BREE 420 Lecture 1: Beleza Natural Case1
25 May 2018
School
Department
Course
Professor
Beleza Natural
Case Analysis
MGCR 472 – Operations Management
Professor Brian Smith
Section 001
Summary:
Beleza Natural is a Brazilian chain of beauty institutes which specialized in products and
services for women with curly and wavy hair. With the everyday social and cultural event of going to the
hairdresser and its unique products, Beleza Natural gained a rapid growth over the years. Currently it’s at
a key juncture for their venture, and has to decide the way to consolidate increase and their business
model. This case explores the possible ability improvements in the related problems of changing store
layouts, cross-training, workforce development, and raising prices in an attempt to maximize efficiency,
effectiveness and uniformity of the service at the institutes.
What are the key elements of Beleza Natural’s business strategy?
Firstly, Beleza Natural was successful in identifying specialized market segment in the
industry and specifically targeting it via innovative, useful products. The products used in its natural hair
treatment process were developed through trial and error, and have tangible positive results for women
with curly hair, a market previously that did not necessarily see its needs met.
Moreover, Beleza Natural maintains in-house production. All products used by the Beleza
Natural factory are produced by the company itself, which ensures products that are relevant in meeting
customer haircare demands. Self-organized Research & Development (R&D) also contributes to
improvements in existing products, as well as creation of newer ones.
Furthermore, another key element is its exclusive product distribution strategy. The haircare
products that are used in Beleza Natural saloons are exclusively available for sale for salon customers and
not through any other external channels of distribution, which contributes to a solid clientele for the
Beleza salon business.
Emphasis on intensive on-site employee training is another key factor. The company runs its
own staff development center, called the Beleza Natural University, where all employees, including
administrative and hairdressing staff, receive training.
Another key element is the lower pricing than most other saloon services, allowing lower-
income women to gain access to professional hair care services. They have 12-hour working days, are
open for 312 days in year and on weekends, which also caters to flexibility for working women.
How does the firm structure its processes to support this strategy? Where do you see similar
approaches adopted?
In order to achieve efficiency as well as productivity, Beleza Natural structures its processes
using a specific method:the Scientific Management, also known as Taylorism. The scientific management
is a method whereby the process is achieved in an assembly-line work. Work is organized in a scientific
manner: each worker is assigned to a precise and well-defined task, according to their skills. According to
