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Amal Alsaeed – 201000283 Hussain Ali – 20900541 Qassim Khalil – 20090070 Zahra Alqattan - 201000388 BSB6201 – Operations Management – Level 6 Burger King operation Group Report
Transcript
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Amal Alsaeed – 201000283

Hussain Ali – 20900541

Qassim Khalil – 20090070

Zahra Alqattan - 201000388

BSB6201 – Operations Management – Level 6

Burger King operation

Group Report

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Table of Contents

1.0Introduction.....................................................................................................................3

2.0Findings............................................................................................................................3

2.1 Burger King overview..................................................................................................3

2.2 Importance of product design to companies..............................................................5

2.2.1 Other Models...............................................................................................................6

2.3 Stages of new design......................................................................................................7

2.3.1 Concept Generation.................................................................................................7

2.3.2 Screening.................................................................................................................8

2.3.3 Preliminary design:..................................................................................................9

2.3.4 Evaluation and improvement Matrix.....................................................................10

2.3.5 Prototyping and Final Design.................................................................................10

2.4 Applying NPD Procedure to Burger King...................................................................10

2.4.1 Concept Generation...............................................................................................10

2.4.2 Screening...............................................................................................................11

2.4.3 Preliminary Design.................................................................................................15

2.4.4 Evaluation and Improvement.................................................................................16

2.4.5 Prototyping and Final Design.................................................................................20

Conclusion..........................................................................................................................21

Bibliography........................................................................................................................22

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1.0IntroductionThe purpose of this report is to introduce a new product development procedure for the

management of Burger King, as they need to be innovative if they want to be ahead in the

fast food industry because the competition in it is vicious. Looking at the market gap is as

important as looking at the customers' demands in this industry because customers

determine your profitability and popularity.

2.0Findings2.1 Burger King overviewBurger King has been founded in the beginning of the 50's by James McLamore and David

Edgerton. The idea was to provide great burgers considering the quality of their ingredients

and the beef they use. Few years later, Burger King introduced a new sign for the restaurant.

After the mid of 50's, BK introduced the Original Whopper Sandwiches. At the end of the

50's, Burger King started franchising the restaurant all over The United States (Burger King

Corporate office, 2013). In 1963, Burger King started franchising outside the US in Puerto

Rico. Burger King’s operation is based on the quality of their food and how do they choose

the ingredients to make good meals for their customers. The management of Burger King is

franchising their restaurant all over the World and they make sure that they are providing

the same quality and the same taste of sandwiches around the globe (Burger King Corporate

office, 2013). They standardized their services and their logo where they can be recognized

easily. In 2009, 3G Capital bought Burger King and made it a private held company. The

market that Burger King operates in is multi-national with different cultures, competing with

other fast food restaurants such as McDonalds, Hardees and Wendy’s.

Burger King has a big variety of meals where they have divided their menu into three

categories

Breakfast menu Lunch & Dinner Menu Snacks

Combo meals Combo meals Salads & Wraps

Sandwiches & Burritos Fire-Grilled Burgers &

Sandwiches

Chicken Strips & Nuggets

Oatmeal, sweet & sides Fish & Chicken Sides

BK Value Kids Meal Oatmeal

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Drinks & Coffee Chicken Strips &

Nuggets

Desserts

Kids Meal Dessert Dinks & Coffee

Source : (Burger KING Corporate office, 2013)

Breakfast menu has a variety of choices where there are combo meals with different choices

like eggs, ham, cheese, croissant, biscuit and muffins. It is provided with the option of drinks

(Soft drinks and Coffee). For customers who have children, there is menu for their kids as

well. Lunch and Dinner menus get the higher number of requests everyday, which led BK to

provide more options and different sizes of sandwiches. There are combo meals including

meat, ham and chicken as well as grilled chicken meals. Snacks menu is for people who are

looking for small and really quick meals every day. This type of menu includes a selection of

soft drinks, salads, nuggets and desserts. The goal of Burger King is to offer meals with

reasonable prices, quick services and to make sure the food is clean. Burger King also has

signature recipe with their ingredients. The primary market of BK is adults from 18-34 years

old and the secondary market is kids ranging from 7-17 years old (Rodriguez, n.d.).

