Internal and External Business Factors of Hanson Pizza Bar and Restaurant

This report discusses the internal and external business factors prevalent in the operation of Hanson Pizza Bar and Restaurant. It also includes the experience gained by the author from working in this organization and recommended steps to improve internal competencies.

Running head: HOSPITALITY MANAGEMENT
Hospitality management
Name of the student
Name of the university
Author note

1HOSPITALITY MANAGEMENT
Executive summary
The aim of this report is to discuss about internal and external business factors prevalent in the
operation of Hanson Pizza Bar and Restaurant. In addition, I have also included the experience
being gained by me from working in this organization. This helped me in aligning my workplace
experience to that of the information gathered from the global competitiveness index. I have
reflected about the experience being gained. The internal competencies of Hanson Pizza Bar and
Restaurant are also being discussed in this report and a few recommended steps are also being
analyzed.

2HOSPITALITY MANAGEMENT
Table of Contents
Introduction......................................................................................................................................3
Determination of the external factors..............................................................................................6
PESTLE analysis.........................................................................................................................6
Political factors............................................................................................................................6
Economical factors......................................................................................................................7
Social factors...............................................................................................................................9
Technological factors.................................................................................................................10
Legal factors..............................................................................................................................11
Environmental factors................................................................................................................12
Determination of the industry competitiveness.............................................................................12
Bargaining power of the buyers.................................................................................................12
Bargaining power of the suppliers.............................................................................................13
Threat of new entrants...............................................................................................................14
Threats of substitutes.................................................................................................................14
Competitive rivalry....................................................................................................................15
Internal Organizational Analysis...................................................................................................15
Organizational Diagnosis...........................................................................................................15
Mission, Vision and Values of Hanson Pizza Bar and Restaurant............................................16
Framework (Mintzberg Model).................................................................................................18

3HOSPITALITY MANAGEMENT
Organization System..................................................................................................................20
Self-Reflection...........................................................................................................................22
Determination of the internal business factors..............................................................................23
Strengths....................................................................................................................................23
Weaknesses................................................................................................................................23
Opportunities.............................................................................................................................24
Threats.......................................................................................................................................25
Recommendations..........................................................................................................................26
Conclusion.....................................................................................................................................26
Reference.......................................................................................................................................28

4HOSPITALITY MANAGEMENT
Introduction
In the current business scenario, it is important for the contemporary business
organizations to have the effective understanding of their external and internal business factors.
This is due to the reason that effective determination of the external business factors will help the
business organizations to design their strategies accordingly. It should also be noted that the
current business scenario is much more competitive than it was a decade ago. Thus, it is also
important for the contemporary business organizations to have effective approach of strategic
intent in staying ahead in the competition (Dibrell, Craig and Neubaum 2014). This effective
strategic intent will be made possible only if the organizations are having the proper
understanding of their external and macro business factors. On the other hand, determination of
the internal factors for the business organizations is as important due to the reason that this will
help them in having the idea about their strengths and weaknesses and can have their strategic
intent accordingly.
Australian service sector is one of the highly competitive sectors with having the
presence of different players. There is huge number of restaurants present in the Australian
market catering to different customer segments. Thus, it is important for the restaurants operating
in the Australian market to have their strategic intent in accordance to the different business
factors. Hanson Pizza Bar and Restaurant is one of the leading fine dining restaurants in the
Adelaide catering to customers seeking the Italian cuisines and ambience
(hansonpizzabar.com.au 2018). They are also awarded as the best Italian restaurant in Australia
and thus they possess favorable brand equity in their existing area of operation. However, on the
other hand, it is also important to note that numbers of global dining brands are entering in the
Australian market and this is increasing the competition for Hanson Pizza Bar and Restaurant.

5HOSPITALITY MANAGEMENT
Hence, they are having the need of effective strategic planning to fend off the competition, which
will be complemented by the determination of the micro and macro analysis.
In this report, the focus will be given on the operation of Hanson Pizza Bar and
Restaurant based on the experience gained by me from my working tenure there. I have
consulted with number of stakeholders from Hanson Pizza Bar and Restaurant for gathering the
information about their micro and macro environment. Based on this information, this report will
discuss on the major macro and micro environmental factors of Hanson Pizza Bar and
Restaurant. I have also used a few external data sources such as the Global Competitive Index in
having an idea about the business environment in Australia. A few major issues and challenges
for them will be identified and recommendations will be provided accordingly.
Things I have learnt till now
 I got to know about the overview of the hospitality sector especially the restaurant
industry. In addition, I have also gained enough experience in having the idea of business
patterns in this industry and the service delivery process.
 I got to know about the customer relationship management being maintained in the
restaurant and the level of importance it holds for the business. I came to know that
effectiveness of the customer relationship management determines the business
potentiality of Hanson Pizza Bar and Restaurant.
 I have gained the idea about how to initiate effective communication process among the
stakeholders and to maintain consensus among them.
 I have the training of preparing the table for the guest in minimal amount of time with
maintaining all the important elements.

