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The business I have chosen "Pizza Hut Ltd" falls under the classification of a Franchise.

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The business I have chosen "Pizza Hut Ltd" falls under the classification of a Franchise. A Franchise is when a company allows someone to sell its goods or services using its trademarks, brand name. A fee will be charged for this. The benefits for this type of owner ship are:- That the business has a very large, very secure baking of finance. Source of the finance for a franchise is similar to those of other independent operators - the franchisees own funds, bank loans and over drafts. Or in the case of a limited company, money is raised through the sales of shares. Banks look more favourably on a franchise operation when considering loans; they are much less of a risk. Pizza Hut is a very good brand name so if a new franchise of Pizza hut opens they are pretty much guaranteed of some business. All the resources they need, will be available from pizza hut so will not have to invest in other companies for the pans, utensils, condiment holders etc. And because Pizza Hut is such a large company they will get all there resources quite cheap because they buy in bulk as the same pans the same utensils etc are used in every Pizza Hut. Some of the disadvantages of a franchise are:- The main disadvantage is the amount of or lack of decisions the franchiser has over the restaurant. So they have no control of any of the food or drinks. They have no control over the restaurant decor. E.g. The pictures they have up, the colour of the restaurant etc. Even though Pizza Hut is a franchise it is still a limited company so it has limited liability. For it to become a (Ltd) Private limited company there needs to be a least two shareholders but there is no maximum number for shareholders. Limited liability means that if the business goes bankrupt because it is unable to meet its debts but the shareholders/owners will not be liable to lose their possessions to pay the money that is owed. ...read more.


They work very closely with the production team. Pizza Hut is a very good brand name nut at first and on going it needs to remind people that they should go to Pizza Hut because of how much better it is that its rivals. A large percentage of Pizza Hut's customers that visit will have seen it on T.V. or heard it on the radio, seen it in the news paper etc so with out the advertising of Pizza Hut a large percentage of sales would drop. Administration Administration is quite a small department. They deal with the mail the Company receives and sends it to the right department. They also deal with internal mail and send it to each restaurant. Although the Administration department is only small Pizza Hut could still not function efficiently without it. Department like research and development and finance need to get there information to every restaurant and because they have not got a brilliant ICT network if the administration department did not sort out all the mail then the operation of the other departments would be useless. They also deal with all the promotional mail i.e. stickers to advertise in the windows of the restaurants, the sending of new menus, the receiving and sending of orders for each restaurant. Without the administration department none of these things would get sent to the right the right restaurant or mail to the other correct departments for them to operate. Research and Development This is really to further the Company's business aims by creating new and better products, improving operational processes and developing new ones. At Pizza Hut research and development is run by the production team. Businesses have different management styles and cultures. Different organisations work towards different objectives. They all have different style of running their businesses and different cultures within the business. There are four different management styles that businesses can adopt. ...read more.


With networked databases it makes it a lot easier an faster to look at any one persons details and or list workers in order of start date etc. The particular branch of Pizza Hut that I am doing my report on is meeting and working beyond its target. This is proven for the data I have seen that Pizza Hut Doncaster 2 is currently working at a 120% through flow profit. For sales improvement there is a target of 11.8% sales growth per year. This branch of Pizza Hut is currently improving by __% each year. There are three stages of the development of quality. * Quality Control * Quality Assurance * Total quality Management This high profit and sale improvement figures is achieved by the quality assurance and value adding of the products. The quality control is standards set for the products they produce and the cutting out of the products that fall below set standards. Inspections of this are carried out to ensure each restaurant sticks to the set standards. Pizza Hut sends inspectors out once a month and an additional two times at any time so that standards have to be high at all time to pass the inspections. Quality assurance happens both during and after the process. It tries to stop any faults happening in the first place. It ensures products meet the predetermined standards. Quality assurance concerns the work force as a whole, as a team rather than inspectors. Total quality management is the creating of a good culture so the worker are happy and strive to make the consumer happy. It encourages each worker to think more about quality in every thing they do even more. All these quality stages help the business to run better as adding quality to products adds value to them as well. This can be measured and proven in the sales growth year on year. The value is added in the consumers eyes buy being at or beyond the standards they expect. ...read more.

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