Sorelle Bakery and Café

SORELLE BAKERY AND CAFÉ
A CASE STUDY PAPER
Submitted to
FRANCIS H. ARROYO
Moderator
School of Management and Accountancy
Ateneo de Zamboanga University
Zamboanga City
Submitted by
CHIONG, YESSA GARIEN R.
HABBI, ALIEDDINE L.
LONGAKIT, JOYSEE THREENEEDAD R.
MIRASOL, KRIZTINE CLAIRENCE R.
QUIDILLA, CHRISTIAN DALE C.
Management 220
On
TH
15 DAY OF FEBRUARY, 2017
This study source was downloaded by 100000865285906 from CourseHero.com on 04-10-2023 04:14:28 GMT -05:00
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I. PROBLEM STATEMENT
Face with the internal conflict amongst the crucial members of the company, how
will the management of Sorelle be able to solve this issue by finding the right solution to
the problem?
II. OBJECTIVES
1. To be able to create a compromise amongst the conflicting parties.
2. To be able to find a way to secure the future of the business.
3. To be able retain the image and standing of the business in the market.
III. SWOT ANALYSIS
Strengths:
1 Sorelle Bakery and Café received a local name in the Sun Francisco Chronicle’s
“Hit of the Week” food section as one of two hands down winners for its
scrumptious poppy seed scones with bits of orange zest, topped with a thin orange
glaze.
2 The shop is once again featured in an article, Cheap Eats where Sorelle was
described as an “Obsecure Haunt Worth Tracking Down”
3 The shop had a quirky wedge shape which is an advantage in the design to attract
customers.
4 About 70% of the business was take out, and the place was bright and shining
clean which can also be their edge to attract customers.
5 80% of the customers were regulars.
Weaknesses:
1 The shop has no formal division of duties between Joan and Susan (siblings).
2 The shop has few employees which makes Susan tired and inefficient in kitchen
works.
3 The business has no formal organizational structure.
4 The business is labor-intensive.
5 Susan is impatient and not well-trained to deal with difficult customers.
6 Sabina, the mother of Joan and Susan, has poor managing skills.
Opportunities:
1 Susan and Joan had an expertise in cooking and pastries which can be an
opportunity for the Sorelle Bakery and Café to serve delicious delicacies to their
customers based on their expertise. Their expertise in cooking makes them known
and profitable.
2 Aside from cooking, Joan had also studied phycology which can be an
opportunity to make encounters with customers meaningful and interesting. This
can create a strong and happy relationship with the customers which is one of the
important elements in business.
Threats:
1 The deteriorating relationship between Joan and Susan (siblings) can affect the
business standing.
2 The Susan’s decision to quit has a negative impact to the business because
customers will surely miss her expertise and creativity in food. Her decision to
quit might be a loss for the business.
IV. ALTERNATIVE COURSE OF ACTION
1. Let Susan leave and find a new replacement.

Advantages:
 There will be no more conflict between the two sisters.
Disadvantages:
 The entity will lose a very important asset.

 It will be very hard to find someone as passionate and dedicating as Susan.
To be able to address the issue, it would be better to just let Susan leave and find a new
replacement because if they continue to have the same set up, they will be ineffective in
doing their jobs which puts the business in risk of falling down. To allow Susan to leave will
stop the conflict between them, though this will be very risky, considering Susan is very
important in the kitchen and they are selling food to the customer. Another problem is that
they will find it very difficult to find someone like Susan, very passionate and dedicating.
2. Convince Susan to stay considering the formal organizational structure with

additional staffs and be able to provide formal division of duties.
Advantages:
 There will be a bigger chance for Susan to stay knowing that she will be getting a
lot of help and Susan is a great asset to the business.
 They will be organized in doing their duties or delegated tasks.
 They will be more productive in doing their tasks.
 Conflict between the two sisters will diminish.
Disadvantages:
 It will add an additional expense to the business.
 It will not be easy to find employees that will work like them.
 Teaching secret recipes will be hard and risky.
Two sisters in one business having different description of work will clash, especially if
one’s work requires more effort than the other. To be able to solve the conflict between these
two, they have to employ new employees to be able to balance out their works which will
result fairness amongst the two and to provide a formal organizational structure and division
of duties, for their works to be organize, efficient, effective and for them to be more
productive. By being able to present this to Susan, there will be a greater chance for her to
decide to stay. Although, by implementing this, they are to expect an additional expense in
the coming period. It will be hard for them to find people who will have the same level of
work with them knowing that they are very dedicated to their work and they are experts in
their own fields. Sharing their secret recipes and trusting their operation will be hard for
them even though they will be there to help and manage.
3. Contact a counseling expert in order for them to settle the issue between them.
Advantages:
 There is a chance for them to reconcile.