6HOSPITALITY MANAGEMENT
 I have also gained experience in using ERP and accounting software in the restaurant and
can operate them in efficient manner.
Future learning outcome expected
 My objective is to gain more experiences in managerial matters of the restaurant due to
the reason that I have not gained much managerial skills as of now.
 I also want to be more efficient and effective in preparing the table for the guest. Thus, I
will reduce the current incursion of time in preparing the table.
 I also want to gather more information about the customer trends in the hospitality
industry, which will further help me to contribute in decision making process of Hanson
Pizza Bar and Restaurant.
 Aim to gain the expertise in attracting the new customers by means of different marketing
activities. As of now, I do not have the idea about how Hanson Pizza Bar and Restaurant
is targeting their new customers along with their major strategies.
Stakeholders consulted in gaining data for external business factors
External business factors are complex to determine due to their vulnerability to rapid
change. In this case, I consulted with my reporting senior in the workplace. This is due to the
reason that being a senior stakeholder, he is having more information about the external
environment of Hanson Pizza Bar and Restaurant. On the other hand, he is working with Hanson
Pizza Bar and Restaurant from the last 6 years, which denotes that he is having enough idea
about the trend of external factors for the organization. I have tried to align and relate the
information gained from my senior with that of the information being received from the external
sources. In addition, I have also consulted with some of my classmates due to the reason that

7HOSPITALITY MANAGEMENT
they are competent enough in having the idea about the business environment of Australian
hospitality sector.
Stakeholders consulted in gaining data for internal business factors
I have consulted mainly with the internal stakeholders of Hanson Pizza Bar and
Restaurant due to the reason that they are having the better idea about the internal effectiveness
and competencies of the organization. In terms of consulting with the senior members, I have
consulted with the members from different departments in order to have the diverse idea about
the internal competencies of Hanson Pizza Bar and Restaurant. Consultation with the senior
members helped me in having the idea about what they are thinking about tapping the future
opportunities.
Determination of the external factors
External factors of Hanson Pizza Bar and Restaurant can be determined both on the basis
of competitiveness of the industry and on the basis of impact of external factors on their business
operation. The following sections will discuss about the industry competitiveness of Hanson
Pizza Bar and Restaurant with the help of Porter five forces analysis and impact of the external
factors with the help of the PESTLE analysis.
PESTLE analysis
Political factors
Hanson Pizza Bar and Restaurant is based in Adelaide and thus the political factors
relevant in the Adelaide will have influence on their business operation. In terms of the political
stability, Australia is having favorable position with having stable government in place.

8HOSPITALITY MANAGEMENT
According to the global competitiveness index, Australia is having the ranking of 7 in terms of
number of procedures in starting new businesses. This denotes that political factors and
regulations are less in doing business in Australia (Blom-Hansen, Houlberg and Serritzlew
2014). However, in terms of Hanson Pizza Bar and Restaurant, it is having both negative as well
as positive impacts due to the reason that favorable political situation is helping Hanson Pizza
Bar and Restaurant in doing their business effectively and properly. However, on the other hand,
this is also attracting new challengers in the market and affecting the business profitability of
Hanson Pizza Bar and Restaurant. It is also identified that Australia is having the ranking of 80
in terms of burden of government regulations (Norden, Roosenboom and Wang 2013). This is
denoting that business organizations operating in the Australian scenario will have to face higher
level of government intervention, which will further restrict the business efficiency. In the case
of Hanson Pizza Bar and Restaurant, higher level of burden of government regulations will cause
lack of efficient decision making process in place. It is also should be noted that political factors
will have larger impact with the market development of Hanson Pizza Bar and Restaurant. This
is due to the reason that currently, Hanson Pizza Bar and Restaurant is having their operations
only in the Adelaide and in the further time they will face more diverse political factors with
having their presence in more number of areas.
Economical factors
Economical factors refer to the factors that are having direct impact on the profitability of
the business. This is also important due to the reason that with the change in the scenario,
economical factors are evolving. It is identified that economic growth of Australia is increasing
in the recent time and this shows that business opportunities of doing business in Australia are
also increasing. It is one of the most positive factors for Hanson Pizza Bar and Restaurant in their

9HOSPITALITY MANAGEMENT
existing business operation. In addition, it is stated by the global competitiveness index that
Australia is having the ranking of 38 in terms of trade tariffs that denotes that Hanson Pizza Bar
and Restaurant will also have favorable environment in facing the issue of higher rate of tariffs in
the country (Penrose 2017). However, it is also identified that rate of employment in the country
is also reducing and this is reducing the purchasing power of the average customers. This should
be noted that Hanson Pizza Bar and Restaurant is being positioned as a luxury and leisure
activity and thus they will be given least preferences in case of reduction in the rate of
employment. Australia is having the higher rate if inflation in the world, which is one of the
major negative factors for Hanson Pizza Bar and Restaurant in doing business in Australia. This
is due to the reason that higher rate of inflation will increase the cost of goods, materials and
services and will attract lower rate customers to the business.
According to the global competitiveness index, Australia is having the ranking of 47 in
terms of business cost of terrorism. This denotes that business organizations such as Hanson
Pizza Bar and Restaurant will face the high intensity of terrorism in their business (weforum.org
2018). This will affect the business potentiality of them due to the fact that terrorism will cause
lower inflow of customers in the restaurant. In addition, it should be noted that tourists are one of
the major target segments for Hanson Pizza Bar and Restaurant and thus this segment will be
affected due to the impact of terrorism (McMillan and Overall 2016). Competition is another
major element to be considered in determining the economical environment. This is due to the
reason that the higher will be the intensity of the competition in the market; the lower will be the
profitability for the organizations. In the market of Adelaide, there are number of global pizza
chains already operating along with continuous inflow of new players in the market. Thus, the
intensity of competition for Hanson Pizza Bar and Restaurant is increasing.