Many corporations, which Burger King is one of them, are setting up a stakeholder

orientation due to the ethical matters and social responsibility which can influence their

success and existence for a long, long period of time. However, stakeholders can be

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identified as a group of people that have a stake in some parts of an organization’s products

and services. For instance, as Burger King is a massive corporation in the fast-food segment,

it has stakeholders within the corporation such as the employees and its management as

well. Burger king’s external stakeholders, that the picture above displays, are the customers,

suppliers and government agencies which they have a claim in merchandise, operations

markets and so on (Mayr’s Organizational Management, 2013).

2.2 Importance of product design to companiesProduct design has become the tool that companies can manipulate their competitors with.

Difference in appearance is fundamental if the company wants to stand out (Moré, 2010). As

companies want their new products to increase their sales revenue, product design has

become a key strategic activity that needs to be developed and followed (Vonderembse,

d.n.). When companies introduce a unique product that is desired by customers, it gives

them the opportunity to charge more for it (Moré, 2010). The reason why product design

exists is to generate products that can compete with others in terms of quality, appearance,

performance, service life and price (Vonderembse, d.n.). Product design is becoming a

critical point for companies that need to satisfy customers who keep on demanding variety

of products (Vonderembse, d.n.). Confusion, delays and problems in product design are

becoming life threatening for companies because customers can easily switch from one

brand to another nowadays as there is a variety of high quality replacements (Vonderembse,

d.n.).

Upon research it was found out that product design is important because:

Product design leads to organizational success as it is vital to remain competitive in

the market (Sawhney & Prahalad, 2010). As mentioned above customers are shifting

to other products easily because of the huge variety that exist.

Product design outlines the product quality (Vonderembse, d.n.). The product must

be fit for its purpose and must function as it is expected which will increase the

product reliability because customers make their purchase decision according to a

list of factors including the design of the product itself that reflects the brand image.

Product design mirrors the company response to customer's feedbacks,

recommendations and complaints. For example nowadays customers became more

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concern with environmental issues and whether the product harms the environment

or not (Vonderembse, d.n.). That's the main reason why companies started to think

about recyclable materials.

Product design decreases the production life cycle of the product (Campbell & Hale,

2007). In this way engineers will have full understanding of the strategy that needs

to be followed in order to accomplish the desired design and in the same time the

company will confirm its presence in the market.

2.2.1 Other ModelsThere are a lot of models to follow such as The Waterfall Model that includes 7 stages

starting of requirements that identify the problem in the product and it ends with

maintenance (Eppic, n.d.). Also The Stage Gate Model adapted from Cooper in 1986 which

contain 5 stages starting with primary research and ending with full production and market

launch (Eppic, n.d.). The used Model is The Five Stages Model, it has five stages that will be

explained in details below.

The Waterfall Model

http://eppic.biz/2012/03/29/eppic-pi-tool-series-new-product-development-npd-models/

The Stage Gate Model

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http://eppic.biz/2012/03/29/eppic-pi-tool-series-new-product-development-npd-models/

The Five Stages Model

http://moodle.polytechnic.bh/moodle/course/view.php?id=320

2.3 Stages of new design

2.3.1 Concept GenerationGenerating multiple ideas help businesses to have a full understanding of opportunities,

requirements and problems that might occur. It is useful to generate information from all

sources available which includes internal and external research.

