1. Business decisions and strategy focus on financial performance indicators such as return on capital employed (ROCE), net present value (NPV), and the use of financial rewards to reduce labour turnover in Five Guys.
2. ROCE calculation involves operating profit and capital employed data from Five Guys’ financial reports as of December 2021.
3. NPV assessment of investment in a milkshake machine for Five Guys includes discounted cash flow analysis over five years using a 5% discount factor.
4. Food production organization impacts human resources through fresh ingredient use, employee training on sensory cooking, and no reliance on timers or machines, leading to unique operational challenges.
5. Financial rewards programs (e.g., mystery shopper incentives) aim to reduce labour turnover by motivating staff with monetary rewards shared weekly among top-performing restaurants.
6. Product development benefits from launching new branded clothing merchandise as per Ansoff’s Matrix, enabling market diversification, brand extension, and additional revenue streams for Five Guys.