Online Restaurant Business Plan

EXECUTIVE SUMMARY HENNY PENNY is the first online fast food restaurant in the history of Pakistan. Our aim is to provide the quality food of your own choice at your door steps with the most convenient online ordering and payment system.

OUR BUSINESS We take great pride and care to provide you with the best food and dining experience in the quick service online restaurant business. We believe eating sensibly, combined with appropriate exercise, is the best solution for a healthy lifestyle. Whether you're taking back lunch or bringing back dinner, HENNY PENNY has all your favorite chicken, salads, sandwiches, snacks, sweets and Beverages. HENNY PENNY also offers a variety of menu items for those who want lower fat, lower calorie choices etc.To help you further, we've provided nutritional information so you can make informed choices about what to eat.

PURPOSE The purpose to start this business is to serve people of new era with a different and the most competitive style. The prime purpose is to generate profit by providing superb customer services. We aim to be leader in providing quality food items that fit into a balanced diet. Our aim is to provide the hygienic and delicious tastes that the customers have never tasted before. We want to add convenience in the lives of fast food lovers by providing them the most wonderful dining experiences at their doorsteps.

THE MOST FREQUENT CUSTOMER COMPLAINTS:



You can't get a table during busy periods of the day



Food is cooked too far in advance of when I order it

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Food is not served hot enough

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Their food doesn't stay hot if you take it home

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Packaging for take-out food doesn't' keep it warm

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Restaurant is too crowded during meal times

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They don't use high quality meat

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Takes too long to get your order

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People who come in after me get served before I do

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You have to wait too long when you go back to buy something else

FEATURES OF ONLINE RESTAURANT  Aiming to serve you in a way that is more convenient than ever.  Our restaurant caters you 24/7 a week.  This e-restaurant allows greater customer service relationship by providing enhanced service to their customers.  Our e-service ensures hygienic, nutritious, healthy food with quick delivery.

 Customers can cancel or change the order by simply clicking without disturbing their busy schedules.  Calorie guide and nutritional facts are displayed with each food item to help the customer to make the most appropriate choice.  With the unique ordering system, clients can choose from a wide variety of food offerings available in menu.  Clients make their food selections and designate the day and time the food should be delivered.

 Once the order is placed, HENNY PENNY remains in contact with the customer to ensure that food is prepared according to the client's instructions and then confirms the on-time delivery.

VISION STATEMENT

The company's goal is that of a multi-faceted success. Our first responsibility is to the financial well-being of the restaurant. We will meet this goal while trying to consider; 

the effect of our products on the health and well being of our customers (and our staff),



the impact that our business practices and choices will have on the environment, and



The high quality of attitude, fairness, understanding, and generosity between management, staff, customers, and vendors. Awareness of all these factors and the responsible actions that result will give our efforts a sense of purpose and meaning beyond our basic financial goals.

MISSION STATEMENT "Change the way, food is served”

Tom Peter’s, the Management Guru states: “Any business that does not change will be dead in five years”. 2008 will go down in history as the year of change, but still retailers who prefer the old days and are, alas, losing market share. Businesses don’t change for the sake of change, businesses generally change because the consumer either asks or forces them to change. It is not the industry that is forcing change; it is you as consumers.

CORE VALUES AND PHILOSOPHY 

Customer satisfaction through offering high quality food with exceptional service and good value.



Be topical, not typical.



Constantly involve the team in the ideas loop.

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More emphasis placed on the caliber and training of frontline people



We take great pride in serving each other, our customers and our communities.

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We seek continuous improvement in all that we do.

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Build trust relation ship with customers by promoting love and expertise.



We

value

a

sense

of

urgency

and

emphasize

an

innovative,

entrepreneurial approach to business.



We expect fairness and mutual respect in all our activities.



We know our success depends upon the initiative we take individually and our ability to work as a team.

GOALS 

We are committed to exceeding our customers' expectations every time.



We aim to be market leader by providing the superb customer experiences to all our customers and thus by gaining their loyalty.



We will seize every opportunity to innovate and lead the industry on behalf of our customers.



Our goal is to increase the profitability and reputation of business.

PROPOSED BUSINESS LEGAL STATUS Although the legal status of business tends to play an important role in any setup, the proposed fast food business is assumed to operate on a sole proprietorship basis which may extend to partnership in case of addition of new products that might add significant Business to the existing setup.