10HOSPITALITY MANAGEMENT
Social factors
Hanson Pizza Bar and Restaurant is mainly catering to the higher end sections of the
customers mainly due to the premium service offerings of them. Australia is having diverse sets
of customers in the country and Adelaide is one of major regions with having high number of
immigrants. Thus, it is important for Hanson Pizza Bar and Restaurant to have diverse service
offerings to cater to different customer segments. In addition, it is also important for Hanson
Pizza Bar and Restaurant to consider the food habit and preferences of the immigrants due to the
fact that they are also one of the major targeted customer segments (Markus 2014). Australia is
one of major globalized economy with high influence of different social factors in the society.
Australia is witnessing steep rise in the vegan population in the country. This will pose challenge
for Hanson Pizza Bar and Restaurant due to the fact that majority of their offerings contains
meat. On the other hand, people are becoming more conscious about the presence of gluten in
food. Thus, it is becoming challenging for Hanson Pizza Bar and Restaurant to cope up with this
change in the social environment and maintain their market leadership.
In the case of market development as they are planning to enter in new markets in new
regions, there will be number of challenges to be faced by them. One of the major challenges
will be difference in between the different regions. Thus, the challenge will get amplified further
for Hanson Pizza Bar and Restaurant. As discussed earlier, Australia is one of the major
globalized economies in the world. This is also causing rapid change in the social trend and
preference pattern of the customers. Thus, the more rapid and frequent will be the change in the
taste and preference pattern, the more will be the challenges for Hanson Pizza Bar and
Restaurant in coping up with the change.

11HOSPITALITY MANAGEMENT
Technological factors
In the current business scenario, technological factors are one of major determining
factors to be considered in doing business. This is due to the reason that technological
advancements help in gaining competitive advantages for the business organizations. In the
hospitality sector, technological advancements are also important due to the reason that it helps
in offering more effective service to the customers. In the case of the food and beverage sector,
technology is helping the pizza chains in reducing the time between the order of the customer
and delivery (Farmer 2013). Thus, the waiting time of the customers in the restaurants will also
get lowered with the development in technology. According to the global competitiveness index,
Australia is having the ranking of 27 in terms of technological readiness. This denotes that
Hanson Pizza Bar and Restaurant is having the access to the latest technologies and innovation in
the country (weforum.org 2018). However, it should also be noted that favorable technological
environment will help other new entrants also in enhancing their service delivery process and
this will further increase the competition for Hanson Pizza Bar and Restaurant.
However, on the other hand, there are number of challenges also be faced by them in
terms of the technological factors. One of the major challenges for them will be the rapid change
in the technology. In the recent time, technology is rapidly changing and evolving, which is a
challenge for the business organizations to match up. In the case of Hanson Pizza Bar and
Restaurant, they are facing the challenge of coping up with the development in the technology.
This is also causing them added cost in adopting newer and latest technologies. Another major
challenge for them will be the security in the payment portal for the customers. This is due to the
reason that in the recent time, there are number of instances being emerged where it is seen that

12HOSPITALITY MANAGEMENT
customers are duped in their online payment process. Thus, it is a challenge for Hanson Pizza
Bar and Restaurant to secure their payment gateway for their customers.
Legal factors
Legal factors refer to the rules and regulations to be faced by Hanson Pizza Bar and
Restaurant in doing business in Australia. This is also important to get determined due to the
reason that business operation approach of them will be affected by the legal formalities of the
country. It is stated by the global competitiveness index that Australia is having the ranking of 61
in terms of strengths of investor protection and this denotes Hanson Pizza Bar and Restaurant is
facing moderate intensity of effective regulations in protecting their intellectual property
(weforum.org 2018). This can be considered as a positive factor for Hanson Pizza Bar and
Restaurant in doing their business in Australia. It is also identified in the global competitiveness
index that Australia is having the ranking of 25 in terms of efficiency of legal framework in
settling disputes. This shows that legal framework in Australia is effective enough in settling
disputes for the business organizations.
However, it is also to be noted that Australia is having stricter rules and standards in
terms of employee management and being service provider, it is important for Hanson Pizza Bar
and Restaurant to adhere to these standards. This is will cause an added cost and responsibility
for them to meet the set standards by the Australian authority. In addition, there are number of
restricted items stated by the Australian authority, which cannot be offered by restaurants and
this should also be followed by Hanson Pizza Bar and Restaurant in their business operations.

