The report is based on improvements suggested in the operations activities at Kumar’s, a south Indian restaurant chain in Dallas area. During the study of its operations 3 problems were identified as, shortage of material, long waiting time and low customer satisfaction. To analyse the root-cause, first ingredients procurement pattern, storage facility, basic process flow and operation of the restaurant is documented. Data is then collected and analysed for all purchased items, total suppliers, time for each activity, problems faced by customers and management. At last, effectiveness of the current measures implemented by the management to tackle these problems is considered. To study the customers preferences, a survey is conducted consisting various questions. Possible improvements are then suggested by quantifying the benefits. For improving the material shortage problem, modification of procurement process of some of the items is suggested. In addition to this, new contracts with suppliers are suggested for Kumar’s. By implementing these solutions, Kumar’s can save as much as $3200 just on one item. Process modification is also suggested to reduce the manual error and service time. To improve the customer satisfaction, use of advance online table booking is suggested.

1. Operations
Management Project
at
Kumar’s Restaurant
By Group 2:
Amitkumar Singalwar
Siddharth Anbuselvan
Sinni Pawar
Sushant Chauhan

2. About Kumar’s Restaurant
 A part of the Restaurant Chain
 3 Branches – Plano, Irving & Austin
 Provides South Indian Style Food
 Authenticated Village Cuisine
with Natural & Organic Ingredients

3. Services Offered by Kumar’s Restaurant
 Vegetarian & Non-Vegetarian Food
 Dining, Catering & Food Delivery
 Monday to Friday - Offers a-la-carte menu
 Saturday & Sunday – Offers only Buffet (Thali)

4. Problems Identified at Kumar’s Restaurant
Shortage
of
Materials
Waiting Time
of
Customers

5. Shortage of Material - Reasons
 Inventory managed manually
 No proper forecasting method employed
 No proper log/stock of inventory

6. Inventory Management – Identifying Critical
Items
ABC Analysis of Items
on Cost
Category A ~= 78%
Category B ~= 17%
Category C ~= 5%

7. Inventory Management - Identifying Critical
Suppliers
ABC Analysis of Suppliers
on Cost
Category A = 77%
Category B = 21%
Category C = 2%

8. Proposed Solutions
Study Sales Data to support better forecasting
Consolidate suppliers – Based on Procurement Data
The identified critical items need to be stocked based on their shelf
life

9. Revised Procurement Quantities
Current Procurement
Process Diagram

10. Revised Procurement Quantities
Rice is a critical item which comes under ‘A’ category. Its shelf life is
higher and revising its procurement quantities can lead to savings.
Basmat
i
Black
Jeera
Ponni
Raw
Sona
Masoori
Monthly savings

11. Low Customer Satisfaction
 Long waiting time for Table
 Long waiting time for Waiter
 Inability to completely understand the dishes offered

12. Current Store Operations - Problems
 Low Table Turnover ratio
 Manual Process – Prone to Error

13. Current Store Operations – Process Flow

14. Low Customer Satisfaction
77, 25%
235, 75%
Would you like to pre-order
before reaching restaurant?
Yes No
Survey carried out to decipher customer preferences regarding reservation & waiting times
Insights from 310 responses :
 There are no sitting preferences
 Customers would like to make a reservation
 Order food after arrival, not before

15. Low Customer Satisfaction
75%
25%
Is 50 minutes of dining time sufficient for
you? (Average is 40 min)
Agree Disagree
87%
13%
Will you pay more, for sitting more than 50
min for dining
No Yes
Insights from 310 responses :
 Majority of customers would prefer waiting no more than 10-15 minutes
 Most will be able to complete the meal within 50 minutes
 Majority would not pay for sitting extra amount of time
29%
34%
18%
3%
12%
0%
1%
1…
2%
How long you can wait?
10 min 15 min 20 min 25 min 30 min
40 min 45 min 50 min 60 min

16. Store Operations & Customer Satisfaction
Solution – Electronic Ordering
 Using one Tablet per table
 Booking the order electronically, not
manually
 Generation of work slips directly
through Tablet

17. Proposed Store Operations
 Revised ordering process
with tablets
 Eliminating 2 processes
from
order processing

18. Electronic Ordering - Benefits
 Detailed information & review
of each dish
 Eliminating the need of floater
 Reducing the waiter
engagement time
 Reducing service time

19. Waiting Time of Customers - Reasons
 Ineffective reservation system
 Customer dining more than normal time
 Phone reservation system not being used

20. Electronic Reservation - Solutions
 A better visibility reservation app – Ex: REZKU Reservation App
 A standard time for dining – approx. 45 min
 Text messages to inform waiting time
 Reduces the Uncertainty of Customer Arrival

21. Summary
 Identified Critical Items and Suppliers
 Improved the process
 Revised the Procurement of Items
 Identified and provided solutions for improving Customer Satisfaction
• Electronic Ordering
• Reservations System

22. Thank you!