For the first half of the three restaurants: Din Tai Fung, Wowprime, and Haidilao. It is determined that Wowprime and Haidilao has the most Ys, comparing to Din Tai Fung. The results are Wowprime has 2Xs and 4Ys, and 2XYs. Din Tai Fung has 2Xs, and 2Ys and 1XY, and Haidilao has 2Xs, and 8Ys.
Haidilao stands in first place for being the one company that has the most Ys which are based on management training, rewards, appraisals, EAP welfares, creativity, and learning motivation. This makes Haidilao company a Theory Y management oriented company that is extremely famous for its resigning bonus program (dowry) and its generous EAP welfares. This sums up that Haidilao is very interested in turning every employee into a self-disciplined and self-controlled individual working productively for the company. This is part of its business leadership and management to lead these employees as they are well mannered.
Wowprime stands in second place for having the most Ys and fewer Xs. This makes Wowprime for being a Theory Y oriented company aiming at SOP in physical and mental training, but at the same time offering a generous lifetime of EAP welfares to their employees.
Din Tai Fung stands in third place for being the only company that has a balanced set of management. This makes Din Tai Fung for being a balanced set management oriented company that is well-known by the media with its strong emphasizes on SOP, details and perfection. It was also reported the employees are very hard working individuals, and so the owner treats them like royalties. They are offered with the best facility, and services than other companies. Most of all, 48% of the net profit has repaid to their employees. Therefore Din Tai Fung likes to use bonuses
143
and rewards as a form of performance appraisal to entice or to persuade their workers to continue working hard. Only Theory XY is based on performance appraisals toward hard working Theory Y employees and hope to motivate Theory X employees as well in EAP welfares, and learning through visitations. This sums up Din Tai Fung as a SOP oriented company that heavily
emphasizes on quality of their products and services. So it will use most of its rigorous training programs to make Theory Y workers to become more perfected in their job position. And for the hard work they did for the company will be rewarded with bonuses and vacations.
For the second half of the three restaurants from North America: T.G.I. Fridays, Outback Steakhouse, and McDonald’s. It is determined that T.G.I. Fridays has the most Xs, comparing to McDonald’s, and Outback Steakhouse. On the other hand, Outback Steakhouse has the most Ys, comparing to McDonald’s, and T.G.I. Fridays. The results are T.G.I. Fridays has 4Xs, 0Y, and 0XY, Outback Steakhouse has 1X, 7Ys, and 1XY, and McDonald’s has 2Xs, and 5Ys.
T.G.I. Fridays stands in first place for having the most Xs with no Ys and no XYs. This makes T.G.I. Fridays for being a Theory X management oriented company. Based on the case study, the company is studied for its employee empowerment and what the limitations or restrictions are. However, the analysis of the content indicated that T.G.I. Fridays is rather a Theory X oriented company. Most of the Xs are based on employee management, recruitment, employment training, induction, appraisals and rewards for X workers, and standard operating procedure. Clearly, the company aims at quality and service control through training and induction. Those that passed the recruitment will be managed and trained. Theory X indicates the limitation of not giving employees full access to empowerment. This is only to protect the company’s resources and assets.
Outback Steakhouse stands in second place for having just one X and having the most Ys. This makes Outback Steakhouse a Theory Y management oriented company. Most of its Ys
144
are based on employee empowerment, decentralization, creativity, ingenuity, and innovation, delegation and abdication (discarding hierarchy), trust and relationships. This sums up Outback Steakhouse as an employee empowered driven company that heavily relies on trust and by blending American business culture into a foreign country such as in South Korea.
The main reason for its great success of the restaurant chains in South Korea is because it is largely based on Theory Y management rather than Theory X management that is commonly practiced by most business firms in South Korea. It was the freedom and empowerment that the American business culture introduced to South Korea which given them the access to unlimited creativity and innovations in the human resource department. They are free to create dishes for menus that are suitable for its local market. But evidently, it was abdication that laid the foundation in which hierarchy is no longer relevant, because everyone in the organization plays the role of a manager in making decisions that shows benefits for the company.
McDonald’s stands in third place for having the least Xs and the most Ys. This makes McDonald’s for being a Theory Y management oriented company. Most of the Ys are based on management training, decentralization, trust, abdication, and delegation from the leading by
examples principle that as a leader, you are the central role model to your employees, so
everything you do at the restaurant will set up an immediate example for them to follow. This sums up McDonald’s as a standard operating and decentralized organization based onquality service control that can be adapted from a training institution like Hamburger University where future managers will learn to lead their employees by examples through a trustworthy relationship in the workplace.
