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QUICK TRIP Case Study

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Assignment : Quick Trip Case Study

Complete an analysis of the QuickTrip. Assess the organizational layout, performance metrics, and the technology that is used to measure performance and connect with consumers.

Write a six to seven (6-7) page paper in which you:

Question 1. Evaluate QuickTrip operations strategy and explain how the organization seeks to gain a competitive advantage in terms of sustainability.

Answer :

Introduction:

Quick Trip Corporation is a series of convenience stores which are mainly based in Tulsa, started in 1958 by Chester Cadieux and Burt Holmes.  The company also operate in Southern, Arizona and Southern United States and own 758 locations in all these regions. QT is earning approximately 9.16 billion USD dollar revenue every year which place the company at the highest rank of Forbes largest private companies(quiktrip.com, 2019). Company aims to provide convenience to their customers, and then be on the highest level through high volume locations.

Operation strategy of Quick Trip:

Customer-driven strategies: Company is focusing on effective operation strategies which are helping them in increasing their competitive advantage. They are mainly focusing on providing the best possible gasoline products to their customers along with other necessary things which can be required by consumers during their way. They are eager to maintain convivence factor for their consumers, and that is why they are opening new stores in the market to improve their sales and maintaining their first rank.

Development of competitive priorities: Further more they are providing adequate training to their employees so that they can perform effectively and better from their competitor's HR, their training session includes the grooming for employees where they learn about behaviour which may attract customers. They are focusing on strategies of “be best”, “never be satisfied” and “do what is right for Quick trip” so they are giving importance to even minor operations to become better than their competitors (Birgul, 2018).

The advantage for the company:

By implementing these operational strategies company is earning a good competitive advantage in terms of cost advantage, focus advantage and value advantage which is playing a great role in maintaining the company’s value in the market. Company is providing the best possible services to customers which in affordable rates which is a competitive advantage for the company, as people can buy products from QT in better rates than other brands and that is helping in competing with their market competitors. By this practice, they are ensuring customer loyalty which ensure their sustainable competitive advantage.

Another competitive advantage which QT have is their gasoline breakdown is less than their market competitors, they can do more service than others, this is only possible by their effective operational strategies where they give importance to their resources and keep them intact for their quality customers.

Their high-quality service is the reason that their sales are higher than their competitors which is increasing their market value, they are providing safety guards and other services in their stores to ensure that people are getting what is best of QT, and that is generating more value and profit for the company.

Question 2. Analyze how operation management activities affect the customer experience. Select two (2) operation management challenges and provide the solutions for confronting them.

Answer :

Operation management activities and customer experience:

At Quick Trip, store customer shopped very conveniently. Quick Trip store offers them very fast and immediate delivery. They QT stores are always kept neat and tidy. The environment at the QT store is very friendly. Customer shop there with comfort. In all QT store, the arrangement of the inventory is same all the store had the same layout design to deal with their customers within a quick manner. QT store's fast delivery system is its Unique Selling Point. Inventory is arranged in an accessible way so that the customer finds it easy. QT stores always maintain a cash register and all the workers of the QT store are allowed to share it with each other. Many competitors had tried to follow the same pattern of arranging inventory in stores, but the Store manager of QT delivered the statement that the competitors cannot beat us in the level of stability.

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Quick Trip stores had made two systems of maintaining stability. These two methods are (DAW) Daily Activities Worksheet). And the other one is the Daily Shoppers Program. DAW assist the managers in making sure that all the activities are completed. DAW is comprised of three parts timing of the register, work is done and the work related to cleaning the stores and disposing of the trash. When a task is completed, the employee records it on the worksheet, and everyone could see the register. DAW made the completion work in a proper sequence. At Quick Trip store, many hidden shoppers are hired to check the order routine specifications by visiting the store once in a week. These Mystery Shoppers' identity is not disclosed to other employees, working at QT store. There is a manager of each Qt Store, and he takes assistance from other four assistants. These assistants work in different shifts. Store manager directly reports to the Area Manager.

Challenges of management and their solution:

1st challenge:

Operation manager of QT store faces different challenges. One of them is shrinkage of inventory. In the auditor's record, the inventory is filled every three months, and the most selling items inventory is filled after 45 days. Every manager makes the record of inventory at the time of his shift. But the sales level indicates a 0.3% increase in sales, that coasted additional 100$. Security cameras are active on the registers. Many inventories are wasted with the negligence of managers.

Solution

To cope with this issue, the QT store should maintain an online entry system of the inventory. All the entries in the system will indicate the quantity of inventory sold and the quantity of that is restocked. All the mangers According to their shifts pass the entries in the online tracking system. Higher penalties would be charged to the person that misuses the system.

2ndChallenge

The second Challenge faced by the QT store operation manager is to organize the activities of the employees of the QT store. Employee faced a lot of pressure because they had to complete their assigned duties in the given time frame. The employees feel overburdened. And because employees work according to their shift, they had to finish their work in time.

Solution

To cope with this issue, the manager should provide some kind of flexibility in the time frame. They should encourage their employees orally and by providing them with some kind of benefits. It will motivate their employees to work.

Question 3. Examine QuickTrip value chain and evaluate its effectiveness to operations in terms of quality, value creation, and customer satisfaction.

