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INTRODUCTION
Domino’s Pizza is an American restaurant chain and international franchise
pizza delivery corporation headquartered at the Domino Farms Office Park.
Domino’s Pizza was founded in 1960 by a man called Tom Monaghan whose
original goal was to open three pizza delivery stores. That’s why there are
three dots on Domino’s Pizza logo. However, in 1978 the 200th Domino's
store opened. Tom Monaghan launched Domino's Pizza Malaysia in September
1997. Today, Domino’s pizza is having more than 8,500 stores at all around
the world and making a profit of USD35 billion per year. Domino's Pizza is
the recognized world leader in pizza delivery operating a network of
company-owned and franchise-owned stores in the United States and
international markets. Domino's Pizza's Vision illustrates a company of
exceptional people on a mission to be the best pizza delivery company in
the world.
EXECUTIVE SUMMARY
Starting in 1960, Domino’s Pizza, Inc. (Domino’s) was formed from two
brothers from Michigan. The two started the business after purchasing a
store named DomiNick’s. They converted the name to Domino’s five years
later. In 1983, Domino’s went international. Today, Domino’s employees have
about 10,500 people in their 8,700 stores worldwide. The company has been
traded on the NYSE as DPZ since 2004. The pizza industry is a highly
competitive and mature market. There are many pizza makers ranging from
local pizzerias to international franchises such as Domino’s and Pizza Hut.
With the current health kick in today’s society as well as economic
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downturn, many companies are being forced to make healthier, cheaper
products. Many other companies are introducing salads into their menu. The
popularity if the Internet as well as mobile commerce is transforming the
original ways of ordering a pizza.
Within the Domino’s company, there are many characteristics that make it
stand out from other companies. Domino’s carries an extremely strong brand
image. They are able to retain customers because of their image. However,
the decline in the economy has forced many customer to hold back in their
spending, resulting in lower revenues. Nevertheless, Domino’s could use the
expanding growth in the fast food industry in China and India to their
advantage. But with new markets comes new competition, which is a threat to
Domino’s. Domino’s compete with both fast food companies such as
McDonald’s, as well as other pizza markers like Pizza Hut or Papa John’s.
PURPOSE
The purpose of this report is to describe the system in online ordering of
Domino’s pizza. What kind of systems that they are using and how they use
it. Then, to identify and describe all of the business processes for the
online ordering system and know whether the system help the Domino’s pizza
improve their business performance or not. In other hand, the report will
also figure out how the systems can give huge amount of improvement to the
Domino’s and how competitive of that systems really are in order to make
the company a competitive edge.
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METHODOLOGY
Methodology is the process used to collect information and data for the
purpose of making the report. The methodology may include publication
research, interviews, surveys and other research techniques, and could
include both present and historical information.
For this report, we collect the information from literature survey as the
secondary data and data collecting and sampling as primary data. For the
literature survey, secondary data are being reviewed initially through the
sources such as commercial abstracts, bibliographic databases, and internet
search engines. Next, the primary data are gain through data collecting and
sampling from an online survey. This is conducted due to get more
information about the historical record of the company, the process of
ordering system and other information. The survey will collect quantitative
data on overall of the company from the establishment until development of
the company.
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PROCESS
DOMINO’S ORDERING SYSTEM
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INPUTCUSTOMER ORDER
(TYPE OF PIZZA, PIZZA INGREDIANTS & DELIVERY LOCATION)
PROCESSCOLLECTING
DATA (CUSTOMER
INFORMATION INCLUDE CUSTOMER NAME,
ADDRESS & PHONE
NUMBER)
OUTPUT(CUSTOMER BILLS,
TIME ORDER & CUSTOMER FEEDBACK )
QUESTION
1) Describe the system. Identify and describe the business processes.
Describe the inputs, process and outputs of these systems.
Transaction processing system which is the ordering system is the point of
sale system captures purchase and payment data at a physical location where
goods or services are bought and sold using computers, automated cash
registers, scanners or other digital devices. The inputs, customer orders
that describe the type of pizza crust, pizza ingredients and toppings, side
orders, and delivery location data. Next, the processes, data update the
system's database by collecting data of customer such as the name of
customer, the address of the customer and also the phone number of
customer. Then, the outputs, as the customer received their order, they
will also receive the receipt that include the item of things that they buy
from domino’s, the time they make order, also the feedback from the
customer.
2) How do these systems help Domino's improve its business performance?
Domino’s proprietary point-of-sale system, Pulse, is an important asset in
maintaining consistent and efficient management functions in each of its
restaurants. Those stores using Pulse reported improved customer service,
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reduced mistakes, and shorter training times. Pulse performs some functions
like touch screen interface, maintaining sales figures, compiling customer
information and delivery driver routing system that makes the employee
easier to take an orders. Furthermore, Domino’s proprietary point-of-sale
systems can captures purchase and payment data at a physical location,
Goods and Services are bought and sold, computer, automated cash registers,
scanners or other digital devices It’s clear from industry analysts that
the technology is working to cut costs and increase customer satisfaction.
Then, this kind of follow-up can relieve any possible feelings of buyer's
remorse and reinforce the positive feelings about their business and
domino’s customers had when the customer originally bought from Domino’s.
Intranets and Extranets help Domino’s pizza integrate information, improve
its business performance and their business processes when intranets and
extranets share the same technology and software platforms as the Internet,
they are easy and inexpensive ways for companies to increase integration
and expedite the flow of information within the company (intranets alone)
and with customers and suppliers (extranets). They provide ways to
distribute information and store corporate policies, programs, and data.
