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Research Questions

2. What are the coping mechanisms employed by the


owners/managers/top management to address the
challenges experienced during the pandemic?
3. As franchise business owner/manager/top
management personnel, what are the insights gained
from the experience during pandemic?

Challenges
experienced
by franchise
businesses
during the
pandemic
QUARANTINE PHASE
-Operational expenses
- Low or negative sales
-limited store house opening
- Unemployment
-Problem on logistics
-Overwork employess
- Hesitance on reporting to work
- Sales recovery
- Equipment malfunction
- Equipment malfunction
Guide Questions

a. How was the company’s operation


during COVID-19 pandemic?

b. What is the status of your business


after the community quarantine?
c. Did your sales increased or decreased
during pandemic compared to last year?

d. What are the challenges that your


business faced during pandemic?

e. Did COVID-19 pandemic affect your


profits?

f. Did COVID-19 pandemic affect your


customers?
g. Did COVID-19 pandemic affect your
employees and personnel?

h. Did your business implement health


protocols?

i. How did health protocols affect your


business as a whole?

a. What are the actions that you


implemented to mitigate the challenges
faced during COVID-19 pandemic?
a. What insights or realization have you
gained from running a business in the
middle of a health crisis?

Challenges
experienced
by franchise
businesses
during the
pandemic
E

POST QUARANTINE PHASE


-Gradual increase of sales
-return of employees
-gradual increase of customers with
strict compliance to health protocol
rk
Fig. 1 Challenges experienced by franchise businesses during the pandemic
A

Actually, it is quite chaotic because aside from the fact that we


are chasing for higher sale, we are also facing problems when
it comes to our expenses in the store—how we can
compensate it considering our sales. This problem is also
caused by the restrictions we have, the changing memos and
the changing time schedule of implemented curfews. That is
why the store really needs to be flexible when it comes to
manpower and also on how to manage the cost and expenses
of the store. During the pandemic, people are afraid to take
risks in going outside so it greatly affected the number of our customers
and then the fact that we are not yet used to having
delivery services since these services only boomed during the
pandemic. It could have been different if we have this kind of
service before but we don’t and so in that aspect, we really find
it difficult.)

After the community quarantine, actually we undergo different


phases. During the pandemic we crosscut our manpower since
the store cannot handle to pay a lot of employees which is due
to our decreasing sales. When doing this, we really planned it
very well by incorporating it with our existing standard
operating procedures because there are areas that can be
entrusted only to specific persons and so we really need to be
careful. Some of our employees are pioneering too and are
already familiar with the store and can do multitasking, so we
need to consider that also. In the middle of the pandemic, on
the other hand, people are slowly gaining the confidence to go
outside and the executive orders already allowed us to cater
50% of our customers for dine in and so it really helped a lot.
And as of now, we could see that our sales are gradually
increasing since people already are confident enough to go
outside and also, we could add the fact that it is nearly the end
of the year and people are expecting bonuses from their
respective jobs and that the policies in Digos are not that tight
anymore.
Actually, it is around 2019 when the pandemic really started
and so our sales really decreased compared before. Our
average sale go down at 8% compared to pre-pandemic years
and it is undeniably low. Meanwhile, when it comes to 2019 to
2020, it started to increase up to 20% and then from 2020 to
2021, it already increased to 50 to 60 percent if we will base it
on the previous year.

Our first challenge is our logistics because most of our suppliers are from
Davao and then during the pandemic, there are very tight rules when
going inside and outside of one place to another and in transporting
goods and there is also an existing pork barrel issue that time. Another
problem is how we can manage our finances when it comes to expenses
especially when it comes to labour cost pay because our labour cost
cannot be pre-determined and we will only know if what we pay our
employees are enough and was aligned with the trend of our sales by the
end of the month. Another challenge is how we can manage our labour
force without overworking our employees. So mostly, our problems that
time are human resource related. And in addition, we faced challenges
too on how to gather and boost our sales.

Yes.

Yes.
Yes.

Yes.

