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Hospitality Services The University of Western Ontario Synopsis: In March 2003, Kevin McCabe , associate director of Hospitality Services (HS) at the University of Western

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Hospitality Services The University of Western Ontario Synopsis: In March 2003, Kevin McCabe , associate director of Hospitality Services (HS) at the University of Western Ontario was ready to review two opportunities to improve the profitability of Centre Spot (CS), the largest foodservice sales generator on campus. He needed to consider reducing congestion by adding an eighth register or adding a new restaurant. What should the priority be, implementing operational improvements or providing students more dining alternatives? Case questions: Assess the financial health of HS. Include: Return on capital and on total assets, capital asset turnover, debt to equity, days of inventory and accounts payable, and growth analysis of sales, profit, and assets should be included. Brainstorm the goals of a tuliversity foodservice administrator and the needs of customer segments for delivering an array of foodservice alternatives. Analyze the consumers of Centre Spot (CS). What are the most important issues HS should consider? Analyze each restaurant qualitatively and quantitatively in CS. Are there restaurants causing low overall profit or contribution margin? If so, which ones? Analyze the decision to add a new register both quantitatively and qualitatively. Analyze the decision to add a new restaurant both quantitatively and qualitatively. As Kevin McCabe, perform any other analysis you would deem necessary and make your recommendations to improve profitability

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