Management Business Plan Project

Holy Redeemer Hospital10-20-14

By: Rachel SedgwickAramark Dietetic Internship

Statement of Purpose To better understand

retail management with the usage of promotion, production, market analyzing, and pricing.

Promote a meal intended for the target audience.

Provide people with a vegetarian healthy lunch.

Increase the sales and profit in the Hospitality Café.

Mission Statements

Our mission is to deliver experiences that enrich and nourish lives. From our food and facilities businesses to our uniform and medical technology maintenance businesses, we deliver experiences that enrich and nourish lives every day.

As a Catholic Health System, rooted in the tradition of the Sisters of Holy Redeemer, we care, comfort and heal, following the example of Jesus, proclaiming the hope God offers in the midst of the human struggle.

Goals and ObjectivesGoal 1: Increase total deli sales by implementing Aramark's Meatless Monday retail promotion.

Objective 1: Increase total deli sales by 10% with the eblast, posters, and promotion on the menus compared to the last 2 non-promotional Mondays.

Goal 2: Increase sales of the specialty vegetarian sandwich with sampling and promotion.

Objective 2: Sell a minimum of 16 vegetarian sandwiches during lunch time with the use of promotions and sampling.

Company Summary Holy Redeemer Health System is a Catholic health system

located in Meadowbrook, PA.

It was founded in 1934 by the Sisters of the Holy Redeemer.

The health system contains 250 acute care beds, 350 long term care beds, and 250 beds at the Lafayette location.

Aramark has been partners with Holy Redeemer Health System for 11 years.

Strong focus on Community.

Aramark provides a wide range of duties for the health system such as: • Environmental Services• Linen Distribution Services• Uniforms• Retail• Catering• Staffing- Managers• In patient services• Long term care services

Competitors There are many restaurants near the

hospital for people to eat at, but none within walking distance.

Market AnalysisHoly Redeemer Cafeteria

Tin Pan Alley Tavern (2.3 miles away)

The Allways Café (2.6 miles away)

New Napoli Pizza (1.6 miles away)

Soup $2.19 $4.50 $5.25 N/A

Salad $.36/ounce $6-7.00 $8-9.00 $5.95-8.55

Entrée $5.79 w/ 2 sides and 22 oz. drink

$6.95-7.95 $9-14.00 $7.95-10.75

Sandwich

$4.79 w/ chips, pickle, and 22 oz drink

$6.50-7.95 $9-9.50 $5.45-7.95

Pizza $1.16 Plain Slice$1.43 Meat Slice

N/A N/A $2.00 Plain Slice$2.50 Meat Slice

The real competitor would be employees packing a lunch. Our most recent average cost per check was $4.25 while packing a lunch costs around $1.97.

Customer Close Up Survey 2009

  Positive NegativeInternal

factors

Strengths

Location/convenience (1st floor of hospital) Improved menu Improved salad bar (more options) Cycle menu (constant change to keep people coming back)  Staff members (Dedicated employees, same people every 

day) Large seating area/outside seating  Healthy for Life promotions Prices (cheaper than competitors) Many food options daily Employee discount Serves Breakfast, Lunch, and Dinner Fresh produce section from local farm Friendly and helpful staff Café layout 

 

Weaknesses

Confusing hospital layout (due to the added on buildings) No fryers (due to healthy for life promotion) Oven is broken Cashier line times during peak hours Sandwich station develops line during peak hours Small pizza slices (due to healthy for life promotion) Small retail kitchen (not enough work space) Customers think prices are high Short lunch breaks, so customers want more efficiency

 

External

factors

Opportunities

Improvement in marketing and promotions Updating cash registers (new pricing and discount changes 

need to be applied) Fix broken equipment Possibly bring back fryers (allow the customer to make the 

healthy option) People are more willing to try new foods than before (ability 

to expand the menu with flavors and foods) Competition weaknesses (competitors don’t change their 

menus each day/week like the café does) Promote that the customers are getting a deal by eating the 

café meals

Threats

Local Competitors More people brown bagging lunches Financial resources (may become limited) Possible pop up restaurant within walking distance of hospital Economy (less customers, and cuts somewhere in the retail area 

whether it be less employees, cheaper foods, less choices, etc) Decreasing profit (possible increase in raw food costs) Cost of technology improvements Tax increases Weather conditions

 

Market Segmentation

The Hospitality Café appeals mostly to the employees of the hospital based on the Customer Close Up Survey from 2009.

