UNIVERSITY OF PUNJAB

PROJECT
SECTOR: FAST FOOD
ORGANIZATIONS: KFC AND FRI-CHIKS
 DIMENSIONS:
 ORGNAIZATION GOALS
 ORGANIZATION STRUCTURE
 TECHNOLOGY
 ENVIRONMENT
 EMPLOYEE MOTIVATION
 COMMUNICATION
 LEADERSHIP STYLE
 POLICIES/PROCEDURES/RULES/STANDARDS
 JOB DESIGN
 ORGANIZATIONAL CLIMATE

HISTORY:

HISTORY OF KFC:
KFC was founded by Colonel Harland Sanders, an entrepreneur who began selling fried chicken
from his roadside restaurant in Corbin, Kentucky, during the Great Depression. Sanders
identified the potential of the restaurant franchising concept, and the first "Kentucky Fried
Chicken" franchise opened in Utah in 1952.

HISTORY OF FRI-CHIKS:
Rana Akhtar Mahmood is a successful businessman based owning fast food chain Fri Chiks and
a running superstore named Rahim Store.

• MISSION:

Fri chiks' mission is to strive to redefine our customers' experience by achieving ever higher
standards of quality and customer care.

• VISION:

To have a positive influence on all who come in contact with FRI-CHIKS.

ORGANIZATIONAL GOALS :

ORGANIZATIONAL GOALS OF KFC

Q. WHO FORMULATES ORGANIZATION GOALS OF KFC?

The top management formulates the organizational goals of KFC.

Q. WHAT ARE THE ORGANIZATIONAL GOALS OF KFC?

1st goal is to make 100 restaurant of KFC by the end of the year 2019 .Build an organization
dedicated to excellence. Consistently deliver superior quality and value in our products and
services. Maintain a commitment to innovation for continuous improvement and grow striving
always to be the leader in the market place changes. Generate consistently superior financial
returns and benefit our owner and employees.

Q. Who formulates departmental goals of KFC?

Each department form and align their own goals according to their broader goals.

Quality control Department:

Quality control is a process by which entities review the quality of all factors involved in
production. This approach places an emphasis on three aspects. Control elements such as
controls, job management, defined and well managed processes, performance and integrity
criteria, and identification of records. Also control competence in knowledge, skills, experience,
and qualifications. And inspect elements, such as personnel integrity, confidence, organizational
culture, motivation, team spirit, and quality relationships.

Finance an Account Department:

Finance an Account Department Involved in making a financial record of business

transactions and in the preparation of statements concerning the assets, liabilities, and operating
results of a business. The financial report will be report by assistant account report to the senior
accountant.

Marketing department:

Marketing department is to advertise its product in the market and keep eye on competitors
that what they are doing

Business development:

Business development function is to plan and execute effective development and investment in
acquiring profitable returns for short term or long term gains.

Human resources and admin:

Human resources and admin is conduct on personnel management and implying that personnel
managers should not merely handle recruitment, pay, and discharging, but should maximize the
use of an organization’s human resources. Or in the other word is to describe formal systems
devised for the management of people within an organization. Training department is
connected to Human resource management department responsibilities can be broadly classified
by individual, organizational, and career areas. Since the HRM department or manager is
charged with managing the productivity and development of workers at all levels, human
resource personnel should have access and the support to make decision makers. In addition, the
Human Resources department should be situated in such a way that it is able to effectively
communicate with all areas of the company. In a larger organization such as a corporation or
limited liability company, a more defined structure must be utilized, as decisions have to be
made about the delegation of various tasks. As a result, management procedures and structure are
established to assign responsibilities for essential functions. These decisions and procedures
determine the organizational structure within the organization.

ORGANIZATIONAL GOALS OF FRI-CHIKS:

Q.WHO FORMULATES THE ORGANIZATIONAL GOALS OF FRI-CHIKS?

HR head formulates the organizational goals of fri-chiks.

Q. WHAT ARE THE ORGANIZATIONAL GOALS OF FRI-CHIKS?

FRI-CHICKS goal is to open 4 restaurants in Lahore by 2020. Work for the betterment of
organization.
Q. WHAT ARE THE DEPARTMENTAL GOALS OF FRI-CHIKS?

From each department a leader is selected to organize their goals of departments according to
their broader goals .

