Question Description
Must 100% pass plag checker. Super fast small assignment, less than an hour to complete.
Read case studies 4.1 and 4.2 in Ch. 4 of Service Management: Operations, Strategy, Information Technology (pp. 101-112).
Answer the questions at the end of each case study using 100 words or more (600 or more words for all 6 questions).
Format your paper according to APA guidelines
Amy's Ice Cream is a business that was founded in Austin, Texas, and now has 13 locations in Austin and one each in Houston and San Antonio. When asked about the driving force behind it, Phil Clay, the production manager, explained that “while the product is of excellent quality and does come in some unique flavors, ultimately ice cream is ice cream. One can just as easily go to Swensen's or the Marble Slab to get great ice cream. Service is what differentiates Amy's from other ice cream stores and keeps customers coming back again and again.” And indeed, the service at Amy's is unique.
Amy Miller, the owner and founder, got her start in the ice cream business when she worked for Steve's Ice Cream in Boston, a store whose gimmick was mashing toppings into ice cream. She recalls how Harvard and M.I.T. students would work at the store—obviously for reasons other than the great salary and fringe benefits. She quickly realized that this was a business that instantly made its customers happy. Working in an ice cream store was a “feel-good” occupation, which lured such bright workers who could easily make much more money working almost anywhere else.
When she opened the first Amy's Ice Cream in October 1984, she had two philosophies: one that an employee should enjoy what he or she does, and another that the service as well as the ice cream should make the customer smile. These philosophies have provided the foundation for a business that two decades later is firmly established and thriving.
In the beginning, theater majors and artists often were hired as servers, because the idea of enjoying what they were doing was just as appealing to them as making money. These outgoing and creative employees were very skilled at projecting their colorful personalities across the counter. They joked and interacted with customers while filling their orders. Customers were drawn to the fun and variety of the service, which might be described as “ice cream theater,” and once drawn, the customers returned again and again for repeat performances.
How does Amy's recruit employees who are up to “performing”? Originally, the employment application form was rather casual, simply handwritten and mimeographed. Mr. Clay recalls, however, that one day he was out of forms when a very large man asked for a copy. The man became somewhat belligerent at being told none was available, so Mr. Clay whipped out a white paper bag—the only writing surface under the counter—and offered it as an “alternate” form. The applicant was satisfied and carried away his form to complete! When Mr. Clay relayed this story to Amy, she said the white paper bag would work just fine, and it became the new “official” application form. In fact, it has proven to be a very good indicator of whether an applicant is willing and able to express herself or himself both easily and creatively. A person who uses the bag just to write down the usual biographical information (i.e., name, address, Social Security number, and so on) probably will not be as entertaining a scooper as one who makes it into a puppet or hot air balloon. Getting “the sack” at Amy's takes on a whole new meaning. Applicants who pass the sack test then are interviewed.
New employees go through an on-the-job training process. One part of this training concerns ice cream procedures so that servers can deliver a consistent product. The other part teaches them to express themselves from behind the counter, which includes recognizing which customers enjoy the revelry and which just want to be left alone, as well as how far the kidding can be taken with different customers. In general, employees are free to interact theatrically with those customers who want to do so.
In the early days Amy's operated on an approximate 3 percent profit margin. Consequently, the servers were minimum wage, and about 80 percent of them were part-time workers who received no additional benefits. In fact, most managers made less than $15,000 per year, and there was a $30,000 cap for all employees—including Amy. In view of the low remuneration that still exists, how is Amy's Ice Cream always able to recruit the high-quality help that translates into satisfied customers?
Well, they do get Amy's Ice Cream T-shirts at cost and all the ice cream they can eat! Perhaps the major reason, however, is that Amy's is freedom-oriented rather than rules-oriented. The only “uniform” an employee must wear is an apron, whose primary function is to project a sense of continuity behind the counter. A hat also is de rigueur, but the employee is free to choose any hat as long as it effectively restrains the hair. In addition, the employee may wear any clothing that suits his or her mood that day as long as it is not soiled, political, or excessively revealing.
Employees can bring their own music, keeping in mind their type of clientele, to play in their stores. For example, an Amy's located in a downtown nightspot district draws a young, exuberant crowd that would appreciate lively music, whereas an Amy's located in an upscale shopping mall attracts a clientele whose musical tastes might be a bit more quiet.
The design of each store and the artwork displayed there tend to be colorful and eclectic, but again, the employees are free to make contributions. Amy's employs a local artist to decorate all stores; still, the individual managers have considerable say in what they feel is desirable for their own location. Often, the artwork is an exhibition of local artists' efforts.
Everyone does everything that needs to be done in the store. If the floor needs to be cleaned, the manager is just as likely to do it as a scooper. There is a very strong sense of teamwork and camaraderie. Employee meetings are usually held at 1 AM, after the last Amy's Ice Cream has closed for the night. Door prizes are offered to encourage attendance.
Apparently, it is a lifestyle choice to work for Amy's. These employees are people who do not want a “real job” in which they would have to wear certain clothes, work certain hours, and not have nearly as much fun. Obviously, money is not the major motivation, and it might be that the lack of big money is one of the unifying forces among employees.
Amy's Ice Cream has created what is definitely a “nonmainstream environment,” which many feel is responsible for the legions of happy customers who keep the business merrily dipping along.
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