Most of the café customers are from the nursing and administrative departments.

Target Market

According to the Customer Close Up Survey:

85% of the customers of the café are females.The most common age group of customers is 35-

49 years old.Most customers are during the lunch hours. Most employees have a 30 minute lunch.They want quick service and healthy fresh food.

Marketing Strategyo Used the Aramark website for posters for the

Meatless Monday promotion.

o Developed Poster for the specialty sandwich to post outside of the café.

o Sent out email blasts to all employees.

o Put promotional information on the menu.

o Prepared samples of specialty sandwich for people to try and bring more customers into the café.

4 P’s of MarketingProduct

• Fresh Mozzarella, tomato, basil, with balsamic

pesto dressing

on ciabatta

Place

• Holy Redeemer Cafeteria• Lunch

Hours• 11am-

2pm• October

20, 2014

Price

• $4.79 per specialty sandwich

meal• Sandwich,

chips, pickle,

and 22 oz. fountain

drink

Promotion

• Specialty sandwich

Poster• Meatless

Monday Poster

• Meal Display

• Samples• Lunch

Menu

Sales Forecast

• The promotional event will provide at least a 10% increase in total deli sales at the Hospitality Café compared to the two previous non-promotional Mondays.

• At least 16 specialty sandwiches will be sold due to promotions and samples.

Food Resources57 Sandwiches worth of product from Aramark’s e-recipes

Note: These rolls are half the size of normal ciabatta rolls so we only used 57.

Employee/Equipment Resources

RefrigeratorFreezerOvenCutting BoardSerrated knifeChef’s knifeEmersion blenderSpoonBowl

Retail ManagerProduction

ManagerStock/Inventory

EmployeeExecutive ChefFood Service

Workers

Financial ResourcesSales

Sales per price unit $4.79

Number of sales made 47

Fixed Costs

Insurance and Administrative $14.64

 

Variable Costs Labor per Unit (2.5 hr., $/12.15hr, 57 units $0.53

Raw Food Cost Total (per sandwich) $73.07 ($1.28) Total Variable Costs $1.81

Break Even Analysis

Breakeven in Number of Units Sold

 

BE = FC/ (SP – VC)

BE = $14.64/ ($4.79 – $1.81)

BE = 4.91 Specialty Sandwiches

EvaluationGoal 1: Increase total deli sales by implementing Aramark's Meatless Monday retail promotion.

Objective 1: Increase total deli sales by 10% with the eblast, posters, and promotion on the menus compared to the last 2 non-promotional Mondays.

Non-promotional Mondays:

10-6-14 Deli Sales: $772.00 $772/$892=100-86.5= 13.5%10-13-14 Deli Sales: $710.00 $710/$892=100-79.6=20.4%

Promotional Meatless Monday: 10-20-14 Deli Sales: $892

EvaluationGoal 2: Increase sales of the specialty vegetarian sandwich with sampling and promotion.

Objective 2: Sell a minimum of 16 vegetarian sandwiches during lunch time with the use of promotions and sampling.

Sold 47 sandwiches, when goal was 16.

31 sandwiches over goal x $4.79 sales price= $148.49 profit over goal

SourcesStrategic Assets. Aramark homepage. https://www.aramark.net/ids/home/topic.aspx?id=5012&contentid=252430 History and Sponsorship. Holy Redeemer. Healthcare. Homecare. Lifecare. http://www.holyredeemer.com/Main/OurHistory1.aspx Customer Close Up Survey PowerPoint. December 2009. Holy Redeemer Health System. Huntington Valley, PA.  Our Business Purpose. ARAMARK Website. Available at: http://www.aramark.com/AboutARAMARK/BusinessPurpose/. Accessed October 13, 2014.

Google Images. Google.com