15OH069 – MARKETING MANAGEMENT

B.E. MECHANICAL ENGINEERING

P.S.G. COLLEGE OF TECHNOLOGY

COMPANY CHOSEN: DOMINO’S PIZZA (GLOBAL)

GROUP-4:

Pericharla Ravi Varma : 18M637

Sri Sahith Uppalapati : 18M647
Avinash Surya Narayanan : 19M901
Boopesh Mohan Raj : 19M902
Palem Sai Nandan Reddy : 18M140
Sai Charan Gudapati : 18M212

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Company Profile:
Year of establishment 1960

Country of incorporation 1995

Operational activity Food chain

Supporting activity N/A

Year when foreign trade begun 1983

Major countries of operation India, U.S.

Total branches world wide 13100

Total number of employees 290000

Net worth (As of 2020) 1.382 billion dollars

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Operating activities are the functions of a business directly related to
providing its goods and/or services to the market. These are the company's core
business activities, such as manufacturing, distributing, marketing, and selling a
product or service.

Selected Product/Company : Domino’s Pizza

Segment: Fast food

Domino’s Pizza is widely regarded as the king of Pizza Companies across the
globe. It is the largest pizza selling company in the world, with over 17000
locations spread across 90 countries. It is an American International food chain
that was founded in 1960 by Tom Monaghan and James Monaghan. There are
4722 franchised stores of Domino’s in the United States itself.
Domino’s Pizza Inc. was incorporated in 2002 and it is established at over
11,900 locations spread over 80 countries across the globe.
The primary product that is developed by the company is pizzas and it is also
involved in producing sandwiches, pasta, chicken products and desert and ice-
creams.
The Two main competitors of Domino’s Pizza in the global industry pizza
industry are American pizza chains Papa John’s and Pizza Hut.

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 Value chain of domino’s pizza

Priorities of respective activities involved

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Domino’s Delivery:

Domino’s has focused on key customer needs throughout the value chain, and
has not allowed any digressions in this area unlike other competitors who have
evolved a mixed model of full service restaurants and takeaway outlets, or a
hybrid combination of both. This has diluted their strengths in the segment
Dominos focuses on - Takeaway / Home delivery. Its global operational model
allows for lean stores, well-trained staff, and flexibility at a country level to
customise menus to suit customer tastes.
Domino's delivers millions of pizza bites each day by relying heavily on
millions of terabytes of data.
Domino’s ability to create value for its customers, capture value for its
shareholders, and share value with its ecosystem centres around its ability to
deliver customers delicious pizza in a convenient and consistent way. Since its
founding in 1960, Domino’s has maintained pizza delivery as core to executing
against this business model and has maintained its leadership position in the
space by continuously investing in, adapting, and improving its operating model.

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Pioneering Strategies:
In recent years, Domino’s has made major advancements in online and mobile
pizza ordering, allowing it to competitively differentiate itself from traditional
pizza rivals such as Papa John’s and Pizza hut as well as smaller mom and pop
shops. One of the most visible consumers facing innovations is the Domino’s
Tracker, which is a visual progress bar that provides customers with real-time
updates on their delivery as it makes its way through the domino’s pizza .

Domino’s Pizza Tracker

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Dominos operations strategy mainly focuses on the providing high
service quality to the customer:
Minimize operations cost: To minimize the operating cost by
improving the efficiencies and process at the stores.

Efficient order taking, production and delivery: To execute an

efficient operational process that includes order taking, pizza
preparation, cooking, boxing, and delivery.

Use of Domino’s PULSE point -of-sale system: Use of Dominos

PULSE system to improve operating efficiencies, provide corporate
management with easy access to financial and marketing data and reduce
time consumption and expenses.

PULSE point-of-sale system

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Product and process innovations: To promote an innovative culture that
increases both quality and efficiency.
Example: believing in team work

A focused menu: To maintain a focused menu that is designed to present an

attractive quality offering to customers, while minimizing order errors, and
expediting the order taking and food preparation processes.

A comprehensive store operations evaluation program: To utilize a

comprehensive store audit program to ensure that stores are meeting both as the
expectations of the customers.

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Intentional Innovation Process:
This is just one example of an innovation Domino’s has implemented in it’s
operating model to maintain its edge in executing its business model. In order to
generate such innovations, Domino’s utilizes the “fast-fail” managerial approach
that is most famously applied in Silicon Valley firms (such as Facebook) to
ensure they are providing innovative products for ever changing consumer
demands. This approach/mantra is an organizational ethos that stems from a
debacle/recovery it experienced when it publicly acknowledged in the late
2000’s that its pizza tasted terribly and that it was doing everything it could to
listen to customers and fix its pizza. The organizational learning from this
experience was that failing often leads to product/process improvements (see
results below) and, therefore, that risks should be embraced.

