BUSINESS CRITICAL THINKING 2
To determine the rationale for the repeated increase in the cost of food, I will first of all
look into the transportation department of the restaurant. I will look at how the transportation
department transports food from the supplier to the restaurant. I will investigate if there are any
losses that are incurred on the way especially when transporting highly perishable foods such as
vegetables. I will look at the current cost of fuel for the vehicle as well as the cost of cooking
gas. Second, I will look at the labor department to investigate whether there are issues of stealing
food from the restaurant, employee training, and the way the employees handle food
(Drewnowski & Darmon, 2005). As a manager, I will investigate the salaries and wages
department. I will explore the amount of salary that each and every employee is being paid since
the beginning of the rising cost of food. I will investigate this department to see if there is any
employee who is favored regarding payment and whether there is the embezzlement of funds.
Lastly, I will take the finance department into consideration by looking at how the book-keeping
is done.
The first factor that I can explain to the owner is the increased cost of transportation
which comes as a result of the going bad of perishable products and increased cost of fuel. The
second factor is the increment in salary for the highly-experienced workers who have worked in
the restaurant for many years. Also, the increased cost of training new workers on how they
should handle the food. The employees in the finance sector have not been doing proper book-
keeping since most of them have little experience; hence leading to the losses. The high cost of
ingredients and improper mix proportions are some of the reasons contributing to the rise in the
cost of food.
I will rectify the book-keeping issue by firing the less-experienced employees and hiring
those who are highly-experienced. I will introduce the idea of refrigerating highly-perishable