Business History:
The business’s industry and sector
Wendy’s Restaurant is part of the fast-food industry.
Their Vision
“To continuously grow stakeholder value by leveraging the strengths of our vibrant, independent restaurant brands”.
How they started
When Dave Thomas opened the first Wendy’s Old Fashioned Hamburgers restaurant, he formed something new and different high quality food prepared with the freshest ingredients, served the way the customer wanted.
Quality was so important to Dave so he put the phrase “Quality is our Recipe” on the logo. Today, the passion for quality is still the number one priority at every Wendy’s restaurant around the world.
When they started
Wendy’s Restaurant started in 1969 with a single restaurant in Columbus, Ohio.
How they have grown over the years
The company, with just about $12 billion in system-wide sales, owns or franchises over 10,000 restaurants.
Who runs the business
Ronald Smith President and Chief Executive Officer
Stephen Hare Senior Vice President and Chief Financial Officer
J. David Karam President, Wendy’s international. Inc.
Production:
Their main product(s) or service(s)
Their main products are Old fashioned combos, old fashioned hamburgers, chicken and fish, garden sensations salads, frosty, hot stuffed baked potatoes, and fries.
The main market they target
Wendy’s Restaurant targets the whole Family and friends.
The supply and demand of one product
There is a large demand for hamburgers using fresh, never frozen beef.
An overview of their productivity
There are more than 6,500 Wendy's restaurants in the United States and in 21 other countries and territories. 1,400 are operated by Wendy's and approximately 5,150 by Wendy's franchisees.
The pricing for main products and services
Their prices are just about right for all products.
Significant fixed and variable costs
Fixed Costs= Wages, rent, insurance, and lease payments
Variable Costs= Materials, utilities, and supplies
Company profits and profit margins
Net profit at the Dublin, Ohio-based fast food chain was $14.1 million, or 16 cents per share, compared with $3 million, or 3 cents per share, a year earlier.
Competition:
Their strongest competitors
McDonalds, A&W Restaurant and Burger Kings are some of their strongest competitors.
Their competitive advantage:
Wendy’s signature hamburger uses fresh, never frozen beef. The Wendy's fresh, made to order menu items allow customers to get their meal exactly how they want it, every time.
Summary:
Comment on reasons the companies have succeeded
Maintain aligned, people-driven culture and values. Attract, retain, and develop top talent. Offer performance driven compensation and rewards. Support independent, relevant, and healthy brands focused on sales growth and profitability.
Comment on possible weaknesses
Some brands may weigh down profits of top performing ones, and sensitivity to market fluctuations.
Provide an overall summary of the business
Wendy's Production Systems Process selection and capacity planning apply an influence to other departments and functions of the organization. Process selection governs staff levels irregular processing requires workers staffed only to serve demand while continuous processing requires consistent staff levels all the time. Capacity planning influences marketing finance and accounting by factoring in day-to-day use of the equipment. Marketing must be aligned to the number of pieces that can be produced within a time frame finance must be able to maintain.
