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Assignment Ent600 Case20study PDF

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965b62dhms
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TITLE PAGE

COMPANY ANALYSIS : THE WARONG COFFEE AND PASTA

TECHNOLOGY ENTREPRENEURSHIP (ENT600) : CASE STUDY

FACULTY & PROGRAMME : COLLEGE OF BUILT ENVIRONMENT - BACHELOR


OF.SCIENCE (HONS.) ARCHITECTURE
SEMESTER : 08
PROJECT TITLE : CASE STUDY REPORT
GROUP MEMBERS : ALIA NATASHA BINTI HISHAMUDDIN (2020610372)
HANNAH BINTI OTHMAN (2020627972)
IMAN BIN NORIZAM (2020472076)
IRDINA AISYA BINTI AZMEE (2020491398)
NURIN INSYIRAH BINTI TANIE (2020603924)

LECTURER : ASSOCIATE PROFESSOR DR.SHARIFAH


ZANNIERAH SYED MARZUKI
ACKNOWLEDGMENT

First and foremost, this work would not have been possible without the help of the
Almighty, hence, we would want to praise Allah SWT and express our genuine
appreciation for His showers of blessings that enabled us to successfully complete this
report writing. We are grateful to everyone that has been participating and had the
pleasure of working with over the past several weeks on this and other related tasks.

In addition, we would also like to convey our sincere gratitude to our assigned lecturer,
Associate Professor Dr. Sharifah Zannierah Syed Marzuki, for multiple support and
assistance throughout the process of completing this task since the very beginning. We
are truly content for the opportunity to be trained by our lecturer, who constantly gives
her time to guide all of our group members with valuable advice and ideas. We also
learned a lot about business and entrepreneurship from this written case study report,
and will definitely continue expand our knowledge of these topics in the future.

2
TABLE OF CONTENTS
PAGE

ACKNOWLEDGMENT..............................................................................................................2
TABLE OF CONTENTS............................................................................................................. 3
LIST OF FIGURES..................................................................................................................... 5
LIST OF TABLES........................................................................................................................5
EXECUTIVE SUMMARY.......................................................................................................... 6
1.0 INTRODUCTION..................................................................................................................7
1.1 Background Of The Study..................................................................................................7
1.2 Problem Statement............................................................................................................. 7
1.3 Purpose Of The Study........................................................................................................ 8
2.0 COMPANY INFORMATION...............................................................................................9
2.1 Background........................................................................................................................ 9
2.2 Organizational Structure...................................................................................................10
2.3 Products/Services............................................................................................................. 11
Technology............................................................................................................................. 12
2.4.1 Introduction............................................................................................................ 12
2.4.2 Business Kitchen Equipment Technology..............................................................12
2.5 Business, Marketing & Operational Strategy...................................................................15
2.6 Financial Achievements................................................................................................... 17
3.0 COMPANY ANALYSIS...................................................................................................... 19
3.1 INTRODUCTION............................................................................................................19
3.2 SWOT...............................................................................................................................19
3.2.1 Strength................................................................................................................... 20
3.2.1.1 Food Quality...................................................................................................20
3.2.1.2 Easy payment method: QRPay and online transaction.................................. 20
3.2.1.3 Convenient packaging: Consumer-friendly and Eco-friendly........................21
3.2.1.4 Clear target market: UiTM Puncak Alam students and staff......................... 21
3.2.2 Weakness................................................................................................................. 21
3.2.2.1 Lack of marketing.......................................................................................... 21
3.2.2.2 Lack of seating area........................................................................................22
3.2.3 Opportunity............................................................................................................. 23
3.2.3.1 Strategic location............................................................................................23
3.2.3.2 Less competition............................................................................................ 23
3.2.3.3 Free marketing................................................................................................24
3.2.4 Threat...................................................................................................................... 24
3.2.4.1 Food Festival and Campus Events................................................................. 24
3
3.2.4.2 Movement Control Order (MCO) and Online Distance Learning (ODL)..... 24
4.0 FINDINGS AND DISCUSSION......................................................................................... 26
4.1 INTRODUCTION............................................................................................................26
4.2 FINDINGS....................................................................................................................... 26
4.2.1 Staff Shortages........................................................................................................ 26
4.2.2 Unpredictable Weather............................................................................................ 27
4.2.3 Adaptation to Changing Circumstances..................................................................28
4.3 DISCUSSION.................................................................................................................. 29
4.3.1 Staff Shortages........................................................................................................ 29
4.3.2 Unpredictable Weather............................................................................................ 30
4.3.3 Adaptation to Changing Circumstances..................................................................31
5.0 CONCLUSION.....................................................................................................................32
6.0 RECOMMENDATION AND IMPROVEMENT..............................................................34
7.0 REFERENCES..................................................................................................................... 36
8.0 APPENDICES...................................................................................................................... 38
APPENDIX A- Google meet session with owner of The Warong Coffee and Pasta,
Mr. Mohd Farizal Bin Johari on Sunday 21st March 2024 .......................................38
APPENDIX B-Online Interview Questions and Answers gathered from the
Interview Session with Mr. Mohd Farizal Bin Johari on Sunday 21st March 2024.. 39
APPENDIX C- Profit Loss statement for The Warong Coffee and Pasta in
2020-2022...................................................................................................................49
APPENDIX D- SSM Registration Document............................................................50
APPENDIX E- Photos of The Warong Coffee and Pasta.......................................... 51

4
LIST OF FIGURES
PAGE
Figure 2.2 The Warong Coffee and Pasta’s Organizational Structure 10
Figure 2.3 The Warong Coffee and Pasta’s Menu List 11
Figure 2.4.1.1 Coffee machine provided by this food business 13
Figure 2.4.1.2 Business Services Technology 14
Figure 2.4.1.3 Foodpanda online apps 14
Figure 2.4.1.4 Whatsapp online order 14
Figure 2.4.1.5 Foodpanda review 15
Figure 2.4.1.6 Google review page 15
Figure 2.5.1 The Warong Coffee and Pasta’s Ramadhan promotion 16