INDUSTRY ANALYSIS Although the restaurant industry is very competitive, the lifestyle changes created by modern living continue to fuel its steady growth. More and more people have less time, resources, and ability to cook for themselves. Trends are very important and HENNY PENNY is tasking interest to provide lighter, healthier foods at moderate to low prices.

THE RESTAURANT INDUSTRY TODAY The food service business is one of the largest industries in the country. This number has been increasing for the past seven years. In the past five years the restaurant industry has out-performed the national GNP by 40%. The reasons given by the Folkney Report (November 1994) are 1) lifestyle changes, 2) economic climate, and

3) Increase of product variety. There are 600 new restaurants opening every month and over 200 more needed to keep pace with increasing demand.

FUTURE TRENDS & STRATEGIC OPPORTUNITIES The predicated growth trend is very positive both in short and long-term projections. Folkney states that “as modern living creates more demands, people will be compelled to eat more meals away from home”. The DMR Industrial Report (April 1995) estimates this as high as 30% over the next five years. In 1988 The National Restaurant Association released the Foodservice Industry 2000 report that forecasted how the industry might look in the year 2000. Some highlights from the panel's findings: •

"Consumers will spend a greater proportion of their food dollar away from home.

•

Independent operators and entrepreneurs will be the main source of new restaurant concepts.

•

Nutritional concerns will be critical at all types of foodservice operations, and food flavors will be important.

•

Environmental concerns will receive increased attention."

OUR CUSTOMERS/TARGET MARKET All the youngsters, children and fast food lovers who want to get the most exclusive and the more innovative dinning experience

WHO EATS FAST FOOD The food concept and product image of HENNY PENNY will attract 3 different customer profiles; •

THE STUDENT -- more and more young people have developed healthy eating habits. Some also go through a "health food phase" while in college.

•

THE HEALTH CONSCIOUS PERSON OF ANY AGE OR SEX -- this includes anyone on a restricted or prescribed diet or those who have committed to a healthy diet.

•

CURIOUS AND OPEN-MINDED -- "if you try it, you will like it." Through marketing, publicity, and word-of-mouth, people will seek out a new experience and learn that nutritious food can be tasty, fun, convenient, and inexpensive.

WHEN DO PEOPLE EAT FAST FOOD 

Lunch (44%)



Morning snack (40%)



Afternoon snack (31%)



Dinner (19%)



Evening snack (14%)



Breakfast (12%)

The average person (over the age of 12) eats at a fast-food restaurant an average of 9.2 times monthly.

COMPETITIVE ANALYSIS HENNY PENNY is not without competitive pressures. Chief competitors include Yum! Brands, McDonalds, etc Yum! Brands are the world's largest, with 33,000 restaurants in over 100 countries. Four of the company's highly recognizable brands, KFC, Pizza Hut, are global leaders of the Mexican, chicken, pizza, quick-service food categories. Yum! has a workforce of 272,000 employees and is headquartered in Louisville, Kentucky. McDonald's Corporation (McDonald's) is the world's largest foodservice retailing chain with 31,000 fast-food restaurants in 119 countries. The company also operates restaurants under the brand names 'The Boston Market' and 'Chipotle Mexican Grill'. McDonalds operates largely in the US and the UK and is headquartered in Oak Brook, Illinois employing 447,000 people.

MAJOR COMPETITORS 

McDonald’s



KFC

SWOT ANALYSIS

HENNY PENNY restaurant is well positioned to leverage its strengths and address reasonable threats, weaknesses, and opportunities. The table below highlights these Strengths, Weaknesses, Opportunities, and Threats.

Strengths •

It’s the first online fast food restaurant in the history of Pakistan

•

Menu reflects demand for fresh, healthy and fast food.

•

Use of non-traditional channels.

•

Partnering with the Pakistan food association

•

Customizable menu offerings.

•

Staff training is structured and designed to assure rapid start-up and success.

•

Convenience is an important factor of fast food restaurant i

Weaknesses •

Employee turnover is high.

•

Lack of trust of general public about online order placing and then finally get their desired food item

Opportunities •

Continue to Grow Business in the whole country

•

Update website decor to encourage more dine-in business.

•

Improve Customer Service Model.

•

Continue to expand channel opportunities to include event wagons.

•

Expand packaged dessert offerings.

•

Continue to revise and refresh menu offerings.

•

Develop more partnerships with movie producers and toy manufacturers to promote new movie releases through children's menu packaging and cobranding opportunities.

