BUSS 2058 Managing Services
BUSS 2058 Managing Services
Case situation: The Fast-Food Revolution with Automated Technologies
Due Date and Time & Word Count: 20 may 11 pm . 2250 words
Assignment Format: Report.
An Individual Assignment for submission.
Read the case situation on pages 1 & 2 and explore the 6 tasks with appropriate headings and subheadings.
Your report should be structured and, where appropriate to address the questions for the case situation.
Executive Summary. A maximum of 150 words.
Contents page. no need.
Body/content of the Report with appropriate headings and subheadings address the questions for the case situation.
Recommendations.
Conclusions. (Recommendations and conclusions should be written as separate sections and not bundled up together).
Report must be.
The relevance of your answer to the case situation
Originality and creative thought
Up-to-date research of the topic
Clarity of expressions
Supporting evidences for arguments as in-text citations. You must attribute each and every assertion made in your argument to the relevant source(s) /reference(s). Please note that each paragraph should haveat least2 in-text citations and one (minimum) of it is an academic citation.Failure to meet this requirement will result in a fail grade asyour writing will not be counted as your original work.
Proper acknowledgement of sources and appropriate referencing using APA 7 Referencing
Logical planning and sequence
The overall presentation, including correct grammar, spelling, and punctuation.
Use of inclusive language
Adequate research, reflecting engagement with set readings, text(s), journals and other relevant materials. You are requested to cite at least SIX (6)academic referencesin the report using the APA7 System, including at least three (3) academic journal articles. An omission to include 3 academic journal articles or incorrect use of the APA 7 Referencing System will result in a failure for the referencing component.
Please do not use Wikipedia, Lecture slides, YouTube, ChatGPT or other non-academic websites as the basis for your research. Please note, every paragraph should have at least TWO (2) in-text citations with academic sources. If not,the writing will be countedasnot an originalreport.
References and intext citation from these books
Gemmel, P., Van Looy, B., & Van Dierdonck, R. (2013). Service Management: An Integrated Approach (3rd ed.). Pearson, Harlow. (Main text book)
Bordoloi, S., Fitzsimmons, J. A., & Fitzsimmons, M. J. (2019). Service Management: Operations, Strategy, Information Technology (9th ed.). McGraw-Hill.
Johnston, R., Shulver, M., Slack, N., & Clark, G. (2021). Service Operations Management (5th ed.). Pearson Education Limited. Harlow
Sampson, S. E. (2021). A Strategic Framework for Task Automation in Professional Services. Journal of Service Research, 24(1), 122140. doi: 10.1177/109467052094040
At least 3 more references from here: A few suggested articles (only to give you some idea on type of articles).
Jaakkola, E., Helkkula, A., & Aarikka-Stenroos, L. (2015). Service experience co-creation: conceptualization, implications, and future research directions. Journal of Service Management, 26(2), 182-205. https://doi.org/10.1108/JOSM-12-2014-0323
Izogo Ernest, E., & Ogba, I.-E. (2015). Service quality, customer satisfaction and loyalty in automobile repair services sector. International Journal of Quality & Reliability Management, 32(3), 250-269. https://doi.org/10.1108/IJQRM-05-2013-0075
Lim, C., & Maglio, P. P. (2019). Clarifying the Concept of Smart Service System. In P. P. Maglio, C. A. Kieliszewski, J. C. Spohrer, K. Lyons, L. Patrcio, & Y. Sawatani (Eds.), Handbook of Service Science, Volume II (pp. 349-376). Springer International Publishing. https://doi.org/10.1007/978-3-319-98512-1_16
Luo, J., Wong, I. A., King, B., Liu, M. T., & Huang, G. (2019). Co-creation and co-destruction of service quality through customer-to-customer interactions. International Journal of Contemporary Hospitality Management, 31(3), 1309-1329. https://doi.org/10.1108/IJCHM-12-2017-0792Osarenkhoe, A., Byarugaba, J. M., Birungi, M. K., Feehi Okoe, A., & Bennani, A. (2014)Technology based service encounter A study of the use of E mail as a booking tool in hotels. Journal of Service Science and Management, 7(1), 419-429.