HR department:

The key functions an HR department include labor law compliance, recruiting, staff training and
development, payroll, record keeping and employee relations.
Training and development :
Training and development came under HR which train their employees after recruiting them
about every possible situation
Sales & promotion department:
Advertising, promotions, and marketing managers typically do the following: Work
with department heads or staff to discuss topics such as budgets and contracts, marketing plans,
and the selection of advertising media. Plan advertising and promotional campaigns.
Inventory department:

Inventory Managers oversee the inventory levels of businesses. They lead a team of inventory or
warehouse employees to receive and record new stock as its delivered and shipped out. Their
duties include recording daily deliveries, evaluating new shipments, and analyzing different
suppliers.

Quality control(Accounting department):

Quality departments, such as Quality Control (QC) or Quality Assurance (QA) cannot
inspect quality into the product. The Quality Departments exist as an audit function within the
manufacturing and packaging areas. NOW Quality staff is also involved in: Internal audits to
verify compliance to regulations.

TECHNOLOGY

TECHNOLOGY OF KFC:
Q. WHAT TYPE OF TECHNOLOGY KFC USES?

Learning portal, Networking, Digitalization, QR scanning (through this promotion), Timely

feedbacks through internet , media like fb ,twitter etc.
Q. WHAT IS THE IMPACT OF TECHNOLOGY ON KFC?

Technology has great impact on KFC as everything is online which saves time as well as
promote sales

TECHNOLOGY OF FRI-CHIKS:
Q. WHAT TYPE OF TECHNOLOGY FRI-CHIKS USE?

Not adopting technology very fast but nearly in 2020 they are launching an app with the
collaboration of careem. And they are also working on online customer feedback.

Q. WHAT IS THE IMPACT OF TECHNOLOGY ON FRI-CHIKS?

Currently there is no impact of technology as they are not getting benefit from technology but in
future they have plans for the usage of technology which in results work for the betterment of
organization.

CEO

COO

Head of Head of
North Central
 Head
of
South

Area
Coaches

Regional General Manager

Quality control
HR Marketing Finance
Supply chain

Business development

Manager

Assistan
t
KFC is centralized as all the decisions are pre documented and taken at upper level of
manage
organization
S u p p or t
without any involvement at lower level. A new deal is launched in the market with
a g re e m e nt of all the heads of department. Head of department discuss the objectives with their
teasmta.ffHave a team environment in units where everyone works together. Hence from this we
can also conclude that MBO approach is used by KFC management. The core concept of which
is planning, which means that an organization and its members are not merely reacting to events
and problems but are instead being proactive. MBO requires that employees set measurable
personal goals based upon the organizational goals

Effective:
The structure is helpful for the organization as it supports future goals.
Communication within teams:
KFC has teams with in the department and there are cross functional teams. Communication is
channeled as mostly departments communicate in formal meetings e.g. in regional meetings.
These meetings provide opportunities to share ideas among each other and also provide an
insight what others are doing.
Q. How is your organogram and how is it effective for your organization?

Q. How all the functions are interrelated?

Q. Enhance growth by their hierarchy

Organizational structure of fri-chiks

How is your organogram

CEO

Country Head
 Branch manager

Manager

Assistant
Manager

Supervisor

Support staff

Fri-chiks is very much formalized. All jobs have certain specifications which are mandatory to
be fulfilled by the job person. There are strict, specific and pre-set rules for every action of the
crew member from welcoming the customer to taking orders, serving, re-checking and departing.
From cutting to cooking, cleaning etc. Fri-chick is very much work specialized. They have
specific crew members to do specific jobs. They follow Functional Departmentalization. Their
management hierarchy comes into form by putting together similar specialties and people with
common skills, knowledge, and orientations. Such as human resource management, training
institute, quality control, IT, sales and promotion.

The chain of command flows from the higher officials to lower staff members such as restaurant
manager instructs assistant manager who in turn orders his supervisor. Fri-chicks is very much
formalized. All jobs have certain specifications which are mandatory to be fulfilled by the job
person. There are strict, specific and pre-set rules for every action of the crew member from
welcoming the customer to taking orders, serving, re-checking and departing. From cutting to
cooking, cleaning etc.

Leadership style KFC:

Where do the great ideas come form in your organization?

Ideas can come from anyone and are welcomed. Although we cannot bring innovation in our
products but can discover new ways to promote our products. There are two projects in central
on which KFC is working and promotes female diversity.

