BURGER

KING

PRESENTED BY :-

INTRODUCTION
Burger King's first restaurant, originally called Insta Burger King, was opened on December 4, 1954 in a suburb of Miami, Florida, USA by James McLamore and David Edgerton, who were both alumni of the Cornell University School of Hotel Administration. McLamore had visited the hamburger stand belonging to Dick and Mac McDonald in San Bernardino, California; being able to sense potential in their innovative assembly line-based production system, he decided to create a version of his own. In 1967, Burger King was bought by Pillsbury, which was bought by Grand Metropolitan PLC of Britain in 1988.

INTRODUCTION CONTD
Second largest fast food hamburger chain in the world. Fourth largest Fast Food Restaurant Chain. BURGER KING brand launched the HAVE IT YOUR WAY marketing campaign in 1974. Budapest is home to the largest BURGER KING restaurant worldwide. On May 18, 2006, BK became a publicly traded company listed on the New York Stock Exchange under the symbol "BKC". Largest Selling Product, The Whopper.

EVOLUTION OF LOGOS

1957 1968

1969 1994

1994 1999 1999 present

MILESTONES
1954: James McLamore and David Edgerton establish Burger King Corporation. 1957: The Whopper is launched. 1958: BK releases its first TV advertisement. 1959: The company begins to expand through franchising. 1967: Burger King is sold to Pillsbury. 1977: Donald N. Smith is hired to restructure the firm's franchise system.

MILESTONES CONTD
1982: Burger King claims its burgers taste better than its competitor's [McDonald's and Wendy's] fried burgers. 1989: Grand Metropolitan plc acquires Pillsbury. 1997: The firm launches a $70 million French fry advertising campaign; Grand Metropolitan merges with Guinness to form Diego plc. 2002: A group of investors led by Texas Pacific Group acquire Burger King. 2006: BKC, with the same stock symbol, goes public in an IPO.

MISSION
"We will prepare and sell quick service food to fulfill our guest's needs more accurately, quickly, courteously, and in a cleaner environment than our competitors. We will conduct all our business affairs ethically, and with the best employees in the midsouth. We will continue to grow profitably and responsibly, and provide career advancement opportunities for every willing member of our organization."

VISION
They proudly serve the best burgers in the business, plus a variety of real, authentic foods - all freshly prepared - just the way you want it! BURGER KING Corporation operates more than 11,000 restaurants in all 50 states and in 60 countries around the world. 90% of the BURGER KING restaurants are owned and operated by independent franchisees, many of them family-owned operations that have been in business for decades.

STRATEGIES
Opened prototype for future restaurants in Reno, NV in April, 99. Includes new color scheme (blue instead of tan & brick), different style interior, open kitchen to show off flame-broiled cooking, and added virtual fun centers to play areas that provides electronic interactive games.

STRATEGIES CONTD
Menu would remain the same, but new cooking units would provide opportunity to add new items, including thicker patties.

Heated cabinets would replace heat lamps, microwaves, and holding chutes.
Company expects that stores would boost average unit sales to $1.6 million (annual) from the current $1.15 million (and above McDonalds current of $1.5 million)

COMPETITORS
MC DONALDS WENDY SONIC SUB WAY TACO BELL

INTERBRAND BRAND VALUE COMPARISON

COMPARISON CHART
Main Food items
McDonalds
-Big Mac Happy Meals -Breakfast Menu -Whopper -Whopper Jr. -Breakfast cinni Mini Baked Potato Chili -first to have salad options -Breakfast all day Slushes and drinks

Selling message
-Im loving it -fun

Specialties Other
-Wi-fi -Playground -Charities include Ronald McDonald House

Burger King Wendy's

-Have it your way

-Playground

-quality

-Different sides such as bake potato or Chili -Slushes -Car hops

-charities include Dave Thomas foundation for adoption

Sonic

-Americas Drive in

MARKET SHARE 2002 vs 2007

2002 MKT. SHARE McDonalds 7.8%
Burger King 3.6%

2007 McDonalds

MKT. SHARE 7.3%

Burger King 3.0% Wendys 2.4%

Wendys

2.1%

Pizza Hut
Taco Bell

2.1%
2.2%

Subway
Taco Bell

1.9%
1.9%

SIX SIGMA (6)

BILLING. BURGER SIZE. TIME SPAN. SAME TASTE. CONSISITENTLY SHARPENING UP THE SKILLS OF ITS EMPLOYEES.

QUALITY ASPECTS
Burger King's chicken supplier TYSON. Uses CAK (Controlled Atmosphere Killing) In the preparation of its poultry products. Uses Crate free pigs for its pork products. It is the member of the Council of better business bureaus. Has got certification to EFSIS OR BRC

OPERATIONS
During lunch hour, demand increases from 40 to 800 hamburgers/hour. Limited in ability to used inventory . Facilities are designed for flexible capacity. During off peak times drive through staffed by one worker .

OPERATIONS CONTD
During lunch hour drive through staffed by up to five workers who divide up the duties Second window are used for customer with special orders Average transaction time reduces from 45 to 30 seconds Sales during peak periods increases by 50%

BK Restaurant Operation Mgmt.

The key Design parameters of burger King are: PRODUCT PROCESS TECHNOLOGY FACILITY

CONTD
The key planning tasks of Burger King are: SUPPLY DEMAND CAPACITY / WORKLOAD

CONTD
The key control processes of Burger King are: PRODUCTION CONTROL QUALITY CONTROL PROCESS CONTROL

CONTD
The key Improvement processes of Burger King are: QUALITY IMPROVEMENT PRODUCTIVITY IMPROVEMENT SYSTEMS IMPROVEMENT

FLOW DIAGRAM
FINISHED BURGERS

RAW BUNS

BEEF

MATE BUNS

STEAMER

BURGER ASSEMBLY

MICRO WAVE

CHEESE

CONDIMENTS

TOMATOES

ORDER DELIVERY

SUCCESS
BK-50 restaurant is 35% smaller and costs 27% less to build, but can handle 40% more sales with less labor Long Term Image / Goodwill Menu Variety Customer Loyalty

FAILURES
Burger King unable to gain ground in 90s: 1993 total sales were $23.6 billion for McDonalds versus $6.7 billion for Burger King (roughly 28% of McDonalds). 1998 total sales were $36 billion for McDonalds versus $10.3 billion for Burger King (still roughly 28% of McDonalds) Burger King also unable to open as many restaurants (2,700 restaurants in the period between 93 and 98 as opposed to the 10,600 new restaurants opened by McDonalds during the same period)

THREATS
Fast-food industry as a whole is losing market share to other restaurants, including the fast casual restaurants, which offer higher quality food without table service.
Currently, Subway has to be considered the biggest mover in the fast-food industry. They are the fastest growing (now with more restaurants than McDonalds), and with great increases in same store sales over the past couple of years.

MENU

LOCATIONS

LOCATIONS (CURRENTLY OPERATING) CONTD

UNITED STATES (San Juan, Puerto Rico) CANADA EUROPE (MADRID AND SPAIN) EAST ASIA (JAPAN, TAIWAN, SINGAPORE, KOREA) CENTRAL & S. AMERICA (MEXICO),
ETC.

YET TO COME
EASTERN EUROPE BRAZIL MIDDLE EAST AFRICA ASIA (MACAO)

RECOMMENDATIONS
Initiation of the Central Control.
Creation of Brand Character. Try to provide low calorie food.

Expansion of its business.

THANK YOU