Figure 3.2.1.1 Spaghetti Florentine with Ayam Bakar 20


Open seating area of The Warong Coffee and Pasta
Figure 3.2.3.2 Location of The Warong Coffee and Pasta 23
Figure 4.2.2.1 Open seating area of The Warong Coffee and Pasta 27

LIST OF TABLES
PAGE

Table 2.6 Profit and Loss Statement of The Warong Coffee and 17-18
Pasta from Year 2020 - 2022
Table 3.2 SWOT Analysis for The Warong Coffee and Pasta 19-20

5
EXECUTIVE SUMMARY

In this case study, students from UiTM Puncak Alam were instructed to explore the use
of technology entrepreneurship by selecting a small or medium-sized ongoing business or
organisation that delves into this topic. They must locate and gain a thorough
understanding of the details of the selected product and its business in order to identify
any flaws in parts of product preparation, quality, or even the services provided that may
have had an impact on the food industry innovation. The Warong Coffee and Pasta was
chosen as our ideal case study because it is one of our institution's cafe branches that has
the potential to develop and have a big influence, particularly on UiTM students.

By analysing the details of this food business through an extensive interview session with
the owner of this restaurant, as well as attaching positive feedback from social platforms
and collecting all graphical data including images of the kitchen and surrounding areas,
all materials and general information about the company can be concluded as fully
acquired. The details that were obtained include the company's origins, organisational
structure, products, strategy, and financial statements for The Warong Coffee and Pasta.

The problems that we encounter while analysing this food business can reveal the
common issues that every owner faces. Therefore, to address future difficulties, SWOT
analysis is mostly implemented to identify key factors for problem-solving where it helps
pointing out the strengths, weaknesses, opportunities, and threats which could then assist
us in supporting the several methods suggested in this case study as well.

6
1.0 INTRODUCTION

1.1 Background Of The Study

The food industry is a dynamic and ever-changing world, with plenty of


opportunities for prospective entrepreneurs. The method we cultivate our food, the
techniques we use to process it, and the mechanisms we use to transport, market, and
sell it have all undergone significant changes. With rising consumer preferences for
healthier, tastier, and fresher products, many food firms are pushing the frontiers of
innovation to remain competitive in a quickly changing industry.

The human palette has a longing for exploration. This translates into a
continuous expansion of varied cuisine, an ongoing trend that is changing the way we
dine. Throughout history, commerce, travel, and cultural interaction have fueled the
development of new foods and cooking techniques, enhancing our culinary
environment. Malaysia, being a cultural melting pot, has a rich culinary legacy with
influences from Malay, Chinese, Indian, and indigenous people. In recent decades,
however, a new trend has evolved in Malaysian food businesses which is the emergence
of Westernised cuisine.

The ease of locating diverse food options are quite apparent since major
international fast-food chains have a widespread presence throughout Malaysia,
particularly in urban areas and shopping malls. Even local entrepreneurs are getting in
on the act, opening independent restaurants that offer Western classics with a Malaysian
twist. These can also be easily located in neighbourhoods, shopping districts, and along
main roads.

1.2 Problem Statement

The restaurant and food service industry is a very competitive environment, with
new eateries and food businesses establishing at all times. This provides a big challenge

7
for existing food company owners to not only differentiate themselves from the
competitors, but also to overcome any challenges arising from the company itself, in
order to establish a base of satisfied customers. The Warong Coffee and Pasta is one of
the most well-known cafe branches at UiTM Puncak Alam, with practically all students
and staff familiar with it. During the interview between the researchers and the founder
of this food firm, few information was acquired, and we may deduce that this
organisation looks to be undergoing some unforeseen events.

Despite the rising feedback and constant demand from consumers for this
restaurant's variety Western meals, there are still a number of obstacles preventing it
from operating successfully, financially, and sustainably. This company is frequently
challenged with opposition in terms of labour shortages and staffing challenges, as they
struggle to keep up with the number of skilled employees, especially during unexpected
circumstances.

Other challenges include the effects of unpredictable weather, which is thought


to disrupt the seamless operation of dining services, as well as the difficulty of adapting
to sudden changing circumstances such as the covid outbreak and online distance
learning seasons, during which their target consumers are mostly absent. The lack of
access to modern technology, as well as severe online competition, are regarded as
important limitations because they are acknowledged to be the most crucial marketing
platform to advertise every kind of business.

1.3 Purpose Of The Study

The objective of this research is to acquire complete access to the details of the
selected product and its business in order to identify any flaws in parts of product
preparation, quality, or even the services provided. This is immensely beneficial for the
business owner to choose the most efficient implementation or innovations that could
potentially address their company's emerging difficulties, as well as directing and
encouraging their group members to actively participate in the ideas.
8
Furthermore, this case study may give an opportunity to generate an idea or
thought regarding ways to improve the products using technological advances in order
to build a base of pleased consumers. This is an attempt to examine how the theories
may be implemented in practical situations. To give all of the information required for a
viable business plan, this research should investigate the solution from all feasible
perspectives including acquiring a complete grasp of the company's past, marketing
strategy, and target market.

In essence, business owners should focus their attention on the goals they aspire
to achieve, therefore this case study is also necessary to investigate the company's past
or ongoing issues, as well as the techniques applied to handle them. It can act as a
starting point for future research or activities to develop the food industry sector.

2.0 COMPANY INFORMATION

2.1 Background

The Warong Coffee and Pasta is a business under the food and beverage industry
that was established in February 2019 at UiTM Puncak Alam. The Warong Coffee and
Pasta is a business with sole proprietorship status that has two owners, Mr. Mohd Farizal
Bin Johari and Mr. Muhammad Fathi Bin Nasri. The Warong Coffee and Pasta is under
the umbrella of Myagrosis Club which is a strategic business partner of The Warong
Coffee and Pasta.

