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K.F.C is an American based company. It was established in mid fifty when Herland Sanders
conducted business in United States with a prospective Franchises about his colonel Sanders
recipe K.F.C. He has also succeeded in establishing a number franchises in all over the world.
The minority of KFC’s restaurant in Mexico & Poverto Rico were company owned.
However, KFC had established 21 new Franchises in Mexico by the end of 1993. Now it has
nearly 13000 outlet all around the world. KFC is a fast food industry. It is introduced in Pakistan
round about 2 years ago. Firstly, KFC opened in Karachi and then after in Lahore. KFC has two
branches in Lahore, one is Garden Town and other is Cavalry Road.
KFC Corporation based in Louisville, Kentucky is the world’s most popular chicken restaurant
chain, specializing in original recipe, extra crispy and colonel’s crispy strips with home styles
slides. Everyday 8 million customers are served around the world KFC Menu Everywhere
includes original recipe chicken made with the same great taste Harland Created more than a half
century ago. KFC is part of Tricon Global restaurants, which is the world largest restaurant
system with nearly 30,000 KFC.
Harland started LFC back in 1952 at the ripe age of 62. His recipe for the best chicken in
the world was made with a special cooking process and a secret blend of 11 herbs and special the
same secret blend that is used today in KFC original recipe chicken. Today KFC has more than
11,000 units in over 79 countries. Every week nearly 69 million customers come through KFC do
for the chicken.
Objectives
One of the major objective of KFC that they run their campaign in such a
way that KFC creates and image in the minds of customers that customers wants
to go in KFC and will be the first choice for the customers. KFC wants to become
the first choice because its they become the first choice it is excellent for the health
of the KFC business because if business is expands then there is eliminate scope
and the opportunity to get the maximum profit and utility.
ORGANIZATIONAL STRUCTURE
M. D.
G. M.
RESTAURANT
MANAGER
FIRST ASSISTANCE
SECOND
ASSISTANCE
TRAINING MANAGER
FLOOR MANAGER
CREW
LEADER
CREW
CUSTOMER CARE
OFFICER
Culture
Since it as founded, KFC has always shown a profound respect for the cultures and traditions of
all the countries where the company markets its products. It accepts cultures and social diversity
and rejects discrimination based on ethics, religion or on any other grounds. Employees ho work
at the KFCs headquarters’ come from 70 different nations. Culture within the organization is very
professional and yet flexible at the same time. Its policies, rules and regulations and inter
departmental culture is very open. Attitudes, behaviors and working environment are such that it
motivates and encourages other employees to feel comfortable and wanted in the organization. Its
a very friendly yet 30
professional organization. KFC people call themselves a family and thus keep their working
relations accordingly.
The broader the responsibility of a KFC Manager, the more the following specific criteria should
be considered, in addition to professional skills, practical experience and result focus:
• Personal commitment and courage. This includes the capacity and the willingness to take
initiatives and risks as well as to maintain composure under pressure.
• Ability to motivate and to develop people, addressing all those issues that allow others to
progress in their work and to develop their capabilities.
• Curiosity and open-mindedness as well as a high level of interest in other cultures and
life-styles. This also includes a commitment to continuous learning and improving, as
well as to sharing knowledge and ideas freely with others.
• A taste for initiative together with the ability to create a climate of innovation and to
think outside the box. This implies the right to make a mistake but also the readiness to
correct it and to learn from it.
• Willingness to accept change and the ability to manage it.
• Adaptability of thought and deed, taking into account the specificity and the complexity
of the environment.
• Credibility as a result of coherent action, leadership and achievement.
• International experience and understanding of other cultures.
Organizational Structure And Design
The kfc policy is to hire staff with personal attitudes and professional skills
enabling them to develop a long-term relationship with the Company. the
organization have certain rules and policies that all the managers and staff have to
follow while working and maintaining relationship with their colleagues
Some of the rules that the managers keep in their mind while organizing and
maintaining a proper working environment are:
• A prerequisite for dealing with people is respect and trust. There can be no
room for intolerance, harassment or discrimination of any kind as they are
the expression of an elementary lack of respect. This principle suffers no
exception and is to be applied at all levels and under all circumstances.
• Transparency and honesty in dealing with people are a sine qua non for
efficient communication. Based on facts and on a sincere dialogue, such
transparency is the only solid basis for boosting continuous improvement.