External Research: any company should take a look at their competitors in the market to see

the products they have and what they could do to improve it. Also they have to look at what

the competitors are missing and produce it to be ahead in the market. In addition, it is

necessary to be aware of the customer's needs, which is done through surveys or asking for

current customers' feedback that will in return let the company provide services or products

that suit the demands which lead to maximize the profitability of the company and attract

more customers. The previous researches are types of primary research according to

Dunsmuir & Williams. Moreover, experts can be the key of growing up in the market by

providing ideas from other cultures to implement them in the business which will help to

gain customer satisfaction and this is a type of secondary research.

Internal Research: the internal research has a big impact on work improvement. A good

example of internal research is to hold a meeting with the staff especially those who

interact with customers on a regular basis to get ideas from them that satisfy the

clients. Also to know if there are available machines and equipments that can ease

the process. All of the resources of internal research that have been mentioned

above are types of primary research ("Review of research," ).

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2.3.2 ScreeningThis step gives the company an opportunity to recognize the ideas that can succeed in the

market which minimize the company's risks and gives them a chance to evaluate their ability

to implement the ideas. Each idea needs to be evaluated according to a set of criteria before

it gets accepted.

1. Feasibility: The company has to measure their capability of implementation of new

product, assessing the quality of human resources is a critical step for new product

implementation. Employees need to have specific set of skills that fits the skills

criteria needed for production. After looking into the employees skills, the company

has to consider the quantity of resources available for the production process. This

will help speeding up the production; as the number of staff who has the skill

needed for the production process will be available in the beginning of the process

which will not cause pressure for the HR department in recruitment of new staff

members and will not delay the production process. Added to that the company has

to look into their financial resources, reviewing previous financial statements is

important because it will help the company knowing their exact position financially.

Evaluating financial resources to see whether they can cover the production process

expenses and will not cause losses is important as well. The company also has to

bear in mind that their equipments and machines are up to date.

2. Acceptability: The company has to accept the idea and have the willingness to

proceed with the production process. In addition, customer's demands and needs

have to be taken into consideration. Examining the customer's demands is vital

because it is strongly connected to their needs. Launching products in the market

that mirrors the customer's needs will cause customer satisfaction. Satisfying

customers is a core goal to every organization; as if the customers are satisfied it will

reflect back on the financial returns and demands on the product that will be

increasing as result.

3. Vulnerability: The possibility of errors occurring in or after the process has to be

taken into consideration; also the company has to assure its willingness to take the

risk even though there is a possibility of failure. The consequences of getting it

wrong has to be considered, actions have to be taken in the spot so the company

does not waste more money on the product if it failed.

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2.3.3 Preliminary design:This step is to create a suitable design that sells the product and to map up how the product

will include all the functions that are required for getting the final product. It is important to

create high rank design description which will represent level zero that shows the final

product. In the map design, under the product will be level one and it should includes the

components of the product and other features that are in the product itself such as

packaging, it's called level one. The second level will list up the type of components and

packaging for the products. If any of the components has any other feature or

customization, the number of levels will increase. Though, the levels of the operation

increase if the product or the service seems more complex. The main purpose for

preliminary design is (Ketchum, n.d):

1. to get the materials or components needed for making estimates the cost for the

design

2. to have a clear idea of the structural activity

3. to set up the aspects of the assembly

4. to use it as a check on the final design

During this stage, it requires a lot of time and patience to obtain a thorough understanding

of the conceptual plan as it is not advisable to start making a design after doing a limited

analysis of it (Ketchum, n.d). The design concept can be expressed as functional block

diagrams, sketches and other outlines (Nasa Headquarters, n.d).

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Example of Functional block diagrams

2.3.4 Evaluation and improvement MatrixIt is important to make an evaluation to identify the relationship between the clients’

demands and the availability of the suppliers to provide the products or services that are

required by the customers. Added to that, the matrix aims to recognize the evaluation and

development for specific type of services or products in the market. The importance of the

matrix is to prioritize and specify the choices for improvement by the organization. The

WHAT'S section represents the customers’ needs from the business itself, while the business

should cover all of the customer's needs by providing specific type of actions to be taken

which are clearly sits in The HOW'S section of the matrix. Moreover, it is vital to know its

importance to the customers and the competitors’ situation in the market.

