‘Pizza Hut’ sells a range of products from pizza to ice cream. At both ‘Pizza Hut’s eat in and take away restaurants they sell a variety of pizzas. You can choose out of 6 crusts for the base of your pizza. These are the deep pan, Italian, Sicilian, stuff crust, the quad and the edge. From here there are many different toppings that you can order to go on top of your crust. They go from a margarita to a meat feast, ham and pineapple to seafood, you can also add extra toppings. Drinks are also another product sold by ‘Pizza Hut’. You can order a diet pepsi, pepsi, pepsi max, fresh orange, lemonade, refill drinks and water. At their eat in branches, ‘Pizza Hut’ also sell salad and a choice of desserts, such as refill ice cream, cheese cake, chocolate cakes and knickerblockerglory. All ‘Pizza Hut’s sell side orders for example chicken wings, garlic bread, potatoes wedges, and sources.
A Organisation Chart Of ‘Pizza Hut’
An important department in ‘Pizza Hut’ is the Human Resources. The Human Resource Department are in charge of recruiting new staff when needed as well as training old and new employees. ‘Pizza Hut’ want to fill 75% of jobs internally and for employees to have along – term career, so they don’t have to keep finding employees to feel the necessary vacancies.
To see what kind of products the customer wants research has to be done. This is where the Marking Department comes in. Marketing people are the ones that create new products for ‘Pizza Hut’. They do a lot of research to find out an idea for a new product as well as the pricing and ways to sell it. A business can also improve on merchandises through research. There are a number of different ways ‘Pizza Hut’ does their research. They do a telephone market research, where the marketing people ring customers and ask them a serious of questions. Another way to find out information from customers is to do a questionnaire. This can be done in a form of a postal letter, handing out questionnaires or simply asking people questions. ‘Pizza Hut’ could ask customers questions like what is your favourite crust? And, how many people do you eat with when eating at a ‘Pizza Hut’ restaurant? Marketing also take care of the promotion of products through television, restaurants and the media. By promoting ‘Pizza Hut’ in restaurants, the business can see the new product will be a success or a failure. All Marketing is done to keep up with other competitors so that ‘Pizza Hut’ doesn’t lose customers. If another pizza restaurant brings out a new pizza which customers really like, then they will go to that restaurant and ‘Pizza Hut’ makes a loss. To keep up with other leading brands market research is done to see what customers want.
The Finance Department deals with anything to do with wages, costs, accounts and capital. ‘Pizza Hut’ have to balance there money so they have enough to pay for rent, adverts, maintenance, products and wages for example. ‘Pizza Hut’ has a number of fixed costs that they pay each month. These are costs that don’t change as the number of pizzas sold changes. The fixed costs that ‘Pizza Hut’ pays out each month are on advertising, depreciation, rent and rates, insurance and start up costs.
‘Pizza Hut’ then splits variable costs into two categories. Semi – variable and fully variable costs. Semi variable costs are the costs that do change as output changes but not drastically. The semi fixed costs that ‘Pizza Hut’ pays out for are cleaning, travel, uniforms local promotions, consumables, maintenance, utilities and recruitment. Fully variable costs are costs that change as output changes. The more pizzas that ‘Pizza Hut’ sells the more of these that they will need the most. The fully variable costs that ‘Pizza Hut’ pays out for are cost of ingredients, management labour and team member labour.
To continue the growth of ‘Pizza Hut’ the Property Department look at the company’s image and other companies. They see if the business needs new technology or a new look to attract new customers and pervious customers. If a new pizza restaurant opens and has state of the art technology and is decorated smartly and attractive then ‘Pizza Hut’ might want to change its look so that customers don’t go to that eating place. The Property Department have the responsibility to develop new restaurants. They locate the new ‘Pizza Hut’ restaurants by seeing if the location has the room, vacancies, if the customers need a ‘Pizza Hut’ in the area and how far the nearest competitor and ‘Pizza Hut’ branch is.