According to Mr. Farizal, the idea of The Warong Coffee and Pasta was inspired
by his experience of being a part-time manager at one of the cafes in Puncak Alam
which he took as a challenge to learn new things. Although his background is not in the
food and beverage (F&B) industry, his interest and experience led him to the next level
in the F&B industry by completing the paperwork to make his dream of owning his own
restaurant and beverage come true.
9
The vision and mission of The Warong Coffee and Pasta is to become a company
that provides food that thrives in the future and franchise the The Warong Coffee and
Pasta brand to further expand the business and market. Encik Farizal stated that having
his own company is the primary reason he decided to start one. Other objectives include
boosting the local economy, giving people of UiTM Puncak Alam a wider variety of
food options, and offering affordable, high-quality meals to students.

2.2 Organizational Structure

The company has also outlined its own corporate culture in the process to be in
line with the company's vision, mission and objectives. The company often conducts
discussions with staff to ensure that the corporate culture is always practiced. Among the
standards that are emphasized are ensuring the quality and cleanliness of food
preparation, ensuring a parallel and consistent taste of food and ensuring a fast serving
time. Figure 2.2 is the organizational of The Warong Coffee and Pasta :

Figure 2.2 The Warong Coffee and Pasta’s Organizational Structure

10
2.3 Products/Services

The Warong Coffee and Pasta specializes in serving western cuisine and a
variety of beverages that are popular with the residents of UiTM Puncak Alam,
particularly the students. The Warong Coffee and Pasta serves (17) varieties of drinks,
including coffee, juice, and tea, along with (7) varieties of pasta, (3) varieties of fusion
rice, and (2) varieties of snacks. However, spaghetti carbonara and buttermilk chicken
rice are The Warong Coffee and Pasta top-selling items, according to Mr. Farizal.

Figure 2.3 The Warong Coffee and Pasta’s Menu List

11
2.4 Technology

2.4.1 Introduction

Technology integration is now essential for companies in the fast-paced food industry of
today if they want to remain competitive and satisfy customers' constantly-evolving needs. The
Warong Coffee and Pasta is one such business that is redefining its operations through the use
of technology advancements. Table 2.4.1 shows the technology that is used by The Warong
Coffee and Pasta.

Technology Technology

Point of Sales (POS) System Feedback and Review Platforms

Online Ordering and Delivery Platform Contactless Payment Solutions

Online Reservation Systems Que Number system

Microwave Coffee Machine

Freezer Kitchen equipment

Table 2.4.1 the technology used by The Warong Coffee and Pasta.

2.4.2 Business Kitchen Equipment Technology

The specialized tools, appliances, and systems used in commercial kitchen environments
to improve productivity, efficiency, safety, and quality are referred to as business kitchen
equipment technology. Many types of equipment used in cafes, restaurants, lodging facilities,
catering companies, and other foodservice businesses are included in these technologies. There
are several business equipment technologies used by The Warong Coffee and Pasta for food
production purposes. Equipment such as microwave, oven and basic kitchen utensils are

12
available at the production station of the cafe. Microwaves and ovens are fundamental kitchen
appliances used for baking, roasting, heating, and cooking a wide variety of food items.

As for coffee- making, the cafe is equipped with coffee machines, an indispensable tool
in commercial kitchens and food service establishments, offering the ability to brew
high-quality coffee quickly and consistently to meet the demands of customers. The advances in
coffee machine technology will continue to enhance brewing precision, efficiency, and
convenience, contributing to the overall dining experience.

Figure 2.4.1.1 Coffee machine provided by this food business

In addition, The Warong Coffee and Pasta uses a number calling system to
simplify the order taking process. A calling number system promotes fairness and
transparency in service delivery. Customers are served in the order of their ticket
numbers, eliminating any perception of favoritism or bias. This ensures that all
customers receive equal attention and service.

Figure 2.4.1.2 Business Services Technology

13
The term business services technology describes the application of technical
instruments, platforms, and solutions to enhance the management, delivery, and
optimization of diverse services in a company setting. It includes a broad spectrum of
technologies intended to improve productivity, customer satisfaction, efficiency, and
overall corporate success in businesses that focus on providing services. The Point of
Sale (POS) System is one of the many business services technologies utilized at The
Warong Coffee and Pasta. Businesses across a range of industries rely on these essential
tools to manage inventory, track sales, expedite transactions, and optimize operations.

Figure 2.4.1.3 Foodpanda online apps Figure 2.4.1.4 WhatsApp online order

Furthermore, The Warong Coffee and Pasta does offer online ordering and
delivery services via smartphone applications such as, Foodpanda and WhatsApp, where
a reservation system is implemented via WhatsApp. Convenient contactless payment
options are also offered by The Warong Coffee and Pasta to make purchasing and selling
easier. Digital E-wallets such as Touch-n-Go (TNG) E- Wallet and QR (quick response)
codes can be used for contactless digital transactions. However, options to pay using
cards and applications such as ApplePay and Samsung Wallet are not yet established at
The Warong Coffee and Pasta.

14
Figure 2.4.1.5 Foodpanda review Figure 2.4.1.6 Google Review page

They frequently examine the opinions and reviews of customers or users of their
products through the feedback and review platforms in the Foodpanda application and
The Warong Coffee and Pasta Google Review page, in order to maintain and enhance
their business performance.

2.5 Business, Marketing & Operational Strategy

The Warong Coffee and Pasta is located where a large number of target
customers are present. Reaching positive results and developing an effective company
plan can be facilitated by concentrating on particular areas while keeping the target
audience in mind. The Warong Coffee and Pasta seeks to keep up with the times, as
many students enjoy eating reasonably priced western cuisine. Customers have therefore
given The Warong Coffee and Pasta a lot of favorable comments and have even
recommended the cafe to their family members. Because of this, The Warong Coffee
and Pasta has become a well-known western cafe in the neighbourhood of UiTM
Puncak Alam.

15
By maintaining a constant quantity of food and drink each day, The Warong
Coffee and Pasta manages inventory levels to reduce waste and make sure they have
enough stock to meet demand. Additionally, they also observe the capacity of the
buyers, particularly students, on weekdays, holidays, and on festival food occasions.
Because purchases are made based on daily needs, waste can be decreased. Mr. Farizal
claims that since dry items can remain fresh for several days, they will restock them
once a week. On the other hand, daily restocking of wet foods like chicken will preserve
the freshness of the raw materials.

