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  i ASHESI UNIVERSITY COLLEGE Application of Information Technology (MIS) to Restaurants in Ghana: a case study of selected restaurants in Tema, Ghana LOIS NAA LAMILEY AKOTO-LAMPTEY 2012

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  • i

    ASHESI UNIVERSITY COLLEGE

    Application of Information Technology (MIS) to Restaurants in Ghana: a

    case study of selected restaurants in Tema, Ghana

    LOIS NAA LAMILEY AKOTO-LAMPTEY

    2012

  • ii

    ASHESI UNIVERSITY COLLEGE

    Application of Information Technology (MIS) to Restaurants in Ghana: a

    case study of selected restaurants in Tema, Ghana

    BY

    LOIS NAA LAMILEY AKOTO-LAMPTEY

    Thesis submitted to the Department of Management Information Systems,

    Ashesi University College.

    In partial fulfilment of the requirements for the award of a Bachelor of Science

    Degree in Management Information Systems

    May 2012

  • iii

    DECLARATION

    I hereby declare that this dissertation is the result of my own original

    work and that no part of it has been presented for another degree in this

    university or elsewhere.

    Candidates Signature: ......................................................................

    Candidates Name: ...........................................................................

    Date: .............................................................................................

    I hereby declare that the preparation and presentation of the thesis were

    supervised in accordance with the guidelines on supervision of thesis laid down

    by Ashesi University College.

    Supervisors Signature: .....................................................................

    Supervisors Name: ...........................................................................

    Date: ...............................................................................................

  • iv

    ACKNOWLEDGEMENT

    I would like to say a big thank you to my parents, Victor and Josephine

    Akoto-Lamptey, my supervisor Dr. Esi Ansah, Mrs. Josephine Djan and Dr.

    Richard Douglass for helping me throughout my thesis project. I would also like

    to thank Mirabake Restaurant, Chearis Restaurant, Papaye Restaurant, Southern

    Fried Chicken Restaurant, 3 Seasons Restaurant, Bar & Coffee and the Point Bar

    and Restaurant, all in Tema for allowing me to use their restaurants for my

    research.

  • v

    Abstract

    Information Technology is used today by a lot of companies in different

    industries around the world. Information Technology is applied in areas such as

    supermarkets, hotel industry, banks and other financial institutions. In Ghana,

    some restaurants use information technology but recording of orders and

    inventory items for example, are still handwritten. These restaurants can use an

    Information Technology tool instead of the manual way of recording data. The

    researcher designed a criteria for determining the level of Information

    Technology a restaurant uses as well as a diagram to determine the relationship

    between service quality and information technology.

    This study is about applying a service quality model called the Information

    Technology (IT) Alignment Model to restaurants. The aim of this paper is to

    know how restaurants in Tema use Management Information Systems (MIS) in

    their daily operations to improve service quality.

    Keywords: Service Quality, IT Alignment Model, Management Information

    Systems, Information Systems, Casual Dining Restaurants

  • vi

    Contents

    Abstract .............................................................................................................................................. v

    CHAPTER ONE - INTRODUCTION ......................................................................................... 1

    1.1 Research Problem ............................................................................................................ 2

    1.2 Rationale of Study ............................................................................................................ 5

    1.3 Conceptual Framework .................................................................................................. 5

    1.4 Objective of the Study ................................................................................................... 7

    1.5 Research Question ........................................................................................................... 8

    1.6 Research Proposition ....................................................................................................... 8

    1.7 Significance of the Study .............................................................................................. 8

    1.8 Organization of the Study ............................................................................................. 9

    CHAPTER TWO LITERATURE REVIEW ......................................................................... 11

    2.1 Information Systems .................................................................................................... 11

    2.2 Service Quality ................................................................................................................ 14

    2.3 Service Quality Models ................................................................................................. 16

    2.4 Service Quality & Information Technology ........................................................... 20

    2.5 The Food Service Industry in Ghana ...................................................................... 22

    2.6 Casual Dining Restaurants .......................................................................................... 23

    2.7 Restaurants and Information Technology ............................................................. 23

    2.8 Summary of Literature Review ................................................................................. 25

    CHAPTER THREE - METHODOLOGY .................................................................................. 26

    3.1 Introduction ...................................................................................................................... 26

    3.2 Research Proposition ..................................................................................................... 27

    3.3 Research Design ............................................................................................................. 27

    3.4 Operational Definitions ................................................................................................. 28

    3.5 Sample Frame ................................................................................................................. 29

    3.6 Data Collection Procedures ......................................................................................... 32

    3.7 Limitations ......................................................................................................................... 32

    CHAPTER FOUR FINDINGS AND DATA ANALYSIS .............................................. 34

    4.1 Introduction ...................................................................................................................... 34

    4.2 Demographic Data ......................................................................................................... 35

    4.3 Findings .............................................................................................................................. 38

    4.3.1 Level of Information Technology .......................................................................... 38

    4.3.2 Reliability & Responsiveness .................................................................................. 40

    4.3.3 Link between Information Technology & Service Quality ........................... 42

    4.3.4 Additional Findings ..................................................................................................... 43

    4.4 Discussion & Analysis ................................................................................................... 44

    4.4.1 Responses from Managers and Wait staff ........................................................ 45

    4.4.2 Responses from Customers .................................................................................... 46

    4.5 Validity and Reliability of the study ......................................................................... 46

    CHAPTER FIVE - CONCLUSION AND RECOMMENDATION ................................... 47

  • vii

    REFERENCES .................................................................................................................................. 50

    APPENDIX A .................................................................................................................................. 53

    APPENDIX B .................................................................................................................................. 54

    APPENDIX C ................................................................................................................................... 56

    APPENDIX D .................................................................................................................................. 58

    APPENDIX E ................................................................................................................................... 59

    APPENDIX F ................................................................................................................................... 61

    APPENDIX G .................................................................................................................................. 62

    List of Figures Figure 1: Bar chart showing how restaurants store orders ............................................................. 3

    Figure 2: Pie chart showing responses wait staff on how the restaurants track supplies in

    inventory ............................................................................................................................................................. 4

    Figure 3: Service Quality & Information Technology ......................................................................... 7

    Figure 4: Diagram of the IT Alignment Model .................................................................................... 19

    Figure 5: Cognitive Map of Theoretical Framework .......................................................................... 26

    Figure 6: Reliability rating for each restaurant category ................................................................ 40

    Figure 7: Responsiveness rating of each restaurant category ..................................................... 41

    Figure 8: Graph showing level of Service Quality & Information Technology ........................ 42

    Figure 9: How the Mobile application works ........................................................................................ 48

    List of Tables

    Table 1: The use of Information Technology (IT) in Restaurants ............................................... 12

    Table 2: Ratings for a restaurant ............................................................................................................ 13

    Table 3: Service Quality Models ............................................................................................................... 16

    Table 4: Number of Participants .............................................................................................................. 31

    Table 5: Number of Participants used for the study ........................................................................ 35

    Table 6: Demographic Data - Wait Staff ............................................................................................... 36

    Table 7: Demographic Data - Customers ............................................................................................. 37

    Table 8: Level of Information Technology for each restaurant used for the study .............. 38

  • 1

    CHAPTER ONE - INTRODUCTION

    The purpose of a business is to gain and keep

    customers- Fred Smith (Gomes, 1996).

    The above quote means that any firm running its business must be

    concerned about how it runs its operations to gain, maintain old

    customers and attract new customers. The firm must ensure that its

    internal operations always help to improve upon its service quality. Some

    of its internal operations may include managing data, keeping track of

    sales and attending to customer needs.

