DUNKIN’ DONUTS

Analysis of the Principles of Management

HISTORY
• In 1946 Bill Rosenberg invested$5000 to start industrial luncheon services.

• In 1948 Bill Rosenberg opened a donut shop named “Open Kettle” in Quincy,
Massachusetts

• In 1950 Open Kettle’s name was changed to Dunkin’ ’’ Donuts

• In 1970 First overseas Dunkin’ ’’ Donuts restaurant opens in Japan

• In 1979 Dunkin’ Donuts opens 1000th Restaurant in USA

• In 1990 2000th U.S. Dunkin’ Donuts Restaurant Opens

• In 1992 3000th U.S. Dunkin’ Donuts Restaurant Opens

• In 2000 Dunkin’ Donuts starts operations in Pakistan

• In 2000 Dunkin’ Donuts opens 5000th International Restaurant

HIERARCHY
PLANNING IN DUNKIN’ DONUTS
Goals
• Open 100 outlets in Karachi
• Increase customer satisfaction
• Expand Sales
• Get Higher Market Share

Plans
• Improve Quality
• Effective Marketing
• Searching for Good Place for Franchising
SWOT ANALYSIS
Strengths
• Reputation for brewing high quality coffee
• Serves nearly 30 cups of freshly brewed coffee each second
• Mails coupons to their customers

Weaknesses
No Weaknesses
SWOT ANALYSIS
Opportunities
• Franchises available.
• The opening of new stores

Threats
• McDonalds gourmet coffee
• In Pakistan, the political and law & order situation
• People want to eat healthier (low calorie/low carbohydrate).
PLANNING
• Process through which organization
defines main objectives and goals.
STRATEGIC PLANS
– Clearly defines organizational goals
– SWOT Analysis
– BCG Matrix
GOALS
Desired Outcomes
THE BCG MATRIX
• Boston Consulting Group Matrix
• Helps Organizations Allocate Resources
• Used in conjunction with SWOT Analysis
• Categorizes Business Units according to Market
Share and Market Growth Rate
• Categorizes Business Units into
– Stars: High Market Share and Growth Rate
– Cash Cows: Low Growth Rate and High Market Share
– Question Marks: High Growth Rate and Low Market Share
– Dogs: Low Growth Rate and Market Share
THE BCG MATRIX
THE BCG MATRIX
• Stars
– Donuts
• Boston Kreme
• Chocolate Sprinkle

• Cash Cows
– Munchkins

• Question Marks
– Mini Pizza

• Dogs
– Bagel with Cream
THE BCG MATRIX
LEADING PROCESS
• Leadership is processes in which mangers motivate
their subordinates in order get the most out of them.
• The factor that is considered to be the most important one
throughout the world is the presence of interpersonal skills in
the leaders.
• The human interaction plays an essential part in influencing
the human behavior
• Every organization in Pakistan has their own way of leading :
Some stick to the highly professional approach where they
are highly goal oriented
In some organizations the leaders have the fatherly concern
where along with supervising the people on work, they also take care
of subordinate’s off-the-work life.
LEADERSHIP AT DUNKIN’ DONUTS:

• Usually the leadership in the organizations is all about

being the first one, the most powerful and the biggest one
but the trend that has been followed in Dunkin donut
revolves around the effort in setting the direction and
influencing people to follow that direction.
• The ability to analyze information and make decision and
he also possess the ability to judge his own performance
through self evaluation forms for the self appraisal and also
take feedback from the subordinates through these
appraisal forms.
• The employees who fulfill their monthly, quarterly and
yearly targets get different kind of incentives and
sometimes even a promotion for showing high efforts
performances this help them to motivate their employees.
 LEADERSHIP AT DUNKIN’ DONUTS:

• The mode of communication used at Dunkin’ Donuts is the

world call telephones at every shop and office that makes
the communication between the workers and the manager
at the head office easier and effective
• The leadership style that is used at Dunkin’ Donuts is
autocratic where the leader makes the decision and
everyone has to follow it. They are using the same policy
since so many years so it is considered to be the most
effective one.
• Dunkin’ Donuts highly appreciates the cross
functional team approach as it enhances the
capabilities of every single individual which in turn
affect the organization progress.
 THE ORGANIZING PROCESS
• The arranging and structuring work to accomplish
organizational goals is known as organizing.
• Organizational structure is the formal arrangement of jobs
within an organization.
• Organizations don’t have identical structures. Different
organizations do different tasks, so they have different
generic models of organization design
• Managers are finding that traditional designs are often
aren’t appropriate for today’s increasingly dynamic and
complex environment.
• Managers are finding creative ways to structure and
organize work.
THE ORGANIZING PROCESS
• At Dunkin Donuts the decisions making
takes place at upper level.
• Dunkin Donuts is a centralized
type organization.
• Dunkin Donuts has organic structure.
• Dunkin Donuts follow Team structure
• Dunkin Donuts is learning organization
CONTROLLING PROCESS
After the goals and plans are set, Tasks and
structural arrangements are made , people are
hired, Trained and motivated, there has to be
some evaluation of whether the things are
implemented. To ensure that goals are being met,
managers must monitor and evaluate
performance. This is called “Controlling”.
 CONTROLLING PROCESS AT DUNKIN DONUTS

• Dunkin Donuts Performance management focuses on what

techniques and methodo0logy is involved in controlling the
Organization. It is the natural process of Organization and basically
called the one of the six sigma.
•This method can be described as a Comprehensive process
starting from monitoring and developing Desired Characteristics to
Value company’s progress and rewarding employees for their
achievements.
•It points out any shortcomings of either’s company’s staff or
Business plans and helps to take appropriate corrective actions.
•Controlling process also helps managers to provide certain
Guidelines of what they expect and what the employees need to
accomplish.
CONTROLLING PROCESS

Quality Control is one of the most important parts

in Organization Controlling Process. During this
Quality Control Process, the Organization divides
the whole production processes in to smaller and
simpler processes to identify the points where
inspection review is necessary.
Dunkin Donuts mainly focuses on the
satisfaction of the customers and therefore, Quality
Control is necessary to provide efficient service.
 Quality Control(Continued)

•The process which involves in Quality Control is

by sending a person to different outlets of Dunkin
Donuts for the Inspection of the products.
•The main Strategy of controlling the Work tasks of
Dunkin Donuts is using “Cause and Effect” method.
• Through this process company Identifies the
issue and then divide it in to different
Departments and tries to resolve that issue.
 CONTROLLING PROCESS
•There are different cultures present in Dunkin Donuts
Market Strategy, which are continuously adapting new
Technologies to satisfy the Demands of consumer needs.
•Dunkin Donuts is keeping the factors such as Age,
Income and most importantly the lifestyle of the
customers to succeed in such a competitive market. To
control this situation Dunkin Donuts have
Implemented several changes to attract customers .
•Like their many Restaurants are looking for Centralized
kitchens to increase the Profit and reduce the cost.
 (Continued)

•It also monitors the speed of it’s employees service

in providing quality products to their Customers.

•Dunkin Donuts Empowers by controlling it’s

Departmental Teams to satisfy their guests and
fulfill their all needs in a friendly manner.
HUMAN RESOURCE MANAGEMENT
Overview of Company
• Private
• Largest Chain in Coffee and Baked
goods Long Term Goals
• To Become Diversified Company
• Recruit Highly Productive People
HUMAN RESOURCE MANAGEMENT
Parts of HRM Process at Dunkin’ Donuts
• Recruitment
• Selection
• Application Process and Evaluation
• Short Listing & Interviewing
• Hiring
• Training
Performance Management
• Compensation and Benefits
• Career Development