The focus of this case analysis is the production system in Benihana of Tokyo restaurants in the United States at the time of this case (1972). For the purpose of this case analysis, the term "production system" is interpreted to mean the process within the restaurant of bringing guest and staff together, obtaining guest orders, delivering the food to the guest table, and preparing the food for the guests. Marketing, facilities development, financial management, and human resource issues are not included in the definition of "production system" as the term is used in this case analysis.
With respect to the production system in Benihana of Tokyo restaurants in the United States, the objective of this case analysis is to identify the major design choices that generate operating efficiencies. The term "design choices" is interpreted for the purposes of this case analysis to refer to options in the production process at the restaurants that create value for the company.
The first major design option that led to operating efficiencies was the use of the hibachi table concept. The hibachi table concept provided for food preparation by the chef at individual guest tables. The use of hibachi tables also reduced the need for food storage area and the need for personnel to transfer food from storage area to kitchen to guest table. Operating efficiencies included (a) reduced labor costs, (b) an increase in productive dining space, (c) a decrease in non-productive food storage space, (d) lower needs employee dressing rooms, and office space. The use of the hibachi table concept also reduced the mean time that guests remained on the premises, thereby increasing guest turnover in a restaurant.
The second major design option was menu simplification and specification. The decision to offer only three entrees - steak (beef), chicken, and shrimp - created operating efficiencies that were associated with (a) th
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