    The application of Information Technology (IT) to firms such as

    banks has helped improve upon their services. Customers can use

    Automated Teller Machines (ATMs) to withdraw money instead of joining

    long queues inside banking halls. They can also check their account

    balance and make transactions online instead of going to the bank

    (Meuter et al, 2000). The hotel industry also makes extensive use of IT.

    With IT, hotels are able to keep data on their customers. That is, the

    number of days the customer spent at the hotel, food ordered and laundry

    services provided. As a result, it is easy to keep data on customers

    orders at the restaurants in the hotels, bookings for conference rooms,

    business meetings, parties, weddings and other social functions.

    Supermarkets also make use of IT in recording their daily sales. A

    bar code scanner makes it easier to record items bought daily and to

    check inventories as well. Most of such supermarkets also use the

    electronic article surveillance at each exit door and this helps in detecting

  • 2

    which items have been stolen from the store. The electronic article

    surveillance is a technique that is used to prevent shoplifting. The

    supermarkets place special tags on each item, if someone steals an item

    the alarm goes off because the tag has not been deactivated. Most

    supermarkets in the United States of America use this system and are

    able to detect if items not paid for are taken out of the store by a

    customer. Supermarkets have moved from the normal calculator to the

    use of computers where they can store data more quickly and also take

    out the drudge of keying in items manually.

    1.1 Research Problem

    There are restaurants in Ghana that apply Information Technology

    (IT) in their operations. An informal observation done by the researcher

    in December 2011 showed that some of the restaurants such as Papaye,

    Mr. Biggs and Osu Food Court, use Point of Sale (POS) systems in

    recording their orders and calculating sales made in a day. The system

    also generates receipts for the restaurants. A customers order is taken

    after he goes through the menu. The problem however is that, the order

    is handwritten and sent to the wait staff who enters the orders onto the

    POS system. The orders are handwritten because they do not have any

    tool they can use to record their orders. The wait staff prints a receipt

    which is sent to the kitchen. Although these restaurants use IT, they still

    manually write down the orders before entering them into the POS

    system. Due to the fact that orders are manually done, it becomes

    difficult to track data collected. There is also the issue of restaurants not

  • 3

    recording and tracking their inventory. This affects their operations

    because anytime a customer comes to the restaurant and a particular

    ingredient needed to make a dish is not available the customer must

    make another order.

    An interview with the manager of the Point Bar and Restaurant in

    Tema in October 2011 revealed that recording of orders is done manually

    and items in inventory are not recorded at all. There is a store keeper

    who ensures that there are enough items in inventory. At the end of each

    day, the orders are recorded in a book, and this she said, is very tedious.

    Figure 1: Bar chart showing how restaurants store orders

    This project conducted a survey in five casual dining restaurants in

    February and March 2012 in Tema to find out how they record their data.

    The questionnaires the wait staff answered showed that there are some

    54.5

    45.5

    0

    10

    20

    30

    40

    50

    60

    Order Book POS

    Pe

    rce

    nt

    Method of Recording Data

    Storing Orders Collected in a Day

    key

    Orderbook

    POS

  • 4

    restaurants still manually writing down orders as well as inventory items.

    About 54.5% of the wait staff said the restaurants they work in, manually

    record orders in a book while 45.5% said they use a Point of Sale (POS)

    system as shown in Figure 1.

    Figure 2: Pie chart showing responses wait staff on how the

    restaurants track supplies in inventory

    Responses from the wait staff on how the restaurants keep data on

    inventory revealed that, 55% of the wait staff stated they record their

    inventory manually in a book and 18% use a software based inventory

    system as shown in Figure 2. Other responses revealed that 14% keep

    track of some supplies with the help of receipts, 9% did not know if the

    restaurant used an inventory system or not and 4% said they do not keep

    track of their supplies at all.

    Software Inventory

    system

    18%

    Book55%

    Do not track supplies

    4%

    Do not know9%

    Receipts

    14%

    Wait staff response on how the restaurants track their supplies

  • 5

    1.2 Rationale of Study

    The use of Information Technology (IT) helps firms in making their

    services much better and makes work easier. The application of IT could

    be in the form of using the internet to advertise a firms services,

    managing data with technology, online ordering and communicating with

    customers through the internet among other services. In view of this,

    applying IT to restaurants could also improve their service quality.

    A firms use of IT to manage its data has the potential to improve

    its service quality as well as its decision making processes. For instance,

    a restaurant which maintains a database of all orders that its customers

    make, may be better informed about the meals that customers order

    most. This will help the restaurants management keep track of its

    supplies and inventory, and know what extra items management needs to

    procure. Some restaurants in Ghana use the Point of Sale (POS) System

    for managing sales. With this system, it is easy to collect information on

    sales and orders made.

    A firm must be concerned about how it manages its operations

    because poor management has an effect on its revenue. This affects the

    service quality, decreases a firms revenue and the firms cost increases.

    Therefore, good service quality is better than a poor one (Ravichandran &

    Rai, 2000).

    1.3 Conceptual Framework

    The conceptual framework of this study is the IT Alignment Model of

    service quality. Service quality, as defined by Lewis and Booms (1983), is

  • 6

    a measure of how well the service delivered matches customer

    expectations. Parasuraman, Berry and Zeithaml (1991) described service

    quality as a comparison between desired service and perceived service,

    not what the service provider would offer (Parasuraman et al, 1985).

    The IT Alignment Model is a model created by Berkley and Gupta in

    1994 and is about using Information Systems (IS) applications to improve

    service quality determinants which affect the services of a firm. The

    model focuses on seven of the service quality determinants which are

    reliability, responsiveness, competence, access, communications, security,

    understanding and knowing the customer (Vrat, Seth & Deshmukh, 2004).

    Berkley and Gupta (1994) advise that firms must link the right IT

    application they choose for their operations as well as focusing on service

    quality determinants that helps a firm gain competitive advantage over its

    competitors. Therefore aligning the information systems application

    chosen with the service quality determinants helps the firm improve upon

    its service quality which is very essential in every service industry.

  • 7

    Figure 3: Service Quality & Information Technology

    Figure 3 shows the relationship between the level of IT application and

    service quality. The figure designed by the researcher shows four

    different quadrants that shows the relationship between service quality

    and Information Technology. This was used to categorize the selected

    restaurants for the study. Findings helped determine what level of IT

    application yields optimal service quality. The data gathered will help to

    derive a function of the level of IT application with respect to service

    quality.

    1.4 Objective of the Study

    The main objective of this study was to determine the use of

    Management Information Systems (MIS) in improving service quality in

    High level of Information Technology

    Low level of

    Information

    Technology

    Bad Service Quality

    Good Service Quality

    I II

    III IV

  • 8

    the selected restaurants. The study found out the possible ways MIS

    could be used to improve service quality of a restaurant. The second

    objective was to design an application that will help in improving service

    quality of the selected restaurants.

    1.5 Research Question

    It is important to know and understand how restaurants apply MIS

    to their daily operations, how it helps improve upon their service quality

    and how they can improve upon their existing use of MIS. The research

    question for this study is:

    How do restaurants in Tema use MIS in their daily operations to

    improve upon their service quality?

    1.6 Research Proposition

    The study focuses on the application of MIS to restaurants operations.

    The study applies the IT Alignment Model to restaurants and therefore

    expects to find that:

    The application of Management Information Systems will lead to

    positive perceptions of service quality.