McDonald’s is quite generous when it comes to performance appraisals, outstanding and contributing employees are rewarded with stocks! For instance, Ray Kroc has given one million dollar US in stock each to his partner Fred Turner and his wife, and distributed the rest to his employees. Lastly, one of its Theory Y principles, honesty and integrity (Trust) is the important
145
foundation that Ray Croc has laid for the business conduct. He believes that by working and associating with people that have the right intention to do business, will make a positive influence on employees that they also want to do their jobs in a sincere way.
To conclude all six restaurants’ business managements, each of these restaurant shares great similarities in their business conduct. For instance, McDonald’s, Din Tai Fung, and Wowprime share the same business conduct of focusing particularly in standard operating procedure to bring out the exceptional quality in products and services to their customers. On the other hand, Outback Steakhouse, T.G.I Fridays, and Haidilao emphasize in empowerment; how much authority and delegation that the company can abdicate to their employees. However some of these restaurants such as Haidilao, Wowprime, Outback Steakhouse, and Din Tai Fung may also have been inspired by several of McDonald’s Theory X and Theory Y managements. For instance, Haidilao and Wowprime established their own university program , which is an identical training managerial practice to McDonald’s “Hamburger University” from Theory X, and as for Outback Steakhouse’s Decentralized Organization, it has almost the same set up to McDonald’s Decentralization from Theory Y. Other similarity from Outback Steakhouse’s management included “Grass Roots Marketing” which shares a common practice towards McDonald’s “Ronald McDonald’s House of Charities”. Both managerial practices focus on organizing activities and food donations for its local communities as a way to establish good customer relationships which eventually helped attract local residents. This is one type of
marketing ploy to gain customer awareness for its products and services. Another similar practice that Haidilao got inspired from McDonald’s is called the “Apprentice Model” which is an
identical management to Mentorship that McDonald’s emphasizes on nourishing mentor and apprentice’s relationship both in and off work. Besides coaching the apprentice to do his or job, the mentor may act as a guidance counsellor who provides solutions to social problems if the apprentice encounters one. Finally, Din Tai Fung strongly emphasizes SOPs locally and overseas
146
like McDonald’s would do to ensure their QSCs are standardized in all its locations worldwide by conducting regular inspections.
In closing, McDonald’s is a commercially proven successful business organization that will inspire other firm to emulate or to take lessons from.
Ultimately, the end result from all of these restaurant managers hope to expect from their employees is that they can provide a customized and a unique service or product experience to customers, instead of being too rigidity and offering too “mechanical” services from most standard operating procedural restaurant chains in the foodservice industry around the world.
147
Chapter Five
Conclusion and Suggestions
The fifth chapter concludes the thesis by locating the primary findings in Theory X, Theory Y, and Theory XY from the six major restaurant chains. The purpose is to carefully analyze the appropriate theoretical managements of X and Y that are suitable of implementing into an existing independent restaurant in Canada. This particular restaurant is actually run by one’s parents. So there are strong interest and motivation in building this thesis that it can be one day fully realized in one’s part. The restaurant’s name is Takara, a Japanese cuisine that had a long history when it first opened to the public in 1992. The seating capacity of this restaurant can hold 48 tables and can be seated with 122 people including sushi bar. It offers a cozy Japanese dining experience that most customers can feel the warmth and intimacy that the atmosphere of the restaurant projects.
Chapter five is divided into three sections: primary findings in Theory X, Theory Y, and Theory XY, the Implementation of the Ten Chosen Theory X and Theory Y Managements in Takara Japanese Cuisine Restaurant , and the Conclusion on Takara Japanese Cuisine
Restaurant’s Theoretical Management Orientation.
Section I Primary Findings in Theory X, Theory Y and Theory XY
According to Table 5-1 below, there are 10 theoretical managements carefully chosen from the 5 restaurant chains: Din Tai Fung, Wowprime, Haidilao, Outback, and McDonald’s that can be implemented into Takara restaurant managerial setting. These selected managements are appropriate to use in a small independent restaurant such as Takara. The purpose and usage of these 9 managements will further be explained on Section III the implementation of the chosen
148
Theory X and Theory Y managements in Takara Japanese cuisine restaurant.
