A Report

On

Restaurant
FAASOS OPERATIONS STRATEGY

Submitted By
Shaikh faiz ahmad
Roll No: A-(56)
Subject: operation management
Academic Year: 2015-16

Under the guidance of:

Prof. mukundan

In partial fulfillment of the requirement for Masters Degree in

Management Studies (M.M.S.)

Anjuman - I - Islams
Allana Institute of Management Studies (AIAIMS)
Mumbai
October 2015

About Company
FAASOS is a food on demand company primarily disrupting how people order and
get food delivered on mobile. Every day we serve around 10,000 customers who
order through our mobile app and this number is growing significantly every month.
We deliver fantastic varieties of delectable hot food, from wraps to rice and starters to
desserts at doorstep. We aim to become the largest and best-in-class Food on
Demand business in the country.
We have one mission, when you ask "What's for Dinner (or Lunch or even Breakfast)
today?",we give you the answer and deliver it to you in no time. FAASOS raised
Series A funding from Sequoia Capital in FY12, and earlier this year raised $20
million Series B funding from Lightbox Ventures and Innoven Capital.
Today, one can order delicious Daily Specials from our App bit.ly/faasosapp.in 10
cities of India: Gurgaon, Delhi, Bangalore, Pune, Mumbai, Chennai, Indore,
Ahmedabad, Baroda and Hyderabad. Very soon we will be there in every corner of
the nation.

Industry

Restaurants

Founded

Pune, Maharashtra, India (2004)

Founder

Jaydeep Barman Kallol Banerjee

Number of locations

8 cities (January 2015)

Key people

Jaydeep Barman (CEO)

Faasos stands for fanatic activism against substandard

occidental shit

Definition of operation management

Production is the creation of goods and services. Operations management
(OM) is the set of activities that creates the value in the form of goods and
services by transforming inputs into outputs.

Definition of operation strategy

1. Operations strategy is the total Operations strategy is the total
patterns of decisions and actions which set the role, objectives and
activities of the operation so that they contribute to, and support,
the they contribute to and support the organisations business
strategy.
2. Align the value being created (cost, quality, response time,
dependability, convenience, etc.) with resource decisions (inventory,
workforce, capacity, facilities)so that your investment in resources
creates what customers expect and you get a financial return on
that resource investment that is better than your alternatives.

Levels of Strategy

Corporate

Divisional
(Business)

Fin

HR

Mkt

What business
are we in?

How do we compete?

Prod
Dev

Ops

Role of each
function?

FAASOS OPERATIONS STRATEGY

To provide unmatched consistency in operations in support of high product

quality. This must be accomplished with adequate speed, low cost, and
process innovation to accommodate changes in consumer tastes.

From the statement of FAASOSs operations strategy, it is clear that both

consistent and high-performance quality are considered order winners,
while speed, cost, and innovation are considered order qualifiers.

Product Planning
Every company should introduce new products. New products development shapes
the company's future as well as gives a new taste to the customer. A company can
add new products through attainment or promotion. Product planning is just a
systematic decision making in all aspects of the development and management of a

firm products. A product is anything that can be presented to a market to satisfy a

want or need.
Keeping on mind the exact utilization of the product through product planning,
Faasos's Restaurant should keep on adding new products to its menu so as to
accumulate the needs and choices of the customers which are persistently changing.
For instance, the increasing liking of consumers towards healthy food made the
restaurant add healthier food items to its menu. On the other hand, depending upon
the season, it has to add new products for different seasons, for example hot coffee
in winter and milkshakes in summer.
Location Planning
Another most important role that every organisation must focus on is location
planning. Success or failure actually depends on the location where it is situated. So,
location planning plays a vital role for any organisation. Better location planning
leads the organisation in success and obviously worse location planning leads the
organisation in failure. Therefore, it is an essential significant success factors for any
organisation. Thus, it is very important for businesses to choose an ideal location.
Faasoss Restaurants also have to choose their location in such a way that maximum
customers visit their restaurants and have full facilities of parking. Some customers
may have no waiting time to eat in, so drive thru should be introduced. Moreover, it
also prefers locations that are suitable and have plenty space for raw material
delivery.
Process Design
Process planning can be defined as the systematic method by which a product is to
be manufactured economically and competitively. It consists of developing, selecting
and specifying processes, machine tools and other equipment to convert raw
material into finished and assembled products. After developing the product, the
businesses have to develop proper processes planning for making and supporting
the product. Process planning begins after the product design is completed.
In Faasos's restaurant, the operations manager should develop and establishes the
process of cooking food items so that food is prepared using that method which
helps them to maintain the speed and the quality of the food. Moreover, it should
also design processes so that the health, safety and hygiene issues are taken into
consideration. Also the managers should keep on introducing latest equipments with
the advancement of technology so as to bring pace, perfection and quality in the
product.
Product service Design
product is the blueprint for arrangement of facility to provide working, service and
reception, and storage and administrative areas. Traditional methods are used to