    1.7 Significance of the Study

    The application of the IT Alignment Model to restaurants is a study

    that will add up to other research done about the use of information

    technology to other areas such as the financial sector. In Ghana, there

    are hotel restaurants, fine dining restaurants, food vendors, casual dining

  • 9

    restaurants and traditional restaurants but for this study, casual dining

    restaurants will be used. Casual dining is a concept that was introduced

    by entrepreneur Norman Brinker, who is known to be the father of

    casual dining. A casual dining restaurant is a type of restaurant that falls

    between fast food establishments and fine dining restaurants (Holley,

    2009).

    This study seeks to assert that the use of MIS if applied well can

    help boost their revenue and minimize their costs. Although the initial

    cost of using MIS could be high, in the long run it could pay off. The

    benefits of MIS are that it helps in better planning, decision making,

    tracking issues and monitoring of a firms operations.

    1.8 Organization of the Study

    Chapter 2: Literature Review

    The literature review of the study analyzes research on the role of

    information technology in service quality and the IT Alignment Model.

    Chapter 3: Methodology

    The Methodology section describes what research samples,

    research design and research instrument was used. It describes how data

    was collected, the kind of questions asked at interviews and the type of

    questionnaires in relation to the study.

  • 10

    Chapter 4: Findings & Data Analysis

    This section shows the data analyzed from the interviews and

    questionnaires. The data collected helped find out how effectively the

    casual dining restaurants applied information technology in their

    operations. Content analysis was used to analyse the data collected and

    the tools used in the analysis were Microsoft Excel and Statistical Package

    for the Social Sciences (SPSS).

    Chapter 5: Conclusion & Recommendation

    Solutions were recommended based on the data received and also

    based on how using Management Information Systems can help improve

    the operations of a casual dining restaurant. A mobile application was

    designed to record both inventory and orders of a restaurant.

  • 11

    CHAPTER TWO LITERATURE REVIEW

    2.1 Information Systems

    Information Systems (IS) consist of procedures, hardware and

    software that function together to achieve the purpose of information

    management. Information management involves gathering data and

    processing the data collected into accurate and usable information which

    will help in decision making processes, problem solving and control

    (Szymanski et al, 1995).

    There are different aspects of information system applications.

    These are the operational processing systems, management information

    systems, decision-support systems, executive support systems, expert

    systems and office information systems. The study focused on the

    Management Information Systems of the IS Application. Management

    Information Systems (MIS) is the organization of data within the

    organization with the help of an information technology tool. MIS helps

    not only the internal operations of an organization but makes its external

    operations more efficient and beneficial. It helps with problem solving,

    control and decision making of the organization, and provides data needed

    in the form of management reports (Szymanski et al, 1995).

    Although information system is usually used for quality control, it is

    also used for improving certain dimensions of service quality. The use of

    information systems therefore helps improve certain service quality

    dimensions a firm uses and this helps the firm get a competitive edge

    over its rivals (Siameti & Kakouris, 2009). For this study, a criteria was

    created and used in determining the level of IT of casual dining

  • 12

    restaurants in Tema. This helped categorize the restaurants into ones

    that apply either a high, a low level of IT or none at all. Table 1 as shown

    below is a criterion the researcher created to show the different levels of

    how information technology is used in a restaurant.

    Table 1: The use of Information Technology (IT) in Restaurants

    NON-IT BASIC INTERMEDIATE ADVANCED

    PR

    E-S

    ER

    VIC

    E

    Inventory/ Supply

    Management

    May or may not record and track

    items in inventory

    Manually record

    items in inventory

    Have an MIS tool for recording &

    tracking inventory

    Use MIS tool to store &

    track items in inventory

    Communication

    Do not have a

    website Can call to order

    Do not have a

    website Can call to

    order

    Have a website

    Can call to order

    Have a website

    Can order

    online & can also call to order

    Displaying Menu

    No menu but food available is

    said by word of mouth

    Give out

    printed menu

    Give out printed

    menu or use a pictorial board

    Have a tool to display

    orders on menu

    Storing order

    information

    Write orders into

    a book

    Write orders in

    to a book

    Use MIS tool in recording &

    storing orders

    Use MIS tool in recording &

    storing orders

    DU

    RIN

    G

    SER

    VIC

    E Receiving orders

    in kitchen

    Send manually written orders to

    kitchen

    Send manually written

    orders to kitchen

    Send receipts to

    kitchen

    Kitchen screen receives

    orders

    Alerting wait staff of food

    ready No tool

    No tool / use a bell

    Use a bell MIS tool

    PO

    ST S

    ER

    VIC

    E

    Issuing of

    receipts

    Do not give out

    receipts

    Write

    receipts

    Write receipts or

    may print out receipts

    Print out

    receipts

    Payment Cash payment Cash

    payment

    Cash payment or

    Use MIS tool in

    processing payments

    Pay in cash or use MIS tool in

    processing payment

    The criteria has different levels which are Non-IT, basic,

    intermediate and advanced. The advanced restaurant shows how a

    restaurant uses information technology tools such as an order system,

  • 13

    inventory system, receipt system, online ordering and system in the

    kitchen to display orders of customers in its operations. The intermediate

    restaurant shows a restaurant that uses some level of information

    technology but not as much as the advanced restaurant. The basic

    restaurant shows a restaurant that has a very low level of information

    technology and mostly records its data manually. The Non-IT restaurant

    is one that does not use any form of information technology at all.

    Table 2: Ratings for a restaurant

    Type of system Ratings Type Ratings

    Inventory System 1 Non-IT 0

    Communication system 2 Basic 1-3

    System to display menu 1 Intermediate 4-6

    System for storing orders

    1 Advanced 7-9

    System for receiving orders in kitchen

    1

    System to alert wait

    staff 1

    Receipt system 1

    Payment System

    1

    Total 9

    Ratings were designed to determine the level of IT a casual dining

    restaurant uses. From table 2, a basic restaurant has a rating from 1 to

    3. A restaurant using an intermediate level of IT has a rating from 4 to 6

    and a restaurant using an advanced level of IT has a rating of 7 to 9. The

    rating of zero shows a restaurant that does not use IT at all.

    The inventory system, system to display menu, system for storing

    orders, system for receiving orders in kitchen, system to alert wait staff,

  • 14

    receipt system and payment system received a rating of one. The

    communication system has a rating of two because it checks whether a

    restaurant uses both an online ordering system and a telephone ordering

    as well. The casual dining restaurants will be assessed on whether they

    use information technology in their chain of processes.

    2.2 Service Quality

    There are different definitions on service quality given by different

    scholars. David A. Garvin (1984) described service quality as excellence

    while Ruth N. Bolton and James H. Drew (1991) described service quality

    as value. On the other hand, Parasuraman et al (1986) defined it as

    meeting customer expectations while Chase and Tansik (1983) defined

    quality as the conformance to specifications. Lewis and Booms (1983)

    described service quality as a measure of how well the service level

    delivered matches customer expectations. Smith and Houston described

    service quality as the satisfaction with services related to confirmation or

    disconfirmation of expectations (Parasuraman et al, 1985).

    According to Gronroos (1982), service quality is the outcome of an

    evaluation process where the customer compares his expectations with

    the service he perceived he has received. Parasuraman, Berry and

    Zeithaml (1991) contend that service quality refers to the comparison

    between desired service and perceived service, not what the service

    provider would offer. Zeithaml (1988) treats perceived service quality as

    a beneficial attribute and defines it as the consumer's judgment of a

    product's overall excellence or superiority (Ueltschy & Krampf, 2001).

