Total Quality Management

Total Quality Management

Kelley’s Seafood Restaurant was founded about 15 years ago by Tim Kelley, who has run it from the start. The restaurant is very profitable because of its excellent food quality, but lately has been having problems with consistency because of numerous suppliers. The restaurant operations are divided into front-end (servers) and back-end (kitchen). The kitchen has notes to boost employee morale, employees are cross trained in all areas, and the kitchen staff continually seek improvements in cooking. Servers, however, have minimal wages and few perks, and turnover is a bit of a problem. Tim’s primary criterion for selecting servers is their ability to show up on time. There is little communication between the front-end and back-end operations, other than fulfilling orders. Tim makes sure that any complaints are referred to him immediately by the servers.

The restaurant has no automation, as Tim believes that it would get in the way of customers’ special requests. “This is the way we’ve done it for the past 15 years and how we will continue to do it,” was his response to a suggestion of using a computerized system to speed up orders and eliminate delays. Tim used to hold staff meetings regularly, but recently they have dropped from once each week to one every five or six months. Most of the time is spent focusing on negative behavior, and Tim has often said “You can’t find good people anymore.”

Jim’s Steakhouse is a family-owned restaurant in the same state. Jim uses only the freshest meats and ingredients from the best suppliers and gives extra large portions of food to customers, who feel they are getting their money’s worth. Jim pays his cooks high wages to attract quality employees. Servers get 70 percent of tips, bussers 20 percent, and the kitchen staff 10 percent to foster teamwork. Many new hires come from referrals from current employees. Jim interviews all potential employees and asks them many pointed questions relating to courtesy, responsibility, and creativity.

The restaurant sponsors bowling nights, golf outings, picnics, and holiday parties for its employees. At Jim’s, birthday customers receive a free dinner, children are welcomed with balloons, candy, and crayons, and big-screen TVs cater to sports fans. Jim walks around and constantly solicits customer feedback. Jim visits many other restaurants to study their operations and learn new techniques. As a result of these visits, Jim installed computers to schedule reservations and enter orders to the kitchen.

 

Discussion Questions

1. Contrast these two restaurants from the perspective of Total Quality. How do they exhibit or not exhibit the fundamental principles of Total Quality?
2. What advice would you recommend to the owners?