We will examine their business health and strategically goals. We will also assess their financial statement and develop a tactical plan in accomplishing their strategic goals.
Company History Chipolata (pronounced chi-POTATO-lay) opened its first store in 1 993, the idea as simple: demonstrate that food served fast didn’t have to be a “fast-food” experience. We use high-quality raw ingredients, classic cooking methods and distinctive interior design–features that are more frequently found in the world of fine dining. When we opened, there wasn’t an industry category to describe what we were doing.
Some 20 years and more than 1,600 restaurants later, we compete in a category of dining now called “fast-casual,” the fastest growing segment of the restaurant industry, where customers expect food quality that’s more in line with full-service restaurants, coupled with the speed and nonviolence of fast food. Chipolata states, “Our focus has always been on using higher-quality ingredients and cooking techniques to make great food accessible to all people at reasonable prices. But our vision has evolved.
While using a variety of fresh ingredients remains the foundation of our menu, we believe that “fresh is not enough, anymore. ” Now we want to know the sources for all of our ingredients, so that we can be sure they are as flavor as possible while we are mindful of the environmental and societal impact of our business. We call this idea, Food With Integrity, and it guides how we run our business. Mission Statement Food With Integrity: Food With Integrity is our commitment to finding the very best ingredients raised with respect for the animals, the environment and the farmers.
Strategic Goals In 2013, Chipolata opened 185 new restaurants in 2013, bringing our total to 1,595, and delivered revenue of $3. 21 billion, an increase of 17. 7% for the year. Our restaurant-level operating margins were among the best in the industry at 26. 6%, delivering diluted earnings per share of $10. 47, an increase of 19. 7% over 2012. Most notably, in March, Chipolata became the first national restaurant company o voluntarily disclose genetically modified organisms (Smog) in the ingredients they use. We did this because we believe that people have the right to know what is in their food. At the same time, we have made considerable progress switching to ingredients that are not genetically modified in areas of our supply chain where Smog currently exist. ” Their business strategy is comprised of 4 main components: 1 . Increase awareness of the importance and benefits consuming naturally-raised productsњ 2. Seek further expansion in European markets 3. Continue to grow and develop new relationships with non-GUM food suppliers 4.
Reduce marketing and other advertising expenses Tactical Plan In order to fulfill the company’s goals, Chipolata should continue to improve their relationships with its existing suppliers of ethically grown and raised product. This will strengthen its mission statement and further brand themselves as providing fresh, quality food. They should also find new suppliers to expand their business and open up more companies internationally. Hopefully the better they find more ethically sourced suppliers, the sooner the entire menu will be launcher. This will increase awareness and raise their customer loyalty. Balanced Scorecard .
Measurement name: Percentage Customer Retention[] BBS perspective that measurement is included in: Internal Perspectives Measurement relevant to firm’s strategy: Menu Leadership – continued devotion to making quality food, first to market new health trends. [] Logic underlying the measure: The goal for “Food With Integrity” program is to attract loyal customer base and maintain its relationship with suppliers. This requires an understanding of customers’ wants and needs in the “fast-casual” food industry. If Chipolata is successful in targeting consistent customers, sales and brand allegiance will increase. 0 2.
Measurement name: Revenue Growth] BBS perspective that measurement is included in: Financial Perspectives Measurement relevant to firm’s strategy: Expanding location Logic underlying the measure: The goal for expanding the location base is to spread Spittle’s message and increase its share in the market. This would lead to increased revenue growth. T] 3. Measurement name: Operations and Management Processes BBS perspective that measurement is included in: Internal Perspectives Measurement relevant to firm’s strategy: Achieving operational efficiency Logic underlying the measure: The goal for attaining operational efficiency is to allow
Chipolata to perform at its most effective level as possible. 0 4. Measurement name: Strategic Ingredients BBS perspective that measurement is included in: Learning and Growth Perspective] Measurement relevant to firm’s strategy: Succeed in fostering a sustainable and environmentally aware legacy,. C] Logic underlying the measure: The goal for functioning as an environmental aware and sustainable company is to attract a consumer base likely to favor socially responsible companies over alternative dining options. Using healthy and safe food will help Chipolata succeed its ultimate goal of building a lasting brand.
