Analysis of Pizza Hut Operations and Management: Internship Report

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This report is based on a student's internship experience at Pizza Hut, a global fast-food chain. It provides an overview of the company's background, operational procedures, and the intern's role and achievements during the placement. The report delves into the management skills and qualities required in the hospitality industry, such as commitment, communication, technological proficiency, and leadership. It identifies key workplace issues faced by Pizza Hut, including increased employee turnover, technological changes, and shifting customer preferences. The report also recommends potential solutions, like raising employee salaries and hiring diverse talent to address these challenges. The report concludes that strategic advancements are essential for Pizza Hut to overcome these operational obstacles. This report offers insights into the challenges and opportunities within the fast-food industry and the importance of effective management strategies.
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Tourism and hotel
Internship
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Executive Summary
Tourism and hospitality internship provides major experience in some of the most well
hotels in the world. Hotel and tourism organizations are also facing various problems in
managing their business operations. The Hospitality industry offers a wide of career
opportunities and options from cooking to hosting for running a restaurant chain. In order to be
success in this industry, individuals need to have certain qualities have been required in
employees to manage the roles and responsibilities at Pizza Hut. Increase in growth with hotel
industry has also raised the issues of intense competition between organisation. Hence, the
present report is related to a brief discussion regarding operations that takes place in Pizza Hut. It
can be analysed from the report that there are various operational issues that are generally faced
by the organization, such as, increased employee turnover ratio, constant change in technology,
decrease in overall motivation of the employees, constant change in customer preferences and
presence of intense competition in the market. In order to cope up with these challenges, the
report recommends that it is important for the management to raise salaries of the employees
working in it. It can also hire overseas employees from nations other than EU so that diversified
talent can be made available in the organization. In the end, it can be concluded that effective
strategic advancement by Pizza Hut can help in solving out the issue faced by it.
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TABLE OF CONTENTS
Executive Summary ........................................................................................................................2
1. INTRODUCTION ......................................................................................................................1
TASK 2............................................................................................................................................1
2.1 Organisational background ..............................................................................................1
2.2 Role and achievement during internship placement ........................................................2
Task 3...............................................................................................................................................3
3.1 Management skills and qualities required in hotel industry ............................................3
3.2 Key workplace issues facing Pizza Hut............................................................................5
3.3 Recommended solutions...................................................................................................6
4.0 CONCLUSION 200...................................................................................................................7
REFERENCES................................................................................................................................8
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1. INTRODUCTION
Internship is considered as a time line of work experience offered by an organisation for
its limited period. It is most valuable tool for the scholars to achieve practical experience in their
field of study. Tourism and hospitality internship provides major experience in some of the most
well hotels in the world. Hotel and tourism organizations are also facing various problems in
managing their business operations (Pandey, 2014). There are various aspects of Hospitality and
tourism internship such as operations management, event planning, marketing and customer
service etc. Present report is based on analysis of Pizza Hut which is hospitality sector business
enterprise having its business operations in various industry. Present report will cover the brief
back ground of Pizza Hut and information about its business operations. Further, there are
various have been discussed along with the rewards and achievements which are received during
internship placement. In addition to this, analysis of hotel industry is also done to determine the
management skills and qualities required to perform the job in organisation prevailing in this
industry. Moreover, key workplace problems which Pizza Hut is facing is evaluated and possible
solution to resolve the problems are also recommended in this report.
TASK 2
2.1 Organisational background
Pizza Hut is analysed as the American fast food restaurant chain and franchise that was
incorporated in the year 1958 by two brothers Dan and Frank Carney. Company had established
at small scale with low start up cost of 600 dollars. In the year 1960, organisation stated its
growth on the strength of aggressive marketing of the Pizza restaurants idea. In 1962, the owners
have bought out the interest held by bender and Robert Chisholm joined the organisation as their
treasurer (Putra, Minarsih and Paramita, 2016). In 1966, the number of Pizza huts franchises had
grown to the number of 145 across the US, the company has developed its home office in to
coordinate the business in Wichita. The corporate strategy of organization is also arrived at
growth after much consultation and board debate. The main priority of the corporate strategy is
to raise the sales and profits for the chain. Owners have continued to build a strong financial base
for the company in order to provide adequate financing and growth which was considered as the
second priority of the strategy.
