Balanced
Scorecard Restaurant
Economy all
over the world these days is dropping day after day. These changes
have occurred mainly because of the fact that the global market has
been hit in a major way. It is very difficult to keep track of what
is happening all around the world as far as business is concerned.
Every country, whether developed or developing, is experiencing this
change. Fortunately Balanced Scorecard is being seen as a very
mighty tool for overall improvement of the organization. Amongst
other industries, Balanced Scorecard Restaurant is also gaining
popularity. Let’s try to explain the importance of Balanced
Scorecard Restaurant with the help of an real time
example.
Regarding
Balanced Scorecard Restaurant, let’s see what Wendy’s Chairman and
Chief Executive Officer, Jack Schuessler said, "We've always had the
mindset of continuous improvement in the areas of restaurant
operations and support. Wendy's Strategic Planning Council utilized
the Balanced Scorecard to establish targets and measure our progress
in key dimensions ranging from employee retention at the restaurant
level, to restaurant evaluation scores, to business processes, to
total revenue growth. They are all vitally important, not just the
financial measures. We are focused on achieving superior results
with our Strategic Plan and Balanced Scorecard, and we are delighted
and honored to be recognized by Balanced Scorecard Collaborative.
The recognition provides us tremendous support as we continue to
implement our strategies and scorecard approach throughout the
organization." Chief Financial Officer Kerrii Anderson said: "What
is really exciting is that we've implemented the Balanced Scorecard
deep in our organization and we hold ourselves accountable for
results. It's a simple process, and we fine-tune the scorecard for
each division and department. From our leadership team to department
heads, we know what our contribution means to the overall strategy
for Wendy's International."
Not only has
this but Balanced Scorecard Restaurant made Wendy’s International,
Inc the New Hall of Fame Honorees: Hall of Fame winners each
achieved success meaningful for the organization’s particular sector
or industry, relative to specific, individual business, or
performance objectives.
Wendy’s
International, Inc. is one of the world’s largest restaurant
operating and franchising companies, with $8.3 billion in 2001
system wide sales, more than 8,400 total restaurants and quality
brands—Wendy’s Old Fashioned Hamburgers®, Tim Hortons®, and Baja
Fresh®.
Wendy’s adopted
the Wendy’s International, Inc. in 2000 to help measure intangible
assets such as human capital and customer focus. The scorecard gave
Wendy’s a consolidated process for gathering the right data and has
helped them significantly reduce staff turnover and increase
customer satisfaction. With the necessary data on demand, Wendy’s
can now go beyond gauging its profitability per restaurant to
measuring profitability per customer per hour for each of its 6,043
restaurants in 26 countries. Not only has Wendy’s Balanced Scorecard
Restaurant helped align its various divisions with the strategy; it
has enabled the company to bring that strategy down to its front
lines. Wendy’s employees understand absolutely that “Quality is our
recipe.” The rewards have been huge. Since adopting the Balanced
Scorecard, Wendy’s stock price has gone up about 75%, its market
share has risen from 11.45% to 13.2%, and its market cap has
increased from $2.5 billion to about $4 billion today. Named among
Business Ethics’ “100 Best Corporate Citizens” for 2001, Wendy’s
continues the legacy of its late founder, Dave Thomas through its
many outreach initiatives. Wendy’s commitment to a quality product
and community service gives proof to its corporate slogan, “It’s
Better Here.” Although there are many other success stories of
Balanced Scorecard Restaurant, but I think it is enough for
here.
