systems thinking - application to a live business problem

sarang.bhutada@gmail.com

For Slideshare Systems thinking approach to solve

a problem

RR mess is a real life entity. The problem has been identified by us and is in no way a reflection of RR caterer’s views on the issue.

This is strictly an academic exercise.

General :Multiple contractors in IIT CampusCompetition between caterersStudents can complete the

registration through a portal. Administration allots mess membership to a student, if the same is not voluntary.

Problem

How do we increase the

popularity of RR mess ?

Figure 1: RRC Notice Board

Desired State

Figure 2: RRC at peak hour Figure 3: Competitor mess at peak hour*

* Source: Group 1, Class of 2010, STA MS506

Problem Description

IIT Madras

Students

1 semester

~ 3 years

Administration

Food

Competitors(The entire fish bone diagram

will get repeated)

Mess Administrati

on

Infrastructure

Contracts

Resource Allocation

Feedback

Registration

MotivationInventory Control

Physical location

VentilationIT infrastructure

Quality

Quantity

Variety

Seeking ChangePeer

pressure

Mess Popularity

Aesthetics

StudentsExtra Charges

Influence

Problem Structure

CCW

Infrastructure

Food

Students

Competitors

RRC Mess

contracts

caters

generate revenue/popularity

assets

services

provides

competition to

equips

registration

mess allocation

Attributes affect

To help RR Mess realize the various aspects leading to their average performance, and provide inputs to increase their student enrolment.

To transform and sustain RR mess’ position as one of the most valuable caterers in IIT Madras through excellent performance, creating growing value for its stakeholders.

Maximize student enrollmentMaximize revenue Maximize student satisfactionMinimize poor review

Increase student satisfaction index among the student fraternity.

Identify a strategic activity mix for the mess for the next three years to help them achieve higher levels of utilization of physical and human resources, and increase the value addition per employee significantly.

Problem Simulation

Mess Enrolment

Food Quality, Quantity, Variety

Feedback/Ranking

Peer pressure

Influence due to Competitor’s performance

Efficacy of Infrastructure

+ +-

- +

+

--

-

+

+

S.No

Variables(Xi)

Name Explanation Xi(t=0)

1 X1 Mess Enrolment Number of students enrolling for RR Mess

0.2

2 X2 Food Quality, Quantity, Variety

Quality, Quantity and Variety of food served in the mess

0.3

4 X4 Peer pressure The group dynamics among student groups on the choice of mess

0.8

3 X3 Influence due to competitor’s performance

Effect of competitor’s performance on student enrolment

0.9

5 X5 Ranking Feedback/Rankings released on mess performance

0.3

6 X6 Efficacy of Infrastructure

The infrastructure includes building, registration portal etc

0.2

  Students enrolment to mess

Food quality Peer pressure

Influence due to competition

Efficacy of infrastructure

Ranking

Students enrolment to mess

0 0.8 -0.5 -0.9 0.2 0.3

Food quality 0.2 0 0.2 -0.3 0 -0.1

Peer pressure

0 -0.2 0 0.7 0.3 -0.2

Influence due to competition

-0.4 -0.5 0.6 0 0 -0.1

Efficacy of infrastructure

0 0 0 0 0 0

Ranking 0.7 0.6 -0.5 -0.5 0.2 0.1

Initial value

s 

Students enrolment

Food quality

Peer pressure

Influence due to competition

Efficacy of infrastructure

RankingMarketing

Quality policies

0.2 Students enrolment

0 0.8 -0.5 -0.9 0.2 0.3 0.7 0.3

0.3 Food quality 0.2 0 0.2 -0.3 0 -0.1 0 0.7

0.8 Peer pressure 0 -0.2 0 0.7 0.3 -0.2 -0.6 -0.2

0.9 Influence due to competition

-0.4 -0.5 0.6 0 0 -0.1 -0.7 -0.2

0.2 Efficacy of infrastructure

0 0 0 0 0 0 0 0

0.3 Ranking 0.7 0.6 -0.5 -0.5 0.2 0.1 0.5 0.2

Repositioning- RR mess is second preference for south Indian & north Indian students both because food taste & preparation is neither very south Indian food nor north Indian. So it should reposition itself by addressing food taste & quality needs of one or both of communities.

Attracting niche segments from North students-Providing value added stuff/niche foods. Eg- Bengali food , Punjabi food as extra or regular items

Student relationship management- Regular feedbacks & change implementation to retain enrolled students.

Differentiate (extra food offerings)- Quick & hot/fresh serving of add-on extra food items, Chettinad dishes, fish, juice etc

Differentiate service by leveraging core strengths- 1) Central Location in hostel area 2) Better infrastructure and ambience 3) Better service & catering non –unionized staff

1. Faster turnaround time during peak hours especially lunch

2. Friendly professional staff- Service with a smile

3. Better ambience & furnishing, Better dining experience

Providing Trial-offer to invite students to eat in RR mess & have a first hand feel of “new changed RR mess”

Providing evening snacks as promotional offer which other south Indian messes dont provide

Attracting group enrolments by offering free/bonus plate of add-on extra food items to student groups.

Mess helpline for flexible meal timings

Arranging for music/cricket telecast

Frequent menu changes to attract variety seeking students, circulation of new weekly menu through e-mails/hostel & mess notice boards

Organizing food festivals & announcing it one month in advance

Publicizing students’ testimonials & references about RR mess, Change of student perception through communication campaigns

Institute a Quality Control programme which would include regular and stringent checks on Food quality Hygiene Service

Mess secretaries of all hostels to be included as advisors to this programme

This exercise, concerning the problem at RR caterers in IIT, convinces us that with effective marketing strategies and quality control, students’ enrollment in RRC mess can indeed improve and the problem of popularity of the mess can be solved, over a period of 18 months.