13HOSPITALITY MANAGEMENT
Environmental factors
There are number of environmental factors that will have adverse impacts on the business
operations of Hanson Pizza Bar and Restaurant. One of the major factors is the probability of
natural disasters. Any types of natural disasters will have huge impact in the physical assets of
them along with good amount of loss and damage. Moreover, emergence of natural disasters is
highly uncertain in nature and thus it is difficult for Hanson Pizza Bar and Restaurant to
determine its impact. Another major environmental impact will be due to the reason of extreme
climatic factors. This is due to the reason that extreme climatic conditions will restrict the
potential customers in visiting the restaurant and business will be affected. It is also important for
Hanson Pizza Bar and Restaurant to get more focused on having sustainable approach in their
service delivery. This is due to the reason that in the current time, customers are becoming more
aware about the eco-friendly products (Le Blanc 2015). Thus, initiation of the greener approach
will ensure that brand goodwill will get enhanced among the target customers and competitive
advantages can be gained in the long term. In terms of the business operations also, initiation of
the sustainable approach will help Hanson Pizza Bar and Restaurant to reduce their average cost
of operation and enhance the profitability. This will further enable them to reduce their carbon
footprints in their operations.
Determination of the industry competitiveness
Bargaining power of the buyers
In the hospitality sector of Australia where Hanson Pizza Bar and Restaurant is operating
is having moderate level of bargaining power of the buyers. This is due to the reason that there
are number of restaurants operating in the same market. Thus, customers are having the options

14HOSPITALITY MANAGEMENT
for choosing any one of them. It is also identified that Hanson Pizza Bar and Restaurant is having
direct competition in terms of both premium and affordable Italian cuisine offerings in the
Australian market (Dobbbs 2014). Switching cost of the customers is also low due to the reason
that they do not have to incur added cost in changing their preferences. On the other hand, entry
of the global chains in the Australian market is further increasing the buying power of the
customers due to the reason those customers having the access to greater global brands in the
different price points.
However, on the other hand, it is also identified that the unique positioning of Hanson
Pizza Bar and Restaurant in the market is helping them in maintaining the distinctive market
position over their competitors. This is due to the reason that Hanson Pizza Bar and Restaurant is
offering premium and authentic taste of Italian pizza in different variants. In addition, it is also
being identified that there are number of pizza chains already operating in the Australian market
by are catering to the affordable and fast food customer segments. On the other hand, Hanson
Pizza Bar and Restaurant is offering more premium experience along with Italian cuisines to the
customers. This is also creating differentiated approach and reducing the bargaining power of the
customers.
Bargaining power of the suppliers
There are number of number of suppliers being identified relevant in the hospitality
sectors. In the case of Hanson Pizza Bar and Restaurant, the major suppliers for them are raw
material suppliers. However, the bargaining power of the suppliers is low due to the reason that
there are number of suppliers present in the market. In addition, the brand identity of the
suppliers is lower than that of Hanson Pizza Bar and Restaurant, which is further reducing their

15HOSPITALITY MANAGEMENT
bargaining power (Marshall 2013). It is also identified that the suppliers are depended on the
restaurants as their key revenue streams. However, the price of the raw materials being charged
by the suppliers is having major influence on the end price of the products of Hanson Pizza Bar
and Restaurant.
Threat of new entrants
Threat of new entrants is high for Hanson Pizza Bar and Restaurant due to the reason that
barriers of entry are low in Australia. In the previous section, it is already discussed that business
environment in Australia is favorable and is helping in attracting in new players in the market. In
addition, in the hospitality sector, the cost of investment is also varying according to the level of
operation. In Australia, there are large numbers of small players offering pizza operating and
they are posing challenges for Hanson Pizza Bar and Restaurant. In addition, each of these pizza
brands is offering affordable services while some few are offering premium services. Thus, it is
reducing the market opportunities for Hanson Pizza Bar and Restaurant (Palacios-Marques, Soto-
Acosta and Merigo 2015). There are number of global pizza brands on the verge of entering in
the Australian market. This will further enhance the threat of new entrants for Hanson Pizza Bar
and Restaurant. However, on the other hand, entering in the new markets by Hanson Pizza Bar
and Restaurant will help them to fend off the increased threat of new entrants. This is due to the
reason that having presence in more markets will help in segregating the threats.
Threats of substitutes
Threat of substitutes is also high for Hanson Pizza Bar and Restaurant. This is due to the
reason that customers having large number of options for their consumption. It should also be
noted that Hanson Pizza Bar and Restaurant is facing the threat of both direct and indirect