Both types of nets can be customized by users and provide a single point of
access to information from several different systems. Businesses can
connect the nets to transaction processing systems easily and
quickly. Interfaces between the nets and TPS, MIS, DSS, and ESS systems
provide input and output for user online pizza ordering system. Although
the main competitors of Domino, which is Pizza Hut and Papa John’ have
online ordering capabilities, they still lack of Pizza Tracker technology
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and simulated pizza features that have been implemented successfully by
Domino’s.
3) How did the described system improve the process?
The online pizza ordering system improves the process of ordering by rolled
out its state-of-the art online ordering system, which includes Pizza
Tracker. The system allows customers to watch a simulated photographic
version of their pizza as they customize its size, sauces, and toppings.
The image changes with each change a customer makes. Then, once customers
place an order, they are able to view its progress online with Pizza
Tracker. Pizza Tracker displays a horizontal bar that tracks an order’s
progress graphically. As a Domino’s store completes each step of the order
fulfillment process, a section of the bar becomes red. Even customers that
place their orders via telephone can monitor their progress on the Web
using Pizza Tracker at stores using Pulse Evolution. In 2010, Domino’s
introduced an online polling system to continuously upload information from
local stores.
The system allows customers to watch a simulated photographic version of
their pizza as they customize its size, sauces, and toppings. The image
changes with each change a customer makes. Then, once customers place an
order, they are able to view its progress online with Pizza Tracker. Pizza
Tracker displays a horizontal bar that tracks an order’s progress
graphically. As a Domino’s store completes each step of the order
fulfillment process, a section of the bar becomes red. Even customers that
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place their orders via telephone can monitor their progress on the Web
using Pizza Tracker at stores using Pulse Evolution.
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Figure 1.1 : The Domino’s Pizza Tracker.
Question 4: How effective are these systems in giving the company a
competitive edge? Explain.
The system that the company used is ordering system, management information
system and decision support system. Competitive edge is the ability of an
organization to produce goods and services more effectively than
competitors do, thereby outperforming them. This means they must stay ahead
in four areas: being responsive to customers, innovation, quality, and
efficiency.
The better processes that the companies have make them becoming sources of
competition strength because the system enables the company to innovate and
implements the operation more rapidly than the other competitors. The steps
inside the business process of the company are automatic which change the
information’s flow and this enable more people to access and share
information among others. The technology is also supporting new business
models like the online pizza ordering system. Although the main competitors
of Domino, which is Pizza Hut and Papa John have online ordering
capabilities, they still lack of Pizza Tracker technology and simulated
pizza features that have been implemented successfully by Domino’s.
.
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CONCLUSION
Stepping into the world of modernization, majority of the services are
being computerized and programmed in a specific system to simplify and
reduce labour work. It is a wise decision for Domino’s to adopt online food
ordering system due to its convenience and user friendly.
Domino’s website which provides online ordering also have saved profile of
signed up customers, including full name, contact number and also complete
address for delivery. It prevents mistakes of jotting down the details if
customers order through phone call. Besides, Domino’s have also kept a
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record of previous orders so that customers can refer to previous selection
of their favourite pizzas.
This online ordering service will undoubtedly attract more customers
because Domino’s allow customers to place an order via internet today and
request for delivery on another day. The delivery time is also available at
any time according to customers’ needs from 11.30am till 11.30pm.
Another great service provided in online ordering service is Domino’s have
specifically engineered the “Great Pizza Service Tracker” that provides
customers an up-to-date status from the moment customers place orders to
the moment the pizza leaves the store. The status starts from order placed,
preparing, baking, boxing, packing, ready for delivery, and lastly the
pizza is ready for delivering.
In conclusion, Domino’s has successfully keeps their customer loyal is
partly due to the wide usage of online food ordering service. This service
has not only minimize mistakes while placing an order, it has also provides
maximum satisfaction for customers during the selection of food.
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RECOMMANDATION
According to our research about Domino`s Pizza, several recommendation are
advised to be considered by the company to improve their services and
operation performance:
Planning
Domino`s company needs an effective advertising structure or plan and also
need new innovative ways in ordering pizza. In this case it will improve
customer relations. The domino`s company needs to increase the speed and
efficiency of pizza making, therefore means that they can cope with larger
amount of customers and having long customer relations.
Performance management
Domino`s company should check how the employees are doing for example how
they analyse the performance of the company. Employees are required to
interface directly with the customers to improve better understanding;
another thing is that the employees need to make certain decision in the
company rather than waiting to be told what to do and how to do. For
Domino`s to be successful, the employees need to work hard so that they can
reach the objective the company. I will recommend the employees should be
made happy for example, good working condition and to be treated fairly.
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REFERENCE
1. Information Technology. (6 January, 2012). Retrieved 10 November, 2014,
from http://www.ukessays.com/essays/information-technology/online-
ordering-system-dominos-pizza-is-using-information-technology-
essay.php#ixzz3JNh0X36s
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2. Corporate Miles Stones. (18 June, 2013). Retrieved 12 November, 2014,
from http://www.dominos.com.my/corporate/corporatemilestones_my.aspx
3. Journey of Dominos Pizza. (20 August 2011). Retrieved 12 November, 2014,
from https://prezi.com/hvs6lcpjp09n/the-journey-of-dominos-pizza/
4. Domino’s Pizza. (14 December 2013). Retrieved 14 November, 2014, from
http://www.dominos.com.my/
5. Domino’s MIS. (10 September 2013). Retrieved 15 November, 2014, from
http://www.slideshare.net/patilvrushali/dominosmis
6. Kenneth C. Laudon, J.P. (2012). Management Information Systems, Twelfth
Edition. PEARSON.
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