A Growing Small Business

A Growing Small Business
Name
Institution
A Growing Small Business
Introduction
My business of choice is a coffee and pastry restaurant. The company name is Panther coffee located in Miami, USA. The company mainly deals with selling coffee and a small snack of pastry to its customers. The business mission is to provide quality coffee and delicious pastry to its customers; the vision is to become a world-class restaurant. Culturally it only employs people who are young so that it can train them; this is based on their potential. The company is owned by a couple of Joel and Leticia was founded back in 2010. They got a loan from their parents to start the business.
Business strategy for restaurant
The restaurant uses differentiation business strategy. This is because it is based on the quality of their products without much looking at the implication of the cost it will use. We believe that if we focus on the quality of our coffee, our customers will always return and also refer their friends to our place. This will enable us to compete will other coffee giant companies like Arfact, which is the dominating company I selling coffee and has been in the business for twenty-three years.
Future target of restaurant
The company currently has three branches; Wynwood store, Miami Beach and Coconut Grove. Being an expanding business, we visualize the restaurant will have expanded from the current three branches to around ten. It is currently establishing a business in Mid-Century Modern District.

It would be achieved through reviewing its standards to a higher level and offering seven-star services. The firm should have already established a medical cover for the workers and at the same time creating a pension scheme for the retiring ones to do so without feeling dejected. The worker force which the principal investment should be well compensated with raising their salaries and giving bonuses to them. The most diligent workers should be offered with promotion to encourage fellow workers. It would take some time and a lot of restricting as from the current, where the owners control everything and perform almost all managerial duties with workers only being employed as baristas and waiters with a same basic salary all of them. It is building their world headquarters in Little Haiti which will create 5-10 jobs.
Comparison of three business strategies to the business
Cost leadership versus differentiation- cost leadership means one is minimizing the cost of doing business. This sometimes affects the quality of coffee produced. This will be against our culture of offering high-quality coffee which is the one that attracts our customers to come back again. Differentiation being our business strategy does not take into consideration minimizing costs of production takes cost of quality.
Differentiation versus niche- differentiation mainly takes into account the quality of the products. Niche only takes account of a certain customer base or area which is not according to our vision of expanding and covering people from all walks of life.
Strategy of the business
This is the way a business operates and how its functions are coordinating for it to achieve to achieve its set goals and ambitions. This depends mainly on what the company is about and the type of customers it will serve for it to decide which strategy they will be following. There are primarily two types of the strategy followed by if you are going by the ideologies of human resource management. Competitive business strategy and human resource strategy.
Deciding on which strategy the business should follow depends on two steps. First one has to gather raw data from the ground and come up with advantages and disadvantages of each of them. This is undertaken keenly as it gives the overview for each of them to be followed. What distinct the business from the same firm offering the same services is what determines the choice.
Secondly, one should keenly look at the information that has been gathered and come up with the best decision. It can be done by groups so that various choices by people are taken into consideration. Time schedules should be created to come up with quick measures that resolve the grievances by each, and amicable solutions are built.
It is the stage in which the decisions are put into action. Duties are given to people who are qualified as they are held responsible for each mistake they make. Scorecard can be created to measure level of success
For one to come up with the best strategy both the internal and external environment of the business; -The internal environment entails knowing the resources available for use and the capabilities of the organization. Human resource management can be critical at this stage as employee’s needs are under this and an efficient employee leads to better services being offered. The external environment this is which one considers the goods or services they will provide the market changes target market. They also consider pricing and quality of the products to be sold.
For an organization or business to run smoothly the human resource takes into consideration the decision making policy;
• Meet regularly to discuss the problems facing the company and people should be opening minded as possible.
• Create a channel to talk about their issues and how they will be solved openly. This can be done by testing several ideas that people have.
• Have time frames that are achievable and carried out with ease.
• Let everyone’s opinion be heard without an authoritative ruling.
Cost Leadership Strategy
In this, the organization mainly focuses on the cost minimization strategies so that they provide their goods and services at lowest prices available at the market. It is the measure they use for them to effectively compete in the market.
Differential Strategy
This mainly focuses on producing high-quality goods or services to compete on their quality. Their goal is for them to have the advantage of the opportunity cost so that what they sell have an advantage on how much they can sell their goods; mostly at a higher price. (Storey, 2014)
Approaches to human resource strategy:
Universal strategy- it tends s to bring the notion that the management cares for its employees. Their grievances are heard and adhered to. It focuses on that the strategy is universally accepted by all organizations. Contingency approach-there main focus is to have human resource practices that are effective. They mainly focus on difference between cost leadership versus differentiation.
Difference between cost leadership and differential strategy:
The cost strategy focuses on group contribution while the different ion focuses on individual participation. Cost strategy focus on how they would improve production while defection is best products of high quality. While the cost is mainly how the employee has general roles the different ion is specialized. In cost, there is cooperation on the worker’s side while in different ion there is competition among them. Efficiency is encouraged in cost while innovation in the different ion. Clearly prescribed tasks are given in cost strategy while in different ion roles are undertaken without any pressure. In cost, rules standardize the working, but there are few rules in diffraction.