16HOSPITALITY MANAGEMENT
substitutes. For instance, some of the major direct competition for Hanson Pizza Bar and
Restaurant are Pizza hut, Dominos and Red Rooster. All these brands are having higher and
positive brand value in the Australian market. Furthermore, majority of these players are offering
same variants and at same price points (Fresard and Valta 2016). Thus, customers are having
more options to choose from. On the other hand, indirect competition in the form other fast foods
such as KFC is also posing threat of substitute for Hanson Pizza Bar and Restaurant. Australia is
having good number of alterative fast food chains offering different varieties to the customers.
Hence, it can be concluded that threat of substitutes is more for Hanson Pizza Bar and Restaurant
in their Australian operation.
Competitive rivalry
Competitive rivalry for Hanson Pizza Bar and Restaurant is also high due to the reason
that each of the players operating in this sector is initiating different strategy to cater the same
targeted customer segments. Global competitors for them such as Pizza Hut and KFC are
offering seasonal discounts and other benefits to the customers to stay ahead in the market. In
addition, added focus is being given on the ambience and customer experience for having
differentiating impact on the customers. Thus, Hanson Pizza Bar and Restaurant is having high
level of competitive rivalry and differencing approach will only help them to deal with this
phenomenon.
Internal Organizational Analysis
Organizational Diagnosis
I went to Hanson Pizza Bar and Restaurant, Woodville North, Adelaide for my interview
as a waiter on the 10th of November, 2018. My interviewer, Mr. Mathew Foster, who was the

17HOSPITALITY MANAGEMENT
staff recruitment advisor, welcomed me when I arrived. He asked me some basic questions at the
beginning, about my hobbies, my academic qualifications and my work history, especially if I
worked somewhere at the present, which I did not. He then moved on to my skills that I would
net for my position as a waiter and also asked me about serving my customers and how I would
be treating them, giving me hypothetical situations. I tried to answer every question in the best
way that I could. I left the interview, hoping that I would be recruited. I got my offer letter on the
15th of October, 2018 which was mailed to me and also received a confirmation call from Mr.
Foster who informed me that I would have to arrive at the restaurant for my first day and
induction on the 29th of October at 09:00 a.m.
The first day of my induction, I was introduced to the other staffs and acquainted with the
job role that I would take upon me from the next day. There were other new faces with me who
went through the same process. The induction process continued for three and at the end of the
third day we were given badges and id cards which we had to wear at all times. The first day of
induction mostly consisted of introductions and getting to know the floor in a proper way. The
second and the third day of induction was more focused on training us regarding the process of
our job and the important things that we would have to remember during our shift. Our shift was
for 11 hours which started from 10 a.m. and ended at 9:00 p.m. at night. We were allowed to take
5mins break in between for 2 times and had lunch hour from 1:00 p.m. to 2:00 p.m. provided
there was less rush in the restaurant. 2 staff always had to be present in the restaurant at all times
to serve the incoming customers.
Mission, Vision and Values of Hanson Pizza Bar and Restaurant

18HOSPITALITY MANAGEMENT
The mission statement for Hanson Pizza Bar and Restaurant is “the cheesiest of them
all”. Hanson Pizza focuses on the best pizza that they offer to their clients. The main liking of
pizza lovers is the food being cheesy and fresh. Hanson pizza has imbedded this cheesiness in all
of their pizzas so that they can satisfy their customers with the fresh and cheesy quality of the
pizza(Hansonpizzabar.com.au 2018). Customer satisfaction is their number one priority which
can be achieved with their pizza quality.
The vision of the restaurant is “To become one of the best pizza restaurants in Australia
by providing the best possible service to the customers”. The mission and vision statement of the
Hanson Pizza Bar and Restaurant shows that they focus on serving their customers in the best
possible way.
There are three core values which are followed by the restaurant. These three values are:
 Fresh cooking
 Customer satisfaction
 Teamwork
Hanson Pizza believes that the best way to make the customers happy is by serving the freshest
pizza. For this they take the best products and vegetables to make their pizzas. The raw materials
used by them are the best in quality and this helps them to make the final products fresh and the
best. Customer satisfaction is another value that is extensively followed by Hanson pizza. They
aim to do everything in their power to ensure that their customers get an excellent experience
from their restaurant both in aspect of food and employee behavior. For this the staffs of the
restaurant are trained to provide the best of the experiences to their customers. Teamwork is the
final value that is followed by Hanson Pizza Bar and Restaurant. This means that the staff

19HOSPITALITY MANAGEMENT
working in the restaurant does not work as individuals but as a team and help each other out in
need. Working as a team provides more efficiency in work than working as an individual and
Hanson Pizza Bar and Restaurant ensures that the best and efficient services are received from
their staff.
Framework (Mintzberg Model)
The Mintzberg Model is an organizational model which divides the organization in to
different parts which are operating core, medium level, strategic apex, techno structure,
supporting forces, and ideology. The operating core is the production and operation unit. The
medium level consists of the middle management who are the link between the upper and the
lower management and forms relationships with the customers and the suppliers. The strategic
apex is the top management who is responsible for forming all the objectives of the organization
and the strategies (Janićijević 2013). The techno structure consists of the professionals whose
main focus is innovation, development, production marketing and such. The support forces are
the ones who provide operational support to the organization such as finance, human resources,
assets, knowledge and others. Ideology is the culture, vision, values of the organization.