Threats •

Food contamination

•

Competition.

•

Economic downturn.

•

Government policies

•

Bird Flu

•

People with the access of internet only can place online orders.

COMPETITIVE STRATEGY There are three major ways in which we will create an advantage over our competitors: 1. Product identity, quality, and novelty 2. High employee motivation and good sales attitude 3. Innovative and aggressive service options

NUTRITION CALCULATOR HENNY PENNY serves a wide range of quality foods that can easily fit into individual diet needs based on the principles of balance, variety and moderation. Our varied menu and range of serving sizes make it easy to fit our food into a balanced diet and to create a range of meal combinations that fall within recommended guidelines for calories, fat and other nutrients.

Concerned about fat content? Need a special order? With our cooking system, customers can special order various menu items to help meet their nutrition needs. . Today, building on our Food Facts program, nutrition information is also included on our double-sided tray liners and on posters that are conveniently located near our front counters. Also, customers can get nutrition information online. Simply visit our Nutrition Calculator for nutrition and ingredient information and to customize menu items to your needs. HENNY PENNY is also helping you learn more about our food by adding nutrition information on some of our packaging. Some of our packaging now includes the HENNY PENNY Nutrition Chart Our goal is to provide you with the information you need to assist you in making sensible decisions about balance, variety and moderation in your diet.

FOOD QUALITY ASSURANCE The bedrock of all our socially responsible supply efforts is our commitment to ensuring that all the foods and beverages we serve our customers are safe. We do business only with suppliers that share this commitment and work with them to continuously monitor, test, and track our ingredients. We have stringent standards and checks in place in critical areas throughout the food supply chain—from "fork to farm."

PURCHASING HIGH-QUALITY SAFE FOOD PRODUCTS Companies that supply food products to the HENNY PENNY must have a number of food safety programs in place. They include, among others, programs for sanitation, pest control, and microbiological control, and a hazard analysis critical control point (HACCP) plan and program. HACCP is widely recognized, worldwide, as an effective method of preventing food-borne illnesses.

ENSURING FOOD SAFETY AT THE RESTAURANT LEVEL Food safety training begins the first day an employee arrives for work, with an orientation to our standards. It is reinforced and expanded in the curricula and materials that prepare restaurant employees for more advanced positions. Shift managers must successfully complete an entire course in food safety before being certified as capable of managing a shift alone. Our Operations and Training manual for restaurant managers includes a whole chapter on food safety, with requirements and guidance that cover all the critical control points at the restaurant level—from supply and delivery through storage, preparation, and holding. Food safety procedures are monitored by staff operations consultants, who regularly visit our restaurants to advise managers on operations. The consultants also conduct periodic restaurant operations reviews, which include assessments of food safety procedures. Managers are expected to correct any irregularities identified. Onsite assessments are also used to identify needs for expert assistance and for further development of our training programs. They are an important factor in evaluating company-operated restaurant managers and in deciding whether

owner/operators are qualified for additional restaurants and for continuation within the System.

PACKAGING Packaging design is a fundamental part of our top quality customer service. Many of our menu offerings have unique packaging designs to provide insulation, help ensure food safety, and make them convenient for carryout. This gives us many ongoing opportunities to minimize the environmental impacts of our packaging and to provide industry leadership in natural resource conservation.

INVENTORY MANAGEMENT SYSTEM OF HENNY PENNY Just-in-Time (JIT) inventory is the big thing right now in operations. HENNY PENNY is another example of a JIT system wherein henny penny’s doesn’t begin to cook its orders until a customer has placed a specific order. Now, due to more sophisticated burger-making technology (including a record-breaking bun toaster), henny penny is able to make food fast enough to wait until it's been ordered.

WHAT ARE THE BENEFITS FOR HENNY PENNY? The major benefits for HENNY PENNY are better food at a lower cost. HENNY PENNY has found something that allows them to improve quality and lower costs. Let's take a look at how it does both. 1. Improved Quality the benefits of a better tasting burger should be fairly apparent. Unless of course