Focus or Niche
This is the type of strategy that focuses on a specific group of the market to sell its products r offer their services. They do not have the overall lion’s share of the market but tend to be specific. It can be based on male or female, young or old or people from one particular area.
Human resource strategy for the restaurant business
Being a restaurant I took into consideration the kind of business strategy of niche so the workers we choose must have been based on this one had to choose carefully. The loyal soldier was the preferred choice. The workers would feel more appreciated as those who are loyal to the company would be promoted. This would help grow talent and efficiency in the work. Loyal workers more involved making the restaurant develop. The workers would know what our customer base is like and hence better working. Working hours would be considered for every worker as they have stayed with the company long enough. Workers being employed at a younger age and grow to be loyal. The culture of the restaurant would be enhanced.
Comparison of the loyal soldier to other human research strategies
Bargain labourer versus loyal soldier- the bargain labourer does not mainly enhance the quality but who is the cheapest among them. This would lead the organization employing people from all walks of life without considering if they have nature or culture that the restaurant has always wanted.
Committed expert versus loyal soldier- the committed expert might lack the culture of the restaurant hence may though being qualified to lack what it takes to take the restaurant according to what it has created. Free agent versus loyal soldier- free agents sometimes comes with their own cultures which are not in line with what the restaurant has always known. Human resource strategies are ways in which employees are functioning. (Sparrow et al., 2016) as discussed below.
Loyal soldier
This is where the organization raises their talent and put measures that will retain them. Those who remain are called the loyal soldier because they remain in the group through thick and dark. Generally, during employment, they are not given specific instructions. Their promotions can sometimes be not related to previous work done. There is mainly cooperation among workers rather than competition. Unions among the workers help build the togetherness.
Bargain labourer
In this employees are employed based on that they will ask for the lowest work wage. They are not professionals in their work. The employee is trained to perform specific roles that they are taught so that they can be able to undertake it with most comfortable means possible. Wages are usually based on hourly so that it can save the employer money. Unions are not encouraged as there are no formal workers.
Committed expert
This is people who are hired because they are professionals. They are trained early in the beginning of their career and develop their skills as they become experts in what they are doing in life. People are encouraged to work as they as compensated well during their working. Promotion is based on earlier experience but with more significant responsibilities to undertake. Unions are highly motivated to work with them and represent their grievances. Cooperation and completion are seen in this kind of employee hence there is advanced innovation.
Free agent
It is a case where people who have experience in their duties and can do them with expertise are brought into the organization for them to carry out specific duties. (Bolman & Deal, 2017) They are mainly contracting based employees hence no long-term employment. They are not normally promoted from the organization. Individuals are paid according to the set targets and their performance hence no specific for a category they are having. Unions at this stage are not present as they are spacey available. The main thing is that long-term commitment is avoided.
For the restaurant, I choose the loyal soldier taking into consideration I took on the differentiation business strategy which would work efficiently to achieve my desired goals in the business. Being a growing restaurant I with around a hundred workers with no specific roles this would be most effective as I believe in experience is the best teacher. People who usually practice their duties over an extended period tend to become experts. If they have been consistent with their work and portray excellent skills, they should be promoted as this would encourage other workers seeing one of their own being appraised.
Competitive advantage
There being competition in the industry it uses competitive business strategy because there are others still offering same services in the neighbouring area and hence one should be able to distinguish from the rest of them. Since it is a growing business incentive would be based on overall performance and compensation is long term. (Shield et al, 2015). The loyal soldier would outdo the rest of the best human resource management in the restaurant business.
Finance
An improvement they would help lower the cost of the human resource, while at the same time improve on the return by employees. The H.R department should be the one which foreruns in the lowering cost of the restaurant hence creating more profit for the firm.
Customer service
Customer services-management of the human resource would impact well on the competitiveness of the workers hence improvement of services offered. This would be a more efficient in the restaurant as a certified customer would better the restaurant leading to more profits.
Internal process
Internal process- innovations have a great impact on the march of skills hence partnering with other departments would be easy, this would lead to growth. Interdepartmental linking and working together would be helpful. This eases the work being done and no strain or blame game from any side of the firm.
Growth sustainability
Growth Sustainability-Technologies have created an impact on the workforce improving it well would enhance competence. This is due to improved working environment or climate to the workers and customers.
Conclusion
Being a restaurant, workers should have a broad spectrum of roles they can undertake. The culture of the organization is to employ energetic people. It encourages cooperation rather than competition hence would be useful in the restaurant where people need coordination for them to satisfy the needs of the customers they are serving. On the employee side, their union makes them feel a sense of unity.
References
Bolman, L. G., & Deal, T. E. (2017). Reframing organizations: Artistry, choice, and
leadership. John Wiley & Sons.
Shields, J., Brown, M., Kaine, S., Dolle-Samuel, C., North-Samardzic, A., McLean, P., … &
Plimmer, G. (2015). Managing Employee Performance & Reward: Concepts, Practices, and Strategies. Cambridge University Press.
Sparrow, P., Brewster, C., & Chung, C. (2016). Globalizing human resource management.
Routledge.
Storey, J. (2014). New Perspectives on Human Resource Management (Routledge Revivals).
Routledge.