20HOSPITALITY MANAGEMENT
Figure 1: The Mintzberg Model
Source:
Based on the Mintzberg Model, Hanson Pizza Bar and Restaurant is divided into different
sections as well which helps in the growth of the organization.
a. Operating Core: The operating core in the restaurant consists of the waiters, cleaners, junior
chefs, housekeepers, who are the base line staff of the restaurant (Minvielle et al. 2014). They are
the one who perform the basic jobs and carry out most of the work in the restaurant. They
perform maximum of the physical work in the restaurant.
b. Middle Level: The middle level consists of the people who are the heads of every department
such as food and beverage, housekeeping, front office, events department and such other
departments (Taran, Boer and Lindgren 2015). They act as a medium between the people who
work under them and the ones above them which means the operating core and the strategic
apex. They help in the smooth running of their respective departments.
c. Strategic Apex: The strategic apex is the top level of management consisting of the managing
directors and chief executive officers who are the people responsible for making the strategic
decisions which will help in the growth and expansion of the restaurant (Mirabeau and Maguire
2014).
d. Techno structure: The daily operations of the restaurant are carried out by the staff of techno
structure. The induction, training and development, supervising are the jobs of the techno
structure staff (Brijs 2016). They are the ones who are responsible of ensuring that the restaurant

21HOSPITALITY MANAGEMENT
works smoothly with the helpobtained staff and that the scopes of growth in the restaurant are
explored in the best possible way through innovation and proper research and development.
e. Support Staff: The support staff of the restaurant consists of the staff who are involved with
learning and training, public relations, human resources, finance, legal services and others. These
people provide support to the restaurant in case of any issue and ensure that the restaurant does
not face any problem in any department (Kumar 2015).
f. Ideology: The mission of Hanson Pizza Bar and Restaurant is “the cheesiest of them all”. The
vision of the restaurant is “To become one of the best pizza restaurants in Australia by providing
the best possible service to the customers”. The core values of the restaurant are fresh cooking,
customer satisfaction and teamwork.
Organization System
 Customer Satisfaction: It is important for the restaurant to stay on the top of the list of
best pizza restaurants since this portrays the kind of service that is provided by the
restaurant. Hanson Pizza Bar and Restaurant have their own in-house customer service
program which helps them to conduct researches and train the staff into providing the
best customer service experience to the people who come to their restaurant. The program
is designed in such a way that is helps to enhance the strengths of the restaurant to the
customers and focus on the growth based on the satisfaction level and loyalty of the
customers.
 Employee Satisfaction: Employee satisfaction is also a very important factor which
should be given as much importance as customer satisfaction. If the people who work for
the restaurant are not happy with the functions and culture of the organization then they

22HOSPITALITY MANAGEMENT
will not be motivated to perform to the best of their abilities and eventually leave the
organization. Hence, to retain the staff the restaurant has to provide certain benefits to the
employees such as health and work benefits, training and development, employee
feedbacks, workforce management and others. These facilities would help the staff to be
satisfied with their work and provide them the desired motivation that would push them
to work harder and better.
 Environmental Performance: The restaurant should use sustainable and environment
friendly methods in their operations so that they do not conduct activities or designs
which would have harmful effects on the community and the environment. To
understanding this the environmental performance of the organization would have to be
measured which can be done with the help of environmental software. The consumption
of air conditioner, utilization of energy and water utilization have to be measured with the
help of useful software. Other than this, the restaurant can adopt measures for rain water
harvesting which would help them to conserve the wastage of water that is normally
done.
 Financial Performance: The financial performance of the restaurant is measured
through the calculation of the financial records and the revenue of the organization. Each
transaction made by the restaurant should be recorded in the proper manner so that the
expenditure and the gains of the restaurant are determined at the end of the financial year.
The accurate calculation will help to understand the profit or loss amount, the collected
revenue and the average income of the restaurant. The financial records of the
organization should be also be kept secured and safe from any kind of theft or hacking
with the help of Cash Management System.

23HOSPITALITY MANAGEMENT
 Risk: OHSAS (Occupational Health and Safety Assessment Series) is the standard for
health and safety that is followed by almost every organization. Hanson Pizza Bar and
Restaurant follows the same standards and trains every one of their staffs to do the same.
The restaurant has numbers of doctors, nearby hospitals, fire brigades and other safety
units in case of any emergency. Strict prohibition of alcohol and drugs is prohibited
within the premises of the restaurant. Any breach in the code of conduct of the safety
measures would be a punishable offence by the restaurant.
Self-Reflection
In my tenure at the Hanson Pizza Bar and Restaurant for 6 months, I have been exposed
to a very healthy and hard working environment which has taught me several new things that
would be helpful in my future endeavors. I have been surrounded by experienced ad extremely
helpful people in the restaurant who has guided me at every step when I required. I have been
exposed to many situations which I would have never been able to handle earlier. My manager
has even let me handle angry clients and pushed me to find a way to calm them down so that the
reputation of the restaurant is not harmed. I had also engaged myself in other departments of the
restaurant such as the kitchen departments since I have a fascination of cooking and wanted to
learn the tricks ad trades of being a chef if I ever wanted to pursue that as my career objective. I
have also been able to determine my weaknesses and strengths which would help me in my next
organization and my life as well. I have found that I am good at handling pressure and stress
situation and I am generally calm when such situation arises. This is a great strength of mine
which will be helpful in all kinds of scenario both professional and personal.