  • 15

    Service quality can be defined also as the measure of the extent to

    which the service delivered meets the customers expectations

    (Ghobadian et al, 1993). Services in general are very difficult to measure

    as compared to measuring goods. Both service outcome and the service

    process influence the perception of quality. Services are seen as

    performances, where their production and consumption cannot be

    separated. Unlike tangible goods, services vary from person to person

    and from context to context (Ansah, 2008, p. 48).

    For this study, service quality will be described from the customers

    perspective and from the service providers perspective. Service quality

    therefore, is about meeting certain standardized specifications and

    customers expectations. With service quality, the customer is always

    involved and cannot be left out.

    Service Quality Determinants

    According to Ghobadian, Speller and Jones (1993), there are about

    eleven determinants of service quality. These are reliability,

    responsiveness, customization, credibility, competence, accessibility,

    courtesy, security, communication, tangibles and understanding. The IT

    Alignment Model focuses on seven of these service determinants. These

    are reliability, responsiveness, competence, access, communication,

    security, understanding and knowing the customer.

    Reliability is about the firm honouring its promises. Responsiveness

    has to do with timeliness of service that is how quick things are done.

    Competence refers to having the right skills as well as knowledge to

    perform the service. Access means the customer can easily come into

  • 16

    contact with the firm. Communication refers to talking to the customers

    in a manner in which they will listen carefully and understand. Security is

    where the firm can assure the customer that the firm can be trusted.

    Understanding and knowing the customer, is about the firm understanding

    its customers needs and requirements (Parasuraman et al, 1985).

    2.3 Service Quality Models

    There are about 19 service quality models that talk about

    consumers perception of quality, the use of technology to a firms

    operations, the performance of a firm, the expectations of overall service

    quality and customer satisfaction, measuring the internal service quality of

    a firm and other factors (Vrat et al, 2004). Some of these models are

    shown in the table 3 below.

    Table 3: Service Quality Models

    Service Quality Model Author

    The Gap model Parasuraman et al.,

    1985

    Model of Perceived Service Quality & Satisfaction Spreng & Mackoy, 1996

    Ideal Value Model of Service Quality Mattsson, 1992

    Attribute and Overall Affect Model Dabholkar, 1996

    Performance Only Model Cronin & Taylor, 1992

    Internet Banking Model Broderick &

    Vachirapornpuk, 2002

    IT-Based Model Zhu et al., 2002

    IT Alignment Model Berkley & Gupta, 1994

    Model of E-service Quality Santos, 2003

    Some of the information technology (IT) models of service quality

    are the Internet Banking Model, IT Alignment Model, Model of E-Service

    Quality, Attribute and Overall Affect Model and the IT-based model. The

    Attribute and Overall Affect Model is a model based on what consumers

    expect and their feelings towards the use of IT are. The IT Alignment

  • 17

    model is based on the use of seven service quality determinants and

    Information Systems application in improving service quality. The IT-

    based model finds the relationship between customers perceptions of

    service quality and IT-based services. The model of e-service quality

    shows the fact that the use of the web site for certain services help the

    customer gain easy access to information and communication between the

    customer and the service provider (Vrat et al, 2005).

    The IT Alignment Model

    This study focused on the IT Alignment Model, which is a model

    created by Berkley and Gupta in 1994. The IT Alignment Model is a

    model that describes in detail where IT has been used or could be used

    to improve specific service quality dimensions including reliability,

    responsiveness, competence, access, communication, security,

    understanding and knowing the customer (Vrat et al, 2004).

    The IT Alignment model describes how a firm can align information

    system applications to its service strategies. The service strategy refers

    to the use of seven of the service quality determinants which are

    reliability, responsiveness, competence, access, communication, security,

    understanding and knowing the customer. For this study, only two of the

    determinants that is, responsiveness and reliability, will be used. This is

    because these determinants are easy to measure with the operations of a

    restaurant.

    The model helps a firm not to only use information technology to

    improve productivity, but also to improve its customer service and

    customer loyalty. Therefore, it is important for a firm to manage its

  • 18

    information system applications closely with service quality (Nimako &

    Azumah, 2009). The IT alignment model was developed from case

    study data that maps key service quality dimensions to the required

    information technologies. This model allows managers to determine the

    information technology most appropriate for improving service quality

    (Berkley & Gupta, 1994, p. 109).

    According to Berkley and Gupta (1994), a firm must invest in IT in

    areas that will improve upon their competitive position. Service quality

    must also be aligned and coordinated with information systems in order to

    achieve this.

    Information technologies can be used to improve

    performance along seven different service quality dimensions.

    The basic premise of the framework developed here is that it is

    essential for companies to understand their information needs

    for delivering quality service, and then develop an IS strategy

    that drives and is in turn driven by their service strategy

    (Berkley & Gupta, 1994, p. 119).

  • 19

    Figure 4: Diagram of the IT Alignment Model

    Source: Berkley & Gupta, 1994, p. 120

    The diagram of the IT Alignment model, as shown in figure 4, is

    made up of the Service Strategy, Information Systems (IS) Applications,

    IS Strategy and Architecture, Information Requirements and Service

    Delivery System. The model illustrates the process of aligning service

    and information strategies. Such a framework is essential for companies

    to realize the complete benefits of using information systems for

    delivering improved quality in service (Berkley & Gupta, 1994, p. 119).

    The model does not have a strict starting and ending point. On the

    diagram a starting point marked by a star was put on the Information

    Requirements box.

    The model states that a firm needs to understand and know the

    right information requirements for its operations which will also affect the

    Improving service quality with IT

    Service Strategy

    Reliability Communication Responsiveness Security Competence Understanding

    Access the customer

    IS Applications

    Service Delivery

    System

    Information

    Requirements

    IS Strategy and

    Architecture

    Alignment Process

  • 20

    firms decision making process (Berkley & Gupta, 1995). For example,

    information requirements for a restaurant are the orders, receipts,

    customers information and meeting customer expectations. This makes it

    easier to know the right IS strategy, architecture and applications the firm

    must employ. Whatever the firm chooses helps to improve the service

    strategies, the firm uses in its daily operations. The service strategies are

    the service determinants such as reliability, communication and access.

    At the end of the day the firms service delivery system is affected and the

    alignment process continues in this cycle. According to the model when IT

    is applied to a firm, it affects the services it offers to customers and the

    firms service quality is improved as well.

    2.4 Service Quality & Information Technology

    Information systems applications such as property management

    systems, restaurant management systems, and guest-service interface

    applications have had a major impact on the overall service quality of

    luxury hotels. These luxury hotels have an improvement in their guest

    satisfaction and have earned customer loyalty as a result of the use of

    information technology (Ham, 2007).

    Firms that are able to apply information technology (IT) such as e-

    service quality have a competitive advantage and an edge over their rivals

    in the industry. This therefore leads to better business performance.

    Service quality together with IT has influenced customer satisfaction as

    well as banks financial performance (Ombati et al, 2010).

  • 21

    Technology-facilitated transactions are one of the information

    system applications that make businesses move faster. An example of a

    technology-facilitated transaction is Self-Service Technology (SST). SST

    involves the customer providing service to himself without direct contact

    with the service employee. There is no form of interpersonal contact

    between the customer and the service employee. Examples of SST are

    the Automated Teller Machines (ATMs), Automated Hotel Checkout,

    banking by telephone and services over the internet (Meuter, 2000).

    Supermarkets in some countries including the United States of America

    use SST in their operations. Instead of customers joining long queues,

    they can walk up to a machine that enables them to scan the bar codes of

    the items into the system and the SST calculates their total prices of all

    the items they bought. The customer can then swipe a debit or credit

    card as a form of payment and the machine issues a receipt to the

    customer. This procedure helps reduce the long waiting times and queues

    supermarkets face when there are a lot of customers.