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Corporate Social Responsibility:
Main objectives of domino’s social responsibility include:
• Providing staff with training and tools to help increase their
awareness and understanding of differences, so their actions can
contribute to our inclusive and high-performing workplace culture

• Facilitating unconscious bias workshops and refreshers for team

members

• Focusing on improving gender equality and outcomes for both women

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A SUSTAINABLE FUTURE
Domino’s has a proud history of supporting sustainable food practices and has
long-standing relationships with large food suppliers across Australia.
Domino’s is committed to support local farming and sustainability initiatives, as
well as meaningful programs that improve the overall impact of our sustainable
food procurement journey. Examples of key areas that the company focus on
include:
•Support for disadvantaged farmers and farming communities

• Recyclable pizza boxes

• Farmer health and wellness

• Improved farming practices that increase yields and efficiencies
Supporting farming research and development

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E-BIKES:
domino’s uses electronic pushbikes to increase efficiencies in delivery times
and reduce impact on the environment. Not only do e-bikes help the
environment, they also reduce noise in the area and provide a fun, safe and
active way for us to deliver pizza to our customers.
electronic pushbikes have been designed and modified for our delivery needs,
ensuring the drivers can safely deliver piping hot pizzas while doing our bit for
the environment.

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RESEARCH & DEVELOPMENT:
METHODOLOGY:
Methodology is the systematic theoretical analysis of the methods applied to a
field of study or the analysis of the body of methods and principles associated
with a branch of knowledge.
OBJECTIVES:
• To Observe satisfaction level at Domino’s and how it can improve its
strategies in future to gain more customer attention.
• Critically analyse The Brand Strength and perception of Domino’s
• Factors influencing the strength of Domino’s.
• To find out areas of improvement in future prospect of Domino’s.
• To spread awareness of Domino’s among the people.
• To Study Consumer Perception of Domino’s
CASE STUDY:
Domino’s commitment to technology is a clear differentiator from its industry
peers. After the company’s stock price bottomed out in 2008, Domino’s boldly
pursued a multi -pronged strategy to initiate a turnaround. In an effort to
rehabilitate their brand, Domino’s announced a new menu and pizza recipe.
Simultaneously, Domino’s began to invest in digital capabilities that would
enable it to deliver their product in innovative ways.
However, in order to execute on these digital innovations, Domino’s first built
out a more robust internal IT function, capable of internally developing these
new digital innovations. As of 2016, approximately half of Domino’s 800
headquarter employees worked in software and analytics. Perhaps most
importantly, executive support for the company’s digital transformation ensured
that the newly empowered IT department and their marketing counterparts were
able to collaborate in a quick, iterative processes.
With this digital foundation in place, Domino’s emerged as a digital pioneer
in the quick serve restaurant (QSR) industry. In 2008, Domino’s “Pizza
Tracker” technology was launched, allowing customers to track the progress
of their online orders via the Domino’s website. Subsequently, in 2011,
Domino’s launched its highly rated iPhone application, further simplifying
the consumer’s path to purchase.
These innovations, when coupled with menu and ingredient changes, quickly
took hold: approximately 25% of the company’s domestic sales were ordered
online or through a handheld device in 2011. As of 2017, this figure had
reached 60%. This early push into digital has not yet subsided.

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More recently, Domino’s became the first company to deliver pizza by drone,
in addition to testing deliveries with autonomous vehicles. While some of
these initiatives could potentially be “gimmicky” endeavours in innovation,
Domino’s commitment to digital has undoubtedly increased value to
consumers by simplifying the barriers to ordering and delivering their pizza.

While these initiatives demonstrate a desire to digitally transform their business,

Domino’s efforts prove particularly effective because they closely align with the
company’s business model. Most notably, as a franchisor, Domino’s provides
centralized services such as supply chain management and IT systems to their
franchisees. Innovations like the Pizza Tracker allowed franchisees to simplify
their operations (e.g., less employee emphasis on taking orders), monitor their
delivery performance, and make incremental improvements.
Similarly, Domino’s proprietary Pulse point-of-sale computer system facilitated
franchisee’s efforts to take customer order and manage inventory. Lastly, to
further simplify the operations of franchisee stores, Domino’s announced the
introduction of an artificial intelligence-enabled “virtual ordering assistant” to
take telephone orders in stores. Together, these digital innovations both help
franchisees operate their franchises more effectively and increase the Domino’s
corporate leverage over their franchisees, thereby justifying the royalties that
they command.

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REFERENCES
• www.projectfactory.info/project/case-study-on-management-operations-
at-dominos-pizza/
• https://digital.hbs.edu/platform-rctom/submission/dominos-pizza-bites-
through-bytes/
• https://www.bartleby.com/essay/Dominos-Pizza-Operations-Process-and-
Information-Needed-F3ZC6N9KRZZA
• https://www.academia.edu/6302197/Operations_Management_Assignme
nt_Dominos_LLC_Operations_Management_Assignment
• https://en.wikipedia.org/wiki/Domino%27sPizza
• https://www.dominos.com.au/about-us/who-we-are/social-responsibility
• https://corporate.dominos.co.uk/corporate-responsibility\
• https://digital.hbs.edu/platform-digit/submission/dominos-pizza-
delivering-innovation-and-profit/

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