Business Operation Guan Hin Coffee Singapore

Question: Discuss about theBusiness Operation for Guan Hin Coffee Singapore. Answer: Introduction: In this assignment, the business operation for the company Guan Hin Coffee Singapore has been discussed. In the first section, a description of the tangible assets of the firms has been provided. An explanation has been given so that value chain of the company can be harmonized with the business operation. In the next section, the fundamental business operation of the company has been analyzed. It includes description of the inbound logistics, operations and outbound logistics along with the service provided to the customers. Strategic Tangible Assets of Guan Hin Coffee Singapore Ashby et al. (2012) mentioned that tangible asset of an organization is the asset that has a physical form. These types of assets can actually be touched and see. An organization can control physical asset such as purchase contract. These types of assets are opposite of intangible assets like copyright or patent. It has been found that tangible asset of an organization can be categorized in two sections. They are fixed assets and current assets (Barney, 2012). The current assets of an organization are also known as flexible assets. A company can easily liquidate these assets. For example funds in the business bank account of Guan Hin Coffee Singapore are its flexible or current assets. On the other hand inventory of the coffee shop is also another current asset for the company. Tayur et al. (2012) mentioned that current asset of a company never depreciate. On the other hand fixed assets are just opposite of the current assets (Green et al., 2012). The building of the coffee, all the machineries, land and the furniture are the fixed tangible assets for the organization. Accounting It has been found that the finance and accounting team of the company teats the tangible assets very specifically. They make list of the tangible assets which is totally different from the company documents and the balance sheet. The list of tangible asset is put under the heading of plant, property and equipment or plant and equipment. It has been found that the accounting and finance team allocate the expanse for fixed assets that have contribution in the business operation. Traits In case of traits, asset which can be controlled by the business operation is known as tangible traits. Tangible assets of the organization can help it to enhance the services. It also has contribution in the cash flow of the business operation for the company. It has been found that tangible business assets are physical items like coffee machines, chairs, tables, furniture. Hence, they have potential for loss, damage and theft. The company Guan Hin Coffee can show these tangible assets with good documentation. These assets can be used to get loan. They also help the organization to gather financing that is required to continue business operation. However, there are some guide lines that prevent some tangible asset to become collateral such as land. Fundamental Operations Management of Guan Hin Coffee Singapore Inbound Logistics It has been found that the Guan Hin Coffee Singapore had started to restructure its inbound logistics since 2010. It includes modification of supply chain management and the development of a single logistics system. The company brings coffee beans from Asia, Latin America and Africa to Singapore via sea. The distribution center of the company ranges from 10, 00 to 20,00 square feet. From central distribution center, delivery has been made to the coffee store. Presently the company is exploring the opportunity to grow its own coffee. For this reason, the coffee shop is looking to have its own coffee firm. Barney (2012) stated that, this shift of product sourcing can increase possibility of new product development for the Guan Hin Coffee Singapore. It will help the coffee factory to develop to develop new type of coffee. Business Operation The company has coffee factory in Singapore. It has also 20 coffee shops in Singapore. The company adds value in its operation by free Wi-Fi connection to its stores. The company adds value by developing Guan Hin Coffee experience where customers can spend quality times with their loved one. Outbound Logistics It has been found that the consumers can purchase coffee products directly from the factory of Guan Hin or from company operated and licensed stores. For a certain range of products like tea, coffee, drinkware or any drink related equipment, the company utilizes online sales channels. Some of the products of the company are also available is some supermarkets such as Sainsbury, Tesco and Wal-Mart. Sales and Marketing Activities It has been found that, Guan Hin Coffee shop is not interested much in market investment. The company mainly depends upon cost-effective approach of marketing such as word of mouth. The company mainly focuses on develop high quality products and providing high quality services to the customers. However, due to intense level of competition with international companies such as Starbucks has forced the management of Guan Hin to increase investment on marketing. The management has increased investment on sales promotion, event, media advertising, public relations and direct marketing. Service It has been found that superior customer service is the core business strategy for the company. It helps the company to get competitive advantage in the market of Singapore. The management of the company always tries to spend a lot of time to analyze how the customer experience can be improved for the organization. Conclusion It has been found that the company Guan Hin Coffee Singapore has mainly two types of tangible assets. They are like current or flexible assets and fixed assets. Funds in the business bank account and inventory of the coffee shop are the current assets for the company. On the other hand fixed assets of the organization are such as the building of the coffee factory, all the machineries, land and the furniture. It has been found that the company brings coffee beans from Asia, Latin America and Africa to Singapore via sea. For a certain range of products like tea, coffee, drinkware or any drink related equipment, the company utilizes online sales channels. The company mainly depends on word-of-mouth marketing. High quality products and services are the core business strategy for the organization. Reference list Ashby, A., Leat, M., Hudson-Smith, M. (2012). Making connections: a review of supply chain management and sustainability literature.Supply Chain Management: An International Journal,17(5), 497-516. Barney, J. B. (2012). Purchasing, supply chain management and sustained competitive advantage: The relevance of resourceà ¢Ã¢â€š ¬Ã‚ based theory.Journal of Supply Chain Management,48(2), 3-6. Green Jr, K. W., Zelbst, P. J., Meacham, J., Bhadauria, V. S. (2012). Green supply chain management practices: impact on performance.Supply Chain Management: An International Journal,17(3), 290-305. Tayur, S., Ganeshan, R., Magazine, M. (Eds.). (2012).Quantitative models for supply chain management(Vol. 17). Springer Science Business Media.