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N OVA S TEAKS Z AHIR B OKHARI P ATRICK B ROWN M EAGHAN K ELLY M ADISON R OSEN

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O VERVIEW I. Mission Statement II. Market Analysis III. Operations Strategy IV. Quality V. Supply Chain Management VI. Demand Management VII. Pricing Strategy

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M ISSION S TATEMENT Deliver a high quality yet affordable cheesesteak Utilize only high quality, fresh ingredients Support local community Purchase ingredients from local suppliers

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M ARKET S UMMARY 31.8% Young Adults 42.2% Adults 12.1% Seniors 15.8% Kids

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T ARGET M ARKET IS 15-24 Y EAR O LDS Comprises 31.8% of the local population High schools & Universities on the Main Line Under 25 age group eats 46.1% of their food away from home

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N EEDS A SSESSMENT Customization Change toppings Add sides & drinks Price & Quality Low price High quality Customer Service Efficient Friendly employees Delivery service

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O RDER W INNERS Price & Quality Low price, yet high quality product Location Accessible to students Parking lot with building Local Involvement Fresh Ingredients from local suppliers Support local philanthropies, high schools & universities

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O PERATIONS S TRATEGY Process Structure Line- few products, high volume, little specialization Customer Involvement Hybrid office Resource Flexibility Low-moderate Capital Intensity Higher in front office Lower in back office Labor intensive Basic equipment

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C ORE COMPETENCIES & COMPETITIVE PRIORITIES Competencies Chefs Location Technology Suppliers Local ingredients Reliable, pre-determined schedule Good relationships Priorities Quality Consistency Efficiency

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S UPPLIERS Meat Bread Cheeses and Produce Everything Else

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Q UALITY S TRATEGY Lean System Eliminating non value-added activities(waste) Continuous improvement and adds value to functional areas. Types of Waste: Overproduction Inventory Defects

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Q UALITY S TRATEGY Kaizen Method holding low levels of inventory at a time Pull Method let the customer drive demand and production

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Q UALITY C ONTROL Basic training for all employees Each employee is responsible for the quality of their workstation Regular health inspections Make sure each workstation is up to the highest quality Acceptance Sampling Used to hold suppliers accountable for the products delivered.

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Q UALITY C ONTROL 5S Method Sort Straighten Shine Standardize Sustain Control Charts X-bar R-bar C-Charts

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R EVIEW S YSTEM Continuous review system to maximize freshness of ingredients Continuous Review System Low Inventory Combat Fluctuating Demand Minimize Waste

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D EMAND M ANAGEMENT Executive Opinion Weighted Moving Average Linear Regression

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W EEKLY D EMAND F ORECAST 840 weekly customers (60% of Campus Corners traffic)

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Q UEUE M ANAGEMENT iPad Ordering System On-the-go Business Model Cross Functional Team Minimize Potential Queues

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F IXED C OSTS

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V ARIABLE M ONTHLY C OSTS

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P RICING D ECISION

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T HANK Y OU