KFC took the initiative to include an all-women team lead and manage at packages mall. The
second project is introducing their project Female Riders Program, carrying a fleet of female
riders in Lahore allotted with custom bikes and delivery training, the project surely comes across
as breaking stereotypes by introducing female delivery riders something that was never seen in
Pakistan before

What are the qualities of a leader?

Learning and development are the two basic qualities of a leader.

What is the leadership style your organization constitute?

Effective leaders must adjust the leadership style to various situations. In that sense, there is no
one leadership style is appropriate for every occasion or situation. The most effective style to use
depends upon the situation and whether the group members are willing and able to take on the
responsibility. To be effective as a leader, it’s important to know your group in terms of
knowledge, ability, desire and willingness, and be ready to adapt your style to suit the dynamic
environment.

How do you track/evaluate the performance of your employees and motivate your team

Through Performance Management systems we track and monitor the performance of individual
employees, departments, and the organization overall.

The employees are motivated because they have very well defined jobs and they know how to
develop themselves. If a vacancy is vacant instead of looking from outside we prefer to promote
our employees. 60% vacancies are filled through promotion of employees while 40% people are
hired from outside. If they want to reach up to certain level the employees know what they need
to do to achieve that position. Majority of the managers working were a part of lower staff
before.

Leadership style at Fri-chiks:

Where do the great ideas come form in your organization?

There are brand meeting at the end of every month where everyone is welcome to share their
ideas. Their ideas are very much encouraged and we do consider those ideas.

How do you track/evaluate the performance of your employees and motivate your team?
For every support staff team we have a team leader who evaluates the performance of the staff.
The leader keeps a check on their performance on daily basis such as if they are on time, do they
take their work responsibly. On the basis of it they reward their employees and keep them
motivated.

Environment

KFC: What are your suppliers? He said that it’s a confidential question, I cannot answer it.
What are your competitors? As of customer’s perception our competitor is McDonalds. But our
product line is just fried chicken but McDonald’s is offering variety of products . McDonalds,
burger king and Hardees are our competitors. What are external factors that impact your
organization? Different conditional factors affect our organization. Whenever the climate
change, it impacts on our sales. But we do proper planning how to coup up with that. We offer
home delivery to our customers so it gets manage. How do your organization forecast
environment? Every department is responsible for predicting environmental changes. Sale
trend will change in summer vacations. We will develop kids’ meal, we plan activities to engage
students. What are internal factors that impact your organization? Sometimes our internal
environment become challenging like equipment’s problem but it has a slightly impact on
organizational working. How do you assess environmental changes? There is a proper
department which asses where is the problem, we took different measurements which things
need to be changed. We do proper forecasting. What are the causes of conflicts in an
organization? Where there are people conflicts generate. How do you handle the conflicts? WE
TRAINED OUR subordinates staff how to deal with people. They can approach to HR manager to
resolve the issue but we trained our employees in such a way to lead their team together.

Fri Chiks:
What are your suppliers? He said that K&NS, Coke, Dawn, are our permanent suppliers. What is the
impact if they change their prices? He said that we purchased in bulk and they are very sincere with us.
Their vendors approach them first when promotions and discounts given by company to ask them what
is your requirement. The vendors already known when the prices fluctuate. When the prices or Big coke
rises they told us before it happened. And we purchased in bulk. What are your competitors? Our
competitors are Big MAN, AFC. How do your organization forecast? We do not do forecasting because
our 40% customers are our regular customers. How do you assess environmental changes? We do not
say anything because we are not still online, we are still relying on Facebook but it is also slow. Our 40%
customers are our regular customers. After 2020 we will start to be active on social media. What are
internal factors that impact your organization? He said that what sort of internal factors you are asking?
I asked about the conflicts among employees? He said that still nothing has happened like this. We
trained our employees and if in case it happened then they report to supervisor. If supervisor is not able
to solve then it goes to manager and then to branch manager. Every department has a leader who is
responsible for a peaceful environment.

Job Designs:

KFC:
Who designs job in their organization? Support staff Job description. HR personnel and the manager of
the specific department. We just publish a job add. Respondents initial interview conducted. Then
conducted selected pool realistic job preview. The people who passed on we conducted final interview
of them and select them.

FRI CHIKS
Who designs job in their organization? He said that HR designs job in our organization. The job of HR
designs by the country head. What is the process of recruitment and selection in your organization?
Anyone who hired on any post we take him as a zero and give him a relief of one month to do work on
his own end. After that we trained him.