Table 5-1
Ten Chosen Theoretical Managements for Restaurant Implementation
Source: Table of this research was made by oneself
The implementation of these particular 10 selected theoretical managements in Table 5-1 is explained in further details in section II of Chapter 5. Why they are suitable and necessary to be applied in a standalone restaurant such as Takara Japanese Cuisine Restaurant in Montreal, Canada. Besides being implemented for Takara catering managements, they can also be suitable to apply in other restaurant business as well.
Theory X Theory Y Theory XY
149
Takara Japanese Cuisine Restaurant’s Photos Inserts Images (Figure 5-1 to 5-7 ) are the Sole Property of Takara Inc.
And Images (Figure 5-8 & 5-9) are the Sole Property of Le Cours Mont-Royal
Restaurant Brand name
Figure 5-1. Logo and Sign
Source: Restomontreal.ca (2015). Takara images retrieved from http://www.restomontreal.ca/en/998/Takara
Restaurant Décors
Figure 5-2. Sushi bar (front) and (side)
Source: Restomontreal.ca (2015). Takara images retrieved from http://www.restomontreal.ca/en/998/Takara
(continue onto next page)
150
Restaurant Décors (continued)
Figure 5-3. Dining area (front) and (side)
Source: Restomontreal.ca (2015). Takara digital images. retrieved from http://www.restomontreal.ca/en/998/Takara
Figure 5-4. Tatami room
Source: Restomontreal.ca (2015). Takara digital images. retrieved from http://www.restomontreal.ca/en/998/Takara
151
Takara Menu
Figure 5-5. Traditional Takara Sushi Platters
Source: Restomontreal.ca (2015). Takara digital images. retrieved from http://www.restomontreal.ca/en/998/Takara
Figure 5-6. Rainbow and Caterpillar Maki
Source: Restomontreal.ca (2015). Takara digital images. retrieved from http://www.restomontreal.ca/en/998/Takara
Figure 5-7. Sushi ChampaignandEurasian Fusion
Source: Restomontreal.ca (2015). Takara digital images. retrieved from http://www.restomontreal.ca/en/998/Takara
152
Exterior & Interior shot of Le Cours Mont-Royal
Figure 5-8. Interior shot of Le Cours Mont-Royal
Source: Grandprixmontreal.com (2015). CMR digital image. Retrieved from http://www.grandprixmontreal.com/shopping/cmr/cmr.php
Figure 5-9. Exterior and Interior shot of Le Cours Mont-Royal
Source: Tripadvisor.com (2015). LCMR digital image. Retrieved from http://www.tripadvisor.com
153
Section II The Implementation of Ten Chosen Theory X and Theory Y Managements in Takara Japanese Cuisine Restaurant
Takara Inc. was officially established in 1992 by a Cantonese and Taiwanese immigrant couple who love gourmet. The reason they decided to run a Japanese cuisine restaurant instead of Chinese cuisine restaurant is because both owners knew Japanese culture very much when they attended college together in Japan. The Japanese connection had somehow drew them together and 20 years later when moving to Canada for a new life, they decided to run a restaurant like most Asian immigrants would do in those periods. In order to observe the locate market, the couple dined at every type of Asian restaurant and they found out 48% of the market was mostly Chinese restaurants and the remaining 52% of the Asian restaurants were made up of Japanese, Thai, or Vietnamese, Korean and etc… Since Chinese restaurants had already dominated the catering market so it would be a risky business to enter the market that is saturated and be eaten alive! So the couple decided to choose Japanese cuisine, because it was fresh, trendy and new at the time. Before opening an authentic Japanese restaurant, the couple opened a Takara Japanese Teriyaki food stand in Plaza Côte-des-Neiges’ food courtin 1992, the cuisine was to grill or broil meats and vegetables with soy sauce and seasonings. Back in those days, not many locals had ever try or dare to try raw foods or sushi, so it would be extremely risky to start the business with that, so to test the waters by saving enough money, the couple then decided they will open when it is the right time.
From the 1970s to 2000s, the only three competitors were Katsura, Sakura, and Mikado restaurants. They offered sushi and sashimi and cooked dishes. Due to extreme competitions, many rivals that opened Japanese restaurants in downtown of St-Catherine Street during the 1990s and 2000s were forced to terminate their business including Katsura in 2007 and the recent close up was Kaizen in 2013 when the restaurant was first introduced in 1994.
