戴维 战略管理第17版全套英文教辅案例davidsm17caseim10.docx
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戴维 战略管理第17版全套英文教辅案例davidsm17caseim10.docx
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戴维战略管理第17版全套英文教辅案例davidsm17caseim10
Case10-–Domino’sPizza,Inc.(DPZ)-2018–Teachers’NotebyForestR.David
CaseAbstract
HeadquarteredinAnnArbor,Michigan,Domino’sdeliversmorethan1millionpizzasadayworldwidetoover85differentcountrieswithoverhalfofsalescomingfromoutsidetheUS.Tomanypeople’ssurprise,Domino’sranksamongthetop10companieswithonlinetransactions,rightuptherewithAmazonandApple;over60percentofDomino’ssalesintheUSarethroughdigitalchannels.Thefirmisthe2ndlargestpizzarestaurantchainintheworldwithover14,400locationsandisthenumberonepizzadeliverycompanyintheUS.Domino’sis97percentfranchised,withroyaltiesaccountingforalargeportionofitsrevenue.Sellingfood,equipment,andsuppliesprimarilytostoresintheUSandCanadaaccountsforalargeportionofrevenueaswell.Domino’shasover260,000full-andpart-timeemployeesworldwidethatgeneratedsalesofover$11billionin2017.Over90percentofallDomino’sfranchisees(owners)startedtheircareersworkinginsomecapacityinaDomino’s.
VisionStatementAnalysis
Effectivevisionstatementsexhibitfivecharacteristicsthatcanbeusedasguidelinesforwritingorevaluatingvisionstatements.Anyvisionstatementthatscoresa5outof5onthesecharacteristicsisexemplary.InChapter2,thisvisionstatementassessmenttechniqueisreferredtoas“The5outof5Test.”
1.Clear:
revealstypeofindustryandwhatfirmstrivestobecome
2.Futuristic:
revealswhatthefirmstrivestobecomeoraccomplishwithin5years
3.Concise:
onesentenceinlength
4.Unique:
revealsthefirm’scompetitiveadvantage
5.Inspiring:
motivatesreaderstosupportthefirm
Aspresentedinthecase,Domino’svisionistobe“numberoneinpeople,numberoneinpizza.”Domino’svisionstatementis“concise”butfailstoincludetheotherfourdesiredcharacteristics.AproposedvisionstatementforDomino’sisgivenasfollows:
“Tocontinuallyimproveasthebestpizzadeliverycompany,operatedbydedicatedemployeeswhoworkhard,wintogether,embracecommunity,andarehonest,dependable,andreliable.”
MissionStatementAnalysis
The10desiredcharacteristicsofaneffectivemissionstatementareasfollows:
1.Broadinscope;doesnotincludemonetaryamounts,numbers,percentages,ratios,orobjectives
2.Concise;fewerthanonehundredwordsinlength
3.Inspiring
4.Identifiestheutilityofafirm’sproducts
5.Revealsthatthefirmissociallyresponsible
6.Revealsthatthefirmisenvironmentallyresponsible
7.Includesninecomponents:
customers,productsorservices,markets,technology,concernforsurvival/growth/profits,philosophy,distinctivecompetence,concernforpublicimage,concernforemployees
8.Reconciliatory;resolvesdivergentviewsamongstakeholders
9.Enduringbutnevercastinstone
10.Attractscustomers;iswrittenfromacustomerperspective
The9desiredcomponentsofaneffectivemissionstatementareasfollows:
1.Customers—Whoarethefirm’spresentandpotentialcustomers?
2.Productsorservices—Whatarethefirm’smajorproductsorservices?
3.Markets—Geographically,wheredoesthefirmcompete?
4.Technology—Isthefirmtechnologicallycurrent?
5.Concernforsurvival,growth,andprofitability—Isthefirmcommittedtogrowthandfinancialsoundness?
6.Philosophy—Whatarethebasicbeliefs,values,aspirations,andethicalprioritiesofthefirm?
7.Distinctivecompetence—Whatisthefirm’smajorcompetitiveadvantage?
8.Concernforpublicimage—Isthefirmresponsivetosocial,community,andenvironmentalconcerns?
9.Concernforemployees—Areemployeesavaluableassetofthefirm?
Domino’smissionstatementisto“sellmorepizza,havemorefun.”Thiscatchyphrasebasicallymissesoutonalldesiredcharacteristicsandcomponents.Althoughnotapartoftheirformalmissionstatement,Domino’sprofessestobeacompanyofexceptionalpeopleonamissiontobethebestpizzadeliverycompanyintheworld.Thecompany’smottoinafewwordsareopportunity,hardwork,inspiredsolutions,winningtogether,embracingcommunity,anduncommonhonesty.ThereasonforthesespecialwordsisthatnearlyallDomino’sfranchiseownersstartedtheircareerswiththefirmasdeliverydriversorinotherin-storepositions.ThousandsofotherDomino’semployees,includingsupervisors,trainers,qualityauditors,internationalbusinessconsultants,marketersandexecutives,alsobegantheircareersinthestores.Domino’scorebeliefsaretopromoteinternalgrowthandprovideopportunitiesforanyonewillingtoworkhard.