Actually, it has both negative and positive sides. In terms of the positive
side, the health protocols helped us in a way that it prevents and protect
us from acquiring the deadly virus. However, its negative side really
affected us because it limits the number of customers that we could cater
and the additional work on changing the setup of the store for us to abide
to the social distancing protocol. We also acquired extra cash
disbursements because we need to provide alcohols and other required
stuff. Even though this is actually essential in nature, if we compare it
before the pandemic, it is not really required for us to provide this kind of
stuff.

Actually, when it comes to mitigating our challenges, the things that


helped us really are our product which are the foods that we offer and our
partnerships with other companies because aside from the fact that they
are providing us with delivery services, they also helped us when it comes
to marketing our stores. We boosted our social media presence too by
doing promotional campaigns and ads since people nowadays are mostly
online and we launched promos too. In terms of internal problems, we
really tried to manage our expenses well like we really evaluate our
finances carefully by changing it from monthly to weekly evaluations so
we can know how much manpower we need on the following week. And
also, we really crosscut our employee to lessen our labour cost.
One insight is that you really need to be creative when it comes to
advertising your store because during the pandemic a lot of businesses
offering cheaper products or goods arise. There are a lot of competitors
so you need to be creative when it comes to marketing your product and
at the same time, you really need to use your management skills when it
comes to finances, to marketing, and to human resource.

POST QUARANTINE PHASE


-Gradual increase of sales
-return of employees
-gradual increase of customers with
strict compliance to health protocol
anchise businesses during the pandemic
Partic

Our operation during the pandemic is really low


that it resulted to negative sales versus our target
sales. Fast food industries are really affected by
it since it is meant to be visited by customers
physically.

There was a 30% increase on our sales after the


quarantine period because people are slowly
going outside. It is really a great help that the
quarantine was lifted.
It really decreased.

Our challenge really at that time is to ensure that


the people we hire and allow to work are healthy
and that the people we assigned to serve on a
specific day will really show up. It is difficult when
unwanted events happened and our workers
came from a place where there are cases of
COVID-19 positive since he or she, whether we
like it or not, cannot be permitted to work. We
cannot risk it and it is hard for us to manage our
already limited manpower.

Yes.

Yes.
Yes.

Yes.

The health protocols, amongst all, really affected


our sales. This is because some of our
customers are not allowed to get inside the store
without having their facemasks or face shields
on. Then some of them really are hard-headed—
forcing their ways inside the store but since we
are trying to abide with the health protocols, we
need to sacrifice our sales and restrict them from
getting inside.

The actions we have taken really are just strictly


following the rules as well as the health protocols
given by the local government unit. Through this,
we were given a certificate from the LGU stating
our exemplary efforts in maintaining social
distancing in our stores which made us become
qualified to cater more customers for dine in.
My realization is that during health crisis
everything is really affected, the business, the
customers, all are affected. So that is what
makes it challenging.

Partnership with
food delivery
services.

coping mechanisms
to address the
challenges
experienced during
the pandemic

Strict compliance
with implementing
guidelines
highlighted by LGU
Strict compliance
with implementing
guidelines
highlighted by LGU
Participants

Uhm… Thank God we did not experienced any zero amount in our
operarions though at that time, it really decreased. But still, it was okay.

At that time, during pandemic, when it was the peak of the pandemic, our
sales are fluctuating if ever we lost one of this side, I’ll give you an
example. If we have no customer on our front counter, those customers
will utilize the delivery option to order and some may utilize the drivee
thru, because of that it has less impact, it is not that big of an impact
when it comes to the food industry specially that food is a need so we all
did not go down economically. Also, McDonald’s is already known to
deliver food products. That is one of the advantages on my work as a
manager at that time. The pandemic did not have that much impact to us,
there is a small impact but we cannot feel it affecting the business, we did
not have any difficulty in the operations during pandemic compared to
other food industries because even you know right? Personally, you can
also say that McDonald’s is…. even in the middle of pandemic it can still
survive because it is well-known and it rooted already. That is, it.
It has an impact but it was just a small amount like 5% to 10%. But as I
said, people have different choices, they can choose the delivery if they
don’t want to go to the store, right? Then can also have the drive thru if
you have a vehicle, then you can choose the drive thru. People will not
interact when they choose such options. That is why only 5% to 10%
decrease in sales was experienced by the business when pandemic
stroked. It can reach the dividend; it is not that high because the
customers are also suffering bit it also is not that small for, they can
choose whether through delivery or drive thru. It didn’t have that much of
an impact since it really decreased but the decrease is also not that high.