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At present pizza Hut Inc. is the largest restaurant company in the word in terms of both the
number of outlets and percentage of market share are hold by them. The company has its more
than 13000 restaurants and hotels in overseas countries and delivery outlets across the 130
countries across the world. It has main its existence in hotel industry from last 50 years by
providing quality of products and services to their target customers (Kim and Park, 2013).
Quality and freshness of their ingredients and friendly as well as fast customer service has
provided them growth in market. Target market of Pizza hut is identified as Middle class people
across the countries. Their products are mainly popular between youngsters and children,
therefore company has made them as their target customers.
In this context, internship was undertaken in Pizza hut with an aim of getting industry
experience and knowledge of operations management in global restaurant chain.
2.2 Role and achievement during internship placement
Internship has been undertaken by students with an aim to achieve practical knowledge,
skills, abilities and experience of their relevant field. During internship program, I have been
appointed as trainee in Pizza Hut. Main objective behind carrying out internship in pizza hut was
to gain industry experience and analysis of various problems that has been faced by organisation
in market (Matthew, Taylor and Ellis, 2012). I was having the role of running and supervising
shifts etc. . There are various important responsibilities have been provided supervisor that needs
to accomplished for management of operations. Pizza Hut is famous fast food chain and its
management lays more focus on quality of service and proper operations' management in order
to achieve sustain in competitive market.
Along with this, the managers have often provided me the responsibilities of rostering the staff ,
managing the cash till assigning and closing. Management of inventory including the stock take,
maintenance and ordering. Basic workings in the accounting software Xero including
reconciliation of bank statements, processing payrolls of employee etc.
Operations management is area or department of organisation concerned with designing
and controlling the process of production and redesigning business operations in the production
of good and services. During my internship, Sometimes training managers have provided task, to
coordinate with different teams and provided them support in their work. Pizza Hut contains
more than 50 employees in different department of one single outlet and there I was having the
task to monitor and observe the task which are to be performed by employees in operations
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department (Geer, Anast-May and Gurley, 2014). I have also received various responsibilities to
work with the professionals and provide support in manufacturing of products which they serve
to customers. While working in outlets, I have realized that management has created an
environment of open communication with employees so that they work effective and provide
their quality of services to customers. While performing the task, there was requirement to
communicate with employees to learn how the task needs to be done. During the internship, I
had also achieved experience of making weekly deposits of cash sales, overall store management
etc.
As an intern, I have learned to supervise and lead individuals in an operation functional unit of
Pizza (Suh, West and Shin, 2012). I also need to help with implementation of production plan
and managing the completion of production plans. During my internship, I have performed well
and I have also received appreciation from managers along with a reward of best intern. The
most valuable thing which I have learnt was to coordinate with employees and managing work in
peak season time. My performance in the group was also effective as I have provided various
unique ideas which are considered and applied by management to resolve issues. My aim and
objectives behind accomplishment of internship in Pizza hut was also achieved.
Task 3
3.1 Management skills and qualities required in hotel industry
Management is considered as task of getting things done through others and it is essential
for every individual in organisation to have this quality which help them in achievement of
success at workplace. The Hospitality industry offers a wide of career opportunities and options
from cooking to hosting for running a restaurant chain (Wang and Tsai, 2014). In order to be
success in this industry, individuals needs to have certain qualities have been required in
employees to manage the roles and responsibilities at workplace. They also need to have
qualities that consumers expect from them at workplace. In this context, I have also analysed
some important management skills and qualities which are required to work in Pizza hut. Some
of them are as follows: Commitment: In order to management operations and be successful in hospitality
industry, Employee needs to be committed to ensuring customer satisfaction (Martínez-
Ros, and Orfila-Sintes, 2012). In essential for managers to perform the activities which is
required to keep the customers happy and also create repeat business. They need to have
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a strong commitment towards achievement of organisations objectives and meeting the
requirements of customers. Communication skills: The most successful people in hotel industry are those who
posses excellent communication skills. In Pizza Hut, managers needs to communicate
effectively both orally in writings (Boella and Goss-Turner, 2013). It is required for them
to resolve customer and employees problems along with accomplishment of business
activities effectively. Technological skills: A great hotel and restaurant chain employees is required to have
good computer skills. In pizza hut, employees are required to have knowledge about
various important and latest digital technologies which are used by organisation to
provide services to their customers. Employee is required to be families with the wide
range of technological applications that are used within the industry. Enthusiasm: Great employees in the hospitality industry needs to be enthusiastic about
their jobs and strive in order to do the best work as possible. They also need to give their
customers the best experience available (Felisitas and Clotildah, 2012). Interpersonal skills: In Pizza hut, employees needs to have top interpersonal skills
because they also nature of the business is to deliver spectacular customers services.