2.3.5 Prototyping and Final DesignIn this step, the company communicates directly with the customers by putting up all the

ideas and build on them to get the final design, which is a result of external judgment

(customers' demands). This design should be covering all the improvement that are

necessary and come up with the final step. This design should be established in the market

for customers as soon as it is completed (Tanida, Scott, Makkar, Dickson& stein).

2.4 Applying NPD Procedure to Burger KingFive stages will be discussed below for implementation at Burger King.

2.4.1 Concept GenerationBurger King has Research and Development (R&D) department that is devoted for product

enhancement (A Whooping Success, 2008). Thomas Berger, division vice president for

Central Europe said "Burger King main task is to guarantee that the business constantly

meets the customer's need, that's why R&D department exists. Furthermore, product

innovation is one of the key aspects to Burger King’s achievements. BK has experts that are

in charge of market research and product development, each group has different

responsibilities such purchasing and operations, quality management and marketing. R&D

team gets ideas from different spots; they observe trends not only in Germany but also on

international level. Added to that, they talk to customers and get ideas from suppliers as

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well. Also evaluating market research and keeping an eye on the market to surprise

customers". The research and development team will carry on a market research that will

help to understand and expand the knowledge of the market trends which will in return help

the team to analyze the existing and potential customers (Brunner, 2013). Added to that

carrying a market research will help BK to reveal potential problems and reduces risks. This

step will allow them to get close with their market segment to evaluate customers reaction

towards the ideas (Brunner, 2013). Moreover, analyzing the competitor's products will be a

huge advantage for Burger King as it will give them the opportunity to see what is missing in

the competitors products and what needs to be enhanced (Brunner, 2013). Facilitating

communication between the company and its customer is done through market research

which will help BK finds out their customer's likes and dislikes (Brunner, 2013). After the

investigation done on market trends, the proposed ideas were:

1. Building a smoking area within the restaurant.

2. Provide customers with IPads instead of paper menu.

3. Develop an organic burger.

2.4.2 ScreeningBefore selecting or rejecting ideas these aspects need to be measured (Akrani, 2012). Three

areas will be analyzed below:

Building a smoking area within the restaurant (This idea was generated via web

research):

1. Feasibility: The idea is doable as Burger king has the financial resources to

apply it but on the other hand BK's employees do not have the skills needed

therefore BK doesn’t has the quantity of human resources as well (Yahoo

Finance, 2013). The budget of the project is huge as BK has to employ other

companies for building and decorating and installing new AC's that suck the

smoking to reduce it and provide cleaner air.

2. Acceptability: Smokers will accept the idea but non-smoker customers will

find it annoying especially when they want to eat inside with their kids.

Moreover; the idea is not satisfactory for the financial returns as the budget

is huge and non-smoker customers will be affected (Koat, 2011).

3. Vulnerability: Implementing the idea will cause financial losses because the

branches that will be implementing the idea will be closed while building the

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area and installing the Air conditioners. A potential loss that should be

considered is non-smoking customers (Koat, 2011).

After screening, the idea turned to have more negative than positives.

Customers health will be affected, especially children. The number of people

eating in the restaurant might decrease. All these reasons might reduce the

publicity of BK and cause financial loses as well.

Provide customers with IPads instead of paper menu (This idea was generated via

web research):

1. Feasibility: Burger King has the financial ability to provide IPads in their

branches instead of the paper menu (Yahoo Finance, 2013). However, BK

has to employ a software company to create software that matches their

menu as they don't have the skilled employees to do it.