 There is a chance for Susan to stay.
 They will be able to voice things out and to settle things out.
Disadvantages:
 There is no assurance that everything will go back the way they were before.
 There is no assurance that Susan will stay, considering that there is no assurance
that changes will take place to address the issue.
 It may disturb their professionalism.
 Additional expense will result from this.
To contact a counseling expert is another recommendation for them. During their

counseling sessions, they will be able to talk about their issues or problems regarding their
operation in their business and to settle them by making arrangements. But there will be no
assurance in these things, it is not one hundred percent that there will be changes or that Susan
will change her mind and stay. This may affect their professional attitude in their daily
operation and this will be an additional expense for them.
V. RECOMMENDATION
Based on the comprehensive analysis of given alternative courses of action, the

marketing analysts recommend: Change to internal approach. As stated George Odo
wondered if a completely different approach to make REAP commercially viable, without
compromising its development agenda. He is also confident that market based approach
would be the best way to address severe poverty in Kenya. However, for us he failed to
recognize the internal happenings within the company. Therefore, we recommend that he
first address the internal issues within the company since we see that it has not been stable
internally. Addressing the problems within should be the first priority and then move on to
the external concerns. Managing the company internally would help them fix their
problems with the contracts, performance, leases and etc. They will be able to be more
efficient with this recommendation itself. The operations would probably be more effective
and efficient if oversight within the company is being addressed.
VI. ACTION PLAN
Activity Description
Responsible Time Frame Budget
person
Set a fixed With the help of Susan will Susan 1 month -
instructions and make a clear instruction
ingredients for the and list of ingredients to be
food. followed in baking or
cooking the food. By doing
this Joan does not need to
be in Kitchen all the time.
Hire 2 employees These employees will be Sabina 1 months -2 $1,000

assigned in the Kitchen months
they will be the one who
will do the cooking and
Baking but with the
instructions and
supervision of Joan.
And other one for the front
desk help Joan in taking
orders and serving
customers
Train Employees Train employees to master Joan and Susan 3 months – 6 -
the baking and cooking of months
the food. These employees
will be trained by Joan.
And in serving the
customer
Take a short family This would help to lessen Mother 3 days $1,000
vacation. the tension between the
two. And they could talk
clearly one on one with the
help of their mother. Their
mother could also convince
Susan not to quit with the
help of new structure. And
make the sisters realize the
value of family, that they
shouldn’t be fighting
instead they must support
and love one another,
ORGANIZATIONAL STRUCTURE
SABINA
MARIA
JOAN SUSAN
New Employee
PAM Kitchen Staff 1 & 2
NAME POSITION JOB DESCRIPTION

SABINA Owner Manage the whole business operation
Marie Business Adviser Advices in business decision of the bakery
JOAN Customer Service Manager Person in charge in customer service, she is the
one who entertain and take orders from the
customers
SUSAN Kitchen Manager Person in charge in the kitchen, she will manage
and supervise employees in cooking or baking,
and maintaining cleanliness in the Kitchen
PAM Cook Will help Susan in cooking.
Kitchen Staff Cook Help in Cooking

1&2
New Kitchen Staff Cook and Assist Pam and Susan in the kitchen
Employee 1 and maintaining cleanliness in the area
Employee 2 Front Desk Crew Assist Joan in front desk, serving dine in
customer, and maintaining cleanliness in the area
VII.POTENTIAL PROBLEM ANALYSIS
With business there are risks to be considered because it can never be avoided in the
first place. It affects the goals and ideals of the management intended for the future of the
company. In this case the CARE company has been struggling on what approach to be able
to be commercially viable. The risk of shifting to the current approach into the internal
approach is high. It would disturb the business operations because the customers and the
farmers may be affected due to the change that is happening. Therefore, it would be hard
for them to cope up with the new system. While coping up is hard they have also to
consider the processes that should or would be done in the duration of the transformation
of the approach used. The processes would use a considerably amount of time that would
hinder the goals of the company.
VIII. BUSINESS MODEL
Customer Segments
 The local customers
 The tourist and passersby
Value Proposition
At Sorelle, the business identity is based around the fact that the company was
created from the dreams and efforts of close family members, making it somehow a
family-oriented business, with some capital support of outsiders. They prioritized on
serving their customers with the best food products their type of business offers, mixing
it together with a kind of service and treatment to its customers that a family member
could expect from another family member. This type of food service is what makes the
business standout among others.
Relationships
 Maintain the already established good relationship the company has in the local
area.
 Maintain and improve the good image the company has been portrayed in the
media, articles, and ‘word of mouth’.
Revenue Streams
Revenue from the sale of its product
Key Activities
 Manufacturing of products
 Selling of products directly through their own shop
 Establishing a good customer feedback among all its product and services
 Establishing a good relationship it has with its customers
Key Partners
 The customers, both local and not, regulars and non-regulars.
 The media people, bloggers, writers, reviewers, etc.
Channel
 Employees
 Business Partners
Cost Structure
 Manufacturing costs
 Utility costs
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SORELLE BAKERY AND CAFÉ

A CASE STUDY PAPER

1. To be able to create a compromise amongst the conflicting parties.

2. To be able to find a way to secure the future of the business.

III. SWOT ANALYSIS

IV. ALTERNATIVE COURSE OF ACTION

1. Let Susan leave and find a new replacement.

 The entity will lose a very important asset.

2. Convince Susan to stay considering the formal organizational structure with

 There is a chance for them to reconcile.

To contact a counseling expert is another recommendation for them. During their

Based on the comprehensive analysis of given alternative courses of action, the

VI. ACTION PLAN

Hire 2 employees These employees will be Sabina 1 months -2 $1,000

PAM Kitchen Staff 1 & 2

NAME POSITION JOB DESCRIPTION

Marie Business Adviser Advices in business decision of the bakery

Kitchen Staff Cook Help in Cooking

VII.POTENTIAL PROBLEM ANALYSIS

VIII. BUSINESS MODEL

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