Communication
Communication in any organization is an important tool. It is something which helps the
manager to perform the basic tasks of management. According to KFC manager, KFC cannot
tolerate on customer behavior. If customer says that our meal is not fresh or something else
then we will replace it without any argue. KFC conduct training sessions for their staff, in which
their employees learn how to behave with customer and how to handle the situation if
customer is not satisfy with their services. Both outside and inside communication is important.
In outside communication, KFC communicate with their customers through different channels
like Electronic media, billboards, streamers, advertisement on social media and SMS marketing.
Inside communication includes behavior of customers like different customers have different
languages, cultures, religion, social class etc. Some Customers give their order in English, Urdu
and some in Punjabi too. So KFC train their staff to talk in same language as customer do. Point
of Fri-chicks about communication was that, don’t ever ignore your customer. If you think your
customer is wrong and he/she is showing inappropriate behavior then treat them in a positive
manner and don’t misbehave with them. Fri-chicks get timely feedback e.g. Both written and
online feedback, about their staff behavior and attitude because they think that customer
feedback is the best way to get to know the reviews of customers about their organization.

Questions:
 1. What communication style u adopt among your workforce and customers ?
2. How would you describe good and effective communication ?
3. Can culture, gender, nationality, religion and social class have an effect on
your communication style ?

Policies & procedures

Every organization have policies and procedure that meet their standards. KFC have policy
about their employees absentees like if an employee have an emergency and he/she want
leave then they have to follow the SOP’s set by organization. KFC make collaboration with
banks that refer their employees to try KFC meals on discount. Recently KFC conduct a survey
with the name of “Great place to work” to get more response towards their organization. In
KFC, Country head makes policies and set procedures after the approval of CEO and then HR
personnel review that Policies and take leadership team in a loop to implement that policies. In
terms of Fri-chiks, they hire employees for specific purpose like if one employee is hired for a
job then he/she will do only those task related to job, not those task that will irrelevant to job.
Same as KFC, Country head makes policies in Fri-chiks and also responsible for compliance with
policies.

Questions:
1. What policies and procedure you have that make your organization better than others ?
2. How are new policies developed ?
3. Who is responsible for compliance with policies ?

KFC

EMPLOYEE MOTIVATION:

Q. How do you motivate your employees?

He replied we motivate employees by intrinsic motivation for example we motivate employees

by giving them internal confidence and satisfaction that it is a ‘great place to work' by this an
employee feel motivated and fully engaged in work. We also motivate employees by extrinsic
motivation for example motivate employees by giving them bonuses. And employees are also
motivated by rewarding on monetary basis. For example, we organized a party or an award
ceremony for those employees that performed really well for the organization. Apart from this
different activities and challenging games are arranged named as inter store competition and the
person who wins this competition a trip is arranged for him like a trip to UAE. Motivation has a
positive effect on employees work. For example when you motivate an employee in return you
also want something from him in a productive way. KFC Pakistan take an initiative, it celebrates
employee birthday in which an employee meal voucher is given to him free of cost with whole
family and we have positive results of this initiative.

Q. If an employee is not motivating then what will you do?

We have a training department in which the problem is asked from the employees and related
issues to it also asked. An employee is trained in training department to overcome the problem
and in this way the problem is resolved.

Q. How much employees motivation is necessary?

He told us according to me employees motivation is 100% necessary because for an organization

progress employees should motivate.

FRI CHICKS

EMPLOYEE MOTIVATION

Q. How do you motivate your employees?

He told us, we motivate our employees by giving them incentives, bonuses , salary on time and
also provide our employees with basic needs like medical cards free of cost.

Q. If an employee is not motivating then what will you do?

We have a training department. The problem is discussed, proper counseling is provided and an
employee is trained to overcome the problem. We organized a meeting at the end of the month
in which leaders of every department discussed problems about motivation of the employees.

Q. How much an employee motivation is necessary?

Employee motivation is very necessary because it leads to organizational success. Employees do

their work for the betterment of the organization and it is only possible when they are motivated.

KFC

RECOMMENDATIONS:

KFC should focus on competitors products. For example McDonald's different varieties of
products but the main focus of KFC is chicken.

KFC should organize its hierarchy simple.

FRI CHIKS

RECOMMENDATIONS:

More use of social media to attract more customers.

Proper advertising of Fri chiks because it has limited promotion adds.