Answer :

The value chain of the company:

Company pay a lot of attention to their supply chain; they are ensuring that their customers have good services along with convenience and for that purpose, they are maintaining their product quality. They are maintaining their store networks and then customer performance to provide the best to their customer.

Effects on quality:

Value chain of a company is affecting their product quality, customers are happy with their products and services, all because of their effective supply chain management and their strategies for increasing their competitive advantage. Their value chain consists, material collected from supplies from their collaborative brands, which is saved in inventory and transferred to their stores which later provided to customers.

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Effect on value:

The supply chain of a company is affecting their value in a positive manage, a major focus of the company is making their employees work potentially which is portraying the strong image of the company in the market, increased sales are showing that company is having to enjoy a good place in the market. They are providing other advantages to their customers who are having a positive impact on their market value as more people participate in their offers and that improves their sales.

Effect on customer satisfaction:

Company’s customer satisfaction ratio is quite high. All because of their service quality and their effective employee performance. The value chain of the company gives priority to customer satisfaction(Nigel & Alexander, 2017). Their main objective is to provide the best to their customers, and their supply chain management is playing its role to make that happen. Customer is satisfied highly as they are getting benefits in shapes of discount offers and coupons which allows them to get their products at less price.

Performance measurement:

In order to ensure perfect operations within their company, performance measurement of employees as well as the company is important; it will allow them to get an insight of organization management and any flaws which can occur problems for the company. Company is already working on this segment, they are following evaluation techniques to assess the performance of employees, for example they are using the daily worksheets which are used by managers to assign tasks to employees and then evaluation of employee routine on workplace, this helps them to calculate a person’s workforce and his behaviour with customers throughout the day.

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Another tool which company use to evaluate the performance of their employees is a 360-degree feedback tool; this tool allows them to understand the performance of their employees(S., Tebboune, & Hardman, 2016). Store managers are evaluated yearly while assistants are evaluated quarterly. These evaluations are filtered up by corporate office, and that help them to rank their stores according to their performance. After performance evaluation, if any employee is found slipped from their performance, the management team have a conversation with them to make their performance better. The company offers many other facilities to their employees like training and assistance in their issues, they try at and extend to improve their performance if any employee does not show any progress than they take serious measures about that employee.

Question : 4. Determine the different types of performance measurements that can be used to measure QuickTrip service-delivery system design. Select at least two (2) types that can be applied and provide justifications for the selection.

Answer :

Techniques of performance measurement in QT

Although the company is already using ways to evaluate the performance of their employees but to improve their system following are some techniques which can ensure effective performance measurement of employees.

Technique 1: Method: Management by objectives:

This is the most effective way to evaluate the performance of the employee; in this method different objectives are set by managers for employees which they have to achieve within a given timeline. This method is effective for company, it will motivate employees to complete their task within time and get rewarded by their management, effective training is already provided by company, so this method will help in checking the performance of employees according to needs of their workplace, every employee will get benefit at the end of this system, while ultimate advantage will be for company that they will have an effective and efficient staff which have the ability to perform effectively in all type of environment and workload(Athanasios, 2015). Thus, using this method of performance evaluation will be beneficial for the company to ensure the best performance of their employees which will add to the company’s effective performance.

Technique 2: BARS method:

Behaviourally anchored rating scales is a method which will be used to define the rating of performance on an employee. This rating will indicate the behaviour which an employee performs in a specific situation. This system will allow them to rate their employees according to their performance. This method is a mixture two method, which is the rating scale and other is the critical incident method (Hilal, El-Maaddawy, Al-Sallamin, & Al-Saidy, 2017). This method will allow the company to rank their staff according to their abilities and performance and that will help create a workplace where a person is clear about their roles and have skills according to their performance.

Question 5. Examine the different types of technologies applied to QuickTrip service operations and evaluate how the technologies strengthen the value chain.

Answer :

Technologies applied in QT:

Many defrauders in the US take the important details of the people that use credit cards at the QT store. The quick Trip store has launched a system of “Pump Shield” to overcome this type of fraudulent activities. This system is applied to 760 outlets of QT store. Pump shield is a safeguard from all the scammers. When an unaccredited person uses the card, the pump shield starts blowing a sound and instantly stopped the pump. Thus, it helps in preventing the fraudulent activities of the scammer at the Gas stations of QT stores

QT store had now launched an automated system of employee’s performance record. This system helps in checking the employee’s status of their work. The employees do their work properly and with a sense of being answerable to their actions. This creates a sense of responsibility among the employees. QT store is also using an automated digital assistants’ system to check the inventory record in the stores. These systems also give feedback to the employees in a continuous way. So, the important actions are performed regarding the restocking of the inventory.

Role in strengthening value chain:

The technologies that are used in the QT stores are assisting in strengthening the value chain. As by the use of automated digital assistants, managers get the updated status of the inventory, and they inform their distributors about the requirements of inventory in QT stores. This system ensured instant and quick delivery of inventory and also the availability of stock for the customers.

Conclusion:

All in all, the company is working effectively to improve their supply chain in order to maintain their rank in the industry. They are using unique technologies which are influencing their value chain along with effective evaluation techniques to keep up their good organizational management.

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