you prefer aged burgers, the fresher burger is going to be higher quality if made fresh just for you. The less obvious benefit is the higher quality customer service that arises from the JIT burger assembly. When HENNY PENNY waits for you to order the burger, they do a few things to improve customer service. First of all, when you place a special order, it doesn't send henny penny into a panic that causes huge delays. Now that HENNY PENNY is in the practice of waiting until you order a burger until they make it, they don't freak out when they have to make a special order fresh just for you. This higher quality customer service is subject to henny penny's ability to actually produce faster. Without this ability, henny penny's ordering costs would be sky-high because the costs associated with ordering would be the loss of customers tired of ordering fast food that really isn't fast. 2. Lower Costs The holding costs for burger parts are fairly high because of its spoilage costs. Frozen ground beef that's good today might not be so good in a few months. Once cooked, the same ground beef's spoilage rate shoots through the roof. Instead of having a shelf life of months or weeks, the burger needs to be sold within 15 minutes or so. The holding costs go from roughly 20% per week to 100% per hour. For HENNY PENNY, the benefits of JIT are fairly clear

Henny Penny’s suppliers play a pivotal role in our success, providing quality products at competitive prices. Together, suppliers and the Company create new products, help reduce costs and ensure our customers receive the same great taste of henny penny in every community across the country. In essence, we shop where our customers shop - our shopping basket is just a bit bigger! Henny penny buys and serves the same wholesome foods our customers use at home, supplied by brand name companies which Pakistanis know and trust.

RAW MATERIAL SURVEY

RAW MATERIAL SURVEY The adequate material will be available to support our project from local market suppliers like K&N, Dawn bread. Raw material used in our products belongs to the following categories



Natural form ( chicken , vegetables, rice)

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Finished form ( oil, bread bun, butter cheese ,spices, beverages)

PRODUCTS

Products

Fried Chicken

Chicken Piece

Burgers

Chicken Burger Chicken Cheese Burger

Sandwiche s

Chicken Sandwich

Salads

Beverages

Coke

Egg Sandwich

Sprite

Club Sandwich

Fanta

Zinger Burger

French Fries

Product

Raw material used

Fried chicken

Chicken, floor, oil, spices

Burger

Bun, chicken ,floor, oil, mayonnaise, salad, cheese

Salads

Fruits, Vegetables, chicken, pasta,

Sandwiches

macaronis Bread, chicken, egg, vegetables ,butter, mayonnaise

French fries

Potatoes, oil

Production process flow

Fried chicken

Burger

Rice

Sandwiches

Raw material

Raw material raw material

Raw material

Raw material

Freezing

Freezing

Cutting

Cutting

Pealing

Marinating

Marinating

Cooking

Mixing

Cutting

Frying

Frying

Serving

Filling

Washing

Serving

Filling

Serving

French fries

Frying

Serving

Serving

Operating Facilities and Equipment to run the business: 1. Kitchen Equipment

2. Kitchen apparels



Commercial Fryers



aprons



Hot Food Storage



bandannas



Steam Equipment



caps& hats



Commercial Ovens



chef coats



chef hats

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Wood Cabinet Carts



face masks



Work Tables



finger guard



Tissue rolls



kitchen gloves



Cutlery sets

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Freezers



Generators



Microwaves



Waste bins

3. Cooking equipment

4. Stationary



Restaurant Toasters



Register rolls



Sandwich Grills



Sales book



Sandwich Press



Tape products

ORDERING SYSTEM It is now easier than ever before to order a fast food delivery from your local takeaway because you can do it over the internet. Using this website, you can HENNY PENNY fast food restaurants in your local area and see the entire menu online. Ordering is just a matter of clicking on what you want and entering your address. The order be sent to the fast food restaurant for delivery to you - it's as easy as that. Best of all its completely free!

You don't have to be a member to use this website but if you sign up for a free account, it will make ordering food even easier in the future. You can store all your details so that you only have to enter them once. Signing up also lets you to see a past history of all your orders. You can even see your favorite meals and quickly reorder them.

Ordering you start by entering your postcode. Check out the list and select whichever type of food that you feel like. Instead of ordering by phone and going for your usual burger and chips, you get to see the full menu of this fast food place. Decide what you want and simply click on it to add it to your shopping list. You'll see this at the left of the screen and it shows you everything you've ordered along with the total price. we give you the chance to customize your order by selecting the type of sauce you want on your burger or whether you want salad on your kebab. In your shopping list, you might see a cross like this

next to an item. This means that you can

customize this item. Just click on it to see all the choices you have.

When you're sure you've chosen everything you want, just click on 'Place Order'. After letting us know the delivery address of your order and choosing whether you want to pay by cash or card, just sit back, relax and wait for your food.

