Evaluating the Strengths and Weaknesses of Operation: A Case Study of Caterplus and Service Delivery

Overview

This case study examines operational challenges faced by Caterplus, a catering service provider, and proposes strategies to address service delivery issues with its client On-Line. The paper analyzes cost pressures from supply chain increases and recommends contract revision options alongside staff management improvements.

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Management Theme: Evaluating the Strengths and Weakness of Operation

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Management Theme: Evaluating the Strengths and Weakness of Operation

Every organization faces challenges in its operations, which are often brought by the weaknesses they have. Caterplus is going through challenges that have now affected the delivery of their services to their client, On-Line. Action needs to be taken to ensure that Caterplus enjoys the return of its work while On-Line is satisfied with the services offered. This is only possible through weighing the current services against the new developments that have brought the challenges being faced and deciding the appropriate action to take.

Caterplus should consider revising its contract with On-Line regarding the services initially agreed to be offered. Caterplus should explain in detail the developments they are facing from the suppliers. This should indicate the percentage increase in the expenditure on supplies and the cumulative change in the cost of providing services to On-Line. Having these clearly outlined, Caterplus should give the options from which On-Line will choose their package. The first is to increase the quotation on the contract in the ratio of increase in the amount spend on supplies. This will ensure Caterplus enjoys profit too. Here the quality of the services will remain the same as before. The second option to retain the cost quotation in the original contract but reduce the quality of services provided. This will help compensate for the increase in expenditure on supplies.

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