CERTIFICATION OF AUTHORSHIP: I certify that I am the author of this paper and that
any assistance I received in its preparation is fully acknowledge and disclosed in the paper.
I have also cited any sources from which I used data, ideas of words, whether quoted
directly or paraphrased. I also certify that this paper was prepared by me specifically for
this course.
Executive Summary
This paper identifies the reasons why Sunset Grill at Blue is not operating at its full
potential, thereby minimizing its profits. This paper assesses what makes Sunset Grill at
Blue an attractive franchise while also outlining ways in which it can maximize its
operational potential. Our research will show that the restaurant is falling short of its
earnings potential for reasons relating to excessive throughput time, inadequate design
features, as well as an inefficient utilization of facility layout and an uncoordinated
employee base. This paper not only identifies these fundamental problems which instigate
revenue losses, but it also reveals symptoms of the problem such as bottlenecks, service
slowdowns, and long waiting times. These issues are even more exacerbated when taking
into account the unique location in which the restaurant operates, the demographic
composition of its clientele, and its conflicting managerial business strategy of seeking a
loyal customer base who desire fresh local food while at the same time running it like a
fast food restaurant, which hinders the dining experience that loyal customers may seek.
After the problem and symptoms of the problem are identified, this paper will provide a
thorough analysis that helps to identify the Sunset Grill’s business processes through
process flow diagrams, data analysis of service process features, determining the upper and
lower control limits, while addressing the effectiveness of lean management. Finally, this
paper will provide solutions to these problems that will not only provide managerial focus,
but will also provide a framework for process improvement.
Background
The Sunset Grill at Blue is a restaurant located in the resort town of Blue Mountain,
Ontario, Canada. It is a new restaurant which just finished its first year of operation.
Although the Sunset Grill at Blue is a relatively new restaurant, the franchise, and its
subsequent business model, is not new. In fact, the Sunset Grill began its operations in
1985 in Toronto, Canada. The philosophy of their business model was to serve fresh and
delectable food in a welcoming local diner environment with the belief that loyal