2. Acceptability: Implementing the idea will cost BK a lot of money as IPads are

not cheap, besides the staff training so they know how to use it and respond

to orders by using this technology. Customers who are familiar with using

IPads will be thrilled for the idea but other who don’t know how to use it will

face problems with their orders as the prefer face to face interaction (CNN,

2011). The idea might not satisfy the financial returns as the number of

customers may decrease due to lack of knowledge of using the IPads and

the money spent for implementing the idea (buying the IPads, installing

them inside the restaurant, creating the software and training the staff) is

huge (CNN,2011).

3. Vulnerability: Customers who want to customize their sandwiches may not

be able to do it unless the installed software by BK is well detailed (CNN,

2011). Also staff training might take long time and some mistakes from staff

and customers could happen which leads to inconvenience service (CNN,

2011).

After screening, the idea is not cost effective as the implementation is highly

expensive and complicated. A percentage of customers will be affected

which will affect the financial returns as well; therefore it is not the right

idea to implement.

Development of organic burger (This idea was generated via current customers

feedback and market research of competitors products):

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1. Feasibility: To remain competitive BK offers variety of products such as full

breakfast line, salads, desserts and more (Daszkowski, d.n.). In 1954 the first BK

restaurant was open, three years later the original Whooper sandwich was

introduced (Daszkowski, d.n.). Burger King had reformed its menu in 2010 as it

was structured for male orientation (Thorn, 2011). Many products were

reformulated including the Whooper that was introduced with new type of

cheese and packaging, added to that approximately 20 products were added to

the menu including ice-creams frappes and chicken strips (Thorn, 2011). Burger

king had built up a research and development department that has the needed

skills to cope with the customers’ demands (A Whooping Success, 2008). Burger

King is continually growing and so its employees as it is stated in Burger king

official website "As of December 31, 2011, we had approximately 34248

employees in our Company restaurants and our restaurants support center"

(Burger King, 2011). Burger King has the ability to launch new product as the

cash liquidity reaches up to $500000 (Yahoo Finance, 2013). Also BK had

reported rise in quarterly profit that exceeded expectations because their

expenses dropped by 65% compared to last year quarter (Burger King Profit,

2013).

2. Acceptability: In 2007, Burger King took positive steps to give customers the

product, choice and information they expect by publishing a Global Health

statement (Burger King, n.d.). The Food You Can Trust Program was introduced

in Europe; enhancements for product nutrition and customer communication

are still on the table (Burger King, n.d.). Also in the same year in November BK

had took a step forward and signed up voluntarily to the EU Pledge on Children's

Advertising which means they have to control 100% of the advertisements that

target children under 12 years old (Burger King, n.d.). BK was one of 10

companies who took the initiative to sign this agreement; as a result Kids Meal at

Burger King has to meet the standards of BK's nutrition criteria (Burger King,

n.d.). In addition, BK had introduced new items to the kids menu with lower salt

content including Char-grilled Chicken Fillet Stripes and Chicken Bites (Burger

King, n.d.). Both of these items are made with no chemical addition or artificial

colors (Burger King, n.d.). Burger King is also committed to working with the FSA

to provide customers a range of healthier menu items by reduction in salts and

soaked fats (Burger King, n.d.). Another program that is being activated in BK's

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restaurants is the Sensory Testing Program that makes sure salt reduction and

soaked fats do not affect the customers' expectations of great tasting of burgers

and sides (Burger King, n.d.). As customers are more aware now of the food they

are eating and the effect that it has on their body and overall health, they are

demanding products that offer good nutrition and give health benefits (Kavounis,

2005). Added to that 78% of quick serve restaurants are witnessing huge

demand on salad and bottled water, in fact they had shown the biggest increase

of all menu items according to the National Restaurant Association (Zelman,

n.d.). In 2010 the fast food industry revenue was $184 billion, BK and Starbucks

were accounted for less than half of the revenue (Statics and Facts, n.d.). As the

official Burger King website stated, BK's revenues in 2012 had reached $1.97

billion (Burger King, 2012).

