Hard Rock Cafe Global Strategy

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Human Resources.

Hard Rock’s one of the strengths lies with human resources and a training program. Hard Rock cherishes the value of human resources and does not consider easily replaceable factor. Hard Rock hires people who are passionate about music, love to serve and convey the Hard Rock experience to each visitors. Hard Rock values Human Resources as the most important support center of the business. They invest in the training, development and growth of the staff. Hard Rocker (Employees) are trained to lean about not just about products they are selling but communicate with the quests. What would be most memorable experiences than interaction (communication)? Hard Rockers learn about the history of rock and roll and they are incentivized by salary increase and promotion to pursue satisfying communication with quests. Hard Rockers are provided with Health and Wellness programs, Medical, dental, life insurance, training & educational assistance.

Supply Chain Management

Being a global company, most of food ingredients are locally sourced. To secure the quality in food, inspection is reinforced especially in developing countries. Reliable and sustainable supply sources are important. The supply procession is a strategy of Hard Rock Café. Currently, outsource trend turn out to be highly fashionable with several companies globally because of its reimbursement as well-organized and effectual inventory management; Hard Rock Café carefully selects competent suppliers who offer goods and materials consistently in eminence and quantity. Alternatively, Hard Rock Café hires AVICON, which is a specialist company in logistics for their gift operations and retail apparel. Hard Rock Café just focuses on their interior business, and as a result, the profits after outsourcing warehouse space reduction by 44 %, reduced cost of operation by 20%, service level improvement by 22 %, distribution network and transportation that become optimize.

Inventory

The other Hard Rock Café strategy is JIT, planning requirements for materials and inventory. By accurate forecast and outsourcing, Hard Rock Café reduces considerably their inventory. The firm use intermediate, long-range term in foreseeing things like food supplies such as chicken, beef, and pork. On the other hand, short-term sales get forecasted in monthly basis by the café. Hard Rock Café has a system known as “Point of Sale” that captures all transaction data in Hard Rock café worldwide, and then transmit to the headquarters. This data is extremely critical for the headquarters and every branch forecasting. Gap that exists between actual and forecast get regularly checked and specified approved action gets implemented. Through this way, it can be assumed that Hard Rock Café forecast is extremely accurate and well-organized. Or else, the firm will lack materials, food, or enormous inventory creating elevated cost, and reducing provided services

They also hold the largest Rock and Roll memorabilia inventories. These total 60,000 pieces and are properly catalogued using technology.

Scheduling

At Hard Rock scheduling of staff is based on the following factors: community events in the area, seasonality and the previous week’s trend which is used to forecast sales.

Short-term and intermediate scheduling is another Hard Rock Café strategy. At Hard Rock Café, the daily foretell gets broken down into hourly transaction. This drives short-term programs, an hourly estimate of $5,500 in transactions transforms into 19 workstations; therefore, the job get assigned to hosts, wait staff, kitchen staffs and bartenders, with the numerous staffs getting mobilized. The firm equipped an automated forecast software plugs on employees based on their accessibility. So they managed the best deployment on their income to make the operation more competent.

Maintenance

Hard Rock Café acknowledges that maintenance is extremely essential to improve and maintain the firm’s performance. Usually, maintenance makes the firm’s system to be reliable, anti-disruptive, and reduce waste. Generally, maintenance strategy focuses on upholding the system capability. Hard Rock Café has an arrangement to frequently maintain their equipments, kitchen machines and the overall system to keep smooth and reliable operations to deliver superior products and services to its consumers.

Hard Rock Memorabilia is pulled out in stores every 5 years for restoration to ensure that the materials is being taken cared of.

3. Where does Hard Rock fit in the four international operations strategies outlined in Figure 2.9? Explain your answer.

Hard Rock Café promotes the “spirit of rock n’ roll” in its mission, it is through this statement that the Hard Rock experience is branded and patronized the world over. The company delivers the standard on quality of their world-renowned brand and adds a “local” flavor based on the regional location of its cafés and hotels, making it a truly unique experience. “Hard Rocking” gets a twist on every corner of the globe. This proves to be an effective strategy since their locations and customers are mostly targeted towards the tourist market. This international strategy falls under the Multi-Domestic Strategy, it is described as apply a country-by-country approach to product development and marketing, as dictated by specific needs, tastes, laws, and economic situation where competition is on a country-by-country basis. This involves decentralized decision-making on each country in response to local market competitive responsiveness.

On bringing the Hard Rock brand to the world, the company engenders a list of standards to its franchisees. These standards are geared toward their mission-vision. Spanning though the different areas of management and processes is a shared value that the company adapts; From the “rock star” treatment their customers are accustomed to, to the ambiance that they wanted to promote through their interiors, memorabilia and music, and all the works that goes through with it to promote that Hard Rock signature.

The Hard Rock “signature experience” is matched with the peculiar culture on its locations all over the world. This assures the uniqueness of the experience on trotting the world of Hard Rock. Starting with their food, which is based upon local flavor preferences and cuisine, ranging from the classic American burger, to oriental flavor of the Pacific, to Lobsters for its upscale