Ravelomanantsoa, M.S., Ducq, Y., & Vallespir, B. (2019). A state of the art and comparison of approaches for performance measurement systems definition and design. International Journal of Production Research, 57(15-16), 5026-5046. https://doi.org/10.1080/00207543.2018.1506178
Sampson, S. E. (2021). A Strategic Framework for Task Automation in Professional Services. Journal of Service Research, 24(1), 122140. doi: 10.1177/109467052094040
Case
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The Fast-Food Revolution with Automated Technologies
There are nearly 200,000 fast food restaurants, also known as quick serve restaurants (QSRs), in the U.S. Aitken (2022) reports that McDonalds opened its first automated restaurant in Texas, USA, with technology driven machines handling everything from taking orders to delivering the food to customers. The new McDonalds restaurant in Texas has no seating or bathroom facilities for customers. This facility is geared toward customers who are planning to dine at home or on the go.This restaurant features an Order Ahead Lane where customers who order ahead can receive food by conveyor belt and avoid all human interaction during their order. A restaurant crew will remain inside to help prepare the orders. The technology in this restaurant not only allows us to serve our customers in new, innovative ways, it gives our restaurant team the ability to concentrate more on order speed and accuracy, which makes the experience more enjoyable for everyone, said one franchise owner.
Another QSR, Chipotle, in USA also offers no place for customers to sit inside one of their Ohio restaurants that only takes digital orders. Similarly, Taco Bell is evaluating a new design that features 4 drive-through lanes, double the typical two in Minnesota, USA. Starbucks in USA, which described itself as a third place for customers to gather after home and work, plans to add 400 U.S. stores with only delivery or pickup service in the next 3 years. Starbucks CEO has acknowledged its cafes now are often clogged with pickup, drive-through, delivery and cafe orders all at once. The result: long lines and frustrated customers. His plan is 700 more U.S. stores in the next 3 years with drivethroughs as the primary means of sales.
Americas biggest QSRs companies made a bet during the pandemic that customers would rather eat the food cooked on their restaurant facilities rather than some other places. Now these QSRs are gambling customers will want to do so for years to come. The strategy from these giant QSR chains is to orient their operations around drive-throughs and online ordering while testing new restaurant concepts that only serve food as takeaway, reports Haddon (2023) states these designs will make them more profitable and efficient since restaurants that bring fewer customers inside cost less to build, maintain and staff. Of all orders placed at U.S. fast-food restaurants in 2022, 85% were takeaway. That is down from a high of 90% during 2020, but up from 76% pre-pandemic. Among fullservice restaurants, 33% of orders were takeaway in 2022, which is double the pre-pandemic rates.
The concept of takeaway of food and beverages took root in the years after World War II, as Americans embraced an automobile culture. In the 1970s, the industry fully bought into the takeaway idea. Wendys introduced its pickup window in 1970, with the first McDonalds drivethrough in 1975, fast-forward, now 90% of McDonalds business is now drive-through.
This case situation is Adopted from Jay, Barry & Chucks OM Blog
By looking at this case situation,
1) Explore the nature of the service & service management, which includes processes,
employee and customer orientations of service delivery of QSRs in this fast-food revolution.
Critique whether this fully automation can help QSRs to effectively perform in the market.
2) Evaluate the service process design, technologies and the role of facilities, including the
servicescape to serve customers well in QSRs and similar organisations.
3) Explore resource planning models/ strategies for effective and efficient service delivery by
QSRs and similar service organisations and elaborate on potential service management.
solutions (In this section, the rationale for your recommendations is discussed).
4) Explore your analysis on service quality, capacity, performance and other related service
issues. (In this section, the rationale for your recommendations is discussed).
5) Identity potential ethical issues that can be associated with this service delivery and explore
the challenges these fully automated QSRs might face in the future. (In this section, the
rationale for your recommendations is discussed).
6) Provide your recommendations to QSRs.
References
Aitken, P. (2022, December 24). McDonalds unveils first automated location, social media worried it will cut millions of jobs. Fox Business. https://www.foxbusiness.com/technology/mcdonaldsunveils-first-automated-location-social-media-worried-will-cut-millions-jobs
Haddon, H. (2023, Jan 28). Americans Are Gobbling Up Takeout Food. Restaurants Bet That Wont Change. The Wall Street Journal. https://www.wsj.com/articles/americans-are-gobbling-up-takeoutfood-restaurants-bet-that-wont-change-11674882022?mod=itp_wsj&mod=djemITP_h
Render, B. (2023). OM in the News: The Fast Food Revolution. https://heizerrenderom.wpcomstaging.com/2023/01/29/om-in-the-news-the-fast-food-revolution