    On the other hand, Dabholkar (1992) suggested that SST systems

    must be in such a way that while the customer interacts with the system,

    it must provide what the customers needs and not something else. It

    must be able to meet the customers expectations as well (Meuter, 2000).

    This means that the customer must find the system user-friendly and

    understandable. The system must be designed in such a way that the

    customer will not find it complex and will be beneficial to the service

    provider and the customer.

    It has been observed that improved quality is a most important

    output of Information Systems (IS) or that IS has substantially improved

  • 22

    service sector performance (Bharati & Berg, 2003, p.4). A study in the

    United States of America was done to find how information systems

    impact service quality in the electric utility industry. According to

    Zeithaml et al (1990), methods used in understanding how information

    systems impact on service quality is by measuring perceptions of

    information systems practitioners as against service quality dimensions.

    Information systems have an impact at different levels (Bharati & Berg,

    2003).

    In relation to this study, most research done shows that

    Information Technology helps improve the service quality of a firm. This

    study seeks to find out how restaurants in Tema use Management

    Information Systems in their operations to improve upon their service

    quality.

    2.5 The Food Service Industry in Ghana

    Ashitey (2008) classifies three sub-sectors in the food industry.

    These are hotels and resorts, restaurants/fast foods and institutional

    contracts. The Hotels and Resorts are divided into the 5-star, 4-star, 3-

    star, 2-star, 1-star and guest houses. Hotels in Ghana are the third most

    popular place for buying food. Restaurants/Fast foods are the fastest

    growing sector in Ghana. There are three segments of the fast foods,

    which are the indigenous brands, international franchise brands and the

    myriad of single, neighbourhood outlets. The Institutional contracts are

    the smallest in the food service sector. Institutional contracts are food

    service providers who provide catering services for social events such as

  • 23

    weddings, parties, and funerals (Ashitey, 2008). Institutional contracts

    also provide catering services for companies as well.

    In Ghana, there are different types of restaurants. Some of these

    are the local restaurants known as chopbars, bar and restaurants, hotel

    restaurants, fast food restaurants, fine dining restaurants, theme

    restaurants and casual dining restaurants. In Ghana, some restaurants

    such as the chopbars tend not to use technology in their operations while

    some such as the casual dining, fast food restaurants and the hotel

    restaurants tend to use technology in their operations. The type of

    restaurant that will be used for this study will be casual dining

    restaurants.

    2.6 Casual Dining Restaurants

    Casual dining restaurants are restaurants that fall between fast

    foods and fine dining restaurants. Such restaurants normally have

    moderately-priced food. The father of casual dining is Entrepreneur

    Norman Eugene Brinker. Norman Brinker was an innovative restaurant

    entrepreneur who shaped Americans' eating-out habits by exploiting a

    niche between fast-food and upscale restaurants (Holley, 2009).

    2.7 Restaurants and Information Technology

    There has been a shift from the use of the cash register to the use

    of online reservation systems and automated ordering systems.

    Restaurants in the USA that use the post order system (POS) avoid

  • 24

    writing orders and hand delivering them to the kitchen for the chefs to

    prepare what the customer wants. The POS therefore saves the

    restaurant a lot of time and makes the delivery of orders much faster.

    The POS is designed to store the restaurants menu items with their

    corresponding prices. With the application of information systems,

    restaurants are able to gain information that aids in their decision making

    process and other managerial activities as well (Koutroumanis, 2011).

    The use of information systems for restaurant operations has a lot

    of benefits such as creating reports that gives a summary of the daily

    sales made as well as knowing the performance of employees working in

    shifts (Love & Hoey, 1990). It is possible to determine the performance of

    employees working within a particular period through the sales made.

    Management can also tell the number of orders that were made in a

    particular period. The reports can help the managers in making certain

    decisions for the restaurant.

    A restaurant using the right kind of Information Technology (IT)

    application that suits its operations in addition to revenue management

    principles will have a great improvement in its revenue and profits. The

    restaurant must not worry so much about the cost it brings because the

    revenue the restaurant makes can offset the cost it will incur. The use of

    IT helps reduce waiting times, encourages better management of dining

    and consumers too have easy access in making orders and making

    reservations. The restaurant also benefits from the use of IT because

    there is increase in service delivery and the restaurant is able to serve

    more customers. The restaurants service quality increases, customers

    are satisfied and they tend to come back to enjoy the services of the

  • 25

    restaurant. Therefore a restaurant must use the appropriate IT for its

    operations, in order to provide better services to its customers (Kimes,

    2008).

    A restaurant in London, United Kingdom (UK) called Inamo, applies

    information technology in an interesting way. It has a touch pad-

    projection system on each table in the restaurant, which allows customers

    to automatically send food orders to the kitchen. There is a waiter

    assigned to each table to help a customer use the system correctly.

    During the time the customer waits for his food, the customer can choose

    to play games or watch how the food is prepared (Fermoso, 2009).

    2.8 Summary of Literature Review

    In conclusion, from the literature gathered, Berkley and Gupta

    (1994) as well as Kimes (2008) made the claim that information systems

    must be aligned with a firms operations and also a firm must choose the

    right information systems applications that match with their operations. A

    structured approach like the IT Alignment Model could help a restaurant

    make the right decisions for its operations.

  • 26

    CHAPTER THREE - METHODOLOGY

    3.1 Introduction

    The IT Alignment model is a model that uses Information

    Technology (IT) to improve the service quality determinants. The

    objective of the study is to find out how Management Information

    Systems (MIS) is used by restaurants. For this study only two of the

    determinants were used and these are responsiveness and reliability. This

    study takes a qualitative approach using interviews, questionnaires and

    made a case study of five different casual dining restaurants in Tema.

    Figure 5: Cognitive Map of Theoretical Framework

    The cognitive map as shown in Figure 5, shows the concepts

    involved in this study. From the diagram when Information Technology is

    applied to a restaurants operations, it affects the service quality

    determinants that the restaurant uses. This also affects and impacts the

    overall service quality of the firm. Whether the restaurant uses a higher

    or lower level of Information Technology also affects the service quality of

    the restaurant. Just like the IT Alignment Model, it is better to use an

    Start

    Select appropriate MIS application tools

    Apply to restaurants operations

    Measure Service Quality Determinants

    Improve Delivery & Service Quality

    End

  • 27

    information technology that best suits a restaurants operations and this

    prevents a lot of problems that could arise for using the wrong information

    technology tools.

    3.2 Research Proposition

    The study focuses on the use of information technology (IT),

    specifically the use of MIS to restaurants operations. The study applies

    the IT Alignment Model to restaurants and expects to find that:

    The application of Management Information Systems will lead to

    positive perceptions of service quality.

    3.3 Research Design

    For this study the methods selected were interview questions and

    questionnaires. Interview questions, as shown in Appendix A, were used

    to gain information about the restaurants use of information technology,

    the managers experience working at the restaurant and some of the

    challenges they face as managers of the restaurants. The interview

    questions had both structured and unstructured questions.

    Questionnaires as shown in Appendix B & C were used to get

    responses from the wait staff and customers. Open-ended questions were

    used in order for participants to give further explanation to the answers

    they provide. The information needed from the wait staff was to know

    whether the restaurant uses any MIS tools and how they benefit from the

    use of MIS. The information needed from customers was to find out how

    they perceive the service quality the restaurant delivers to them.