AproposedmissionstatementforDomino’sthatincludestheninecomponentsandmeetsthetencharacteristics,inlessthan100words,isgivenbelow:
Withover15,000locationsin85+countries(3),wearecommittedtoproducinganddeliveringthemostsavorypizzaandfoodproducts
(2)toindividuals,families,andbusinesses
(1).Usingthelatesttechnology(4),weoffereasyorderingaccessandefficientservice,whilechefs,drivers,andemployees(9)workexceptionallyhard.Promotionfromwithinisourkeytosuccess(7).Weservethousandsoflocalneighborhoodswithexquisiteservice(5,8),upholdingthehighestlevelsofintegrity(6).(69words)
ExternalFactorEvaluation(EFE)Matrix
CompetitiveProfileMatrix
FinancialRatioAnalysis
InternalFactorEvaluation(IFE)Matrix
Strength-Weakness-Opportunity-Threat(SWOT)Matrix
SOStrategies
1.Addoneadditionaldeliverydriverateachrestaurant(S1,S3,S7,O6).
2.Hire10newchefsatcorporateheadquartersandinvestheavilyindeveloping5healthiermenuoptions(S2,S10,O7,O8,O9).
3.Offer$2offcouponsforpizzaspurchasedonlineMonday,Tuesday,andWednesday(S1,S3,S4,S6,S7,O5,O6).
4.Open1000newrestaurants,mostlyinChinaandEasternEurope(S1,S3,S5,S6,O1,O4).
WOStrategies
1.Hire10newchefsatcorporateheadquartersandinvestheavilyindeveloping5healthiermenuoptions(W1,W4,O7,O8,O9).
2.Paydown$1billioninlong-termdebtthroughequity(W2,O3,O4,O10).
3.Invest$5milliontoproducehealthiercheese(W1,W4,W8,O7,O8,O9).
4.Increasethecostofmenuitemsby5%acrosstheboardeachyearforthenext3years(W2,W3,O5,O6).
STStrategies
1.Spend$100millionadvertisingandpromotinghowDomino’sproductsarebettervaluethanrivalsPizzaHutandPapaJohn’s(S1,S3,S5,T1,T2,T4,T5).
2.BuildanewcorporatefacilityinDetroit(S1,S3,S6,T6).
3.Spend$50millionadvertisingtopromotethenutritionalvalueofDomino’sproducts(S10,T7,T9,T10).
4.Continuewithmassmailcampaignofcouponsbyraisingthepercentofrevenuespaidbystoresto6.5%foradvertising(S5,T1,T2,T4,T5,T6).
WTStrategies
1.Stoppayingdividends(W2,W3,T1,T2,T4,T5,T6).
2.Hire10newchefsatcorporateheadquartersandinvestheavilyindeveloping5healthiermenuoptions(W1,W4,T7,T9,T10).
3.Buildasmallsittingareaineachstoreforcustomerschoosingtodinein,especiallytargetedatthelunchcrowd(W2,W3,T1,T2,T3,T4).
4.Developanewformalvisionandmissionstatement(W5,T1,T2,T7,T8).
StrategicPositionandActionEvaluation(SPACE)Analysis
BostonConsultingGroup(BCG)MatrixAnalysis
Note:
InthisBCGanalysis,Domino’swascomparedonlywiththePizzaHutsegmentofYumBrands.
Internal-External(IE)MatrixAnalysis
1.DomesticCompanyOwnedStores
2.DomesticFranchise
3.SupplyChain
4.InternationalFranchise
GrandStrategyMatrixAnalysis
QuantitativeStrategicPlanningMatrix(QSPM)Analysis
1.Hire10newchefsatcorporateheadquartersandinvestheavilyindeveloping5healthiermenuoptionsforacostof$25millionover3years.
2.Open1000newrestaurants,mostlyinChinaandEasternEuropeforacostof$100million(onlyaround100ofthesewillbecompanyownedresultinginacostofonly$100million).
RecommendationswithAssociatedCosts
1.Addoneadditionaldeliverydriverateachrestaurant.
2.Hire10newchefsatcorporateheadquartersandinvestheavilyindeveloping5healthiermenuoptionsforacostof$25millionover3years.
3.Offer$2offcouponsforpizzaspurchasedonlineMonday,Tuesday,andWednesday.
4.Open1000newrestaurants,mostlyinChinaandEasternEuropeforacostof$100million(onlyaround100ofthesewillbecompanyownedresultinginacostofonly$100million).
5.Paydown$1billioninlong-termdebtthroughcash.
6.Invest$5milliontoproducehealthiercheese.
7.Spend$100millionadvertisingandpromotinghowDomino’sproductsarebettervaluethanrivalsPizzaHutandPapaJohn’s(mostofthismoneywillbepaidthroughfranchisees)
8.BuildanewcorporatefacilityinDetroitfor$200million.
9.Spend$50millionadvertisingtopromotethenutritionalvalueofDomino’sproducts(mostofthismoneywillbepaidthroughfranchisees).
10.Developanewformalvisionandmissionstatementforacostof$1million.
Note:
Estimatedcostare$300million.Costislowerbecausemuchofthefundswillbepaidthroughfranchiseefees.
OrganizationalChartAnalysis
Chapter7presents15guidelinesfordevelopinganeffectiveorganizationalchart,asfollows:
1.Insteadofchairmanoftheboard,makeitchairpersonoftheboard.
2.Makesuretheboardofdirectorsrevealsdiversityinrace,ethnicity,gender,andage.
3.MakesurethechairoftheboardisnotalsotheCEOorpresidentofthecompany.
4.MakesuretheCEOofthefirmdoesnotalsocarrythetitlepresident.
5.Reservethetitlepresidentforthedivisionheadsofthefirm.
6.IncludeaCOOifdivisionsarelargeorgeographicallydispersed.
7.MakesureonlypresidentsofdivisionsreporttotheCOO.
8.Makes
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