3. Vulnerability: Burger King had introduced many products that passed the testing

stage but failed to attract the customers, a big example of that is BK Crown

Jewels line of sandwiches that was originally launched in New Zealand then was

distributed on international level (Romero, 1988). Despite the many failures of

products, BK keeps taking risks and launching new products frequently (Romero,

1988). BK introduced Bull's-eye Barbecue sandwich that was served in a special

way but later on the sandwich was served as a traditional style double

cheeseburger (Romero, 1988). Another failure was The Baguette Line

Sandwiches that did not meet the company expectations (Romero, 1988).The

next disappointment was the large adult oriented sandwiches that were made

with fried or grilled chicken or a whopper patty and offered with variety of

toppings which gives the customers the opportunity to customize the sandwich

(Drinnan, 2006). This line was successful at first and was considered for global

rollout but interest in the products faded away and the line was discontinued

(Drinnan, 2006).

After screening the idea, it was found out that BK has the ability to launch new

product because they have the organizational capacity needed and the skills

besides the financial resources. In addition the customers will accept the idea

because it is upon their demands which will make it satisfactory for the financial

returns and will encourage BK's management to proceed with the idea. The risk

in implementing this idea is the history of BK's failed products. Perhaps it won't

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meet the company potentials or interest in the product might fade away which

in both cases will lead to discontinue the product.

The chosen idea is developing an organic burger as it is benefits both sides,

burger king and the customers. Burger king is used to introducing new products

in the market as they have the needed resources to do it (human and financial).

Moreover customers are seeking healthy products that can be served quickly

and with releasing the organic burger BK will be able to that. The risk of

introducing the product to the market is low as it is upon customers requests

and if the product fail no big financial loses will occur as BK was in this position

before and they know how to deal with it.

2.4.3 Preliminary DesignBurger King’s (BK) franchise in Australia has introduced a new line of burgers, organic

burgers. The new organic burger promoted as being certified organic beef where the used

beef is from the Channel Country in the Australian outback (Burger Business, 2011).

Conversely, the organic burger is yet to be made in other countries.

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Organic Burger

Ingredients

Organic Beef/Chicken

Brown Bread

Cheese

Cheddar

Blue Cheese

Mozzarella

Tomato Onion Lettuce Mayonnaise

Low-fat

Sauce

BBQ

Cheese

Tartar

Package

Outer Leaflet Pack

Logo

Level 0

Level 1

Level 2

Level 3

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The shape above shows the components of making the organic burger. The new burger has

joined the Burger King-style burgers that Hungry Jack’s, the exclusive Australian master fast

food franchise of Burger King Corporation, previously offered such as the Whopper, Classic

Angus, Angry Angus along with other burgers (Burger Business, 2011). There are many levels

of creating a product or a service and the number of levels depends on how complex or

simple the product or the service is. For the "Organic Burger", the process of making it goes

through three levels. "Level 0" is about the final product, whereas "Level 1" involves the

ingredients and the packaging. In "Level 2", there are the ingredients required within the

sandwich, under "Ingredients", and the types of packaging for both inside and outside the

restaurant under "Package". For the third level, the customer can customize the sandwich.

For instance, the customer can choose any type of cheese such as mozzarella, cheddar and

blue cheese. There is also a low-fat mayonnaise and a variety of sauces. For the packaging,

Burger King’s logo will be printed on the pack that contains the burger.