24HOSPITALITY MANAGEMENT
Determination of the internal business factors
Strengths
 The major strength for Hanson Pizza Bar and Restaurant is their diverse food offerings. It
is identified that they are offering different variants of pizza along with other food items.
This is helping them in catering to larger target customer segments.
 In addition, the diverse product portfolio of Hanson Pizza Bar and Restaurant is also
helping them in having larger market penetration in a particular segment.
 Another major strength of them is all Australian product. Australian made and produced
products are having higher preferences for the customers. Thus, this will help Hanson
Pizza Bar and Restaurant in having advantages over their global competitors.
 Hanson Pizza Bar and Restaurant is also having dining facilities and thus both the
customers from fast food and dining segments are being targeted by them. This is also
helping them in having advantages over their competitors due to the reason that majority
of the pizza chains are offering only fast food and drive away services.
 Rate of customer retention is also high due to the effective service delivery option for
them. This includes the faster delivery of the food items with proper quality. There are
number of customer reviews being identified in the official website of Hanson Pizza Bar
and Restaurant where major credits are given for the faster delivery. This high level of
customer retention is helping them in maintaining their competitiveness and revenue
stream in the market.
Weaknesses

25HOSPITALITY MANAGEMENT
 One of the major weaknesses being identified for Hanson Pizza Bar and Restaurant is the
lower brand equity compared to the global competitors. This is due to the reason that
Hanson Pizza Bar and Restaurant is operating only in Adelaide as of now. Thus, the
market visibility of their brand is also lower.
 Products of Hanson Pizza Bar and Restaurant are priced at premium over their
competitors. Even though it is helping in generating more profitability, the sales volume
is limited for them in the market. Moreover, the potentiality of new market development
is also lower for Hanson Pizza Bar and Restaurant due to their premium priced products.
 Hanson Pizza Bar and Restaurant is only present in Adelaide and having only one branch
as of now. Thus, their market presence in low compared to the countrywide presence of
the global players. This is also limiting their market potentiality in the current
competitive scenario.
 Hanson Pizza Bar and Restaurant is having lower degree of sustainable business
operations in place. This is due to the reason that their product portfolio is not denoting
any presence of healthier food items or using of sustainable process in the service
delivery. This is also contributing in making them trail in the market behind their major
competitors.
Opportunities
 Entering in the new markets in new states of Australia will increase the market
potentiality for Hanson Pizza Bar and Restaurant. This is due to the reason that there are
number of regions in Australia especially in the Tier II cities, where the leading pizza
brands are not present. Thus, it will be beneficial for Hanson Pizza Bar and Restaurant to
target these markets and increase their business further.

26HOSPITALITY MANAGEMENT
 International market development is another opportunity for Hanson Pizza Bar and
Restaurant. This is due to the reason that developing countries are having huge
opportunities for the pizza brands due to huge market size and lower set of competition.
Thus, Hanson Pizza Bar and Restaurant can gain huge market opportunities by tapping
the potential foreign countries.
 Customers are more conscious about the health and nutritional benefits of the food items
and they are also more aware about the ill impacts of the fast food items. Thus, offering
healthier food items will help Hanson Pizza Bar and Restaurant in having more
opportunities for targeting the new coming of age customers.
 Foraying in different food sectors will further increase the business opportunity for
Hanson Pizza Bar and Restaurant. This is due to the reason that apart from pizza and
Italian cuisines, offering of different other items will increase the target customer
segments for them. Thus the more will be the target customer segments, the more will be
the sales volume for them in their business operation.
Threats
 Increase in the awareness among the customers regarding the ill benefit of the fast food
will further reduce the business for Hanson Pizza Bar and Restaurant. This is due to the
reason that the more will be the awareness among the customers, the less they will
consume, which will further reduce the market potentiality.
 Emergence of economic recession will also have adverse impact on the business of
Hanson Pizza Bar and Restaurant. This is due to the reason that economic recession will
cause reduction in the purchasing power of the customers, which will reduce the business
for Hanson Pizza Bar and Restaurant.