• This is to be complemented by open communication with the purpose of
sharing competencies and boosting creativity. It is particularly relevant in a
flat organisation to convey systematically all information to those who need
it to do their work properly. Otherwise no effective delegation or
knowledge improvement is possible.
• To communicate is not only to inform. It is also to listen and to engage in
dialogue. Every employee has the right to an open conversation with
superiors or colleagues.
• The willingness to cooperate and to help others is a required basis for
assessing potential candidates in view of a promotion.
• In case of discord between an employees and her/his superior or another
employee, the possibility must be offered for a fair hearing. The HR staff
will provide assistance to ensure that the disharmony is dealt with
impartially and that each party has the opportunity to explain her/his
viewpoint regardless of hierarchical position.
Leading
KFC is called a family company. For this company its employees are of vital
importance. They strongly believe in maintaining a stress less, friendly and
encouraging environment within the company. For keeping their employees
motivated KFC has a keeps a balanced working conditions.
• All employees regardless of their backgrounds, nationality, religion and
gender are given equal opportunity to work and progress.
• Other than this work life balance attitude is adapted by the company.
• Understanding the employee’s problems and dealing with them accordingly
is declared mandatory.
• Employees are appreciated and encouraged. Benefits and incentives are
offered to employees on performing well.
• Also gifts are given on eid and other occasion.
• Within the organization parties and celebrations are held to acknowledge
the workers. Employees are taken out on picnics along with their families to
give them a break from the monotonous routine and relax them.
• Different projects are assigned to the employees and they are given
authority to use their creativity instead to forcing them to follow strict
orders.
It is basically the friendly and encouraging environment that has no discrimination
and the feeling of being an important part of the organization that motivates them
to work harder.
Members of the kfc Management at all levels are more concerned with
continuously adding value to the Company than exercising formal authority. This
can only materialize with a high involvement of each employee and a common
mindset geared to results. Contributing to results through project work and special
assignments becomes more frequent, reaching beyond conventional boundaries in
order to contribute to wider group performance. The broader the responsibility of a
kfc Manager, the more the following specific criteria should be considered, in
addition to professional skills, practical experience and result focus:
• Personal commitment and courage. This includes the capacity and the
willingness to take initiatives and risks as well as to maintain composure
under pressure.
• Ability to motivate and to develop people, addressing all those issues that
allow others to progress in their work and to develop their capabilities.
• Curiosity and open-mindedness as well as a high level of interest in other
cultures and life-styles. This also includes a commitment to continuous
learning and improving, as well as to sharing knowledge and ideas freely
with others.
• A taste for initiative together with the ability to create a climate of
innovation and to think outside the box. This implies the right to make a
mistake but also the readiness to correct it and to learn from it.
• Willingness to accept change and the ability to manage it.
• Adaptability of thought and deed, taking into account the specificity and the
complexity of the environment.
• Credibility as a result of coherent action, leadership and achievement.
• International experience and understanding of other cultures.
Controlling
KFC has a very organized and structural system. All departments have heads that
are responsible for all the activities going on there. The basic controlling
authorities at different level of KFC are:
• Board of directors
• Divisional heads
• Management committee
• Executive committee
These are the major controlling people and the decision makers at various levels.
Structural Dimensions
Hierarchy Of Authority
The long-term success of the Company depends on its capacity to attract, retain
and develop employees able to ensure its growth on a continuing basis. This is a
primary responsibility for all managers. The KFC policy is to hire staff with
personal attitudes and professional skills enabling them to develop a long-term
relationship with the Company. Therefore the potential for professional
development is an essential standard for recruitment. Each new member joining
KFC becomes a participant in developing a sustainable quality culture which
implies a commitment to the organization, a sense for continuous improvement
and leaves no place for complacency. Therefore, and in view of the importance of
these KFC values, special attention is paid to the matching between a candidate’s
values and the Company culture.
Moreover, for managerial positions specific leadership qualities and business
acumen will be required. KFC wishes to maintain and develop its reputation as an
employer of high repute. Contacts with universities, attendance at recruitment
events and other contacts are to be undertaken so as to ensure good visibility of the
Company vis-à-vis relevant recruitment sources. Particular care is given to the
treatment of each candidacy regardless of the outcome of the selection process.
Even when promoting employees intensively from within the organization, it is the
role of management and HR to keep an eye on valuable candidates from outside
and to benchmark internal skills with external offers.