Figure 2.5.1 The Warong Coffee and Pasta Ramadhan promotion

The Warong Coffee and Pasta focused word-of-mouth marketing, happy


customers enthusiastically shared the delectable offerings. The Warong also do
promotions on social media platform Instagram. But in order to draw in and keep
consumers, the restaurant uses promotional techniques in addition to its established
reputation. As shown in figure 2.5.1 they debuted promotion during Ramadan, which
were well-received by patrons looking for tasty and convenient options during the month
of fasting. In the midst of UiTM Puncak Alam's busy campus life, this cafe has
successfully established itself as a go-to spot for satisfying cravings by finding a balance
between providing excellent food and using efficient marketing techniques.
16
Mr. Farizal states that managing The Warong Coffee and Pasta includes
managing the welfare of employees. Employees will have the chance to voice any
concerns they may have at weekly meetings with supervisors. Anything undesired can
therefore be avoided. Mr. Farizal adds that in addition to paying salaries, they also give
their employees access to benefits including insurance, SOCSO, EPF, and special
allowances.

Standard Operating Procedures (SOP) are typically established to ensure


uniformity in food and business quality while boosting production efficiency. These
SOPs typically address worker attire and food handling. Mr. Farizal states that in order
to maintain cleanliness, employees particularly those in the food preparation department
will wear aprons, gloves, and head coverings

2.6 Financial Achievements

The data obtained from The Warong Coffee and Pasta covers the financial
statement from 01/11/2020 to 31/10/2022. According to the data obtained, stocks are
purchased at the beginning of every year. As for the beginning of the year stocks, RM
102, 371.56 for 2020 and 2021, whilst RM150,422.76 was spent on groceries. RM
6,579.65 was spent in 2020 and 2021, and similar spendings in 2022 for packaging
materials. As for merchant services fee (Foodpanda), RM 32,071.26 was spent in 2020
and 2021, whilst only RM67.26 was spent in 2022. This pattern shows a decrease
throughout the years, due to avid food delivery services during MCO in 2020 until 2021.

Year Net Profit/Loss (RM)

2022 7,410.27

2020-2021 -28,413.11

17
Table 2.6 Profit and Loss Statement of The Warong Coffee & Pasta from Year
2020 - 2022

According to Table 1.0 above, The Warong Coffee and Pasta bounced back in
terms of financial stability after the constraints that happened during the COVID-19
outbreak. The net profit for the year 2022 was RM 7,410.27, while a loss of RM
-28,413.11 was recorded throughout 2020 and 2021 which was a stark difference.

18
3.0 COMPANY ANALYSIS

3.1 INTRODUCTION

SWOT analysis is a strategic planning tool that helps businesses like The
Warong Coffee and Pasta assess internal strengths and weaknesses, opportunities and
threats. By conducting a SWOT analysis, The Warong Coffee and Pasta can gain
valuable insights into its current position in the market and develop strategies to
leverage its strengths, address weaknesses, capitalise on opportunities, and mitigate
threats. This analysis will provide a comprehensive overview of the factors impacting
the business's success and guide decision-making processes to achieve sustainable
growth and competitiveness in the food and beverages industry.

3.2 SWOT

STRENGTH
● Good food quality
● Easy payment method: Qrpay and online transaction
● Convenient packaging: Consumer-friendly and eco-friendly
● Clear target market: UiTM Puncak Alam students and staff

WEAKNESS
● Lack of marketing
● Lack of seating area
● Staff shortage

OPPORTUNITY
● Strategic location
● No competition
● Free marketing

19
THREATS
● Food festival and campus events
● Sudden outbreak and Semester break
● Unpredictable weather

Table 3.2 SWOT Analysis for The Warong Coffee and Pasta

3.2.1 Strength

3.2.1.1 Food Quality

Figure 3.2.1.1 Spaghetti Florentine with Ayam Bakar

Every dish served at The Warong Coffee and Pasta establishment surpasses
expectations in terms of quality and price, from the pasta to the butter chicken rice,
which tastes as good as it looks with reasonable price. This makes for an exceptional
culinary experience for the customer.

3.2.1.2 Easy payment method: QRPay and online transaction

20
Beyond just exceptional food, they prioritise convenience for their customers.
Besides customers paying using cash, customers have the option to pay using online
banking and efficient QR code payment.

3.2.1.3 Convenient packaging: Consumer-friendly and Eco-friendly

The Warong Coffee and Pasta packaging reflects a consumer-centric approach,


designed to be easily transportable for students who may want to enjoy their meal
elsewhere. By using eco-friendly packaging, it demonstrates their commitment to
sustainability and environmental responsibility. This can enhance their brand reputation,
attract environmentally-conscious consumers, and foster customer loyalty.

3.2.1.4 Clear target market: UiTM Puncak Alam students and staff

Situated inside the UiTM Puncak Alam campus, it offers a clear target market for
The Warong Coffee and Pasta to tailor their offerings precisely to their preferences with
reasonable students price ensuring satisfaction with every bite, clear that students and
staff members are constantly buying the food at The Warong Coffee and Pasta.

3.2.2 Weakness

3.2.2.1 Lack of marketing

Limited marketing resources can make reaching potential customers and


promoting products effectively challenging. Because attracting new customers might be
hard because customers may not know a cafe such as The Warong Coffee and Pasta
exist. According to Mr. Farizal, The Warong Coffee and Pasta focusing onto
3.2.2.2 Lack of seating area

A smaller number of seating areas will limit the number of customers who can
dine in one particular time, potentially impacting The Warong Coffee and Pasta’s
21
revenue. During peak hour, The Warong Coffee and Pasta might lose their potential
customers because the cafe is full and this will make the waiting time of the customer
increase. This also will impact the level of customer satisfaction because customers tend
to dine in to enjoy the just cooked food rather than take it away.

3.2.2.3 Staff shortage

Staff shortage in The Warong Coffee and Pasta operations leads to longer
waiting time. This will decrease customer satisfaction and increase stress among the
employees. The effect towards the customer is they will be disappointed with the slow
service provided.