  • 28

    3.4 Operational Definitions

    For this study, the main variables used are service quality and

    information technology. Service quality has been defined by a lot of

    researchers in different ways but for this study, the researcher defines

    service quality as meeting certain standardized specifications and

    customers expectations. Information Technology can be described as the

    use of computers in producing, storing and communicating data

    (Szymanski et al, 1995).

    The independent variables under service quality that were focused

    on are responsiveness and reliability. Responsiveness is a determinant

    that looks at the speed and how fast a service is done while reliability has

    to do with what the service provider promises to offer (Ghobadian et al,

    1993). The study measured these two variables by finding out from the

    customers how they perceive whether a casual dining restaurant is good

    at this or not.

    The independent variable for information technology that was

    focused on is management information systems. This was measured by

    finding out from the managers and the wait staff, the kind of information

    technology tools a casual dining restaurant uses.

  • 29

    Unit of Analysis: Individuals - Managers, Wait staff and Customers

    The individuals within the restaurants targeted were the wait staff,

    customers and the manager of each restaurant. These individuals were

    selected because the managers and wait staff had information about the

    casual dining restaurants they work in. The customers, on the other

    hand, were also targeted because they could provide information about

    how they perceive the service quality of the restaurant.

    The researcher interviewed the managers in the restaurants and

    the interviews lasted for about 30 minutes. Questionnaires were

    distributed to the wait staff during their break times and early in the

    mornings as well. Questionnaires were also distributed to the customers

    during the afternoons when a lot of customers visited the restaurants.

    The distribution and waiting for the filled questionnaires took about two

    and half hours.

    3.5 Sample Frame

    For the sample frame, Tema was the selected area chosen for the

    study because Tema has a lot of casual dining restaurants. The casual

    dining restaurants that were included in the study are Chearis Restaurant,

    Mirabake Restaurant, Southern Fried Chicken Restaurant, Papaye

    Restaurant and 3 Seasons Continental Restaurant, Bar & Coffee.

  • 30

    Profiles of the Casual Dining Restaurants

    Chearis Restaurant

    Chearis Restaurant is a restaurant located in Community 9, Tema

    and has been operating for three years now. It is a small restaurant and

    currently has two wait staff. The restaurant serves three main dishes

    which are mostly rice dishes.

    Mirabake Restaurant

    Mirabake restaurant has been running for four years and is located

    in Community 2, Tema. The restaurant has six wait staff. It is a small

    restaurant that serves four different types of dishes and sells alcoholic and

    non-alcoholic drinks as well.

    3 Seasons Continental Restaurant, Bar & Coffee

    The restaurant is also located in Tema and has been in existence for

    one and half years now and has six wait staff. The restaurant mostly

    serves Italian, Chinese and American dishes. It also sells pizza, ice

    cream, alcoholic and non-alcoholic drinks. Due to the type of food served,

    the restaurant attracts more expatriates than Ghanaians.

    Southern Fried Chicken Restaurant

    The restaurant started its operations in Tema in 1994 and is located

    at the Tema roundabout after the motorway. Southern Fried Chicken

    Restaurant has 18 wait staff. It has three other branches in Community

    One, a suburb of Tema, and Cantonments and Burma Camp, both located

  • 31

    in Accra. The restaurant sells pizza, ice cream, drinks, burgers, local

    dishes and continental dishes.

    Papaye Restaurant

    Papaye Restaurant is located in Tema on the Spintex road and has

    other two branches in Accra Central and Osu. The restaurant has been

    operating for about ten years now and has ten wait staff currently working

    in the restaurant. The restaurant serves fried rice with chicken and fries

    with chicken, as well as drinks.

    Sampling Strategy & Demographic Data on Sample

    Table 4: Number of Participants

    Participants

    Mirabake

    Restaurant

    Chearis

    Restaurant

    Papaye

    Restaurant

    Southern

    Fried

    Chicken

    Restaurant

    3 Seasons

    Continental

    Restaurant,

    Bar & Coffee

    Customers 10 10 10 10 10

    Manager 1 1 1 1 1

    Wait staff 5 5 5 5 5

    Total 16 16 16 16 16

    The purposive sampling is the sampling strategy that was used for

    this study. Table 4 shows the number of participants that the researcher

    targeted for the study. Apart from the manager who was interviewed, 5

    of the wait staff were handed questionnaires to fill as well as 10

    customers that came to the restaurant. Customers were selected during

    the afternoons because this was the time a lot of customers visit the

    restaurants. 10 customers were targeted because in the afternoons,

    about 8 to 14 customers visit the casual dining restaurants in Tema during

    this period. Five wait staff were selected because most casual dining

  • 32

    restaurants in Tema take a smaller number of waiters and waitresses to

    work with. For instance, Chearis Restaurant had only two wait staff

    because those previously hired were not dedicated to their work. The

    manager decided to have just two instead of a large number of wait staff.

    3.6 Data Collection Procedures

    Before the data collection was done at a restaurant, permission was

    sought first from the manager of the restaurant to conduct the research.

    Interviews were held in the restaurants with the managers and the

    questionnaires were given out to the wait staff during their break times.

    For wait staff who could not read and write, the researcher had to write

    down the answers for them. Customers were given questionnaires while

    they waited for their food to be served to them.

    The type of data analysis used was content analysis. The study

    took a qualitative approach and analyzed the main issues raised from the

    interview responses of the managers and the questionnaires that were

    filled by the wait staff and customers. The managers were given a copy of

    the findings so that they know what their customers perceive of the

    restaurants service quality.

    3.7 Limitations

    Some of the restaurants selected for the study did not want to

    participate in the research. Some of the managers were quite

    unwelcoming and rude to the researcher because they felt the researcher

    was working with their competitors. Therefore, it reduced the number of

  • 33

    restaurants that the researcher intended to use. The researcher had to

    search for other casual dining restaurants who were interested in

    participating in the study.

    There were customers who did not want to fill the questionnaires

    because they felt it was not necessary. Some of the restaurants had wait

    staff who could not read and did not understand English too well. In such

    cases the researcher had to interview them in order to write down the

    answers they provide on the questionnaire.

    The researcher wanted to use seven casual dining restaurants and

    ended up with five. One restaurant did not allow the researcher to

    distribute questionnaires to customers and wait staff, because the

    management did not want customers rating the restaurant and giving bad

    comments. However, the researcher got the chance to interview the

    manager.

  • 34

    CHAPTER FOUR FINDINGS AND DATA ANALYSIS

    4.1 Introduction

    The data collection for this study was done in February and March

    2012. The casual dining restaurants that were used for this study are

    Chearis Restaurant, Mirabake Restaurant, 3 Seasons Continental

    Restaurant, Bar & Coffee, Southern Fried Chicken Restaurant and Papaye

    Restaurant. The managers were interviewed while the wait staff and

    customers were given questionnaires to fill in each restaurant.

    The research question for the study is:

    How do restaurants in Tema use MIS in their daily operations to

    improve upon their service quality?

    and the research objectives for the study are:

    To determine the use of Management Information Systems

    (MIS) to improve service quality in the selected restaurants.

    To design an application that will help in improving service

    quality of the selected restaurants

  • 35

    4.2 Demographic Data

    Table 5: Number of Participants used for the study

    Participants

    Mirabake

    Restaurant

    Chearis

    Restaurant

    3 Seasons

    Continental

    Restaurant, Bar & Coffee

    Papaye

    Restaurant

    Southern

    Fried Chicken

    Restaurant

    Total

    Customers 9 3 8 10 6 36

    Manager 1 1 1 1 1 5

    Wait staff 5 2 5 5 5 22

    Total 15 6 14 16 12 63

    Table 5 shows a table of the casual dining restaurants used for the

    study as well as the number of participants. The researcher intended to

    interview the managers of each restaurant, five wait staff and ten

    customers but this was not possible for some of the casual dining

    restaurants since Chearis Restaurant had only two wait staff and did not

    get all the customers needed to fill the questionnaire.