There are various important business perspective needs to be taken in to consideration by
employees to manage their operations in Pizza hut. Leadership skills: Professionals in Pizza hut needs to have strong leadership skills and
must be able to command the project. They need to have strong influence on business
systems and also aids the employees in performing job effectively. Team work: Successful managers of hospitality sector works effectively and
appropriately with the rules of safety and hygiene because they need to apply it at food
serving places, hotels and the other places where the people spend time. It is also
essential for employees to have strong and effective managerial skills. It mainly provides
them support in accomplishment of task effectively at workplace. They also need to
expand their business activities by performing their job effectively and helps the
organisation in accomplishment of effective business operations.
Problems solving skills: Along with all the qualities, it essential for individuals to
abilities to resolve problems through application of various important business ideas.
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They need to develop effective business strategies that will aids the management in
resolving their business issues and management of business operations effectively in
competitive business environment.
3.2 Key workplace issues facing Pizza Hut
During my internship program in Pizza Hut which is global fast food chain and has its
various retail outlets across the countries. Management is required to operate their business
effectively and need adopt effective business plans which provide them supports in
accomplishment of business activities (Ko, 2012). At the time internship program, I was exposed
by managers in different department such production, operations, marketing, logistics,
supervision and administration. There are various problems have been analysed which
organization is facing and it also provides major influence on their business operations. These
problems are mainly related to profitability and operations of organisation which is most
important aspects of business. Below given are the key issues which are faced by organisation
such as:
Increase in employee turnover: Major problems that is Pizza Hut is facing while running
their operations is increase in employee turnover and shortage of qualified employees at
workplace which helps the organisation in achievement of objectives. In Pizza Hut,
management is more focused on maximizing profits and providing quality of service to
customers at low price (Ruetzler and et.al., 2014). For this, they need to reduce their cost
of operations and production which helps in increasing the profit margin. To accomplish
this aim, they have not provided fair compensation to their employees and also tends to
hire employees at low wages. Decrease in employee wages and welfare facilities have
raised employee turnover of Pizza Hut.
Implementation of new technologies: Increase in technologies up gradation have
provided influence on organisation as they are facing problems in implementation of
those technologies (Davis and et,al., 2018). For application of new machineries and
software for improvement in products and service along with customers service, Pizza
Hut requires more and qualified personnel those who posses the skills to operate those
functions. In UK, Brexit has also become major problems because it has created shortage
of employees. Restriction of government on providing employment to people from EU
nations have provide major influence on cost of operations.
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Decrease in employee motivation: Pizza Hut has global business operations and they
serve almost 45% of people in UK. Employees at workplace are required to manage
workload and provide effective service to customers. Increase in workload has creates
demotivation among the employees. Management is also focused on maximizing profits,
they not provide proper time and facilities to their employees which creates
dissatisfaction among customers. Change in customers preference: Increase in awareness related to safety and consumption
of healthy food has provided major influence on the perception of people towards
consumption of healthy food products (Alon and Wang, 2012). Product of Pizza Huts are
considered as fast food which are not considered as healthy for customers. They tend to
raise the fats and creates obesity which is major recognition. Therefore, people in
countries have changed their perception towards consumption of health products. This
major change in customers perception has provided major influence on the sales and
profitability of organisation in market.
Intense competition: Increase in growth with hotel industry has also raised the issues of
intense competition between organisation. Every organisation aims at maximizing high
profits and market share for which they apply strategies to reduce the market share of
competitors. Pizza Hut also have various competitors in market which tends to provide
substitute products at lowest price to raise the market share. Thus, it can be said that
increase in competition has also provided influence on business operations.
