How to Hard Rock Cafe Success Essay Example
How to Hard Rock Cafe Success Essay Example

How to Hard Rock Cafe Success Essay Example

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  • Pages: 5 (1370 words)
  • Published: April 8, 2017
  • Type: Case Study
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Hard Rock Cafe is a success story in operation management. From its very first London pub in 1971, after 39 years of existence Hard Rock cafe continued expanding and succeeding in many different countries. This paper will discuss how the 10 decisions of the Operation management were made on Hard Rock Cafe as well as operation management challenges and opportunities confronting Hard Rock Cafe when considering an expansion of its business in Hanoi. 1. Critically evaluate the operations management strategy of Hard Rock Cafe as described in the attached case materials.

With the mission: To spread the spirit of Rock ‘n Roll by delivering an exceptional entertainment and dining experience. We are committed to being an important, contributing member of our community and offering the Hard Rock family a fun, healthy, and nurturing work environment while ensu

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ring our long-term success. Nash, Sh. (December 14th, 2009). Hard Rock cafe has won continued success since it was founded in June 14, 1971 when the rock music was explosive in England.

Hard Rock Cafe has uniqueness and more importantly it has launched an excellent strategy in operation management. Experience strategy has helped Hard rock cafe grow from its first Cafe to 129 world wide locations. Bellow is the discussion on some out of 10 decisions of operation management run on Hard Rock Cafe. Taking the success of the Hard Rock Cafe into consideration means considering its service quality and product design. The Cafe offers a range of services from cafes, live music, Rock concerts to hotels and casinos.

They serve customer by “modifying the menu from classic American – burgers and chicken wings- to include higher-end items such as stuff vea

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chops and lobster tail” (Heizer & Render, 2010). And of course, its quality must be the top charts. They always usually change their menu based on the frequent customer survey and localized food taste. “Surveys are done on a regular basis to evaluate quality of food and service at the cafe. Scores are rated on a 1 to 7 scale. And if the score is not a 7, the food or service is a failure” (Heizer & Render, 2010).

Hard Rock not simply offers meals and drink, it provides a unique different experience in each location. ” Experiences are not exclusive about entertainment; company stage an experience whenever they engage customers in a personal and memorable way” (Pine II& Gilmore, 1998). Surely, the key has driven Hard Rock Cafe to success is to build a standard of quality and keep its product and services meet the standard. One factor that brings success to Hard Rock Cafe is Human resource strategy.

Based on their specific services, from the recruitment Hard Rock Cafe looks for people who are passionate with music, like to serve people and have ability to tell story. “Hard Rock builds on a hiring criterion of bright, positive attitude, self-motivated individuals with an employee bill of rights and substantial employee power” (Heizer & Render, 2010). These people will surely inspire customer and make them happy. Hard Rock Cafe also created a great working environment with people who have the same interest but different personality. Besides, training plan is also a very good strategy at Hard Rock. The company’s training is very specific, with job-oriented interactive CDs covering kitchen, retail, and front – of – the house

service. ” (Heizer & Render, 2010). Through the training, employees improve themselves both personally and professionally. Staffs are highly motivated because they can see their opportunities in Hard Rock even they are from a low level as 60% of the managers here are promoted from part time staff. Such strategies have revealed that the Cafe really cares about their employees and their employees do not only come for money but also to obtain job satisfaction. Because location is such a significant cost and revenue driver, location often has the power to make (or break) a company’s business strategy” (Heizer & Render, 2010). Therefore, Hard Rock Cafe has been spending much time and great efforts to analyse location whenever they want to open a new Cafe. Focusing on tourists and people who love music therefore demographics, visitor market, transportation, restaurants/night clubs and political risk are emphasized factors for researching to make sure that Hard Rock Cafe is located in a convenient place for their potential customers.

The analysis also helps them have a long term investment in each Hard Rock cafe. Every opened cafe is a result of an extremely careful decision after investigating the target markets, the proper places and considering the future success in a long period of time. Therefore, location contributes a crucial role in expanding Hard Rock Cafe popularity to world-wide nowadays. The layout is also another important decision that management has to make, and they did really well. The kitchen is set up to be not just only a normal kitchen but also a comfortable working space for all the staff.

The kitchen flows are designed in order to make sure that the

chief, waiters and waitresses have enough space to do their work. The bar and restaurant are designed to bring the highest income for Hard Rock Cafe. The installation of lighting, sound, screens, music and circulation paths is in order to praise memorabilia and as a result, customers are convinced to buy souvenirs naturally. In fact, the retail shops produce about half the company’s profit and they are always displayed at eye-catching areas such as within the restaurant space, flow and work stations.

It’s obviously that scheduling is one of the most important decisions at Hard Rock Cafe. Mr. Ken Hoffman, Hard Rock‘s General manager takes scheduling very serious. There are some factors that affect sales that Ken Hoffman cares when he makes schedule. The number of occupied rooms in nearby hotels is important because not all guests will have dinner in the Hotels. They will look for dinning spots and of course Hard Rock cafe will be their destination because of it uniqueness and well-known. The next factor that they consider is how many events will occur in the area.

The third one is they examine the sales at the same day of previous year. Another factor that Hard Rock Cafe takes into account is the entree sales data, each entree is present 1 customer. With the result of the forecast, Hard Rock Cafe estimates the number of guest will come and they can have an appropriate plan on staffing and menu. There is a fact that inventory management is a different side of Hard Rock cafe. It is not too much when saying that the collection of rock and memorabilia is a trademark that makes Hard

Rock cafe widespread everywhere around the world.

Customers come to Hard Rock Cafe not only for the meals they serve there but also for the items of their favourite artists that they can find on the cafe walls. These items; including autographed guitars, outfits from world tours and rare photographs; are collected and taken care by a special group in Orlando. They manage every single item with every single history, know exactly which item is being exhibit in which cafe on which wall through an inventory system using advantaged technology. A life circle of the exhibition of an item is around 5 to 7 years.

After these years, the item is brought back to Orlando and renovated while another item is being replace it on the wall 2. In light of the above, discuss the operations management challenges and opportunities for Hard Rock when considering an expansion of its business. Hard Rock Cafe has launched the first restaurant in Ho Chi Minh City through franchise license bought by Viet Thai International Company (VTI). This restaurant chain has been successful since 1971 in over 129 worldwide locations.

It seems that after a year of launching, Hard Rock Cafe Vietnam (HRCVN) has been in the right track to the success. VIT (HRCFVN franchisee) also has a long term vision to expand the chain in Vietnam. Director of VIT announced on the launching day that his company would have at least two more Hard Rock Cafe in Vietnam by 2012, one in Hanoi and another one in Dang Nang city (Rock Passion, 2010). In order to evaluate if HRCFVN will be a successful model in Hanoi, following discussion is intended to

examine opportunities and challenges for HRCFVN based on its key decisions concerning operation managements.

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