Human Recourses, Marketing, Finance and the Property department are all linked together through finance. For marketing to promote a successful campaign, for example advertising and special offers, they need the support from finance and human resources. This is because human resources see what ‘Pizza Hut’ need to advertise e.g. new jobs, buy one get one free. When advertising restaurants marketing also need to find out which restaurants are home delivery services from human resources so that when they do the adverts they can specify the location of the branch. Finance sees if ‘Pizza Hut’ has enough capital to do the promotion and if so, how much money they have to invest init. Marketing also need the help from property when advertising the opening of a new restaurant so that they know exactly what the new restaurant will look like, the location of it and the opening times. They need this information so that customers know where to go and what to expect.
Property is linked with finance when looking for new locations. This is because the property department need to know how much money they have to spend on a new restaurant including rent, decoration and training. As finance deals with all the capital that the business owns, the property department need to speak to them to see how much money they have to spend on a location before looking.
Human resources are connected to finance because they need money to advertise for jobs. By advertising for recruitment, ‘Pizza Hut’ has more chance of finding people to fill the jobs needed for the new restaurant. The finance department also gives the human resources the money for training the new staff as well as their wages. When the Human Resources department are looking for recruitment they have to look at certain qualities depending on if the jobs are going in the eat in or home delivery restaurants. With home delivery restaurants you need staff that can drive mopeds or motorbikes so that they can delivery the pizzas to customer’s quick, but with eat in restaurants you don’t necessary have to drive to work in the restaurants.
Finance has to communicate with human resources and marketing when owning and exploiting the delivery opportunity. This is because human resources know how many people are recruited at each delivery branch. They then tell the finance department who then know how much money can be spent on new vehicles and have an estimate on how much money is already going towards the delivery service. The marketing department can research customers to find out how long they think it should take for their pizza to be delivered to them. The finance department then have an idea on how much money should be invested into the delivery branches to reach the customers demands.
Over the years laws have come in to protect workers in the work place. In particular the laws have been passed in the areas of employment, discrimination and health & safety. There is a law that protects workers against discrimination in race relations (1968 & 1979 Act). It is illegal to discriminate on the bases of race, nationality or ethnic origin. Employers can not distinguish a worker because of their race, gender or disability when selecting new employees, contracts, training, benefits and redundancies.
In 1995 the disability discrimination act came in operation. This is very similar to the race relation act. It is illegal to discriminate a person because they have a disability. Employers can not show prejudice to workers because they have a disability when selecting for new recruitment, contracts, training, benefits and redundancies.
For years there were campaigns about equal pay for men, women and part – time staff. To protect women from being paid less then men even if they did do the same job, the equal pay act (1970) and the sex discrimination acts (1975 & 1987) came appropriate. Women were doing the same jobs as men, same hours but would still get paid less and get different unfair treatment. These acts stopped this and today men and women are paid and treated equally. Part –time workers were also being treated differently so the employment law brought in a law where part – time workers are treated the same as full time workers.
There are two types of groups that ‘Pizza Hut’ has to communicate with to run a successful business. Anyone within the business that ‘Pizza Hut’ wants to communicate with are call Internal Communications. These are groups like managers, employees and trade union representatives. People outside the business that ‘Pizza Hut’ wishes to contact are called External Communication. These are groups like shareholders, suppliers and customers. There are many ways that ‘Pizza Hut’ communicates with internal and external communications, but they can fit into one of the following categories. Oral communication, visual communication or written communication.
Oral communication are a quick form to talk to people but there is often no record of the conversation so it can cause problems as one person says one thing was said but another says another thing was said. Conversely, face to face conversations can be useful as it allows discussion and can help to get the message across efficiently. Meetings are one type of oral communication and are normally held between two internal groups, such as a manager and an employer to discuss the workers performance. Telephone is mainly used when the manager wants to order supplies from the supplier.
Visual Communication is used to simplify and summarise words and numbers. Businesses also give presentations of how the business has been doing and its predictions for the future. ‘Pizza Hut’ use visual communications in forms of television, leaflets, advertising and pictures in menus to promote themselves.