22
3.2.3 Opportunity

3.2.3.1 Strategic location

Figure 3.2.3.2 Location of The Warong Coffee and Pasta

Having a strategically located café can significantly enhance its success. Opting
for an area where The Warong Coffee and Pasta is situated near to public transport such
as bus stop and is close to many faculties that adds visibility and accessibility.

3.2.3.2 Less competition

Operating a cafe in an area with less competition, like The Warong Coffee and
Pasta, presents unique opportunities for business growth and customer loyalty. Without
direct competitors, the café can establish itself as the primary destination for dining and
socialising.

3.2.3.3 Free marketing

23
Having good quality food the word-of-mouth referrals from students to students
and even staff are constantly appraising the food at The Warong Coffee and Pasta.
Leveraging customer satisfaction and loyalty through excellent service and quality
products can also organically attract new customers and with that already markets The
Warong Coffee and Pasta without taking out funds for advertising and marketing.

3.2.4 Threat

3.2.4.1 Food Festival and Campus Events

When UiTM Puncak Alam organises food festivals and campus events, it can
indeed pose a challenge for independent cafes such as The Warong Coffee and Pasta in
the area. UiTM's food festival typically garners a significant amount of attention and
foot traffic due to its large student population and extensive network. within the
university's premises might inadvertently draw customers away from The Warong
Coffee and Pasta, as people are likely to be attracted by the variety and convenience it
provides in the food events.

3.2.4.2 Movement Control Order (MCO) and Online Distance


Learning (ODL)

Closure and limited operations during periods of strict lockdown under the MCO
have affected the operation hours of The Warong Coffee and Pasta. After the MCO,
UiTM announced online distance learning for a certain period, and it has been partially
practised to this day when some classes are conducted online. This affects the cafe as
the number of target markets which are students and staff on campus are not consistent
every month.

3.2.4.3 Unpredictable weather

24
Operating in an open space The Warong Coffee and Pasta is exposed to the
elements, making them vulnerable to adverse weather conditions such as rain, wind, or
extreme temperatures. Especially raining as The Warong Coffee and Pasta does not have
much shelter from rain and cause customers to get wet when taking orders and getting
backsplash rain water from dinning at the area.

25
4.0 FINDINGS AND DISCUSSION

4.1 INTRODUCTION

In the realm of entrepreneurship, challenges are inevitable companions on the


journey towards success. The purpose of this section is to identify several key issues
encountered by The Warong Coffee and Pasta, shedding light on the pivotal role of
entrepreneurs in overcoming obstacles and recognizing market opportunities for
business expansion. Through insightful interviews with Encik Farizal, the owner of The
Warong Coffee and Pasta, we have identified three key issues as follows:
● Staff shortage
● Unpredictable weather
● Adaptation to changing circumstances

4.2 FINDINGS

4.2.1 Staff Shortages

Adequate staffing levels is important as it contributes to operational efficiency by


minimising bottlenecks, reducing waiting times, and ensuring smooth workflow across
various departments or functions.

In a recent turn of events, The Warong Coffee and Pasta faced a significant
challenge when four staff members abruptly departed within a 24-hour timeframe while
the owner was outstation, leaving the business understaffed, without immediate
oversight. The sudden staff resignations has left the company grappling with operational
disruptions and diminished morale. Such instances of turnover often stem from
dissatisfaction with work conditions or presence of interpersonal conflicts among staff
members. The owner had to temporarily close the shop for a week to restructure the
management.

26
Following the restructuring, the owner of The Warong Coffee and Pasta opted to
hire new employees to fill vacant positions. However, this decision resulted in a
prolonged training period due to the lack of experience among the new staff in the food
and beverage industry. This subsequently led to numerous challenges and hindered
business performance in the long term as the owner had to train the staff from scratch.
To mitigate such issues, the owner should foster open communication among the team,
providing a platform for staff to express their opinions, concerns, and suggestions.
Additionally, encouraging relationship-building among staff through outdoor activities,
team lunches, or shared programs can help establish trust and reduce tension within the
team. Applying a solid staff management strategy can address these issues.

4.2.2 Unpredictable Weather

Figure 4.2.2.1 Open seating area of The Warong Coffee and Pasta.

At The Warong Coffee and Pasta, the allure of their open space eating area as per
shown in figure 4.1.2.1 was undeniable, offering open dining areas to encourage
socialisation among customers which are mostly the students and staff of UiTM Puncak
Alam. They provide a conducive environment for gatherings, conversations, and
networking, fostering a sense of community within the campus..

27
However, as the seasons shifted, so did the challenges. The unpredictable
weather became a persistent adversary, disrupting the seamless flow of dining service.
Guests found themselves occasionally caught in sudden downpours or exposed to
blistering heat, causing discomfort and dissatisfaction.

The cafe faced a dilemma on how to maintain the charm of their outdoor dining
while mitigating the impact of unpredictable weather. There are few ways to encounter
the issue which amongst them include, implementing creative solutions such as
retractable awnings, portable heaters, and decorative wind barriers to shield patrons
from the elements without compromising the alfresco ambiance. Through adaptability
and innovation, The Warong Coffee and Pasta transformed their open space eating area
into a haven where guests could savour their meals amidst the beauty of nature,
regardless of the weather's whims.

4.2.3 Adaptation to Changing Circumstances

The challenge of adapting to current circumstances within the university setting,


as exemplified in the 2020 scenario faced by The Warong Coffee and Pasta. During the
height of the pandemic, the restaurant was compelled to shut down due to Movement
Control Orders (MCO), severely impacting their operations. With only a fraction of the
usual student population on campus – 20% being staff and 10% lecturers – the business
struggled to survive. Implementing bi-weekly salary payments and seeking assistance
from private donors and government initiatives became necessary measures.