We felt it in the manpower, there is a lacking in the manpower during the


first month of the pandemic. It’s because some of the crew will say that,
“Sir, I can’t go to work today because my mother won’t let me come to
work”. There are some instances like that and we can’t do anything
against it. Uhm, yes there is a decrease in the manpower at that time but
it is still manageable.

Yes.

Yes.
Yes.

Yes.

During the peak of the pandemic, there is really a need to have a CCTS
for the customers. There are times where there are customers that does
not have CCTS that is why we can’t allow them to enter the store
specially at that time where face shield are also needed. There is a huge
effect in the company at that time because there are COVID protocols.

[1] Well for us, we have our own guidelines that we follow aside from the
executive order given by the city government. We really have this what
we call as, I forgot the term, but it is a set of guidelines from Manila that
all the stores must follow. That is what we consider as our safety
protocols, all of it. On the peak of the pandemic also, our main store in
Manila sent us face shields, face masks and our bar pins. They really set
protocols and that is how McDonalds fought COVID-19 that time. We
also received free vaccines. That's it. [2] We really have actions taken
since we all experienced the new normal, right? In the new normal, we
did a lot of changes in our strategy like how we use our uniforms. We
really encourage our employees to wear their uniforms when they are
already at the store especially for those who need to take public vehicles
when going to work. Their uniforms must be secured in a white trash bag
for them not to take the virus from the vehicles or from the other
passengers. That's it. There really are changes but fortunately now,
everything's slowly going back to normal. The kids and the elderly can
now get inside the store without any problem.
Actually, my insights really are that the worker's health is very important
because they serve as the bread and butter of your store. You cannot
really run your shift as a manager without the employees. That is my
insight—that we really need to take care of our health because if we are
not healthy chances are we cannot do our jobs and our families would
suffer in return

Partnership with
food delivery
services.

coping mechanisms
to address the
challenges
experienced during
the pandemic

Strict compliance
with implementing
guidelines
highlighted by LGU
Strict compliance
with implementing
guidelines
highlighted by LGU

Fig. 2 Coping mechanisms to address the challenges experienced during the pandemic
D

[1] The most affected is our store hours. Instead of 24 hours, there is a certain time when we open for
only 8 hours a day. I think it opens from 9am to 5pm, it depends on the curfew because there are
times when the curfew is early. Our store hour is affected, our sales also fell… [2] It is the sales,
almost half or more… 1/4 of the sales were lost. [3] The crews are also struggling because they can
only work once in a week. [4] Their duties are limited, instead of 5 duties in a week, it became twice or
once a week. And then we are cutting off our manpower, although some are willing to take a rest or
gave way to those other workers who needed it most, we had to do some cut offs because of our store
hour. We also suffer stock spoilage because we are not able to sell them all. Our delivery is affected
also, only once a week. We order a certain number of stocks, then if it cannot be fully sold, it is already
our loss. We cannot recover any from the breads, the patty will be stocked longer, but as for the
breads, it were spoiled. We experienced a significant number of losses from the business during
pandemic. Actually, we were closed for how many days, so the crews also had no income.