Whilst adequate recruitment tools may improve the hiring process, it is understood
that the decision to hire a candidate remains in the hands of the responsible
manager supported by the HR staff. Under no circumstances the decision to hire or
not to hire is left in the hands of an outside consultant or expert.
As mentioned in the KFC Management and Leadership Principles, only relevant
skills and experience and the adherence to the above principles will be considered
in employing a person. No consideration is given to a candidate’s origin,
nationality, religion, race, gender or age. It is as important to hire the right person
as it is to integrate newcomers in the organization so that their skills and behavior
can merge smoothly with the company culture. Whereas from new employees it is
expected to respect our company’s culture, it is accordingly required from all
employees to show an open mind towards new ideas and proposals coming from
outside.
Orientation
Orientation takes place at KFC at two levels. One is for management staff hired to
work at the Head Office and the other is for the non management staff.
• At the head office all the newly hired employees are given full orientation
Arranged by the HR department. Managers from different departments
brief the employees about their departments. Orientation can be for as long
as 1 to 6 months. Employees are also sent at the factories for a month or so.
This helps them in understand the function in a far better way.
• Non management staff is mostly hired in cities other than Lahore so they
are given orientation by the line managers. Their orientation is also done by
giving them the presentation of each department recorded on a CD
containing all the information about the company.
Learning is part of the Company culture. Each employee, at all levels, is conscious
of
the need to upgrade continuously her/his knowledge and skills. The willingness to
learn is therefore a non-negotiable condition to be employed by KFC. First and
foremost, training is done on-the-job. Guiding and coaching is part of the
responsibility of each manager and it is crucial to make each one progress in
her/his position. When formal training programs are organized they should be
purpose oriented and designed to improve relevant skills and competencies.
Therefore they are proposed in the framework of individual development
programs. As a consequence, attending a program is never be considered as a
reward. Adequate training programs are developed at the level of each
Operating company capitalizing on the availability of local, regional or global
resources of the Group.
1. Provident Fund
2. Pension Fund on employee’s request
3. Gratuity
4. Leave Fair Assistance
5. Marriage gift scheme once in a service
6. Baby feeding scheme
7. Annual leaves for 15 working days in a year
8. Casual leave 10 working days in a year
9. Casual leave encashment
10. Medical leave 10 days in a year
11. Medical allowance
12. Hospitalization from panel hospitals
13. Meal subsidy for field staff upto group 1
14. Shift allowance
15. Family day gift once in a year
16. Eid gift on both Eids
17. Company maintained car to group 3.3 managers and above
18. Vehicle Maintenance allowance for Group 2 employees having non field
car loan on production of receipts
19. Relocation package: As per group entitlement
20. Life Insurance: Under group life insurance policy as per group entitlement
21. Hajj Balloting: After 5 years service through balloting
22. Pick and drop service: For factory staff where such facility is available
23. Car loan facility
24. Maternity leaves for female employees
25. 2 pair of shoes per year to only team leaders, engineers & quality assurance
team
26. 2 uniforms per year to only team leaders, engineers & quality assurance
team
27. Bonus as per company policy
28. Incentive to sales staff as per H & O Sales Policy
29. Scholarship Award Scheme
Non- Management Staff
1. Provident Fund
2. Gratuity
3. Leave Fair Assistance
4. Marriage gift scheme once in a service
5. Baby feeding scheme
6. Annual leaves for 14 calendar days in a year
7. Casual leave 10 days in a year
8. Casual leave encashment
9. Medical leave 8 days in a year
10. Meal subsidy for field staff
11. Shift allowance
12. Family day gift once in a year
13. Eid gift on both Eids
14. Relocation package: As per group entitlement
15. Life Insurance: Under group life insurance policy as per group entitlement
16. Hajj Balloting: After 5 years service through balloting
17. Pick and drop service: For factory staff where such facility is available
18. Fair price shop: If available at site
19. Subsidized meal facility for factories if already available
20. Motor cycle loan facility for non management
21. Maternity leaves for female employees
22. Hospitalization though insurance company
23. At least statutory 10-C bonus
24. Attendance allowance
25. 2 pair of Shoes per year: For non management except field staff
26. 2 Uniforms per year: For non management except field staff
27. Incentive to sales staff as per H & O Sales Policy
28. Scholarship Award Scheme