2.4.4 Evaluation and ImprovementBurger King provides its customers the freedom of choice by giving them the option to

customize their meals to suit their lifestyles and diet. In addition, Burger King tries to

enhance its products and services to satisfy their customers by improving their menu by

focusing on its core products such as Whopper sandwich. This in return, will give the

customers more options to choose from (Burger King, n.d). McDonald’s, which is one of

Burger King’s main competitors, is far ahead of Burger King in the food industry according to

Advertising Age, the leading global source of news, intelligence and conversation for

marketing and media communities (Melnick, 2012). Thus, 3G Capital, a global multi-million

dollar investment firm focused on long term value creation, purchased Burger King

Corporation in 2010, making it a privately-held company (Burger King, n.d). As a result,

“Burger King brought in a new management team and got to work crafting a strategy to

jumpstart the brand” (Melnick, 2012). Mr. Steven Wiborg, one of the new management

team, which has been the Chairman of North America and Global Executive Vice President at

Burger King since April 11, 2013, said at the time “we needed to take a hard look at

ourselves because over the last 10 years, we had definitely fallen behind our competition”

(Melnick, 2012). Since then, Burger King yielded a four-pillar $750 million strategy which the

first pillar is the menu expanding. “I think it is important to make sure you have a menu that

applies to not just one segment of consumers. Especially when you consider that half the

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population is female and half is male, and then when you really dial that into a 18–34-year-

old target, you’re now really limiting yourself. So the menu expansion is really about opening

the target and making sure the menu is there” (Melnick, 2012). Other competitors are

Wendy’s and Yum! which come after both McDonald’s and Burger King (Yahoo Finance,

2013).

The template “Quality Function Deployment (QFD)” below shows the way of evaluating the

designing for the customers.

HOW’S

Cust

omer

Req

uire

men

ts

Impo

rtan

ce to

Cus

tom

ers

Pric

e

Size

Calo

ries

Fat

Sodi

um

Staff

Equi

pmen

t

Competitive evaluation

X= Us

A= McDonald’s

B= Wendy’s

(On scale of 5 = the best)

1 2 3 4 5

WHAT’S

Taste 9 A B X

Nutrition 9 A X B

Visual appeal 6 A B X

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Good value 10 B X A

Fast Delivery 8 B X A

Hospitality 8 B XA

Flexibility 9 A XB

Quality 9 A XB

= Strong Relationship

= Medium Relationship

= Weak Relationship

The matrix above shows what the customers require from Burger King and how Burger King

is going to attain these requirements to its customers. When it comes to taste, there is a

strong relationship of how it will be achieved by maintaining the use of sodium as well as fat.

As it has been mentioned above, Burger King gives its customer the opportunity to manage

what they eat by customizing their meals to fit their diets and lifestyles. Thus, if a customer

wants a low-fat meal or the normal meal, the restaurant will ask him/her how does he/she

like his/her meal cooked (Burger King, n.d). In 2007, Burger King created a sodium task force

to look at the levels of sodium in key menu items. The task force at this time is looking at a

number of techniques to reduce sodium, while meeting or exceeding current taste profiles

across its menu offerings (Burger King, n.d). Moreover, Burger King pays a lot of attention

when it comes to Nutrition. Currently, Burger King offers more than 350 exclusive meal

combinations with 650 calories or less under one third of the USDA’s (which stands for

United States Department of Agriculture) recommended 2,000 calorie daily diet.

Furthermore, in the last two years, Burger King focused much of its efforts on childhood

nutrition initiatives. One of their main initiatives has included in implementing the nutrition

guidelines in the U.S., Canada and Europe for children under twelve. Another initiative is the

"establishment of a multi-discipline nutrition task force that includes a nutritionist and

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representatives from marketing, legal, product innovation, regulatory, product safety and

corporate communications” (Burger King, n.d). In addition, Burger King “product innovation

teams are regularly working with its trained chefs and nutritionist to develop new menu

options that provide a choice of great tasting food while meeting its guests’ nutritional

needs” (Burger King, n.d). Nevertheless, the visitors of Burger King’s website can have a look

at the nutrition facts and ingredients of the meals. Commonly, customers like the look of the

meal they order in terms of taste as well as visual appeal. Hence why Burger King has a lot of

meals where the customer can customize them the way they like them to be. On the other

hand, Burger King declares that value is an important element for its customers that can

help them make their choices. By providing a good value, BK provides quality, too. (Burger

King, n.d).

