Business Process Analysis
Objectives
This week, we will examine a sample case study below. Using this case study as a mental map, we will apply analogous analysis to our choice of working company.
• Apply analytical algorithms in predictions and trends
• Consider measures of central tendency, variability, and skewness
• Learn to read company data and graphs
• Incorporate new knowledge learned in this case study into the student course project
Business Process Analysis
Kentucky Fried Chicken is a renown fast food franchise with its main roots in the United States of America. The franchise has grown from being a roadside restaurant to its current global position. The franchise was founded by Colonel Harland Sanders (York, 2009). The Franchise is famous for the fried chicken but has expanded its menu to include French fries, soft drinks, coleslaw, and desserts supplied together with PepsiCo products. Equally important, the franchise is the second biggest fast food franchise after the McDonalds. In this regard, KFC experiences competition from McDonald’s as well as other fast food enterprises such as Popeye’s, and Burger King. Also, there are smaller fast food restaurants that compete in the same market with KFC. KFC has grown all over the world and is currently venturing in the African market due to competition and challenges in developed nations.
To start with, KFC faces intense competition from other food franchises as well as other food establishments inclining the franchise to seek other markets across the world (Hussain, 2014). The competition and the need to expand prompted the founder to sell his franchise chicken recipe across the US. In this case, he developed a brand that would sell the secret herbs and spice for preparing chicken. Upon purchasing the franchise, the buyer would adopt the Brand name, get the original recipe and the trademark phrase that stated, “It’s finger-lickin’ good”. Despite making expansion in the developed nations the franchise has concentrated its effort in expanding in the underdeveloped nations such as in Africa. As of 2013, KFC had seventy outlets in Africa (York, 2009). Despite the competition, the franchise recorded sales worth $23 billion in the year 2013. The market is faced with challenges and competitions that inclines the franchise to expand its business in continents such as Africa to secure a bright future. Additionally, there are a number of challenges that are faced by the KFC in the course of its operations.
Retrieved from: https://www.google.com/url?sa=i&source=imgres&cd=&cad=rja&uact=8&ved=2ahUKEwiV7IqSi77iAhUNGhQKHexwA0sQjhx6BAgBEAM&url=https%3A%2F%2Fwww.statista.com%2Fstatistics%2F205784%2Fkentuckyfriedchickensalespersystemunitsince2006%2F&psig=AOvVaw2ph_Bt5DvPEv18X-tfd8UV&ust=1559128155900425
The above graph shows the sales in 2006 and the sales have remained relatively constant due to challenges and competitions. This fact prompts KFC to seek other markets across the world such as in Africa.
KFC expansion in Africa
Retrieved from: https://www.google.com/url?sa=i&source=imgres&cd=&cad=rja&uact=8&ved=2ahUKEwizlc2hjL7iAhUL3uAKHeCLANsQjhx6BAgBEAM&url=https%3A%2F%2Fwww.motherjones.com%2Fenvironment%2F2014%2F01%2Fkfcafricachickenusaidgatesfoundation%2F&psig=AOvVaw0dAlmKmSmzr9Mp22DrNJYd&ust=1559128442379391
The above map shows the Distribution of KFC franchises across Africa. The map shows the increasing influence and expansion of KFC in Africa.
Lastly, KFC experiences challenge from the competitors thus preventing predictions and forecasts (Abdelgawwad, 2018). In this case, competition levels keep on increasing and changing making it impossible to make prediction and forecast. More so, hard economic and financial times such as cases of economic depressions pose a challenge to efforts of predictions and forecast. However, KFC has adopted sound policies, best practices, and approaches to circumvent the challenges (Maumbe, 2012). In this case, KFC has taken the initiative to expand its businesses in various parts of the globe through the franchise. KFC has expanded to existing and virgin markets across the world to ensure that the company has financial stability. Moreover, KFC has consistently expanded its menu to increase the levels of revenue and profits. The expand menu entails adding various accompaniments to the fried chicken thus enabling the franchise to stay in competitions. Lastly, KFC has merged with other companies to enhance financial stability as well as growth. In this regard, KFC has partnered with PepsiCo as well as becoming a subsidiary of established brands such as Yum Brand.
References
Abdelgawwad, M. (2018). Evaluating Challenges Facing Global Quick Service Restaurants and Proposed Solutions. International Journal of Heritage, Tourism, and Hospitality, 11(2/2).
Hussain, S. H. A. R. A. F. A. T. (2014). The impact of sensory branding (five senses) on the consumer: A case study on KFC (Kentucky Fried Chicken). International Journal of Research in Business Management, 2(5), 2347-4572.
Maumbe, B. (2012). The rise of South Africa’s quick service restaurant industry. Journal of Agribusiness in Developing and Emerging Economies, 2(2), 147-166.
York, E. B. (2009). Grilled Chicken a Kentucky Fried Fiasco. Advertising Age.
