Ribbon (cake and pastry) Jollibee outlet. Photo from: https://insideretail.asia/wp-
content/uploads/2015/08/Jolibee.jpg Accessed: December 10,
Mang Inasal (Barbecue chicken) and Burger King, 2016
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Philippine outlets (Jollibee 2016) Filipino taste being introduced to the world with its distinct “pinoy”
taste incorporated to some of the rice menus is one of the competitive advantage of Jollibee. As
Philippines had been colonized by different races such as: Spanish, Chinese, Americans, Malay
(to name the few) it is easy to capture foreign taste buds with its richly flavored rice menus and
Americanized burgers. As of January 2015, Jollibee, with system-wide retail sales received 82.1
Four V’s
billion pesos for the fiscal year 2011.
Picture of Jollibee menu and prices provided by Lampon (Jollibee Bacolod Manager)
Methodology
The theory, tools, techniques and concepts that I am going to use with my analysis are: process
map, to be able to illustrate some of the main restaurant operations in both counter and kitchen,
supply chain management, in order to analyze the operational requirements and if they are being
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met. Perception mismatches, which, is also essential on how to further, improve customer’s
satisfaction and bridge the gap between Jollibee and the customers. Bullwhip effect and
bottleneck, to determine the sources of the problem and how to rectify them. Little’s law: Cycle
time and through put time is used to determine the processing period. Precedence diagram is used
together with process map to illustrate the cycle time and methods of the different processes.
ANALYSIS
Performance Objectives
Workforce: Jollibee crew works per shift basis in Bacolod oulet, here is an example:
6:00am to 10:00am Counter: 6 Kitchen: 9 Dining: 5
10:00am to 2:00pm Counter: 8 Kitchen: 11 Dining: 7
2:00pm to 6:00pm Counter: 7 Kitchen: 11 Dining: 6
6:00pm to 8:00pm Counter: 7 Kitchen: 10 Dining: 6
Jollibee Bacolod is a 24 hours outlet, schedule above selected for time of operation when most
people visits.
Service Process Map: Jollibee counter operation/receiving order process based from Six Sigma
material, 2016 and from figure 5.3, Operational Management (Slack et al) as well.
Below is the process map for kitchen. Only 3 of the many menu was selected for illustration.
The precedence diagram (Slack et. al) shows the estimated and fix cooking time of food.
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Process Map combined with Student: 1735120
Precedence Diagram Student: 1735120
5
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Table below based from Figure 7.6 Operational Management (Slack et. al) as well as based
from customer’s complain and reactions during the focal period of this study:
Requirements
Perception gaps
Friendly Fast
service Service
Jollibee Customers
Jollibee improvement gap
Efficient Slow
Fulfillment
Perception gap
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C1 = 15
customers
Counter runners
C2 = 19
customers
C3 = 14
customers
C1 C2 C3 C4
C4= 17
customers
Throughput time = work in process X cycle time. The work in progress here is the customer.
C1 = 15 (customers) X 3 (min) = 45 minutes for all the customers of counter 1 be served.
C2 = 19 X 3 = 57 minutes
C3 = 14 X 3 = 42 minutes
C4 = 17 X 3 = 51 minutes
We can already see that if the cycle time per customer is 3 minutes, at long queue, customers
have to wait for a long time to get their meal.
When extra crew for advance calls were deployed, let’s assume that:
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The throughput time is down to almost 45%, yet within 30 minutes of waiting is still a long time for
hungry eaters.
C1
Customers Arrival time Start of Activity End of Activity Wait time
1 10:00 10:00 10:03 0 minutes
2
10:03 10:03 10:06 3 minutes
Kitchen
Through put and cycle time
In order to determine the cycle time of the 3 products in the process map on the page 5, we
determine the cycle time of Burger:
Burger
Throughput time = work in process X cycle time. The work in progress here is the burger.
10 pcs is 1 batch
C1 = 10 orders
C2 = 15 orders
51 orders
C3 = 14 orders all in all
C4 = 12 orders
Work in progress 51 orders X 3 minutes cycle time = 153minutes or 2.55 hours to serve all
orders
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Yet Jollibee prepare in advance and cooking continuously therefore within this figure let us say that
25 Burgers were already prepared:
10 burgers can be delivered in first come first serve basis in 9.15 minutes, therefore, the first 10 of
26 customers will get their orders within 9 minutes, the rest of the remaining could be served within
the same cycle time with a total waiting time of approximately 18 minutes.
Conclusion:
Lack of projection, long throughput time, uncontrolled bullwhip effect and high variability are the
causes while queuing and delays of service occur. As this study is applicable during all peak and
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unexpected rise of customers, the process became uncontrollable, therefore, leads to customer
dissatisfaction. The wide menu variety of Jollibee is an advantage yet also affects the throughput
time in all operations. When all orders being accepted at the same time during counter
transactions, there is no projectivity in advance notifying the kitchen ahead of time, therefore,
delays are unavoidable.
Recommendation:
Jollibee could invest for an automated order machine like
this one located near the entrance of Max Restaurant,
Sweden, The function is to key-in orders and skip the
queueing and wait for the number to appear on the screen
for customer’s to claim at the separate counter intended for
picking up advance orders only, therefore, customers can
just locate a seat right away providing customer options,
aside from the counter registers. This is a very effective tool
beneficiary to both counter and kitchen and will solve the
queueing and delay as well as will give the kitchen proper
projection prioritizing what to cook which will save a lot of
time. Therefore, the outlet is ready in any sudden customer
Max, Sweden order machine. Photo from
https://www.yelp.com.au/biz_photos/max-
rise up (bullwhip effect) and be able to control the situation.
stockholm-
5?select=2t3QK6hn92ZO8lYtL_uvkg
Another solution is to avoid crew in running like headless
Accessed: December 19, 2016
chickens at the counter or kitchen. Many time wasted
seeing crew crisscrossing in their stations. What I did when I was a Fastfood Restaurant Manager
similar to this, is that, I give time to know the strength and weaknesses of my crew. I put the fast
ones at the counters and kitchen, and the slow ones at the dining. As most customer’s attention is
at the counter when they are waiting for their food. I also assign example at the griddle 2 or 3 crew
where the space is more and the items are individual handling. Most of the orders are burgers,
therefore, the outlet needs more burger, so I needed more crew to cook them. I as a Manager
stays at the kitchen during peak hours. I also assist in cooking. I could see what is missing in the
kicthen and could assign tasks systematically at that moment in quick decision-making avoiding
time waste. During the hectic operation, tasks needs to adapt to the situation, therefore, I could not
state specifically since most of the decision making arise in focusing on the demand. I just needed
to know who is to where. The cooking methods with cycle time of course are the same as standard
procedures. I maximise the use of “counter runners” (the term is changeable depends on the
fastfood chains). While the customer is ordering, the counter runners listens and already prepares
the items mentioned. They also keep tracks on the ordering while notifying the kitchen right away.
My cashier almost never leaves the register unless needed. I have this notion the moment the
cashier leaves, the customer feels abandoned. So while the customer is giving out his/her orders,
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the counter runners are already working on it, therefore, when the customer is ready to pay, his
order is ready for carrying. These counter runners are also trained cashier so they can take turns
when needed. Dining crew mostly knows what to do, yet they are also flexible, I just re-assign
them in stations, which needed more workforces. One could not perfect an operation. Yet, the
target is to minimise the problem as much as possible.
References:
Not all are usage are listed in reference, most from Operations and Process Management, Slack et. al, 2015
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