Written Communication is used to connect internal and external communications with ‘Pizza Hut’. Letters are used to order stock for example or to complain. ‘Pizza Hut’ write done there order in a form of an order form. To arrange meetings between managers and assistant managers memos are used. Letters and memos are now sent in form of an e-mail instead or post. It is quicker and easier to send and write. Reports are used to keep a record of the progress of restaurants and products. At every meeting that is held a minutes and agenda are recorded to keep track of what is being discussed. Newsletters are a way of communicating with employees so that they know what is happening in the business and any future events.
‘Pizza Hut’ communicates with supplies through oral and written communication. But there are eight stages to it before ‘Pizza Hut’ is delivered with their order. Letter of enquiry, Quotation, catalogue and price list, Order, Advice note, Delivery note, Invoice, Statement of account and Payment.
Key
To Suppliers (Seller)
To ‘Pizza Hut’ (Buyer)
‘Pizza Hut’ sends the suppliers an order of things that they wish to be delivered to them through the Letter of Enquiry. The second stage of the trading is Quotation, Catalogue and Price list. This is when ‘Pizza Hut’ asks for a price list, delivery dates etc and the supplier would send them the list. ‘Pizza Hut’ then places their Order, and receives an Advice Note from the supplier to check that the order is correct. The fifth stage is the Delivery Note where the suppliers send ‘Pizza Hut’ a note with the order which contains details of the items ordered by ‘Pizza Hut’. The suppliers then send ‘Pizza Hut’ an Invoice which also contains details of the delivery items but also the payment that ‘Pizza Hut’ must pay. Every couple of months the suppliers will send ‘Pizza Hut’ a Statement of Account which tells ‘Pizza Hut’ how much money has been paid off. Cheques are normally used as a source of Payment with ‘Pizza Hut’.
‘Pizza hut’ has a much larger organisation chart then that of a smaller business. Both organisation charts will be in a form of a hierarchy. This is a chart that goes from the person with the most responsibilities and authority to the least. ‘Pizza Hut’ will have a much larger hierarchy then that of a smaller business as it has more people employed therefore it has a lot more responsibilities and standards. The small business and ‘Pizza Hut’ will both have a manager whom will be at the top of the organisation chart. It will then be the assistant/deputy manager which both businesses will have. After that a small business will have its employees whilst Pizza Hut’ have workers who have more authority then its bottom employees. ‘Pizza Hut’ have people like restaurant supervisor, team leader and area manager before it has the people with least authority which are the team members.
A small business will have better communication with its employees as the chain of command is smaller then that of a larger business. The manager can hold a meeting which will benefit the whole team as everyone gets told together and you don’t have to repeat anything if someone is away. In a small business the span of control is of a little amount as there aren’t many people under the manager. This means that if a manager passed down a responsibility they know it will get done because the delegation can only go as far as the person with the least authority which isn’t really far.
Whilst in a much larger business like ‘Pizza Hut’, the delegation could take a long time to get done. They could keep passing down the task till it gets to the dish wash cleaner which could take some time as the span of control is of a great amount. If the manager wanted to make sure everyone in the business got a message then he/she would tell the assistance manger, whom would then pass it down. The line manager would then tell everyone that they are in charge of the message. But, if the line manager is away then the subordinates wouldn’t get the message till later which can of a disadvantage if the message is important. Meetings are only held with managers, assistant managers and line managers. This is because there wouldn’t be enough room for all the employees and there is a grantee that not all the staff would be in and they wouldn’t be able to hear it. Therefore, the line manager tells the employees that they are in charge of and then everyone gets the message.
There are number of sources that I used to complete my coursework on the company ‘Pizza Hut’. I used books – GCSE Business Studies by Chambers Hall & Squires, GCSE Business Studies “The Revision Guide” and Pizza Hut Schools Information Pack. Web sites from the internet, these were , and . I also used class group research survey and a collection of marketing leaflets from my local ‘Pizza Hut’.