The matrix shows that Burger King has the preference in terms of taste. Wendy’s, which is

one of the main competitors of BK, comes next while McDonald’s after both of the two

corporations. The reason for that would be that Burger King makes delicious burgers by

using unique recipes and the best materials, along with fresh food with real ingredients that

provide the best tasting food. In addition, a research has shown that the percentage of fat

and sodium in BK’s burgers is higher than both of McDonald’s and Wendy’s (Oracle’

ThinkQuest, n.d). Moreover, BK has an active programme of sensory testing to ensure that

they meet the expectations of its customers of great tasting burgers (Burger King, n.d). In

terms of nutrition, Wendy’s is the best. For instance, the percentage of protein in the

cheeseburger is 25 while BK is 23 and McDonald’s 15. Not to forget that Wendy’s has the

lowest percentage of fat in their burgers than both of BK and McDonald’s (Oracle’

ThinkQuest, n.d). BK provides quality for a good price. Additionally, BK’s burgers have the

best visual appeal. Its management has a great sense of creativity. McDonald’s menu,

however, is the less expensive (Fast Food Menu Prices, 2013). On the other hand, the items

in Wendy’s menu are more expensive than Burger King (Fowler, 2012). However, the burger

sales are down at both of Wendy’s and McDonald’s while at Burger King it is the opposite.

The earnings of BK in the first-quarter were higher than both of McDonald’s and Wendy’s as

BK earned $35.8 million, approximately (McBride, 2013). Customers want their meals to be

delivered as fast as possible as naturally people do not like waiting when they are hungry.

Whether for an inside or outside delivery, Burger King serves their customer as fast as

possible. When it comes to home delivery, in 2012, Burger King seemed to take the idea very

seriously as it was looking for reclaiming its second spot behind McDonald’s in the fast food

chain (Tice, 2012). At the present time, BK wants from their customers to enjoy the

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convenience of its delivery to them. Moreover, BK gives its BK Loyalty Program members a

special treatment by providing tempting offers when they

order. Burger King has the human capital and the

sophisticated tools to achieve what requires to be done. In

terms of hospitality, BK trains and developing its employees

by providing them training and developing programs as

the employees are the public face of its band. Furthermore, BK pays a lot of attention to

diversity as it wants its employees to treat all customers the way they want and prefer as

employees have the cultural knowledge (Burger King, n.d). BK’s employees have the quality

and are flexible to adapting to different circumstances as the training and developing

programs help them with adapting and problem solving (Burger King, n.d). There is a

program that BK provides to its staff which is called Equipment Knowledge program (BK

Careers, n.d). The program is about keeping the employees up-to-date about the latest

equipment and facilities that have been brought in and training them of the way of using

these new tools as Burger King seeks to move forward in terms of flexibility (Restaurant

Services, Inc., n.d).

2.4.5 Prototyping and Final Design

The displayed pictures above present the final product as well as the packaging. The original

burger sandwich will include a half-pound of organic beef, brown bread, cheddar cheese,

lettuce, tomato and mayonnaise. Also, a cheese sauce will be added at the top. However,

the customer can decides whatever he/she wants in the sandwich by selecting from a variety

of the ingredients that Burger King provides, whether he wants a double beef or chicken

burger and any type of sauce that are provided. He can also decide whether he wants a low-

fat mayonnaise or the original type that come with the sandwich. In terms of outside

packaging, Burger King places the sandwich in a pack that has a creative design and easy to

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open. While on inside the restaurant, the sandwich will be placed on a leaflet which is

served on a plastic tray.

Conclusion

In this report we have talked briefly about BK's background history and gave a summary of

their operation, market, product, primary and secondary market plus their stakeholders.

Also the importance of NPD procedure to any company was analyzed. In addition we have

chosen the five stage model to create the NPD procedure. Three ideas were generated

through multiple sources but after screening, only one got accepted.

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