[1] Actually, we are slowly opening our store. When the community quarantine was lifted, we opened
for 12 hours, we did not try to open for 24 hours that time. [2] We followed the curfew here in Santa
Cruz, if they said 8pm or 9pm as closing hour, we follow it. [3] We just open our store for 24 hours last
December 1 because it is Christmas season. Then, our crews are slowly returning back to their normal
number of duties. Our store in Malita still cannot operate for 24 hours because it is still prohibited by
their LGU (Local Government Unit), but here in Santa Cruz it is not.
[1] Last 2020, we lost about 50% … from March to May, our sale is almost 30% to 40%, so the trend
fell up to 60%, more than half of our sale was lost at that time. We tend to compensate our loss when
approaching “ber” months of 2020. In 2021, the business was somehow profited well, but not like
before pandemic. In 2021, we were up to 70% of the sales as compared pre-pandemic sales. [2] It
lessens because before Minute Burger performs well during midnight, but people now are not used to
go out late, those who drinks liquor at night, they are mostly our customers. Night life was gone like
disco bars and the likes, and since they are gone, our sales lessen during the night. Also, those
people who work late at nights are gone. During the day, it seems like we are going back to our
average sales, but at night, our sales are still low people are not used to go out because they are
scared.

[1] Actually, in general, the most challenging is how to recover our sales… [2] We are more vigilant
nowadays, starting from our counter, we have covers, the cash is not directly handed to our crews, we
have alcohol, there are changes that happened since we are not allowed to have a close contact to
our customers. We always follow the safety protocols to protect our health. Those are the changes
that becomes the new challenge for our crews. [3] It is risky in their part, although they are fully
vaccinated, they still have the chance to be infected. [4] As a staff, we find it hard how to handle
customers because our crews have different approaches to them, customers also have different
attitudes… (insert quotation 1)… there are customers that are hard-headed or stubborn… (insert
quotation 2)… so it is a challenge to the crew. The customers are hard to instruct sometimes because
not all are educated well. It is a challenge for us on how to explain to them the new rules and
guidelines and safety protocols because of the pandemic. There are many changes and our approach
to them now differ as to how we approach them way back pre-pandemic, we just want to be safe.

Yes.

Yes.
Yes.

Yes.

It is an additional cost, of course we have to provide alcohol, bleach for cleaning, mask and everything
for the PPEs for the staff. Then, the way they handle customer a little different than usual. They used
to chitchat with the customers, but because of the health protocol, it is prohibited. They are friendly,
but they cannot showcase it more because it is not permitted due to the possibility of them being
infected if ever there is a customer who is positive.

[1] First, we had to put shields and barriers to mitigate. Then, follow the health protocols as always as I
have previously mentioned. [2] We also made a cut on our salaries because we had low sales.
Somehow, we adjusted. It does not matter if we have salary cut as long as we still have a job and our
store will not be closed. [3] We implemented the mandates of our LGU. [4] 1 meter distance, we have
alcohol accessible for use of customers, we also have trays for money to avoid direct contact of the
cash from the customers, and we also have personal alcohol for the crews. [5] The only thing that we
do not have is the temperature check since the customers will not go inside, they are just outside.
I think, firstly, is that we are prepared for any events because we did not expect this pandemic. So
better be prepared what’s coming. It is already here, so, we have to follow whatever the government
dictates because we all did not prepare for this. What comes in my mind is that prior to pandemic we
should have health protocols in place, not just only during pandemic we should wear masks. What we
did now should have been applied before pandemic like mask, it is very important. That’s it, be
prepared with or without pandemic. And you should have spared money or fund because if you have
none, where will you get the money to pay for your employees. Actually, not just in business, but even
personally, you should have a little savings because it is hard to face crisis.

Importance of
creatvity in
marketing

insights gained
Importance of from the
health over experience
employment during
pandemic

Importance of
Health Protocol
observance
Importance of
Health Protocol
observance

Fig. 3 Insights gained from the experience during pandemic


coding phase 1
E
(1) Chaotic due to
problem on expenses
and restrictions brought
by Pandemic
(2 and 3) low or
negative sales.
So, like what I said, during pandemic it is really hard for our (4) limited store
part on how to get the customers since you know that I house opening resulting
work on the main store and our customers before up until from curfew
now is only walk-in customers. We don’t have parking dependency (5)
umployment with the
space for vehicles. The other Jollibee store with drive thru, limited demand of
they operate through drive thru. We are not like the other manpower
Jollibee near the City Hall that has a parking space. In
other words, we cater customers that they can’t cater.