design the layout. These methods include templates, scale plans, string diagrams,
and travel charting as they have been proved as low-cost methods of achieving
either optimal or near optimal lplans. Care must be taken by organisation when
designing layout because poor may lead the organisation to reduce the overall
capacity and overall productivity.
In Faasos's Restaurant also, product designing is a very important operation. Due to
the nature of the kitchen space, a good layout design should be carried out.
Operations manager must have good knowledge about what equipment where to
keep. So, a proper layout of the equipments in the kitchen is very essential to ensure
preparation of quality food in less time. It should design its layout keeping in mind the
health and safety issues with minimal supervision. Costs of productions also rely on
the layout.
Supply Chain Management
A supply chain is the flow of processes of moving goods from the customer order
through the raw materials stage, supply, production, and distribution of products to
the customer. All organizations have supply chains of varying degrees, depending
upon the size of the organization and the type of product manufactured. Managing
the chain of actions in the process of supply chain is called as supply chain
management. Effective management must take into account coordinating all the
different pieces of this chain as quickly as possible without losing any of the quality
or customer satisfaction, while still keeping costs down.
In Faasos's also have certain suppliers who supply them the with the raw materials
like buns, beef, patties, ketchup, sauce, mayonnaise, disposable cups, food
packaging materials, etc. Therefore, it has to manage its relationship in an effective
manner so as to get the raw materials at the right time, in proper quantity, and at
acceptable cost.
Inventory Management
Inventory management is another important operation of any organisation. Inventory
management is the process of controlling the stocks needed to run any organisation.
It involves choosing the best method of inventory control. While choosing the method
of inventory control, the organisations must keep in mind the expected demands of
the products.
Faasos's should follow the First-In-First-Out rules in the process of controlling the
inventory. This is because most of the inventory consists of fragile items. Delivery of
inventory happens twice or more times a week depending on the business of the
restaurant. In addition, the stock kept in freezer with proper packaging so as to
ensure freshness of the food items. All this activities comes under inventory
management of the organisation.

Quality Management
Whether for profit, non profit, or an organisation like health-care maintenance
organisation, quality management is the single most important process in any
organisation for maintaining the quality of the goods and services. It also helps the
organisation to keep up the reputation of the organisation. To manage and maintain
the quality of the products and services, the organisation may adopt a number of
practices like quality checks procedure etc.
Quality in Faasos Restaurant is very important because of two reasons. Firstly
because of the legal requirements of the quality of food served. Secondly, to keep up
the good reputation which Faasoss restaurants have earned over the years. Quality
of food can be very difficult to maintain and therefore, Faasos's restaurant carry on a
number of practices to make sure that quality food is served. Some of these
practices are the visits by the food inspector from the head office, supervisor checks
etc.

Conclusion:
Therefore we conclude that operations management is very important for any
organisations as they have a relationship with the overall strategy of the
organisation. Operations management contributes to the strategy and therefore
helps the organisation to gain competitive advantage. For instance, process planning
can help the organisation reduce cost and gain cost advantages and therefore gain
competitive advantage. Therefore the organisations must effectively manage the
operations of the business as it has a massive effect on the strategy of the
organisation.