Company Analysis and Evaluation Project: Chick-fil-A
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Company Analysis and Evaluation Project: Chick-fil-A
In this project, you will select an organization, or a segment of an organization, and interview key employees in order to gather information concerning the organization's critical success factors (CSFs). Be sure to inform your interviewees that any proprietary information included in this project will be kept confidential. You will then develop a SWOT analysis to clarify and aid in the identification of the organization's/segment's CSFs. The written project requires you to prepare and submit the following in order:
1. Brief description of the organization/segment
2. SWOT analysis in chart form containing the following 4 categories: Strengths, Weaknesses, Opportunities, and Threats. Each item must be clearly and concisely stated.
3. Balanced Scorecard in chart form. Clearly and concisely list CSFs in each of the 4 categories identified in the text. For each CSF, explain in a separate column how the measurement of the CSF will transpire.
4. A discussion of the CSFs chosen for the organization/segment - Why were these particular factors selected? Why are they important in accessing the success of the company?
5. An evaluation of the organization/segment to determine if it is achieving each of the CSFs. Analyze each CSF and use data from the measures indicated in the Balanced Scorecard as support for the conclusions.
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Solution Summary
The response provides you a structured explanation of SWOT and balanced scorecard of Chick-fil-A . It also gives you the relevant references.
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Brief description of the organization segment:
Chick-fil-A is an American fast food restaurant chain that specializes in chicken sandwiches. Currently, Chick-fil-A has 2,000 restaurants in the United States. It is a privately held company and according to 2015 figures has a revenue of $6 billion. The company is influenced by the Christian beliefs of the founder and remains closed on Sunday and Christmas. Chick-fil-A owns each of its restaurants. Its system is to select the location and build on it. The franchise system of Chick-fil-A is very different and the franchisees are called operators. They require an initial investment of only $10,000 . The Chick-fil-A average sales per restaurant are the highest in the industry.
SWOT Analysis:
Strengths:
• Perceived to be a community related chain.
• Chicken is a healthier alternative to red meat.
• Employees have a spirituality driven culture.
• Has developed good reputation by donating generously to charities.
• Strong financial growth, important presence in US market.
• Brand Reputation. Weaknesses
• Prices are higher than those of competitors.
• Religious culture drives away some customers.
• Re-use of oil can cause cancers.
• The offerings of Chick-fil-A are high in calories and cause obesity.
• No international restaurants.
• Policies dependent on political affiliation, religious practices, and constrained business practices.
• Direct confrontation with same sex marriages.
Opportunities
• The menu can be expanded.
• Growth in foreign markets.
• Opening outlets in universities.
• Enter untapped US markets.
• Target health food segment. Threats:
• Supporters of same sex marriage, and legal experts may block expansion.
• Negative publicity because of anti-LGBT community.
• Avian flu can adversely affect chicken sales.
• Increasing cost of raw materials.
• Strong competition from other large fast food chains.
• Economic weakness.
Balanced Scorecard:
A balanced scorecard is use to identify and improve the internal functions of an organization and improve its resulting outcomes(1). It is method of measuring performance and is widely used in strategic management. The balanced scorecard is called a semi standard structured report which is suppore by design methods and automation tools which is used by managers to monitor the implementation of activities by the persons responsible(2).
The importance of balanced scorecard is that it provides a structure to the strategy of the company. For instance, it collects together the financial perspective critical factors. Another benefit of balanced scorecard is that it helps to communicate the strategy to the stakeholders. Further, it aligns the departments and divisions. The balanced scorecard provies employees with goals and objectives that are directly linked to the organizational strategy. It gives the ...
Education
- BSc , University of Calcutta
- MBA, Eastern Institute for Integrated Learning in Management
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