(1 and 2) gradual
increaase in sale.
(3) food delivery is more
in-demand thus food
chain is not highly
affected by the
pandemic (4)Crew are
[1] Status after community quarantine, it somehow back to wark. (5)
increased. It was after quarantine, right? So, people started peope can now go out.
going out of their house. [2] The status during the
pandemic, during the community quarantine is that we
deacresed, somewhat skeletal. We also experienced
skeletal same to others. When it comes to stocks, we also
decreased so that we will not experience over stocks and
to prevent it from being waste materials so we adjusted to
minimal order of materials. We also have TQM. I am the
Service Manager, so in the service, we also minimized the
manpower for it to be enough and allow other emloyees to
work also in equal time. I work for 5 hours same as the
other workers who will also work for 5 hours. Sometimes
we have 2 rest days or 3 rest days to cater all employees.
[1] So percentage, before, since we can’t say the amount,
I’ll use the percentage. We decreased for about 12% in the
(1-5) gradual decreaseof
sales compared to pre-pandemic and when pandemic sale
happened. [2] When we compared it to there is quarantine,
there is an increase by 2% to 3%.

(1) logistics / overwork


employees due to
manpower cross
cutting. (2 and 3)
hesitance to work cause
During the pandemic, our concern at the time is that since by health threats
our store is the first Jollibee store in Digos that started resulting to lacking
manpower. (4)sale
years ago, our main concern up until now is our equipment. recovery/ customer's
Our equipment is used for a long time already that some of handling due to non-
them got defective during the pandemic. We don’t have any observance of health
sales but our equipment got destroyed. Then, during the protocol
pandemic also, we had stocks that got spoiled and turned (5)equipment
malfunction
into wastes. It is quite sad but this is business.

Yes.

Yes.
Yes.

Yes. That is why the customers are also affected. That is


also why we need to implement health protocols because
some customers don’t have CCTS and before, they also
don’t have face shields. Some customers before would say,
“Okay, we will go to the next store because they
accommodate even without face shields.

(1) health protocol


helps prevent and
protect individials from
the virus./Limitation on
It has so many effects to the store, even you can notice it if the number of
you visit the store. We have barriers, we also give face customers (1,4 &5)
mask in our store for the customers as well as to the crew, extra expenses needed
then we also have signages and additional signages to for sanitation and
changes in store's set up
properly implement the health protocols that the (2) sales decrease due
government issued. to restrictions.

(1) Partnership with


food delivery services.
(2,3,4&5) Strict
Compliance of health
protocols and
implementing
guidelines highlighted
by LGU.

Our action is to follow the health protocols. We cannot defy


the government since it came from the government so
there is a possibility that they will stop our operation if we
will not follow their health protocols.
(1) creativity in
advertising and
marketing is a MUST.
(2)health crisis
creates impact on
business operations.
(3)health is
[1] It is really challenging in this situation… [2] It is tiring important above
and difficult during this situation as we got affected by the employment. (4)
pandemic, from being devastated by the earthquake, then Health protocol
observance is
the pandemic and the typhoon. It’s difficult to start again. important. (5) Business
recovery on pandemic
situation is difficult.

Difficulty on
recovery of
business caused
by deep impact
of pandemic.
coding phase 2

A. Quarantine Phase.
-Problem on
operational expenses
- low or negative
sales. -limited store
house opening due to
curfews. -
unemployment due
limited demand of
manpower. -
problem on logistics.
-overwork employess.
- hesitance to report
to work due to health
risk. - sale recovery.
- equipment
malfunction. B.
Post Quarantine
Phase. -
*Partnership with
food delivery services.
*Strict
compliance with
implementing
guidelines highlighted
by LGU
* Importance of
creatvity in marketing

*Importance of
Health Protocol
observance
*Difficulty on
recovery of business
caused by deep
impact of pandemic.
*Importance
of health over
employment

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