154
After two years of testing the waters with the local customers, many of them gradually becoming to get more familiar and comfortable with the exotic Asian cuisine, by and by the acceptance for Japanese cuisine grew confident and became more popular in the mid-90s due to a sudden outburst of Japan-mania. The owners declared 1994 is the right year to open their first ever Japanese authentic cuisine restaurant in downtown St-Catherine Street. And so they did, with all the obstacles they faced or have to endure in their lifetime, they prevailed. Takara recently celebrated their 20th anniversary of founding the restaurant and the business is going strong than ever since with its new interior décor renovation and menu innovation. The possibility is endless.
First, by implementing the “Apprentice Model” from Theory X will secure the bonding relationship between mentors and trainees or interns. Takara really wanted to offer working opportunities for newly graduates but at the same time they needed highly skilled workers. So the best way is to train these trainees or interns is to train them one on one. So every veteran at Takara who worked more than 5 years as servers or chefs are mandated to train their new colleagues as apprentices, so they can quickly adapt to their work surroundings. Next one is
“Hamburger University” from McDonald’s, Takara can adapt a similar management by sending
their highly qualified employees to trade schools who wish to upgrade their skills in either employment or management training. Takara needed to have more than one manager just in case of an emergency like calling for sick leave or other personal reasons. The vice-manager can fill in his or her position during the absence. Such management could come in handy when something like that happens. The third management from Theory X is physical training from Wowprime, this is simply to tone up their bodies and physicality, so they can work energetic and obediently.The last management from Theory X is SOP from Din Tai Fung, since Takara is a small independent restaurant, hence it does not need the scale and size to maintain SOP from that of
155
Din Tai Fung. The restaurant only needed the idea of it, therefore it will have to update its old menu by eliminating and adding new dishes. The only way to do so is to use “Customized
Operational Strategies” from Outback in Theory Y. The idea is to fuse it with SOP, this will
encourage Theory Y chefs to come up with new dishes and to eliminate the ones that are less popular. Of course with every dish created, the chef will receive monetary reward for his or her effort, which is another management from McDonald’s Recognitions and awards in Theory Y.Second, by implementing EAP from Din Tai Fung in Theory Y, helps any newly arrived waitresses and chefs from Japan to adjust or ease their tensions off when residing in an exotic country for the first time. EAP provides services from professional masseuses, nutritionists, and counsellors whom can help them reduce depression and to combat cultural shock. Next one is
Employee Empowerment from Haidilao is extremely suitable for Takara, because the restaurant
absolutely needed to abdicate or to transfer simple authorization to employees to make decisions or choices. This could help them becoming more responsible, independent, and trustful. One day one these employees could be your partners or advisors. Please note COS and Recognitions &awards have been explained previously.
Third, by implementing the last managements from Abdication from McDonald’s in Theory Y, and Bonuses and Performance Appraisals from Wowprime in Theory XY can help workers collaborating together as teams to commit common goals when managers and leaders are willingly to work side by side at the restaurant with their hard working employees, this will earn their respect and admiration.
Theory X managements
The first primary finding from Theory X is called the Apprentice Model from Haidilao which is a type of employee training that emphasizes the experience with one on one instead of groups (Zhao, 2011). This gives both the senior and the junior a chance to develop a mutual
156
mentor and apprentice relationship. This is indeed a suitable practice for a cozy restaurant like Takara where the number of staff working per day is between 2 to 4 people. Two waiters in dining room, one chef in kitchen, and one in sushi bar. For instance, the senior waiter is
mandated to coach and to look after the junior waiter. The two then can rotate work station from dining room to cashier when needed. This way the new trainee waiter will learn about two different tasks.
This practice also applies to senior chef who is mandated to train junior chef both in kitchen and in sushi bar. The two then can rotate working station from kitchen to sushi bar when needed. The purpose is to have the newly arrived chef and waiters to get comfortable in their workspace. One on one training is believed to enable greater efficiency in learning development.
The second primary finding from Theory X is the management training from
McDonald’s “Hamburger University” (Facella & Genn, 2009). Since Takara Restaurant does not have the manpower and budget like McDonald’s, but the concept is still applicable. For instance, the owner of the restaurant can send the “employee of the year” to a trade school or to an
academic institution by funding him or her the tuition to acquire the management training. The
academic institution by funding him or her the tuition to acquire the management training. The