However, the transition to online learning further complicated matters. With


unpredictable fluctuations in student presence on campus, sales became inherently
unstable. During off-peak periods such as semester breaks or when student numbers
dwindled, the restaurant faced reduced revenue. To counteract this, they considered
opening for external orders such as online order via WhatsApp and Foodpanda
applications. Yet, their limited capacity prevented them from actively marketing to
off-campus patrons.
28
The conundrum lies in the unpredictability of the situation: while they need to
expand their customer base, they lack the infrastructure to handle a surge in orders
effectively. Thus, Warong Coffee and Pasta faces the ongoing challenge of balancing
their operations amidst uncertain student numbers and their capacity to fulfil external
orders. Addressing this issue requires strategic planning, possibly involving investment
in infrastructure or exploring alternative revenue streams beyond traditional dine-in
services.

4.3 DISCUSSION

4.3.1 Staff Shortages

The Warong Coffee and Pasta encountered a significant challenge due to sudden
staff turnover, leading to operational disruptions and morale issues. The departure of
four staff members within a 24-hour period left the cafe understaffed and without
immediate oversight. To address this, the owner or manager could initiate a restructuring
effort, which involved hiring new employees to fill vacant positions . However, this
decision resulted in a prolonged training period due to the lack of experience among the
new staff in the food and beverage industry. While hiring new employees was necessary,
it posed challenges in terms of training and integration into the team.

To mitigate future staff shortages, the cafe could implement retention strategies,
such as offering competitive wages and benefits. Competitive benefits attract skilled
workers to the cafe because they prefer higher wages and better benefits, giving the cafe
an edge in attracting top talent and increasing the quality of customer service. However,
it can be expensive for The Warong Coffee and Pasta to offer better benefits and higher
compensation, particularly if profit margins are already narrow. The cafe's bottom line
may be impacted and the price of the food and beverage might need to be increased to
cover up the higher operation cost, therefore careful financial planning is needed to
ensure sustainability.

29
Investing in cross-training existing staff to handle multiple roles can encounter
staff shortage issues. Employees that receive cross-training can perform several roles
within the company, which increases their adaptability to changes in workload and
increased efficiency of a business. This adaptability can ensure that things carry on
without any problems even in the face of unexpected challenges. However, It takes time
and resources to create thorough training programs and make sure staff members are
competent in a variety of roles when it comes to cross-training. There's a chance that this
investment will take time and money away from The Warong Coffee and Pasta
priorities.

4.3.2 Unpredictable Weather

The allure of The Warong Coffee and Pasta's open space dining area was
undeniable, offering a delightful dining experience amidst the beauty of nature.
However, the restaurant faced challenges when unpredictable weather disrupted the
seamless flow of dining service. Guests found themselves occasionally caught in sudden
downpours or exposed to blistering heat, causing discomfort and dissatisfaction.

To address this issue, the cafe could invest in weatherproofing solutions, such as
awnings to shield patrons from adverse weather conditions such as hot sunny days and
heavy rain.Installing awnings allow The Warong Coffee and Pasta to utilise outdoor
spaces year-round, increasing seating capacity and potential revenue even during
inclement weather. However, installing awnings may consume valuable outdoor space,
limiting the overall outdoor dining experience, seating capacity or flexibility of the
outdoor dining area.

4.3.3 Adaptation to Changing Circumstances

The COVID-19 pandemic and transition to online learning presented The


Warong Coffee and Pasta with challenges in adapting to changing circumstances within
30
the university setting. With fluctuating student presence on campus and unstable sales,
the restaurant struggled to maintain revenue consistency.

To overcome this challenge, The Warong Coffee and Pasta could expand its
marketing and online presence by enhancing online ordering systems and delivery
services to reach off-campus customers. Additionally, adopting a flexible business
model that allows for adaptation to changing market conditions, such as offering
catering services or meal subscription plans, could help mitigate the impact of
fluctuating student populations and unpredictable circumstances. However, adding extra
services like catering or subscription packages could complicate operations and put a
strain on resources by requiring more infrastructure and staff investment as well as
managing customer service, logistics, and inventory.

31
5.0 CONCLUSION

In summary, this paper has investigated numerous aspects of this niche market,
examining company background and structure, prospective challenges, and the general
viability of a cafe on campus. Through the process of analysing a straightforward
campus cafe, this case study of The Warong Coffee and Pasta has provided an overview
of both the opportunities and challenges that characterise the college food service
industry. The absence of direct competition on campus provides a distinct advantage,
relieving them of the immediate strain of pricing wars and menu mirroring.
Undoubtedly, the owner's commitment and grasp of the college market are strengths.
However, the difficulties are also evident. Sustaining uniform quality, controlling food
expenses, and keeping up with changing student tastes, must almost always be centred
around attention to detail and flexibility.

The potential outcomes for The Warong Coffee and Pasta illustrate a range of
possibilities. In a positive light, they have been able to carve out a niche for themselves
as the go-to place on campus for tasty and reasonably priced pasta because there is not
much competition. They can create a devoted clientele and possibly increase the scope
of their menu or service offerings by utilising their knowledge of student preferences.
Additionally, there are drawbacks to having less competition. It may eliminate certain
immediate threats, but it may also encourage a lack of urgency regarding innovation and
advancement. In the future, newcomers to the campus food scene, who are looking for
market prospects and have innovative ideas could be a serious challenge.

The Warong Coffee and Pasta faces calls for strategic planning and a dedication
to ongoing development. The Warong Coffee and Pasta may continue to be a renowned
campus staple by anticipating problems, welcoming innovation, and cultivating a close
relationship with the student body. A great opportunity is presented by the lack of
competition, for the purpose of securing long-term success, it must be seized and
maintained.

32
6.0 RECOMMENDATION AND IMPROVEMENT

The Warong Coffee and Pasta has its emphasis on a well-liked comfort food which is
pasta, has an excellent prospect of thriving in the bustling environment of a college campus. A
true student hotspot on campus with no direct competition, has a special chance to establish
itself as not merely a place to go for food, but also to become a well-loved staple of the college
experience.

Amongst the recommendations and improvements that can be considered by The Warong
Coffee and Pasta is to consider using a dual approach, which includes menu innovation and
customer engagement, to stand out and make better profit. Apart from that, extending the menu
beyond conventional selections, where seasonal items will be incorporated into the menu, can
also potentially increase monthly sales and revenue as it creates a trend. Consequently, this
injects an element of surprise and keeps customers coming back. In addition, to implement
portion sizes for smaller appetites or student combo deals that combine pasta with a drink or
side for an affordable meal. Students frequently want the best deal, therefore providing half
portions, or student combination packages, may pique great interest within the student
community.

Furthermore, The Warong Coffee and Pasta can leverage its distinctive design and
location, and transform itself into a vibrant student hangout. Collaborations with student
organisations to host themed pasta nights that tie in with upcoming events that can be
implemented to fully achieve its maximal capability as a student food hub. As a result, this
fosters a sense of community and allows the cafe to tap into the existing networks of these
in-campus organisations. On top of that, to have collaborations with well-known e-commerce
sites such as ApplePay and Samsung Wallet, as well as to leverage social media marketing for
the purpose of fully embracing the digital world that students currently live in. Social media
marketing to promote the cafet's cuisine, lively atmosphere, as well as student-friendly prices
with engaging promotions may attract a wider base of customers within the campus.

33
Apart from that, due to its location in the campus, sustainable food practices for waste
management could also be implemented such as compost food scraps, where composting
creates nutrient-rich soil to avoid wastage, which then can be repurposed for planting of
vegetables. The Warong Coffee and Pasta has the potential to evolve from a mere lunch choice
to a lively part of college life by putting these suggestions into practice and building
relationships with the in-campus community.

34
7.0 REFERENCES
R. Cheema Jehanzeb, A.-u.-H. M. (2017). Effects of staff participation, morale, and
shortage on organisational performance: An international survey. Issues in
Educational Research, 27(4). https://www.iier.org.au/iier27/cheema-2.pdf

Ventures, A. J. (2023). 5 Purposes of Entrepreneurship: Exploring the Objectives.


https://www.alphajwc.com/en/purposes-of-entrepreneurship/

Adam, H. (2024). Entrepreneur: What It Means to Be One and How to Get Started.
https://www.investopedia.com/terms/e/entrepreneur.asp#toc-what-is-an-entre
preneur

Michele, B. (2016). The Changing Needs of an Evolving Food Industry Shift Facility
Location Priorities.
https://www.areadevelopment.com/FoodProcessing/Q4-2016-food-processing
-guide/changing-needs-evolving-food-industry.shtml

Marlene. (2024). How Food Has Changed.


https://macrovegan.org/how-food-has-changed/#:~:text=Much%20of%20what
%20we%20eat,gone%20through%20a%20massive%20transformation

Abdul Raji Mohd Nazri, A. K. S., Che Ishak Farah Adibah, Arshad Mohd Mursyid
(2017). Past and present practices of the Malay food heritage and culture in
Malaysia. Journal of Ethnic Foods 4(4), 221-231.
https://www.sciencedirect.com/science/article/pii/S2352618117301737

Chauncey, C. (2023). What You Need To Know About Contactless Payments.


https://www.forbes.com/advisor/credit-cards/contactless-payments/

Ryan Tam, B. Y., Helen Parker, Helen O'Connor, Margaret Allman-Farinelli,. (2017).
University students' on-campus food purchasing behaviors, preferences, and
35
opinions on food availability. Nutrition 37, 7-13.
https://www.sciencedirect.com/science/article/abs/pii/S0899900716301277

Rajshri Roy, D. S., Denise Conroy, Clare R. Wall, Boyd Swinburn,. (2019). Exploring
University Food Environment and On-Campus Food Purchasing Behaviors,
Preferences, and Opinions. Journal of Nutrition Education and Behavior
51(7),865-875.https://www.sciencedirect.com/science/article/abs/pii/S149940
4619301290

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8.0 APPENDICES

APPENDIX A

Google meet session with owner of The Warong Coffee and Pasta, Mr. Mohd
Farizal Bin Johari on Sunday 21st March 2024

37
APPENDIX B

Online Interview Questions and Answers gathered from the Interview Session with Mr.
Mohd Farizal Bin Johari on Sunday 21st March 2024

2.1 Background

Name of owner Mr. Mohd Farizal Bin Johari and Mr. Muhammad
Fathi Bin Nasri

Age 44

The backstory of the Warung since february 2019


company - When was it 1/9/2019
founded (Date of 4 tahun
Establishment)

What was the initial Starting from a friend asking for help to manage the cafe within a
inspiration or intention? year, The owner took that as a challenge. From there,he learned
how to manage the company, handle public relations, as he came
in a forced situation, ending up in a state of happiness. Before he
finished the agreement with his friend, he started to do the
paperwork to create the shop. In 2018, not many people used the
concept of cabin cafes. In the paperwork, the plan was included
together with the design. We lacked expertise for proper planning,
so we collaborated with UITM.

2.1.1 Company Background

38
Company’s mission The vision and mission of The Warong Coffee and
statement and vision/ Pasta is to become a company that provides food that
Objective for the future? thrives in the future and franchise the The Warong
Coffee and Pasta brand to further expand the business
and market.

Company Owner Mr. Mohd Farizal Bin Johari and Mr. Muhammad Fathi
Bin Nasri

Address Plaza Satelit B, Jalan Casuarina 4, 42300, Selangor

Other branch Address No other branches

Telephone Number 018-917 0568

Email Address -

Form of Business Cafe

Main Activity Selling pasta and coffee

Date of Commencement February 2019

Date of Registration 9th May 2019

Registration Number (1325886-M)

Operation Hours 10.30am-6pm Monday- Friday

Close on weekends

2.2 Organizational Structure

Describe the company The detailed diagram has been provided by Mr. Mohd Farizal
structure and team through WhatsApp platform
dynamics?

39
(Organizational
Structure)

How many staff 6

Staff name and position Name Position

Mr. Mohd Farizal Bin Owner


Johari

Mr. Muhammad Fathi Share partner


Bin Nasri

● Chef
● Assistant Chef
● Admin/Cashier
● Barista

2.3 Products / Services

Describe the products (types of Western food and does catering orders not more than 100
food they specialize in) or pax because they dedicate the whole and shut down the
services (catering or events) that cafe to complete big orders.
the company offers.

