Operations Management Case Study Report Case: Benihana of Tokyo PREPARED BY: UNDER THE GUIDANCE OF: Dhruv Gupta 13DM Prof. A.K. Dey. Discusses the development of a chain of “theme” restaurants. The student is asked to evaluate the current operating strategy and suggest a long-term expansion. Case Study on Success of Benihana of Tokyo Group 4. 1. Evolution of Benihana of Tokyo Year Event First restaurant Japan Introduction of Hibachi.
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Skip to main content. Log In Sign Up. Dhruv Gupta 13DM Prof. He got himself enrolled in the school of restaurant management at Benihama York City College, thinking that he would never go hungry in the restaurant business.
He did a systematic analysis of US restaurant market and discovered that although American enjoyed eating in exotic surrounding but were deeply mistrustful towards exotic foods.
Benihana of Tokyo Harvard Case Solution & Analysis by TheCaseSolutions .com on Prezi
He also learned that the American enjoyed watching their food being prepared. These learning helped Rocky to open up his first unit of Figure 2: Benihana founder Hiroaki Benihana by The major benihsna that Rocky addressed “Rocky” Aoki from the analysis was the shortage of skilled labor which he eliminated with the Hibachi table arrangement, which required only the chef as a skilled person.
The instant success of benibana first unit helped Rocky to open six franchises within the next seven years soon after which he realized that the fo owners were investors and had no restaurant experience which made it even more difficult for them to relate to a native Japanese benihanq.
Food and beverages Types of food served: Steak, chicken and shrimp Target customers: Business person, tourist visitors, white collars Site selection: Target high traffic area Benihana restaurants adopted well defined and accurate methods during site selection beniihana training of chefs which helped them reduced the average dinner turnover time.
Apart from this each restaurant had a simply management structure which allowed all the managers to report to the operation manager, Allen Saito who in turn reported to Bill Susha Vice President which made it easier for the top management to control the company. All this along with the unique combination of Japanese paternalism in an American setting made the Benihana model difficult to replicate but there were certain problems that the management was facing during the future expansion plans.
According to Bill Susha Vice President the company could limit to opening only 5 units a year because that was as fast as the two crews of Japanese carpenter could work. Furthermore they had the benigana of the staff and the cost factor which confined them to open there units in major cities.
Tokyo: A Case Study of Benihana of Tokyo Case Study
There were other issues which had to be addressed for example importing every item from Japan used in construction of a unit and using Japanese carpenters. Considering all these advantages and disadvantages into account the company had three principal areas for growth: The United States, overseas and Japan.
With the idea of going public someday the company had moved into joint-ventures in Mexico and overseas for the meantime. The future plans also include targeting younger generations and introducing a combination of Chinese and Japanese operations and expand the Benihana experience in various other domains such as Renoir exhibitions and model agencies etc.
Low Cost Rocky realized that low cost could be achieved and as the customer experience was unique, so it led to high profits. Food cost relative to the industry: Beverages cost lower benihzna the industry: As the menu was simple and limited so, the food wastage was reduced.
Authentic Japanese atmosphere 3. They keep an optimal mix to meet the business district and residential flow. Labour skilled at providing an interactive dining experience, equal attention to all the customers 6.
Hibachi and Teppanyaki Table: Tables are designed in such a way that chef prepares food directly in front of the customers therefore reducing bebihana from waitress and customer can easily communicate the menu.
Then table helps the customer to participate in the cooking process. Model difficult to replicate: Benihana restaurants adopted well defined and accurate methods during site selection and training of chefs which helped them reduced the average dinner turnover time and the unique combination of Japanese paternalism in an American setting made the Benihana model difficult to replicate 8.
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