Scribd
Upload
119 views4 pages

Benihana Simulation

1. Batching allows Benihana to serve 78 additional dinners during peak periods, increasing revenue and profitability since dinners are more profitable than drinks. With batching, 112 customers can be served in the dining room during 8pm peaks compared to 63 without batching. 2. The optimum bar size for maximum profitability is 79. Larger bars decrease the dining area which is the main revenue source. 3. Setting a 45 minute opening/peak period and fluctuating closing times between 45-75 minutes achieves a profit of $139.48. 4. Marketing with a 1.5x advertising budget and a happy hour campaign at 5pm yields a nightly profit of $495

Uploaded by

ishan
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
119 views4 pages

Benihana Simulation

1. Batching allows Benihana to serve 78 additional dinners during peak periods, increasing revenue and profitability since dinners are more profitable than drinks. With batching, 112 customers can be served in the dining room during 8pm peaks compared to 63 without batching. 2. The optimum bar size for maximum profitability is 79. Larger bars decrease the dining area which is the main revenue source. 3. Setting a 45 minute opening/peak period and fluctuating closing times between 45-75 minutes achieves a profit of $139.48. 4. Marketing with a 1.5x advertising budget and a happy hour campaign at 5pm yields a nightly profit of $495

Uploaded by

ishan
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 4

1] How many additional customers can Benihana service with batching?

What is the impact of


batching during peak and non-peak periods?
When there is no batching:

When there is no batching, around 426 drinks are sold and 192 dinners are served
When there is batching:

When there is batching, 196 drinks are sold, and 270 dinners are served.
Hence, during batching there are 78 extra dinners served than non – batching. Hence, the overall revenue during batching shoots up
as dinner is highly profitable. Also, the average dining time is less during batching than in batching.

During peak periods, that is at 8pm, without batching there were 63 customers in the Dining room and 54 customers in the bar.

During peak periods, that is at 8 pm, with batching there were 112 customers in the Dining room and 48 customers in the bar.

Thus, batching increases the capacity utilization of the dining area and leads to more profitability.
During non-peak hours, for example the hours at the beginning or at the end, let us take the timing of 6.30 pm.

At 6.30 pm without batching, there are 30 customers in the dining room and 0 customers in the bar.

At 6.30 pm with batching, there are 30 customers in the dining room and 2 customers in the bar.

Hence, there is not much impact of batching during the non-peak hours.
2] What is the optimum size of the bar for maximum profitability?
From the above runs, it is evident that batching should be used for maximum profitability. Also, the optimum size of the bar should be
79 for maximum profitability. If it is increased beyond 79, the restaurant size decreases which is a main source of revenue and profit.

Hence, a bar size of 79 is optimal for profitability.


3] What is the optimal dining time across an evening?

From the above run details, it can be concluded that when the opening and peak times are fixed for 45
minutes, and the closing time(8pm-10.30pm) fluctuates between 45 and 75, a profit of $139.48 is
achieved.
4] How do marketing efforts affect operations and profitability?

From the above simulation run table, for an advertising budget of 1.5x with the Happy Hour Campaign at
5.00 pm yields a nightly profit of $495.81
5] What is the impact of more complex forms of batching?

When the Batching Type (Open to 7pm) is Tables of 8, Batching type (7pm to 8pm) is Tables of 8, Batching
Type (8 pm to 10:30 pm) is Tables of 4 to 8, the nightly profit of $89.62 which is the highest of all runs is
gained.
6] What decisions will produce the highest throughput? What decisions will produce the highest profit?

From the Scenario 12, we have a nightly profit of $615.63 when the bar size is 79 and the dining is fixed
for 45 minutes for each of the three time slots, the advertising budget is 2 times, the advertising campaign
is of Happy Hour at 5.00 pm and the Batching type is table of 8 for all the time slots. Capacity utilization is
64.44% with a loss of 7 customers.

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy