UNIVERSITI KUALA LUMPUR BUSINESS SCHOOL

MPU3242 INNOVATION MANAGEMENT

BUSINESS PLAN EVALUATION – REPORT

NO. NAME MATRIC NUMBER

1 ARIFF AQMAR BIN AZIZAN 62212121092

2. NUR DAMIA ATYIERAH BINTI ASHNIZAL 62212121091

3. NURIN HIDAYAH HAZIQAH BINTI ABDUL KARIM 62212121437

4. NUR AMIRAH SYAHIRAH BINTI SABARUDDIN 62212121684

5. NUR ARIENA BINTI MOHD ADNAN 62211121056

6. NOR ASTIANA NINGSIH FADILAH BINTI FATDILLAH 62212121055

7. NURIN QISTINA BINTI DAING MUHAMAD FIRDAUS 62212221207

8. HUSNA AMNANI BINTI YOSNIZAM 62212121708

GROUP
AE 10

PREPARED FOR
MDM HADEZAH AMIT

M
 DATE OF SUBMISSION
17 Jan 2023
TABLE OF CONTENTS

2.1 KEY PARTNERSHIP 7

2.3 DISTRIBUTION CHANNELS 10

REFERENCES 22

APPENDIX 23

2
SECTION 1

INTRODUCTION

It all began in 1952 in San Antonio, Texas. George W. Church Sr., a retired incubator
salesman with over 20 years of experience in the farming industry, had the idea to serve
freshly cooked, high-quality fried chicken at a time when only hot dogs and ice cream were
marketed as fast food. Church reasoned that the food service business would need to modify
its strategy to capitalise on the opportunities presented by population growth and increased
mobility. Church believed he could offer his product economically at a cheap price and with a
more effective use of capital and labour by ignoring the restaurant industry's prevalent
mindset of the time. The original "Church's Fried Chicken” to Go was located across the
street from the Alamo in downtown San Antonio. The main item sold at the restaurant was
fried chicken. In 1955, Church added French fries and jalapeos to its menu. Four Church's
restaurants were open at the time of George Church's death in 1956, proving the success of
his plan. Other family members joined the firm, and by 1962 the San Antonio chain had
expanded to eight locations.
Restaurant menu and fast food ordering interactive self-service kiosks are also gaining
popularity since the past 4–5 years, and they are now a common sight at restaurants, fast food
outlets, and food courts all across the GCC. Not only in Dubai, UAE, but also everywhere
else in the GCC, these kiosks can be found. Nearly one hundred ninety-nine percent of
restaurant menu and food ordering kiosks only accept credit or debit cards as forms of
payment. Users like these kiosks because they enable them to bypass lengthy lines. In
addition to that, the interactive self-service kiosks give you more freedom to choose from the
menu, with simple access to the entire menu and no pressure from the people who are waiting
in line behind you.
In the Food & Beverage industry (F&B), self-kiosk service, to make it simply,
hardware and software components of interactive self-service kiosks must perform tasks
together to create a satisfying customer experience. It makes customers are able to purchase
their fast food even more quickly, which is also more convenient for them, and more
accurately, because they can see exactly what they are ordering. Like their competitors,
McDonald’s. McDonald's prioritises the customer experience. However, kiosks also offer a
cost advantage because they do not require employees. Texas Chicken must invest in the
self-service kiosk to improve customer service as a result of the invention.

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 Nowadays, due to low pay when compared to the amount of work that must be
completed, the shortage of manpower is increasing. Therefore, to overcome the problem,
Texas Chicken's self-service kiosk was created to improve convenience and reduce customer
complaints. It is able to place an order in less than five minutes by following a few simple
steps, which automatically improves the productivity. First, place your order. Second,
customize your order. Third, make a payment and the last pick up your order at the cashier.

Each innovation's features and benefits will be measured and emphasised to determine
its potential, such as the self-service kiosk designed to assist customers in getting their meals
in a regular basis and with a simplified ordering process. Moreover, this revolutionary
product can help consumers save money and time. There is no longer a need to wait in a big
line, which increases great customer experience.

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SECTION 2

2.0 PRODUCT/SERVICES/PROCESS

Self-service kiosks offer numerous advantages, especially to the F&B industry. In

service, it ensure order accuracy and speed to the Texas Chicken. Besides, the self-service
kiosks enabled Texas Chicken to entirely transform the customer experience, reduce wait
times significantly, and increase the quantity of orders their restaurants could complete.
Additionally, by directing customers to self-service kiosks, they were able to relocate staff
from behind the counter, increase restaurant space, and massively reduce the amount of cash
handled on-site as customers naturally changed to card and contactless payments, especially
during the Covid-19 pandemic.

In the meantime, the advantage of using self-service kiosks for Texas Chicken's
services which are improve customers service. The F&B industry is struggling with a
shortage of manpower, but self-service kiosks are helping to solve the issue. It makes Texas
Chicken more affordable and minimizes customer complaints. This is due to the fact that
customers may purchase their meals in less than five minutes, and they can also browse the
menu of Texas Chicken without feeling pressured. Due to the fact that Texas Chicken
implements the idea of "free refill beverages" with every transaction, it is expected that this
would result in an increase in the company's net profit.

There are four steps how to order using the self-service kiosk which are:
1. Place your order
Customers can explore the menu to select their desired meals.
2. Customize your order
Customers have the option to make any changes to their meals at this point. For
instance, we can change the portion size from regular to large, change the type of
drink, and make simple request which is choose whether we would like to add on or
removed the ingredients.
3. Make a payment
This kiosk gives us the choice of paying with a debit card or an online transfer.
Moreover, if neither of these choices are available, Texas Chicken accepts cash
payments and we need to pay at the cashier.

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 4. Collect your order at the cashier
When your number on the order appears on the screen, the food is ready.

Because of this innovation, one of the main characteristics of self-service kiosks is

their effectiveness. Because many fundamental customer services may now be performed by
machines, a single self-service kiosk can frequently handle the volume of customers that a
single staff could not possibly manage. It is able to overcome a shortage of employees which
is the major challenge facing the food and beverage industry. In addition, they are able to
substitute their employees in the kitchen so that they may assist in the preparation of the
meals, particularly during busy hours.

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2.1 KEY PARTNERSHIP

Business model canvas (BMC) is a one page summary that describes the level strategic
details that we needed to get our business successfully market and the key partner is one of
main things in business model canvas (BMC). Key partners is a relationship that we simply
have with a different business, non-consumer entities or government that can help our
business model work. These parts can be the relationship that our company has with our
supplier, business partner, manufactures and others. This is a partnership that we will
undoubtedly create that will be forced to help our business in areas that would be inefficient
for us to do on our own. There are 4 type of partnership in key partners which is :-

● Strategic alliance between the non-competitors

● Coopetition
● Joint venture to create a new business
● Buyers-supplier relationship

The current key partners of Texas chicken are with the supplier for the raw materials, supplier
of Coca-Cola company and Nestle company. The innovation that we want to improve for the
Texas Chicken is the Self service Kiosk. A self service kiosk is an interactive touchscreen or
a kind of tablet computer that will allow the customer to access information or the service
without the direct interaction with the employees. The implementation of the self service
kiosk allows a business to improve the business more quickly, more efficiently and at the
same time can reduce the costs. The customer can order through the self-service kiosk
machine which is faster than others at the counter, after choosing the food we can pay using
scan or card payment since nowadays almost all types of business use a cashless method.
Using the Self Service Kiosk can make the order faster and the employee can start focusing
on creating the food to serve to the customer. The Texas Chicken Malaysia can improve their
service by doing the self service kiosk and the company that can supply the Self service kiosk
for them is “IT GUIDANCE SDN BHD” which is a software company, the location is at
Bangsar, Kuala Lumpur.

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Figure 2.1: Supplies Self Kiosk machine “IT GUIDANCE SDN BHD”

FIgure 2.1: Self Service Kiosk machine from the supplier

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2.2 KEY RESOURCES

A business model canvas requires most of the company's assets. They generate client
value and income for the company. Physical, human, intellectual, and financial
resources are examples. Unique approach vital resources may enable our organisation
to compete with competition. We found important resources to outperform
competitors.

2.1.0 Physical Resources.

We require a device similar to a deep fryer in order to fry chicken until it is
perfectly crispy, as well as a food warmer, in order to ensure that the chicken's
quality remains at its highest possible level when it is being served to
customers. Texas Chicken requires a self kiosk system in order to improve the
whole productivity of their business, which begins with the procurement of
raw materials and continues with the delivery of their products to end users.
Instead of using a traditional record, we might use this system to help us
service customers more quickly, manage our inventory and cash flow more
efficiently, and prevent the loss of important company data. Without a shadow
of a doubt, we have access to all of the information and data we need,
whenever and whenever we need it, in order to monitor the success of the
firm.

2.1.1 Human Resources

We are going to need human resources in order to ensure that the company
runs efficiently throughout the day. Cooking and serving are both jobs that
require a great level of expertise from their employees. The chicken fryer
cookers, waiters, sauciers, cashiers, and delivery girls should all be able to
accomplish the necessary tasks in order to fulfil the requirements set forth by
the customers. As workers, we need to make it a priority to attend as many
classes and training sessions as possible in order to hone our abilities in
managing business. As an illustration, a class on the safe handling of food, a
class on cooking, and a class on communication.

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2.3 DISTRIBUTION CHANNELS

The distribution channel is a part of Business Model Canvas which is BMC. The
distribution channel is a network of a business or the intermediaries that through creating a
product until the product reaches the customer or the end consumer. The distribution channel
can include wholesalers, distributors, retailers and the internet. Basically, this is a part of a
downstream process that answers the question of “how do we get the product to the
customers?” and “who are our suppliers?”.For the Texas chicken there are 2 distribution
channels that they currently have, for the first one is the supplier that provides the raw
materials will deliver the item to the Texas chicken distribution centre for checking the
product before delivery to the Texas chicken store and after that the Texas chicken will sell
the product to the customer. For the second channel, suppliers from the Coca-Cola and
Nestle, which is also of Co-branding with the Texas chicken, will send their product to the
Texas chicken distribution centre and also for checking before they deliver to the Texas
chicken store to sell to the customer. The Texas chicken uses an Indirect type of distribution
channel that allows the customer to buy the product from the retailer before reaching the
customer's hand.

Figure 2.3 Distribution Channel About The Product.

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 In our opinion, Texas Chicken can innovate their business by adding the self service
kiosk, this is essentially a type of device that allows a customer to interact directly with the
company or business. The most common example is purchasing the product at the counter
and waiting for the order to be ready. But with the self-service kiosk we simply approach the
machine and pay at the kiosk using an online banking or credit/debit card and you will
receive your receipt and just wait at your tablet and the staff will deliver the food. The
innovation is so convenient that we don't need to wait in line or ask for assistance. Nowadays
the self service kiosks are also widely distributed to quick pay restaurants where the intended
goal is to make the ordering process faster. Texas Chicken Company can improve their
business by adding the new supplier self service kiosk which is the “IT GUIDANCE SDN
BHD” as their supplier for the machine so that they will install the machine at all the outlets
around Malaysia. Texas Chicken can use the Self service kiosk to further expedite the buying
and selling process. Buying through the self service kiosk will facilitate the customer and can
reduce the period which was previously that the Texas Chicken ordering system took a lot of
time to buy using the counter in the store. The current Texas chicken sells their product using
the front counter and took a very long time to order and very long to line up and the
suggestion is in order to sell the product faster the Texas chicken can add the self service
kiosk. It will make it easier for the customers to buy without having to queue long at the
store. Texas Chicken can promote their business using an influencer to market their product
using the self service kiosk machine so that the people will know about the Texas Chicken
having the self service kiosk and the customer doesn't need to wait very long.

Figure 2.3 Distribution Channel About New Services

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2.4 MARKETING STRATEGY/PLAN

Process

The advent of kiosks has revolutionised the way people order goods and services.
Kiosks are automated machines that allow customers to quickly and easily purchase items
without the need for a human cashier. This technology has made it easier for people to order
items without having to wait in line or interact with a salesperson. Kiosks are becoming
increasingly popular in many different industries. We have a kiosk in front of the restaurant to
make it simple for customers to make purchases. Customers may easily order and select the
meal they desire due to the kiosk. Customers can still use a debit or credit card and qr pay and
scan at the kiosk to complete their transactions. In front of the counter, cash payments can
also be made by customers. The use of this technique can help decrease the workload on
employees and make a systematic rotation system possible.

Promotion

Texas Chicken will now constantly use social media advertising to attract new
customers, including Facebook ads, YouTube commercials, and other social media platforms.
One of the best instruments for promoting any company or service has been proven to be
social networking. Most people have personal social media accounts where they can view
advertisements and probably buy the Texas chicken menu after they see the ads. Since an
e-commerce platform is currently the most excellent way to promote, Texas Chicken will use
the website to provide extra information about Texas Chicken foods, sponsored reviews, and
other choices to boost customer recognition of the Texas Chicken brand. The company will
collaborate with social media influencers from each platform to promote the brand and
persuade consumers to buy menus from Texas Chicken rather than another brand.

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People

It essentially takes a strategic approach to your target market and figuring out how you can
increase production and beat the competition. In order to attract and keeping devoted
consumers, it involves knowing what your customers' requirements and wants are, defining
goals, and evaluating your customer service levels. Customers of all ages, from youngsters to
seniors, should be targeted by Texas chicken. Making a kid’s lunch that includes toy gifts can
make the kids more engaged and persuade their parents to buy Texas chicken it is an effort to
stimulate their interest in purchasing from Texas Chicken. Texas chicken must ensure that the
takeaway menu package is user-friendly in order to attract customers.

Action plan and control

● Enhance your customer service

Enhance your customer service by providing consumers with access to a kiosk, a website, or
QR codes. You may let the customers take control of the ordering process and choose the
speed. Wait times can be reduced by paying the bills online. Additionally, Texas chicken also
can use this method which is a pager system. Many restaurants use a pager system to create a
virtual line of waiting patrons. When a table is available, handheld tools vibrate. However,
waitlist systems powered by smartphones advance the technology. Customers can use an app
to monitor wait times, join the line, and track its progress over time.

● Increasing the quality

Customers can use the Texas Chicken app on their phones, which has a complaint box, to
submit complaints. With the help of this tool, Texas Chicken is better able to keep track of
issues at every one of its outlets and take appropriate action to address any difficulties that
customers may have. Customers will see from this action that Texas Chicken cares about
their satisfaction and the quality of its food. Texas Chicken will take note of the problem and
make every effort to fix any problems with its service.

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2.5 CUSTOMER RELATIONSHIP

Customer relations are the strategies a business uses to interact with its clients and
enhance the client experience. This includes proactively developing long-term solutions that
are focused on client success as well as responding to immediate barriers. Every time a
customer interacts with a business, they should have a positive experience that leaves them
with a positive opinion of the company. Customers and the company have mutual respect for
one another and an understanding that lasts for a very long time. The long-term success of a
firm depends on developing a working connection with its clients. Customers feel more safe
and connected with brands when there is a strong relationship built on trust and open
communication. This connection can also increase customer retention and your rate of repeat
business. So our company, Texas Chicken, wants to do a self- service kiosk. At Texas
Chicken, we will be able to build the customer relationship by using a self-service kiosk.

First and foremost, faster service by having them merely glance at the menu of texas
chicken at the kiosk as everything is displayed on the screen there and they don't need to ask
the cashier for a menu pamphlet of texas chicken. Self-service kiosks offer quicker assistance
and checkout than conventional counter operation options. When approaching the self service
kiosk, customers who are certain of their needs will be able to choose that choice without
explaining their needs to a staff member. They do not need to stand in line at the counter.
Customers may check out fast and easily with self-service kiosk

Next, to accommodate the changing demands of the Texas chicken, self-service

kiosks are highly adaptable. For instance, Texas Chicken wants to include a payment option
in a self kiosk to allow Texas Chicken consumers to make a purchase right away in order.
Additionally, this can be accomplished by connecting payment devices and modifying the
Texas Chicken advertising kiosk. The majority of kiosks offer the option to integrate with
payment processors including Worldpay, QR Pay, Smart Pay, and Verifone. As a result,
clients will pay faster. They only need to pay at the kiosk, they don't need to wait in lengthy
lines. Additionally, the transaction will run smoothly because there is no chance of a mistake
being made by the cashier when counting or placing the card. Nonetheless, customers will
feel more secure using their cards now that there is a self-service kiosk available.

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 Next, Clients will be more informed about the Texas chicken promotion. This is
because customers will be familiar with Texas Chicken's offerings thanks to the self-service
kiosk. They will be aware of any new products that Texas Chicken has introduced. Because
everything will be shown at the self-service kiosk, they won't have to fight to discover
information about texas chicken.

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2.6 CUSTOMER SEGMENTATION

GEOGRAPHIC There are locations of this Texas chicken shop in every state.
Additionally, it is easier to locate this store at a retail mall.
Given that Texas Chicken has numerous locations inside a
single state, clients may easily purchase their food there. As a
result, they must install self-service kiosks in each store to
make it easier for customers to purchase food.

DEMOGRAPHIC Gender: Male, Female.

Age: Teenagers, Elderly

Race : Malay, Chinese, Indian, etc

Texas Chicken will serve the Malaysia citizens as their

customers. This fast food shop will appeal to all households
and residents. Whether someone is working class, a business
executive, a teacher, or a student.

PSYCHOGRAPHIC This self-service kiosk is ideal for people who are shy to talk
or have an introverted personality. Some people suffer from
social anxiety and are hesitant to make a payment or place an
order at the counter. As a result, this method can pique their
interest because it corresponds to their attitude.

BEHAVIOURAL Presence of this self-service kiosk may pique their interest in

eating at Texas Chicken because they will not have to feel
anxious when ordering food or making payment.

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2.7 COST STRUCTURE

Cost structure by Texas and innovator ideas.

Figure 2.7: Cost structure Texas Company.

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2.8 REVENUE STREAM
Revenue streams are the company's source of income. They are the main reason for a
companies to run and earn profits by offering products that only require purchase for a
limited time. The cost structure also received a moderate rating. The company has a good
cost structure, but it has no source of income. We offer further suggestions on how they can
increase income and profit by increasing their income stream. Businesses strive to offer their
products at low prices as a source of income other than food by providing a selection of toys
with reasonable costs and suitable for all ages, especially children. The toys only come with
the purchase of a kid's meal .Not only that, toys that are offered according to the season
should be in line with modern times. Texas can produce toys such as Lego cartons, Agent Ali
& Upin Ipin , Boboiboy Each production has a limited sales time before being replaced by
another carton season. This will attract more customers to make a toy collection from Texas.

Picture 9.1: (IDEA) Example for Revenue Stream.

Revenue Streams Calculation

Number of item Price per item Total Monthly Total Year

sold ( Kid’s meal) Revenue Revenue

20,000 RM 12 RM20,000 x RM 12 RM 2,880,000

=
RM240,000

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SECTION 3

3.0 RECOMMENDATION

We advocate installing self-service kiosks in each location to enhance the Texas

Chicken Company's customer service. Because they can spend more time cooking meals
rather than taking orders while seated at the counter, this may make it easier for Texas
Chicken personnel to do their jobs. Customers can use this kiosk to place their own orders
and pay with a card or cash at the counter. because the times are becoming more
contemporary. Most people favour using cards over cash while making purchases. Due to the
difficulty and exhaustion of working in the F&B sector, this could make Texas Chicken
employees' jobs easier. Customers don't have to wait in line for very long to order food while
utilising this system, and staff can keep taking brand orders and bringing food to customers'
tables.

Texas Chicken should concentrate not only on the new innovation that we suggest to
this company, but also on providing kid friendly options. Texas chicken can be used to create
a wholesome and kid-friendly dinner. By providing food that fits their expectations for
enjoyment and deliciousness, one can make children happy. For instance, Texas Chicken can
use a veggie-based cuisine and imaginative forms to appeal to children. Many of the top QSR
chains in the nation win restaurants with turkey sliders, grilled drumsticks, and healthy
chicken wraps.

Texas chicken can also bring variety to the menu. Texas chicken can broaden the
menu and increase the variety of snacks, including fries, nuggets, coleslaw, and other options.
Because it has so many intriguing, distinctive, and varied side dishes, this can draw in
customers. Texas Chicken should expand its marketing efforts in addition to broadening its
menu to attract more people. this is due to the fact that Texas chicken is underestimated
because it is not widely known. They have the option of doing promotion through billboards,
television commercials, or social media. By doing this, a large portion of the general public
will become aware that Texas Chicken exists in addition to KFC, McDonald's, Subway, and
other fast food chains.

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SECTION 4

4.0 CONCLUSION

In conclusion,Texas Chicken is one of the most well-known fast food restaurants in

the world. The self-service kiosks have the potential to be an exceptional answer to the
problem. Even while these kiosks are not useful when there is a low volume of customers,
they have the potential to be fully exploited and are the most helpful when there is a high
volume of customers. When accepting an order, the offered equipment for self-service has the
potential to cut down on the number of mistakes that are made. In addition to this, it gives
customers the ability to customise the options according to the specific demands that they
have. The self-service kiosks have the potential to significantly improve the restaurant's
overall productivity.

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REFERENCES

(n.d.). ITGuidance |. Retrieved January 13, 2023, from http://itguidance.com.my/

Distribution Channels: What are They, Types & Examples. (n.d.). Neil Patel. Retrieved

January 3, 2023, from https://neilpatel.com/blog/distribution-channels/

Imke, S. (2022, September 7). Key Partners and Your Business Model. Business 2

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https://www.business2community.com/strategy/key-partners-and-your-business-mode

l-02278564

Key Partnerships - Business Model Canvas. (n.d.). Strategyzer. Retrieved January 3, 2023,

from https://www.strategyzer.com/business-model-canvas/key-partnerships

7 types of statistical distributions with practical examples. (2022, June 3). Data Science Dojo.

Retrieved January 3, 2023, from

https://datasciencedojo.com/blog/types-of-statistical-distributions-in-ml/

What Are the Key Partnerships in Your Business? (2022, February 3). Whittaker. Retrieved

January 3, 2023, from https://www.whittakercpas.com/key-partnerships-business

Texas Chicken History. Started Since 1952. Now Serving in 23 Countries. (n.d.). Texas
Chicken Malaysia. Retrieved January 16, 2023, from
https://www.texaschickenmalaysia.com/texas-chicken-history/

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APPENDIX

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