3.3 Recommended solutions
`In order to resolve these are issues, there are various possible solutions can be applied by
organisation. These possible solution will provide them support in accomplishment of business
operations effectively. Management of company needs to concentrate on retention of employees
at workplace by providing them monetary and Non monetary rewards (Ransley and Ingram,
2012). As I have considered in Internship that employees are not getting wages in PIZZA
according to their responsibilities and performance. Due to this, organisation is facing problem
of high employee turnover. To retain employees, it is essential for management to raise the
salaries of employees and develops equality. By increasing salary they will get support in raising
motivation of employees at workplace. In addition, they are also facing issues in application of
new technologies as they don't have highly qualified employees at workplace. In order to reduce
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the problem of employees, Pizza Hut's management can also hire employees from overseas
nations other EU countries. They can also provide them training of their business software so
that they can perform their job effectively.
4.0 CONCLUSION
From this report, it is concluded that internship placement is an important opportunity for
scholars to gain knowledge, skills and experience of relevant industry. There are various I have
achieved while understanding business operations. The Hospitality industry offers a wide of
career opportunities and options from cooking to hosting for running a restaurant chain. In order
to be success in this industry, individuals needs to have certain qualities have been required in
employees to manage the roles and responsibilities at workplace. Successful managers of
hospitality sector works effectively and appropriately with the rules of safety and hygiene
because they need to apply it at food serving places, hotels and the other places where the people
spend time. Major problems that is Pizza Hut is facing while running their operations is increase
in employee turnover and shortage of qualified employees at workplace which helps the
organisation in achievement of objectives. Increase in growth within hotel industry has also
raised the issues of intense competition between organisation. Management of Pizza hut needs to
concentrate on retention of employees at workplace by providing them monetary and Non
monetary rewards.
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Appendix
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REFERENCES
Books and Journals
Alon, I., Ni, L. and Wang, Y., 2012. Examining the determinants of hotel chain expansion
through international franchising. International Journal of Hospitality Management, 31(2),
pp.379-386.
Boella, M. and Goss-Turner, S., 2013. Human resource management in the hospitality industry:
A guide to best practice. Routledge.
Davis, B., Lockwood, A., Alcott, P. and Pantelidis, I.S., 2018. Food and beverage management.
Routledge.
Felisitas, C. and Clotildah, K., 2012. The hospitality and tourism honours degree programme:
Stakeholders perceptions on competencies developed. Journal of Hospitality Management
and Tourism, 3(1), pp.12-22.
Geer, G.C., Anast-May, L. and Gurley, D.K., 2014. Interns Perceptions of Administrative
Internships: Do Principals Provide Internship Activities in Areas They Deem Important?.
International Journal of Educational Leadership Preparation, 9(1), p.n1.
Kim, H.B. and Park, E.J., 2013. The role of social experience in undergraduates’ career
perceptions through internships. Journal of Hospitality, Leisure, Sport & Tourism
Education, 12(1), pp.70-78.
Ko, W.H., 2012. The relationships among professional competence, job satisfaction and career
development confidence for chefs in Taiwan. International Journal of Hospitality
Management, 31(3), pp.1004-1011.
Martínez-Ros, E. and Orfila-Sintes, F., 2012. Training plans, manager's characteristics and
innovation in the accommodation industry. International Journal of Hospitality
Management, 31(3), pp.686-694.
Matthew, S.M., Taylor, R.M. and Ellis, R.A., 2012. Relationships between students’ experiences
of learning in an undergraduate internship programme and new graduates’ experiences of
professional practice. Higher Education, 64(4), pp.529-542.
Pandey, P., 2014. Organisational culture-a root to prosperity. Management Insight, 10(1).
Putra, C.A., Minarsih, M.M. and Paramita, P.D., 2016. EFFECT OF HUMAN
RELATIONSHIP, COMPENSATION AND ORGANIZATION COMMITMENT ON
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THE JOB SATISFACTION IN" PIZZA HUT" SEMARANG. Journal of Management,
2(2).
Ransley, J. and Ingram, H., 2012. Developing hospitality properties and facilities. Routledge.
Ruetzler, T., Baker, W., Reynolds, D., Taylor, J. and Allen, B., 2014. Perceptions of technical
skills required for successful management in the hospitality industry—An exploratory
study using conjoint analysis. International Journal of Hospitality Management, 39,
pp.157-164.
Suh, E., West, J.J. and Shin, J., 2012. Important competency requirements for managers in the
hospitality industry. Journal of hospitality, leisure, sport & tourism education, 11(2),
pp.101-112.
Wang, Y.F. and Tsai, C.T., 2014. Employability of hospitality graduates: Student and industry
perspectives. Journal of Hospitality & Tourism Education, 26(3), pp.125-135.
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