What happens next? At any time, you can check on the status of your order by using the order tracking system on this website

PAYMENT PROCEDURE 

On line payment through credit cards



in cash at the time of delivery of order

LOCATION To run the business we have selected the most favorite site of fast food lovers i.e. M.M ALAM Road

DEPARTMENTS OF FAST FOOD RESTAURANT 

Finance department



marketing department



Operations department



purchasing department



customer services department

Finance department: This department is responsible to arrange the cash inflows of the business. it also identifies the sources from where the finances can obtain to run the business operations smoothly. Basic source of financing are: 

Banks.



Credit Unions



Family



Network of connections

With the loan provision proper accounts of cost and revenues are maintained round the year. Such as:

Average Sale per Customer = Total Sales / Number of Customer transactions

This can be done by the year, month, week or day. The important thing is sales members need a target to aim for and this is one of the most effective ways of doing this Sales per Full time Team Member = Total Sales / Number of full time equivalent team members.

To allow you to benchmark with other businesses you need to look at full time equivalent team members to get a comparable figure

Labor Costs as a Percentage of Sales = All payroll expenses related to Sales x 100 \ Total Sales.

This tells you the cost of doing business with your present team

Return on Investment: there are two ways of doing this:

Return on Total Assets (ROA %) = Earnings before Interest & Tax (EBIT) x 100 \ Total Assets Return on Equity (ROE %) = Earnings after Tax (EAT) x 100 \ Owners Funds

NOTE: An old saying "If you can't measure it then you can't manage it."

Marketing department: The marketing department focuses on designing colorful advertising and promotion materials. WE BELIEVE: Your team has the ideas that can help you be topical. Typical businesses tend not involve the team in marketing strategies. Topical businesses constantly involve the team in the ideas loop. Once a month take a couple of hours to work “on” your business with your team, provide some refreshments, and brainstorm ideas. Set a budget (which could be nil) prior to the session so the team have a parameter to work within. The subject could include how to develop unique displays, marketing campaigns or advertising to get more people through your front door

MARKETING PLAN & SALES STRATEGY MARKET PENETRATION Entry into the market should not be a problem. The store has high visibility with

heavy foot traffic all day long. The local residents and students always support new restaurants and the tourists do not have fixed preferences. In addition, $10,000 has been budgeted for a pre-opening advertising and public relations campaign.

Marketing Strategy Focusing on the unique aspect of the product theme (healthy, tasty foods) a mix of marketing vehicles will be created to convey our presence, our image, and our message. Currently advertisement is being done through:    

E-mails Bill boards Advertisement on different entertainment sites Print media

Operations department: This department focuses on preparing food efficiently

Purchasing department: Is responsible to manage the adequate number of supplies and chicken purchases at the right time and in the right quantity.

Customer services department Are concerned to tackle and answer the complaints of customers in the most congenial way. Any inconvenience faced by customers is tried to resolve through 

FAQs



E-mails

If you're having any problems with this website then please don't hesitate to contact us. You can find all our details on our contact page.

If you have any problems or disputes with any of the fast food order that we serve, please contact us and we will investigate. We are also interested in your comment and suggestions. This website is for you so if you can think of anything we can help with, just let us know.

MANAGEMENT REQUIRED TO RUN THE BUSINESS 1. Fast food manager

2. HR manager 3. Quality assurance manager 4. Training & development officer

Designation/type owner kitchen supervisor shift supervisor cook take away order taker dish washer cleaner guard(12hour) Total

no

CALIBER OF HR



Excellent customer service skills



Ability to lead and motivate teams and influence people

1 2 3 4 1 2 1 1 21



Good organizational skills



Energy and stamina



Decision making ability and problem solving skills



Strong communication skills, tact and diplomacy

LONG-TERM DEVELOPMENT

GOALS HENNY PENNY is an innovative concept that targets a new, growing market. We assume that the market will respond, and grow quickly in the next 5 years. Our goals are to create a reputation of quality, consistency and security (safety of food) that will make us the leader of a new style of dining.

STRATEGIES Our marketing efforts will be concentrated on take-out and delivery, the areas of most promising growth. As the market changes, new products may be added to maintain sales.

MILESTONES After the restaurant opens, we will keep a close eye on sales and profit. If we are on target at the end of year 1, we will look to expand it to other countries.

RISK EVALUATION With any new venture, there is risk involved. The success of our project hinges on the strength and acceptance of a fairly new market. After year 1, we expect some copycat competition in the form of other independent units. Chain competition will be much later.