*may request their menus or Have received digital menu from owner
any graphical contents for
report purposes

2.4 Technology

Contoh tech for food company

Point of Sale (POS) Systems / Feedback and Review Platforms /

40
Boleh tengok stock, boleh kawal Review food panda
shortage Google review
Boleh tengok sale,

Tableside Ordering Devices - Online Ordering and Delivery /


Platforms
Foodpanda-ordering by ws

Online Reservation Systems / Inventory Management System -


whatsapp Buat waktu audit

Digital Menu Boards - Contactless Payment Solutions /


Qr online transfer

Other:
Microwave /
Kitchen equipment /
Coffee machine /
Queue number display /

2.5 Business, Marketing, Operational strategy

Business

Achievements to certified buyers’ Quality is considered top priority to gain a base of


certainty satisfied customers

Business card? Currently not available

Who is your target market, and how do - Online marketing is only limited to
you normally reach them? (through social Instagram platform since they prefer to
platforms, search engines, flyers promote their business face to face or
distribution, customer feedback, etc.) from positive feedback gained from their
regular customers.

41
- Maintaining a top notch quality is their
priority in order to fulfil the buyers’
preferences.

- The targeted market is mostly among


UiTM students themselves or maybe 20%
from the whole institution.

- In case of any unexpected occurrences,


they will still gain sufficient amount of
customers since parents and UiTM staff
are also familiar with this business

During semester breaks, is it open? If it is, Yes is open, main target market are students and
who is the target market? staff of Uitm Puncak Alam

*Mintak menu

Business Marketing

Product: What are the product offerings - Ramadhan promotion (every meal comes
or strategies that have been successful for with complimentary drinks however this
this particular business? offerings are unavailable for now since
most students are still on their online
learning season)
- Voucher usage to get discount

Price: Ranging the price according to Calculate the cost of raw materials to determine
suitability? the price aimed at UITM students.

Place: Where can consumers/buyers Delivery apps , online ordering, physical outlets
access their branches (delivery apps,
online ordering, physical outlets?)

Promotion: What is their promotional Has been answered, to be referred from previous
approach for better advertising? (Social questions

42
media platforms, Personal website,
etc.)

Promotion: Sponsorship Agreement? Used to produce vouchers that can be used by the
UiTM students to get a discount, collaborated with
several faculties of this institution

Operational strategy

What strategies do they use to ensure Ensuring quality cooked food


customer satisfaction and loyalty?

How would the business owner describe


the work environment of their food With a team of 5 people, it's easier to control and
business? notice any issues among the staff since they are not
many. Their concept revolves around working as a
What strategies do they practise to create
team.
a positive and motivating work
environment for their employees or
kitchen staff?

Berapa kali restock barang every week Dry stock once a week
Wet stock every single day

How do we manage inventory levels to The quantity remains the same every day. The
minimise waste while ensuring we have workers can estimate based on the student capacity
enough stock to meet demand? or during food festivals. This helps to minimise
wastage as we purchase according to daily needs..

Are there any bottlenecks or areas for Previously, they opened at 11:40 AM, taking 20
improvement in our current production minutes to get ready. From 12 PM to 1 PM,
workflow? students usually finished classes, so sometimes
they had to wait before the shop opened. If they
were ready for 50 customers, they often ran out. So
now, they've decided to open the shop earlier.

43
How to maintain consistent quality while Employee Training: Provide comprehensive
increasing production efficiency? training to all staff members to ensure they
understand the importance of maintaining quality
and efficiency and following SOP.

2.6 Financial achievements

Is there any capital or fund when starting personal not funded /sponsorship
the business

Describe some of the biggest Has been answered, to be referred from previous
challenges/issues that the business owner questions
has faced in running this food business?

Does it affect the company, and how did Has been answered, to be referred from previous
they overcome it? questions

Does this company struggle with No, because this company only focus on a small
competitor issues, and how do they margin of the student and staff percentage.
differentiate their food business from
others?

Sales per month 2023 (sales revenue) Able to receive sales revenue from 2022 only

44
3.0 COMPANY ANALYSIS

3.1 SWOT Analysis

Strength

● Food quality on top


● Online transaction
● Packaging wise (consumers-friendly, due to the limited seatings, easy for
students to take away and dine at other spots) / Neat product packaging
● Clear target market
● Strategic location of the shop, located at the centre of the entire faculties, easy
to be accessed
● Offer a delivery service to the customers

Weakness

● Inadequate attention on marketing


● Insufficient amount of seating areas
● Staff shortage
● Unpredictable weather - open space

Opportunity

● Located in the centre of students’ institution


● Less competitors
● Location
● Media social marketing
● Menu / Cuisine expansion (Potential of adding more improvised menu to
create vast amount of options)

Threat

● Food Festival
● Sudden outbreak and absence of student

45
How do you handle complaints from By replacing foods and take notes
customers?

4.0 FINDINGS

Describe some of the biggest Unexpected staff shortages: The company faced a
challenges/issues that the business big problem when four employees quit at the same
owner has faced in running this food time in a 24-hour period, causing chaos.
business? Internal conflicts: Employees got into arguments
with one another, which disturbed the workplace
and reduced output.
Workload increase: The remaining employees'
productivity and morale suffered as a result of
having to double-check their assignments and
responsibilities.
Improving staff dynamics proved difficult despite
efforts to lessen the situation, endangering the
operations and reputation of the company.
Impact of the training period: Due to the time
needed to train new employees, it was anticipated
that sales and income would potentially decline for
the following five months, underscoring the
long-term consequences of abrupt staff turnover.

During the Movement Control Order (MCO),


only 20 percent of UITM staff and 10 percent of
lecturers were able to work. To survive, they
switched to bi-weekly paychecks. They sought
assistance from private donors and the government,

46
which helped them stay afloat. Despite the
challenging financial situation, they managed to
survive. However, their financial reports reflected
significant losses during that period. The child had
to find solutions to overcome these challenges.

47
APPENDIX C

Profit Loss statement for The Warong Coffee and Pasta in 2020-2022

48
APPENDIX D

SSM Registration Document

49
APPENDIX E

Photos of The Warong Coffee and Pasta

50

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