MANAGEMENT METHODS

Management Methods

Management Methods

Introduction

Pizza Hut, Inc., based in Dallas, Texas, is the world's largest pizza restaurant company, specializing in Pan Pizza, Thin 'N Crispy® Pizza, Hand-Tossed Style Pizza and Stuffed Crust Pizza. With more than 7,500 restaurants in the United States and over 5,600 restaurants in 97 countries and territories around the world, Pizza Hut is gaining popularity in Europe especially in UK region. Pizza Hut markets where they are present are mainly Urban localities in specific in Malls, Super markets, prime localities, near schools, colleges and universities. Pizza Hut is mainly losing market share from fastfood and eatering categories compared to its competitors. The main competitors for Pizza Hut are Papa John's, McDonald's and Domin's Pizza Parlor (UK statistics). It remains possible to create a healthy pizza, but this involves making changes to some ingredients and leaving out the processed meat toppings found on many popular pizzas. Such tweaks are more likely to be made by consumers when cooking at home than restaurants catering for a large demographic. It is also recommended that pizza is eaten in small slices, which is often not the case. (Hotcourses 2008, 608)

Problems Pizza Hut is facing

Pizza Hut management is facing trouble in handling this pressure of loosing market share and requiring a devised marketing planning strategy to accelerate their growth trends in UK market Pizza Hut is facing tremendous challenges from due to alteration in the eating trend of the customers. Customers can no longer be considered in mass level nevertheless are categorized in segments and locations. Despite its unhealthy image, pizza remains popular with UK consumers both in restaurants and at home. Health is certainly a big issue for many, but few consumers are prepared to compromise taste in order to eat healthier all of the time. Subsequently, consumers find room in their lives for pizza by eating it occasionally. This approach allows pizza to become a treat for consumers and while disposable income is adversely affected by global economic turmoil, consumers will still find time for small indulgences to escape the pressures of everyday life. These challenges faced by Pizza Hut (client) would be informed about how to overcome them. A General tool kit including Scenario planning and life cycle tool would be advised to Pizza Hut management. (Callahan, 2003, 663)

Generic Tool Kit

Scenario Planning Tool

Scenario planning is a strategic planning tool used to make flexible long-term plans. It is a method for learning about the future by understanding the nature and impact of the most uncertain and important driving forces affecting the region. Scenario planning is based on creating a series of different futures engenderd from a amalgamation of known factors such as political, economic, social, technical, legal and environmental (PESTLE) trends. The goal is to craft diverging worlds by extrapolating these heavily-influencing driving forces. The technique can also include anticipatory thinking elements that are difficult to formalise, such as subjective interpretations of facts, shifts in values, new regulations or inventions. (Callahan, 2003, 663)

Pizza Hut had speculated in devising plans for the ...