    Mirabake Restaurant had only nine customers filling the

    questionnaires, Southern Fried Chicken Restaurant had six customers

    filling the questionnaires and 3 Seasons Continental Restaurant, Bar &

    Coffee had only eight customers filling the questionnaires. This is because

    some of the customers were not willing to fill the questionnaires. The

    researcher was able to get ten customers at the Papaye restaurant

    answering the questionnaires.

  • 36

    Table 6: Demographic Data - Wait Staff

    ATTRIBUTES CATEGORY NUMBER OF

    PARTICIPANTS %

    Gender Female 18 81.8

    Male 4 18.2

    Occupation Full time worker 21 95.5

    Part time worker 1 4.5

    Educational

    Level

    Basic level 4 18.2

    Secondary level 12 54.5

    Vocational level 1 4.5

    Tertiary level 2 9.1

    Did not provide answer 3 13.6

    Age Category

    10-19 2 9.1

    20-29 11 50

    30-39 5 22.7

    40-49 2 9.1

    Did not provide answer 2 9.1

    Table 6 shows the demographic data on the wait staff. A total of 22

    wait staff filled the questionnaires distributed to the five casual dining

    restaurants. There were more female wait staff than males that filled the

    questionnaires and 95.5% of the wait staff were full time workers. With

    the educational level of the wait staff, 54.5% of the wait staff had their

    education up to the secondary level. Majority of this number were from

    the Southern Fried Chicken Restaurant and the Mirabake restaurant while

    a less number worked at Papaye Restaurant, Chearis Restaurant and 3

    Seasons Restaurant, Bar & Coffee. The wait staff had about 50% of them

    in the 20-29 age group and 22.7% in the 30-39 age group.

  • 37

    Table 7: Demographic Data - Customers

    Table 7 shows the demographic data on the customers. A total of

    36 customers filled the questionnaires that were distributed in the five

    casual dining restaurants. Out of this number 52.8% of the customers

    were females. This shows more women filled the questionnaires than

    males. The customers who were workers were 66.7% and majority of

    these workers filled the questionnaires at Mirabake Restaurant, Papaye

    Restaurant and Southern Fried Chicken Restaurant. Customers who were

    in the 20-29 age category were 52.8% and 19.4% of the customers were

    in the 30-39 age category.

    ATTRIBUTES CATEGORY NUMBER OF

    PARTICIPANTS %

    Gender

    Female 19 52.8

    Male 16 44.4

    Did not provide an answer

    1 2.8

    Occupation

    Worker 24 66.7

    Student 9 25

    Worker & Student 1 2.8

    Other 1 2.8

    Did not provide an

    answer 1 2.8

    Age Category

    10-19 1 2.8

    20-29 19 52.8

    30-39 7 19.4

    40-49 5 13.9

    50-59 1 2.8

    Did not provide an answer

    3 8.3

  • 38

    4.3 Findings

    4.3.1 Level of Information Technology

    Table 8: Level of Information Technology for each restaurant used

    for the study

    Restaurant Rating Non-IT Basic Intermediate Advanced

    Chearis Restaurant 0 X

    Mirabake Restaurant 0 X

    Papaye Restaurant 5 X

    Southern Fried Chicken Restaurant

    4 X

    3 Seasons Continental Restaurant, Bar & Coffee

    2 X

    Based on the ratings the researcher designed, the researcher was

    able to determine the level of technology for each casual dining restaurant

    used for the study. Table 8 shows the ratings of each of the casual dining

    restaurants and the category they fall into. Chearis Restaurant and

    Mirabake Restaurant were in the Non-IT category when it came to the use

    of IT. 3 Seasons Continental Restaurant, Bar & Coffee is in the basic

    category although it has a system for recording orders and a system to

    alert wait staff when food is prepared. The Papaye Restaurant and

    Southern Fried Chicken Restaurant both fell in the intermediate category.

    This is because Papaye Restaurant has an inventory system, Point of Sale

    system, system to receive orders in the kitchen and a system to print out

    receipt. Southern Fried Chicken Restaurant uses a POS system, has a

    receipt system, customers can order by phone and have a system to

    display their menu.

  • 39

    At the pre-service level of the Non-IT Restaurants, that is Mirabake

    Restaurant and Chearis Restaurant, customers can call to order, the

    restaurants record orders manually and do not record their inventory

    items. During service for the Non-IT Restaurants, orders are sent to the

    kitchen using order sheets. The Non-IT Restaurants do not have a system

    for alerting the wait staff anytime a customers food is ready but have to

    coordinate with the kitchen staff in order to know when the food is ready.

    At the post-service, the Non-IT Restaurants were not using any receipt

    system or electronic payment system. The form of payment was by cash.

    At the pre-service level, the Basic Restaurant had a software based

    system for recording its orders but manually records its inventory. The

    restaurant allows customers to call in to make orders and also gives out

    printed menu to the customers. During service, the Basic Restaurant uses

    a bell to alert the wait staff anytime food ordered is ready. At its post-

    service level, the restaurant does not print receipts or make use of

    electronic payments and customers are required to make cash payments.

    The Intermediate Restaurants had a software based system for

    recording their orders. Papaye Restaurant had a software inventory

    system designed specifically for them while Southern Fried Chicken

    Restaurant had their inventory recorded manually. Both restaurants do

    not make use of online ordering but customers can call to make orders.

    During service, the Intermediate Restaurants had a system for sending

    orders to the kitchen but did not have a system for alerting wait staff

    when food was ready. At the post-service level, the intermediate

    restaurants use a receipt system but do not make use of electronic

  • 40

    payments such as visa cards. This is because they were not comfortable

    using these electronic mode of payment.

    4.3.2 Reliability & Responsiveness

    Figure 6: Reliability rating for each restaurant category

    The customers were asked to rate the restaurants on how reliable

    they found the restaurants. They had to rate the reliability as either

    average, good, very good or excellent. The Non-IT restaurants, Basic

    restaurants and Intermediate restaurants had an equal level of ratings for

    the average and the very good category. The Intermediate restaurants

    received a high rating for the good and excellent category more than the

    Basic restaurant and the Non-IT restaurants.

    Key

    Basic

    Non-IT

    Intermediate

  • 41

    Figure 7: Responsiveness rating of each restaurant category

    The customers also rated the responsiveness that is the speed with

    which the wait staff serves food at the restaurants. The Intermediate

    restaurants received a high rating for average and good categories. When

    it came to excellent rating the Intermediate restaurant was at the same

    level with the Non-IT restaurants. The advantage the Non-IT Restaurants

    have here is that, they serve fewer dishes while the Intermediate

    Restaurants serve a lot of dishes.

    Key

    Basic

    Non-IT

    Intermediate

  • 42

    4.3.3 Link between Information Technology & Service Quality

    Figure 8: Graph showing level of Service Quality & Information

    Technology

    The results from the casual dining restaurants showed that the

    Non-IT restaurants offer good service quality but have problems with their

    internal operations. Since they do not use Information Technology they

    fell in the Good Service Quality line. The intermediate restaurants,

    Papaye Restaurant and Southern Fried Chicken Restaurant fell in category

    Key:

    P Papaye Restuarant SFC Southern Fried Chicken Restaurant C Chearis Restaurant M Mirabake Restaurant 3SCRBC 3 Seasons Continental Restaurants, Bar & Restaurant

    High level of

    Information

    Technology

    Low level of

    Information

    Technology

    Bad service

    quality

    Good service

    quality

    I II

    III IV 3 SCRBC

    SFC

    P

    M C

  • 43

    II where they use a high level of Information Technology (IT) and offer

    good service quality. The Basic Restaurant, 3 Seasons Continental

    Restaurant, Bar and Coffee, which fell in category IV has a low level of IT

    but provides good service quality.

