Coursework Example on Saigon Cafe and Restaurant Management

7 pages
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Middlebury College
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Course work
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Historical Information

Saigon Cafe and Restaurant Ltd located in New Zealand Auckland, New North-road is a fusion of North and South Vietnamese traditional flavor. The Saigon Cafe and Restaurant is acquainted with traditional street foods which include Bun Cha, e crispy edge, Bun Cha, tender pork which served alongside pickled vegetables, rice noodle, nuoc ham, chili, garlic and crisp salad among other delicacies. These traditional meals are prepared by the restaurant owner Pham Tommy and his chefs all from Vietnamese. The reason why the chefs are Vietnamese is to try to preserve the purity of the traditional foods. Their menus range from lunch, dinner, and drinks.


Saigon Cafe and Restaurant had its origin from Vietnam determined to have prepared delicious Vietnamese food and offer friendly service to its customers. Being that the owner of the restaurant Tommy Pham has his origins from Vietnam, he opted to build a restaurant for his people for them to have a delicacy of Vietnamese tradition. His target market is not only the Vietnamese but also the general public who love the art of cooking and so wish to explore traditional food from Vietnamese. Saigon Cafe and Restaurant maintains its originality of its traditional foods by employing its staff who are Vietnamese.

Organizational Structure

For a successful business, Saigon Cafe and Restaurant utilizes an organizational structure with an unblemished hierarchy in place. The topmost organizational organ is the executive management which is run by the owner of Saigon Cafe and Restaurant Tommy Pham. He is responsible for overseeing the overall operations ensuring that they reflect on corporate culture, policies are followed to the latter and ensure that customers are satisfied with the services offered by the organizations. This is the final decision makers and more importantly the one who hires and fires employees. He is also responsible for staff compensation and wage decisions. Other critical responsibilities carried by Tommy Pham include schedules, payroll, budgets and inventory and also purchasing supplies. The executive management which is headed by Tommy Pham also performs the duties of shift supervisors. His responsibilities include providing motivation, guidance, and support to the employees. He also works on complex issues that may arise for instance customer complaints and refund requests. In the absence of the executive manager, he may appoint one of the employees to take up his roles.

Under the executive management, we have the chefs and food prep associates. In Saigon Cafe and Restaurant, the owner Tommy Pham works with others employees as chefs. Their roles include cooking all the menus provided and also cooking with the specification of special orders from customers. They assist customers in coming to the restaurant, takes orders accurately, communicates with them and answer any questions asked by customers. They need to have knowledge about the basic factions of POS system for payment options used in the restaurant. They need to have knowledge on how to handle cheques and credit cards and how to make a change.

Management Style

The management style of Saigon Cafe and Restaurant purely depends on the leadership style of its owner Tommy Pham who is the manager and executive officer of the organization. As the managing director, he is responsible for managing all types of people which includes the customers, suppliers, employees, equity partners and other corporate partners. The management style of the organization is based on five leadership skills which include coercive, democratic, affiliative, pacesetting and coaching skills.

As a coercive leader, the manager makes decisions on the execute confidence and more importantly shows the supremacy of control. This ensures that employees can follow their lead and that their direct and quick decisions are appreciated, and in case of any crisis, these style of management shines. The applicability of this management style comes up when the organizations work under pressure and needs for urgent decision-making.

The democratic leadership management introduces the ideology of participative management where the manager allows employees to participate and subsidize to decision-making. This style of management fosters a sense of belonging and community within the organization. At this stage, the manager brings the staff into seeking opinions and decisions on new special orders, menu items and policies.

The manager at Saigon Cafe and Restaurant also values the affiliative management style where the employees feel like part of the family a big reason why the chefs that work with the manager are Vietnamese. The manager always ensures that he values the harmony of the employees and puts their development first. This gives the staff a sense of inclusion.

In coaching management style, Saigon Cafe and Restaurant manager trainers new employees on utilizing opportunities, encouragement, and feedback. This makes the employees feel a sense of recognition and respect which makes them less likely to leave. The manager motivates his employees because he gives them tools and provides the employee's opportunities for growth.

The manager also sets a pace which he believes the employees should act. The main roles and responsibilities of the employees have to be a key mandate for them being at the organization meaning they have to work. Exercising pacesetting management style ensures that proper services are being offered.

