1 Contrast the difference between functional subsystems of a

1.     Contrast the difference between functional subsystems of a fast food operation (McDonalds) and a hospital providing in-patient meal service plus a staff/visitor cafeteria. (i.e. what is the difference procurement, production, distribution and service)

Solution

Function Fast food sub-system Hospital cafeteria Procurement The procurement strategy is to obtain the ingredients from suppliers who either are closely located or provides the items at best price. The ordering policy should incorporate bulk ordering and storage as there is no need (at least for McD) to provide fresh food to the customers. Must provide fresh food as this is an in-patient food service. Thus, the storage should be minimum and frequent ordering will be done. The strategy should be to procure the ingredients from trusted suppliers (may not be the least price givers) only. Production The operational strategy for production should be based on \'standardization\' because the process efficiency is very crucial. The production capacity should meet the demand and focus should be on lean production and waste elimination (in terms of time and ingredients). The strategy is to provide customized food based on patients\' individualized needs. A lot of coordination with the care-provider group (e.g. doctors and nurse)may be necessary to derive the menu that best suits patient\'s condition. There should be an excess focus on producing the food with the best hygiene. Distribution The distribution of food items will be at the point of sales and also there can be amendments in terms of home deliveries of online/ telephonic orders. The cafeteria management must provide the foods at the cafeteria (for the staffs/visitors) and at the respective patient location. This will need precise monitoring system for patient\'s bed. Service The service will be valued based on the responsiveness of the delivery and the behaviors of the staffs. There should be a standardization of service elements based on the brand communication of the fast food chain which must be maintained. The success of service will always be measured in terms of the quality of food delivered and the degree of adaptability based on the patient\'s individualized requirement. Staff\'s behavior and conduct may niot be of great importance. But their assistance and expertise will be valued.