    4.3.4 Additional Findings

    How selected restaurants in Tema not using Management Information

    Systems improve on their service quality

    The Non-IT Restaurants manually record orders and are only

    interested in calculating the sales they make. The restaurants serve fewer

    dishes and this makes it easier for them to serve food faster. Most of

    them have a strategy of allowing customers to make orders by phone and

    pass by the restaurants to pick up their orders. The restaurants hardly

    record their inventory and find it difficult tracking their inventory. One of

    the wait staff has to check the store everyday to find out which items are

    out of stock and need to be bought. In all, the Non-IT restaurants were

    not doing anything special to improve on their service quality. They

    prepared food on time before most customers come to buy. They had

    fewer dishes on their menu and this helped them have faster services.

    How restaurants benefit from Management Information System (MIS)

    The restaurants that use Information Technology (IT) are able to

    generate reports, calculate sales, calculate their taxes and track inventory

    items. The reports the system generates for them help the management

  • 44

    of the restaurant in their decision making. The reports help them to know

    which food customers order the most and which ones move faster. With

    this they are able to prepare certain foods ahead of time and keep them in

    warmers. The reports help them know the quantity of food sold in a day

    and which food ingredients need to be bought. One of the intermediate

    restaurants had an inventory system designed by a Ghanaian software

    compay, specifically for them due to the nature of their operations.

    When a restaurant does not apply the appropriate IT application to

    its operations, it may not get the benefit it expects. In all, the restaurants

    using IT were able to do a little more than the restaurants that were not

    using IT at all. They were able to have better records of the past and

    present inventory details as well as their order details.

    4.4 Discussion & Analysis

    Some of the casual dining restaurants had a problem getting the

    right personnel to manage the MIS application for them. The managers

    were either operating the MIS application on their own or were not using it

    at all. Analysing the data collected from each restaurant shows that MIS

    affects the internal operations, such as recording of orders and inventory

    of the restaurant. Restaurants that do not apply MIS are still able to meet

    customers expectations in terms of responsiveness. However, these

    restaurants have difficulties when it comes to the recording and tracking

    of orders and inventory.

  • 45

    With the selected casual dining restaurants in Tema that use MIS, it

    is clear that they benefit from the use of MIS in their operations through

    the speed of gathering orders, calculating sales, tracking inventory,

    generating reports to analyze specific data, calculating taxes and their

    finances as well. One of the casual dining restaurants stated that they

    tried testing out an inventory system but did not like it because it did not

    meet their requirements. Some of the restaurants do train the wait staff

    to use the software systems but still have problems with the wait staff

    entering data wrongly. Due to this, management only allow the wait staff

    who can manage the systems properly to do so.

    4.4.1 Responses from Managers and Wait staff

    Results from the interviews conducted with the managers revealed

    that, some of the managers did not get the right personnel to operate the

    computers. Most of them found it challenging in managing the wait staff

    and the restaurant as a whole. The managers said that the amount of

    time a customer waits for food depends on the type of food ordered. The

    time range given was from 5 minutes to 25 minutes.

    The responses from the wait staff as shown in Appendix F revealed

    that, 50% of the wait staff use an IT application tools in the restaurants

    while another 50% stated that they do not apply any form of IT

    application tools. The wait staff also felt that the restaurants they work in

    could improve upon their services by adding more Ghanaian dishes to

    their menu, advertising in the print and electronic media, as well as

    renovating the restaurants and adding air-conditioning systems.

  • 46

    4.4.2 Responses from Customers

    Appendix E shows the responses from the customers. The

    responses show that the wait staff paid attention when taking down

    orders, 22.2% of them indicated the wait staff repeated their orders and

    13.9% just listened. There were 19.7% of the customers who had never

    made any complaints to the wait staff or the manager. Some of the

    customers stated that the restaurants could improve upon their waiting

    services and others felt the restaurants offered good service.

    4.5 Validity and Reliability of the study

    The researcher conducted the interviews personally with the

    managers and also distributed the questionnaires to the customers and

    wait staff. The researcher gave the questionnaires to the wait staff when

    they were less busy and if they had any questions, would ask for

    clarification before answering. The customers too were given

    questionnaires after their food had been served to them.

    The findings revealed that some restaurants apply MIS effectively

    while others do not. The use of MIS in some of the restaurants helps them

    organize their data properly, helps in their decision making and improves

    their service quality.

  • 47

    CHAPTER FIVE - CONCLUSION AND RECOMMENDATION

    Mirabake Restaurant and Chearis Restaurant, need to apply MIS

    tools such as a Point of Sale system or a Post Order System to their

    internal operations. This will help them have a system to calculate both

    their orders and record inventory. The system will also help management

    keep track of and monitor their stock. With this system it will be difficult

    for pilfering to take place and delays in providing what the customer

    wants.

    3 Seasons Continental Restaurant, Bar & Coffee, also needs to have

    a system to monitor its inventory. This will help the restaurant know

    exactly which items need to be bought ahead of time and avoid telling

    customers to order another meal instead of their preferred choice.

    Southern Fried Chicken Restaurant needs to have an inventory system to

    help them record their inventory instead of doing it manually. Papaye

    Restaurant still needs to increase the number of kitchen staff to handle

    the increase in customer request whenever there is high demand for food.

    The researcher also suggests that these casual dining restaurants

    can opt for a mobile application which can record both their orders and

    inventory instead of writing them manually. The researcher designed a

    mobile application as shown in Appendix D. The mobile application is a

    J2ME software application that can run on a mobile phone with a touch

    screen or a mobile phone that does not have a touch screen. The mobile

    phone must be able to run java applications in order the mobile

    application. A mobile application was chosen because most of the wait

  • 48

    staff are more comfortable using a mobile phone instead of a desktop

    computer.

    Figure 9: How the Mobile application works

    The mobile application was designed to record orders and inventory

    of a restaurant. The mobile application has three sections for its orders

    which are drinks, food and dessert. When a customer makes an order for

    either drinks, food or dessert, the wait staff selects the particular item,

    specifies the quantity ordered and selects whether the particular item is

    being taken away or will be eaten in the restaurant. The inventory section

    stores information about the item name, quantity available and the price

    at which it was bought.

    The data on orders and inventory goes into a MySQL database

    which can be viewed by the administrator. The admininstrator can also

    keep track of any data that has been entered and receipts can also be

    issued. Other users can be created so that the staff in the kitchen can

    view the orders made by customers. The inventory section helps the

    storekeeper record new items in inventory and track inventory in order to

    alert management of the new items that need to be bought.

    In conclusion, Management Information Systems affects the

    internal operations of a restaurant. Casual dining restaurants that do not

    apply MIS to their internal operations find it difficult manually managing

    Database

    Mobile phone with

    mobile application

    MIS

    Application

  • 49

    records of orders and inventory. Casual dining restaurants that use MIS

    are able to improve upon their internal processes and therefore able to do

    more with their external processes. Service quality is indeed important

    and must not be ignored in a restaurants operations. Thus, in order to

    gain a competitive advantage in the food industry, it would be best for a

    restaurant to apply information technology very well to its operations to

    achieve good service quality.

  • 50

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