Values and Mission Statement

The general vision of Saigon Cafe and Restaurant is to end up an advanced, dynamic traditional street foods conveying a contemporary customer ordeal. The cutting edge is about getting the brand to where we should be today and dynamically is about being the Saigon Cafe and Restaurant the customers expect tomorrow. To understand this dedication, the organization is centered on conveying extraordinary tasting, superb food to our customers and giving a world-class encounter that makes them feel welcome and esteemed.

Saigon Cafe and Restaurant vision articulation covers various business viewpoints. The organization suggests advancement to fulfill current market needs, as expressed in the contemporary customer experience component of the vision explanation. Additionally, Saigon Cafe and Restaurant portrays its items in the considerable tasting, fantastic food component of the vision explanation. In saying cutting edge, dynamic Saigon Cafe and Restaurant demonstrates that its vision articulation characterizes the sort of business methodology it utilizes for authoritative advancement. A vital target connected to this vision explanation is the advancement of Saigon Cafe and Restaurant merchandise and administrations to match customer inclinations and desires.

Saigon Cafe and Restaurant vision and mission states are enough to describe the difference in food production and to retail vividly as compared to other food companies around the world. The company has majored its service in food retailing, and it has been performing quite well as compared to other food retailing companies. In fact, it is regarded as the bestselling and producing restaurant for traditional Vietnamese flavor.

Companys Financial Performance

Financial statements of Saigon Cafe and Restaurant demonstrates that short-term liabilities are lessened that is the reason they are leading towards better present proportion. Due to its relationship to clients and sellers, Saigon Cafe and Restaurant is an extraordinarily worked substance. It requires opportune and redundant observing of nourishment inventory, legitimate staff on hand to create the menu things and effective administration of building space. Restaurant administration and speculators in the business can use these proportions to increase assist knowledge in regards to the operations of the business

Saigon Cafe and Restaurant use perishable products and things whose quality weakens after some time and keep up suitable levels of inventory. The inventory turnover proportion is computed by isolating net sales by the normal cost of inventory. By and large, restaurants that handle new fixings need to limit inventory turnover to under seven days.


Porters 5 Forces Model

The position of Saigon Cafe and Restaurant as a global leader in the restaurant market is the reason for its effective response to the five forces in its industrial environment. Porters Five Forces are there to identify Saigon Cafe and Restaurant external factors that have influenced its business. To have a better business setup, the organization has to come up with effective strategies implemented to meet the external factors that minimize the negative impact. Saigon Cafe and Restaurant analysis yield the following intensities:


Bargaining power of customers

Threat of substitutes

Bargaining power of supplier

Threats of new entrants


Saigon Cafe and Restaurant originality in the hotel industry does not make its market saturated although these elements look at the effects of competing organizations that are also within the environment. The force of competitive rivalry in the organization is abed on the number of forms, their aggressiveness, and low switching cost. Experiencing a low switching cost indicates that customers can easily transfer to other restaurants meaning that the organization has to be outstanding to guarantee a better customer performance.

Bargaining power of customers

This force deals with the demand and influence of customers. The main ideologies consider in regards to this include low switching costs, the number of organization and the availability of substitutes. Since there is a possibility for customers to switch from one restaurant to another, they can easily dictate their demands on Saigon Cafe and Restaurant. Though this restaurant stands to minimal competition from other restaurants within its vicinity base on its originality, it is obligated to ensuring a proper customer relations. Though this is their establishment, they do not need to neglect the availability of substitutes hence they should develop strategies that emphasis on customer loyalty.

Threat of substitutes

This force is more significant to Saigon Cafe and Restaurant because it has a potential effect of substitutes on the organizational growth. The threats that accompany this include the low switching costs, increased substitute availability and higher performance to cost ratio. For instance, customers can decide to cook their food at home hence this substitute need to be competitive regarding customer satisfaction and quality.

Bargaining power of supplier

Suppliers are also influential to Saigon Cafe and Restaurant business environment. The power of suppliers is based on the large number of suppliers, high overall supply, and a low forward vertical integration. When there is a large population of suppliers, they weaken the effect of individual supply on Saigon Cafe and Restaurant. This does not create a perfect distribution network linked to the organization because the cost of its suppliers is not vertically integrated.

Threats of new entrants

These are the new players on Saigon Cafe and Restaurant that give rise to the threats of low switching cost, increased the cost of brand development and moderate capital cost. The customer can easily move to new restaurants to explore the new services which are also articulated to the moderate capital cost establishment. Though this is the case, it will not be easy for the organization to build a brand that could match that of Saigon Cafe and Restaurant brand.

SWOT Analysis

Strength It has a strong brand recognition

It is a well-organized bra...

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