Question: 8. Heather's Diner is considering implementing a balanced Scorecard, as both a planning and performance evaluation tool. In the restaurant industry, customer satisfaction is the

 8. Heather's Diner is considering implementing a balanced Scorecard, as both

8. Heather's Diner is considering implementing a balanced Scorecard, as both a planning and performance evaluation tool. In the restaurant industry, customer satisfaction is the primary determinant of success. Restaurants provide a service, not a product, so the whole experience at the restaurant is as important as the quality of the food. Customers' expectations for ambiance and service vary significantly with the costliness of the meals and beverages, with a minimum expectation that the food tastes good and is safe to eat. Heather's Diner provides both typical diner food such as all-day breakfasts and an array of burgers and sandwiches. In addition, however, it offers a variety of Ukrainian specialties from her grandmother's recipes. The menu attracts two different groups of customers because of the selections on the menu. The majority of the customers are known to the staff, as they have eaten in the restaurant more than once. 6 Required: a) Describe three performance indicators that could be included in the customer perspective of the Balanced Scorecard to measure customer satisfaction. For each of the three measures, indicate whether it is a direct or indirect method of measuring customer satisfaction, and how the diner can go about collecting the data you are recommending b) Explain how the emphasis on improving customer satisfaction ties in to the financial perspective of the Balanced Scorecard, c) Be creative. Propose one change in the operations of the restaurant that Heather's Diner might incorporate to increase customer satisfaction. In a strategy map, where would you place this recommendation? Why? 2 2

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