The success of Hard Rock Café was to a certain extent determined by the operations management decisions. Let us analyze each of 10 operations management decisions of the Hard Rock networks of cafes.
The managers of the café are very precise in determining the location of each new café (restaurant, casino, museum) etc. They choose the state, city and even street or corner with regard to customer preferences (Johnston, 2008). Governance of Hard Rock Café believes that every choice is important and that location decisions strongly affect their brand.
2. Human resources and job design
The employees of Hard Rock Café are attracted not only by the brand and working conditions; they are chosen basing on their passion for music and they mostly have engaging personalities. Jobs are designed to motivate the employees and make them part of the company.
One more issue that makes Hard Rock Cafés unforgettable, is their layout. Everything has its place, from memorabilia, screens and sound to kitchen and bar layout (Lussier, 2008). Also, the connection of bars and cafes with retail shops are a successful decision which allows to increase revenue. The circulations paths are carefully thought out and lead the customer into the Hard Rock empire.
4. Product design
The product in Hard Rock Café is food; in retail stores the assortment of the stores can also be accepted as product. With museums, it is the choice of memorabilia which can be represented as the product, and in the casinos it’s the atmosphere and the available entertainments. The combination of retail and cooking solutions creates a comfortable environment for the customers. Focus on live music added interest to Hard Rock Café products.
5. Quality management
Hard Rock Café offers food of exceptional quality; its collections of memorabilia and associated stories are also a unique product attracting their customers. Menus are flexible and are adjusted to customer preferences in the area, season, fashion etc. The same can be referred to other Hard Rock products: choice of music and memorabilia. To manage quality, regular surveys are performed. The quality of management is very high, since the marks lower than maximal (7) are considered a failure.
6. Inventory management
Inventory of Hard Rock Café network is first of all the music and memorabilia collections, worth more than 40 million dollars (Johnston, 2008). These items are mostly placed on the walls of the cafes, and have a marketing purpose, first of all. Other types of inventory are merchandise and food. While memorabilia collection is preserved and enlarged, merchandise and food products experience a quick turnover.
7. Supply chain management
The supply chain for food is optimized to be as short and quick as possible, with maximal quality. Quality is not compromised, while it’s possible to have longer delivery chains. Merchandise is adjusted to customer demand, and quickly renewed. Memorabilia is collected throughout the country using all possible sources, and the purpose is to augment and enrich it.
Schedules are developed with taking into account many factors, such as last year sales, seasonal changes, local events etc (Lussier, 2008). The company also provides a sales forecast based on sales results of several previous years. Careful planning allows Hard Rock Café to develop in accordance with market.
9. Process design
Hard Rock Café utilizes all possible ways to reach the customers, and aligns its processes to maximize customer interest and profits. In addition to quality food and outstanding environment, retail stores are added for further convenience. The company also maintains a web site, and has own weekly TV program. Thus, Hard Rock Café manages to reach all kinds of customers and attract them in various ways.
Memorabilia collections are constantly expanded and renewed. The exhibits are changed between cafes, thus creating an inflow of customer interest. Menus are adjusted to even daily changes of demand, with tracking intervals up to 15 minutes. High quality of maintenance is one more successful example of operations management at Hard Rock Café.
Currently, the quality of food and service is estimated via surveys with marks from 1 to 7 assigned. 7 is the only accepted mark of quality. The changes in productivity of the kitchen and wait staff can be measured according to the change in survey marks. It can also be recommended to estimate staff response time (in minutes), quality of food and quality of menu choice (in marks). Adding these questions into surveys will allow to estimate the quality of food and service more exactly. Also, the dynamics of total number of visitors and sales volumes can be used to measure change of staff productivity.