Case 1A: KFC Philippines

Develop the company profile for the KFC Case Study using the following format:
A. Company Profile
a. Company Objectives
b. Nature of the Business and Products
c. Organizational Structure
d. Area of Concern
e. File Name: SURNAME_KFC_COMPANY PROFILE.doc
Make the necessary assumptions.

You are assigned to conduct a system study on KFC Philippines - Shaw Branch delivery service
process. The study is from the acceptance of customer order by the branch up to the time that the
orders are ready to be dispatched and delivered. The travel time of riders from the store to delivering
the products to the customers is not part of the study. It is uncontrollable and could not be observed by
the researchers. Orders are given by the centralized call center (BPO) of KFC Philippines. The
assignment of customers depends on the area of the customer and the pad area that is included in the
trade area of a branch. On the other hand, the assignments of riders are given through First-In First-Out
basis. This section of the company to be studied, which is focused on the process in a KFC branch, is
headed by the Vice President of Operations. The VP Operations is responsible for handling branch
operations under KFC Philippines, manages multiple operations manager nationwide, and reports to the
companys general manager.
For this study, the branch that was observed is the Shaw Blvd. KFC Branch. KFC Shaw Blvd. is the
largest branch with delivery in terms of sales contribution for all KFC branches nationwide. The sales
contribution for delivery is 55%, for dine-in is 35%, and for take-out is 10%. The sales contribution
gathered are from January to June of 2014. On months, February, April, June, the branch was not able to
meet the 55% quota but on January, March, and May, the branch exceeds the quota, which may
compensate the 1% loss of sales from the months that have unmet quota. Through this study, the
researchers are able to help KFC Philippines with their mission of providing service that is differentiated
and top notch.
KFC Philippines is part of YUM! Brands Inc., U.S.A an International Group based on Louisville.
KFC stands for Kentucky fried Chicken. KFC as a whole is the largest restaurant company in the world in
terms of systems units with over 32,500 branches across the world including the Philippines. The
company envisions themselves to be the most loved fast food serving finger-lickin good food and an
extraordinarily delightful eating experience. As of today, KFC is one of the leading and fastest growing
fast food restaurants in the Philippines with 232 branches nationwide, and is headed by the Chief
Executive Officer who handles other companies not limited to the RAMCAR group. RAMCAR Group of
Companies, a privately held corporation, operates KFC Philippines. KFC boasts one of the most popular
and most delicious fried chicken recipes in the world. KFC Philippines has created a strong foundation
over the years primarily because of its timeless original recipes and outstanding product innovation.

Furthermore, the companys mission is to provide their customers with signature food that excites and
satisfies all senses, as well as to have store branches that are youthful, contemporary, and convenient.
To fulfill the companys goals, the General Manager oversees the strategic planning and direction of KFC
Philippines, and seeks approval from the CEO.
KFC Philippines is also Fast Food Restaurant or Quick Service Restaurant (QSR). Fast Food
Restaurant is characterized by its fast food cuisine and quick service. The food served in fast food
restaurants are usually cooked in bulk and kept hot up until it is served to the customer and is usually
ready for take away in a short amount of time. Fast Food Restaurants are usually a part of a corporation
or franchise operations that provide standards that each of its branches should follow and comply. KFC
Philippines is under RAMCAR Group of Companies.
The company has multiple Operations Managers which reports to the VP of Operations. Each
OM handles 5 Area Coaches, and each Area Coach handles 6 Store Managers. This type of
organizational chart follows a mechanistic structure. It is seen that there is an emphasis on vertical
communication. People assigned to their tasks follow standard procedures. They have to meet the
policies set by the upper level. KFC Philippines uses a territorial type of departmentalization - Operations
Managers handle multiple Area Coaches. Moreover, each Area Coach handles multiple store managers
coming from each branch. This enables the company to organize its subunits territorially. Employees of
the company are expected to follow the core values that emphasize on total customer satisfaction,
accountability and sense of ownership, synergy and teamwork, transformational motivation, and
executional excellence. By adapting this in the work area, KFC Philippines mission of making their
people proud of the past and excited about their future is accomplished.