Term Paper on "Customer Satisfaction and Chili's Restaurant"

Quoted Instructions for "Customer Satisfaction and Chili's Restaurant" Assignment:

Outlining the situation

Chili*****s is a concept company of Brinker International. At one particular location, Boerne, TX, there have been many different changes over the course of the last three years. These changes include, but are not limited to:

a) Management changes *****“ three general management changes, three assistant front of the house management changes, eight back of the house management changes

b) This location has endured two executive changes

c) Three information or feedback collection changes

d) Staffing issues *****“ the majority of the staff drives fifty or more miles to work (finding adequate staffing locally is nearly impossible)

e) Local law changes have effected the guest experience

Management Changes

Management changes have come with a new set of rules for the staff, as well as the guests. Each manager has changed the physical look of the restaurant, which had many of the customers angry due to the nature of the physical appearance (the store decorated in the local high schools colors and sports wear).

Other changes have occurred that are directly linked to the changing of the guard. Happy Hour throughout the company is limited to the bar area only, Monday through Thursday all day and Friday, Saturday, and Sunday from 11 a.m. till 7 p.m., but our store has made different rules partaking of Happy Hour.

Executive Changes

These changes have made it a different place to work. The first area director allowed employees to have breaks for smoking and eating. He would also allow customers to just enter into the bar and seat themselves. All of these policies changed with the new director.

The new director banned smoke breaks and implemented designated eating breaks. These policies made the working conditions less desirable to those that did not need the job, such as younger employees living at home or summer job seekers.

Changes to feedback routes

The style in which feedback was collected was random. One out of every fifteen checks would have a survey the guest could fill out. Then the next idea was to allow every check to have a survey. The newest attempt at the survey idea is to have the manager randomly select tables to talk to and greet with a survey.

Staffing issues

Staffing issues have created many customer service issues. These issues arise from improper training. Training dollars are not being afforded to properly train new employees for the full duration required by the company.

Another problem with the staffing is bulk hiring. Applicants come in waves and instead of hiring just a couple the management *****stockpiles***** employees making it difficult for veteran employees to get hours, thus pushing solid employees out the door for better jobs with more hours.

Local law changes

Much of the business in Boerne was due to the smoking available to guests. Recently laws banned smoking in any public buildings. Before the ban Chili*****s was the only place in the whole town were smoking was permitted.

Research Report

*****¢ Executive Summary--

Persistent problems with customer service exist at Chili*****s in Boerne, Texas. These problems continue due to many changes in the fundamental daily operations of the system. Issues such as management changes, information collection inconsistencies, staffing dilemmas, and local law changes have affected the customer service perception at this location. The question is not a matter of what changes management thinks need to be made, but what changes do the customers want to see so the guests will continue coming or start coming back? This brief outline will demonstrate some of the techniques that are currently being utilized and why these techniques are working and why they are not working. Furthermore, this outline will show through example what other measures could be taken.

Each of these issues mentioned ties into one another. By this, each one has been a result of the other, a *****Snow Ball Affect.***** Each of the management changes has brought about new rules and new ideas for seeing how these newly implemented. Some of the managers used a survey method, however effective this style of information gathering takes too much time for a quick change. Sale due to these changes is being diminished by the week and the survey takes two to three weeks to establish enough results to make informed decisions.

The management changes have affected other areas of customer service, as well. Each of the management changes has brought about new thoughts on staffing. Using proper labor assists in the bottom line this is understood, but saving labor at the cost of improperly taking care of guests is unacceptable. This philosophy of labor control has been spoken out against time and time again through the GSS and still each manager has tried to take the short cut.

In closing, this report and subsequent presentation will show the need for better use of the existing forms of information gathering. Furthermore, new ideas and philosophies will be demonstrated. By working together and gathering the proper information, and better yet, using the information properly the sales from this location can be boosted.

*****¢ Research Design--Description of the research techniques you have chosen and your rationale (e.g., qualitative phone surveys, written surveys sent to a random sample, etc)

*****¢ Methodology--specific details explaining how the survey was implemented. Include a description of the population and any cohorts, the sampling plan and actual sample, details about the administration of the survey, and any other research techniques used.

*****¢ Expected Results and Analysis--The expected, hypothetical results of your research. You may include statistics (average score or response), graphs, or some other way of displaying and explaining the results.

Introduction

Chili*****s Grill & Bar is one of five (5) concept companies owned by Brinker International, Inc. Brinker International, Inc. has the distinction of being one of the most innovative, best managed and progressive companies in the restaurant industry. Chili*****s Grill & Bar was founded in 1975 in Dallas, TX, as a casual dining, neighborhood-style restaurant, offering quality homemade food with a Mexican flare. Chili*****s Grill & Bar has over 1,000 locations in the United States and internationally. (Brinker International, 2001). In order to maintain their stellar reputation, Brinker International, Inc. in general, and Chili*****s Grill & Bar specifically, must continue to offer quality food and support the employees who provide the customers with the kind of service and dining experience they have come to expect.

Chili*****s Grill & Bar franchises are independently owned and operated. The Chili*****s Grill & Bar located in Boerne, TX, has been experiencing a number of issues over the past three years, which threatens its ability to provide the quality of food and superior service for which Chili*****s Grill& Bar is known. These issues include management, executive, feedback, local law-related changes and staffing. As a result of these issues, this location does not share the reputation for innovation, good management and progressiveness. Customer satisfaction has suffered.

Statement of The Problem

One of the objectives of business is to satisfy its customers. Satisfied customers represent repeat business and are the most effective marketing tools. Satisfied customers bring new and potentially repeat customers to the business, helping the business to continue to grow and prosper.

Businesses are said to lose customers, between 10 and 30 percent, annually. One of the primary reasons for this loss is dissatisfaction with the product and/or services being offered (Customer Satisfaction Research, 2006). To determine the cause of customer dissatisfaction, it is important to obtain the reasons directly from customers.

At Chili*****s Grill & Bar, Boerne, TX, revenue has decreased over the past three years, indicating a steady decline in its customer base. One of the reasons for the decline may be related to customer dissatisfaction; however, it is important that the causes(s) are correctly identified and appropriate action is taken. The viability and future of the business is at stake.

Chili*****s at Boerne has attempted a number of methods to obtain much needed input from customers about their experiences and level of satisfaction, with limited success. The methods were: (1) including a survey with every fifteenth check, (2) including a survey with every check, and (3) randomly selecting a table where the manager would talk with customers.

Chili*****s at Boerne needs a comprehensive method to obtain customer data about their experiences.

I need the:

1) Research Design

2) Methodology

3) Expected Results and Analysis

References

Brinker International. (2001). Investor Relations Company Profile. Retrieved from

http://www.shareholder.com/brinker/IRhome.cfm

Customer Satisfaction Research. (2006). An Introduction to the tools and techniques

For conducting customer satisfaction research programmes. Retrieved

June 28th, 2007, from www.benchmark-research.co.uk

Zikmund, W.G. (2003). Essentials of Marketing Research (2nd edition). Orlando, FL: Harcourt Brace & Co.