27HOSPITALITY MANAGEMENT
 Emergence of more competitors can also be considered as a threat due to the reason that
increases in the competition will affect the profitability of Hanson Pizza Bar and
Restaurant in the long term.
Recommendations
 It is recommended that Hanson Pizza Bar and Restaurant should initiate both market
penetration and market development strategy in order to enhance their business operation.
This is due to the reason that initiation of the market penetration strategy will help in
covering more customer segments in the existing market while market development
strategy will help in increasing the sales volume by targeting larger market area.
 It is also recommended that Hanson Pizza Bar and Restaurant should initiate more
sustainable approaches in their business operation. This is due to the reason that
sustainable product strategy will help them to target the health conscious population and
will enhance the future business opportunities.
 It is recommended that Hanson Pizza Bar and Restaurant should also initiate product and
service differentiation approach. This is due to the reason that initiation of the
differentiation approach will help them to reduce the intensity of the competition and
customers will also have added value proposition from the service of Hanson Pizza Bar
and Restaurant.
Conclusion
This report concludes that Hanson Pizza Bar and Restaurant is facing a number of
challenges as well as opportunities in their business operation. In addition, I have conducted both
internal and external market analysis for Hanson Pizza Bar and Restaurant to identify the major

28HOSPITALITY MANAGEMENT
factors. This information is gathered from my colleagues and my own experience. The analysis
identified that Hanson Pizza Bar and Restaurant is facing the increased threat of competition in
the market and thus they are having the need for gaining more competitive advantages over their
competitors. In this report, I have also discussed about the systems being practiced in the
organization along with the details of their elements. In accordance to the internal competencies
being identified for Hanson Pizza Bar and Restaurant, a few recommended steps are also being
identified, which will help them in overcoming the business challenges and have more effective
business operation in the long term.

29HOSPITALITY MANAGEMENT
Reference
Blom‐Hansen, J., Houlberg, K. and Serritzlew, S., 2014. Size, democracy, and the economic
costs of running the political system. American Journal of Political Science, 58(4), pp.790-803.
Brijs, B., 2016. Business analysis for business intelligence. Auerbach Publications.
Dibrell, C., Craig, J.B. and Neubaum, D.O., 2014. Linking the formal strategic planning process,
planning flexibility, and innovativeness to firm performance. Journal of Business
Research, 67(9), pp.2000-2007.
E. Dobbs, M., 2014. Guidelines for applying Porter's five forces framework: a set of industry
analysis templates. Competitiveness Review, 24(1), pp.32-45.
Farmer, N. ed., 2013. Trends in packaging of food, beverages and other fast-moving consumer
goods (FMCG): markets, materials and technologies. Elsevier.
Frésard, L. and Valta, P., 2016. How does corporate investment respond to increased entry
threat?. The Review of Corporate Finance Studies, 5(1), pp.1-35.
hansonpizzabar.com.au (2018). Hanson Pizza Bar. [online] Hansonpizzabar.com.au. Available
at: https://hansonpizzabar.com.au/ [Accessed 20 Nov. 2018].
Hansonpizzabar.com.au. (2018). Hanson Pizza Bar. [online] Available at:
https://hansonpizzabar.com.au/ [Accessed 20 Nov. 2018].
Janićijević, N., 2013. The mutual impact of organizational culture and structure. Economic
annals, 58(198), pp.35-60.

30HOSPITALITY MANAGEMENT
Kumar, P., 2015. An Analytical study on Mintzberg’s Framework: Managerial
Roles. International Journal of Research in Management & Business Studies (IJRMBS), 2,
pp.12-18.
Le Blanc, D., 2015. Towards integration at last? The sustainable development goals as a network
of targets. Sustainable Development, 23(3), pp.176-187.
Markus, A., 2014. Attitudes to immigration and cultural diversity in Australia. Journal of
Sociology, 50(1), pp.10-22.
Marshall, S.J., 2013. Evaluating the strategic and leadership challenges of MOOCs. MERLOT
Journal of Online Learning and Teaching, 9(2), pp.216-227.
McMillan, C. and Overall, J., 2016. Wicked problems: turning strategic management upside
down. Journal of Business Strategy, 37(1), pp.34-43.
Minvielle, E., Waelli, M., Sicotte, C. and Kimberly, J.R., 2014. Managing customization in
health care: a framework derived from the services sector literature. Health Policy, 117(2),
pp.216-227.
Mirabeau, L. and Maguire, S., 2014. From autonomous strategic behavior to emergent
strategy. Strategic Management Journal, 35(8), pp.1202-1229.
Norden, L., Roosenboom, P. and Wang, T., 2013. The impact of government intervention in
banks on corporate borrowers’ stock returns. Journal of Financial and Quantitative
Analysis, 48(5), pp.1635-1662.

31HOSPITALITY MANAGEMENT
Palacios-Marqués, D., Soto-Acosta, P. and Merigó, J.M., 2015. Analyzing the effects of
technological, organizational and competition factors on Web knowledge exchange in
SMEs. Telematics and Informatics, 32(1), pp.23-32.
Penrose, E.T., 2017. Foreign Investment and the Growth of the Firm 1. In International
Business (pp. 33-48). Routledge.
Taran, Y., Boer, H. and Lindgren, P., 2015. A business model innovation typology. Decision
Sciences, 46(2), pp.301-331.
weforum.org (2018). The Global Competitiveness Report 2017-2018. [online] World Economic
Forum. Available at: https://www.weforum.org/reports/the-global-competitiveness-report-2017-
2018 [Accessed 20 Nov. 2018].