Pizza hut description and HR policies | project report of pizza hut

Institute of Business & Finance, Lahore Pakistan
DiscriptionandHR policiesof PizzaHut
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A PRESENTATION REPORT ON
PIZZA HUT
SUBMITTED TO
MR. SHARJEEL ZUBAIR
SUBMITTED BY:
MIAN MUHAMMAD ZAFAR
PROGRAM:
BBA (HONS)
5TH SEMESTER
DATE OF SUBMISSION:
16 DECEMBER, 2016

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TABLE OF CONTENTS
S. No. Topic Page Number
1 Letterof Submission 3
2 Executive summary 4
3 Introductionandhistoryof pizzahut 5
4 Pizzahut inPakistan 5
5 PizzaHut MissionStatement 6
6 Visionof PizzaHut 6
7 MarketingobjectivesandGoals 6
8 HR departmentof Pizzahut 7
9 HR teamsin Pizzahut 7
10 Policiesof HRdepartmentinPizzahut 8
11 StrategiesadoptedbyPizzaHut 9
12 SegmentationsandPositioning 13
13 HR departmentActivities 15
14 Recruitmentandselecting 15
15 Orientation 16
16 TrainingandDevelopment 17
17 Performance Appraisal 18
18 Separation/Firing 19
19 Recommendations 20
20 How HR policiesrelate to
organizational goals
20
21 Conclusion 22
22 References 23

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LETTER OF Submission
To:
Mr. Sharjeel Zubair,
Lecturer IBF-NUML,
Lahore.
Subject: PREPARATION OF REPORT
We are Hereby Presenting the presentation on Company Pizza Hut and assure you submission
of our report in compliance with the instruction envisaged. Name of topic is repeated for ready
reference please.
“Description & HR policies report on Pizza Hut”
Yours sincerely,
Mian Muhammad Zafar
Date: December 16, 2016

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EXECUTIVE SUMMARY
During the past four decades Pizza Hut has built a reputation for excellence that has earned the
respect of consumers and industry experts alike. Building a leading pizza company has required
relentless innovation, commitment to quality and dedication to customer service and value.
The qualities of entrepreneurship, growth and leadership have characterized Pizza Hut’s
business through more than four decades of success. Through the strength of its heritage, its
culture and its people and franchisees, Pizza Hut looks forward to more success in future.
There are different objectives of every organization. In order to achieve these objectives
different targets are set. Targets pass down the hierarchy depending on the nature of the
business. Therefore, in order to achieve the objectives, management decides on different
strategies. These strategies are divided into many sub-parts and are useful for the running of
the business. The employees and the management know what they have to achieve through
the targets which have been set to them and the strategies they have adopted help them know
the way they will achieve the objectives. Similarly, Pizza Hut has different targets set to them
and they have adopted different strategies to successfully achieve the targets set. These
targets are set by the RSC i.e. the restaurant support centre in Karachi. These targets are
passed on to the RGM (restaurant general manager) and he passes them to the workforce.
These targets fall within the organizational structure in which there are many people who have
different targets to achieve. In order to successfully achieve the targets they need to co-
operate and work in a friendly environment.

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INTRODUCTION & HISTORY OF PIZZA HUT
In 1958, Frank and Dan Carney had an idea for a great local pizza restaurant in Wichita Kansas.
The small 25 seat restaurant only had room for 9 letters on the sign… the building looked like a
hut… so 'Pizza Hut' was born!
Fifteen years later, we opened the first UK restaurant and since then we've become the biggest
Pizza Company on the planet, Let see listen Pizza Hut Story from them!
 1958 Frank and Dan Carney open the first Pizza Hut in Wichita, Kansas.
 1972 1000 restaurants are open throughout the USA.
 1973 Pizza Hut went international with restaurants in Japan, Canada & England.
The first UK Pizza Hut opened in Islington, London.
 1977 PepsiCo bought Pizza Hut.
 1980 Pan Pizza was introduced.
 1982 The UK joint venture started between PepsiCo and Whitbread.
 1984 Over 50 restaurants so far in the UK.
 1986 By now, there were 100 restaurants in the UK and 5000 worldwide.
 1987 An average of one restaurant opened each week in the UK.
 1988 The UK's First Delivery Unit was opened in Kingsbury, London.
 1992 There were 9,000 restaurants in 84 countries.
 1993 There were 300 restaurants and delivery stores in the UK.
 1994 10,000 Pizza Huts were open for business.
 1997 PepsiCo decided to focus on their drinks business. As a result, Tricon Global Restaurants
was born, creating the largest restaurant brand in the World. Tricon became the partner
company with Whitbread.
 1999 Pizza Hut had over 400 restaurants, employing 14000 people.
 2002 Tricon Global became YUM! Brands Inc.
 2006 Whitbread sold their share of the joint venture to Yum! Brands Inc. Pizza Hut UK Ltd was
now 100% owned by Yum!
 2008 We bought Godfather's Pizza in Ireland with 28 stores.
Pizza Hut in Pakistan
 Pizza Hut initiated its operations in Pakistan with its first restaurant way back in 1993 in Karachi.
• It has the largest restaurant chain in Pakistan.
• It has its 40 outlets in 9 different cities of Pakistan.
• As of 2009, Pizza sales in Pakistan generate over $2 billion annually, which is the second largest
pizza sales revenue in the world after the US.
• Pakistan has the world's largest Pizza Hut store in Karachi with a seating capacity of over 5,000
people

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Pizza Hut's Mission Statement
We take pride in making a perfect pizza and providing courteous and helpful service on time all
the time. Every customer says, "I'll be back!"
We are the employer of choice offering team members opportunities For Growth,
Advancement, And Rewarding Careers in a Fun, Safe Working Environment.
• P.E.A.R.L.S
 PASSION for excellence in Doing everything
 EXECUTE with positive energy and urgency.
 ACCOUNTABLE for growth in customer satisfaction and profitability.
 RECOGNIZE the achievement of others and have fun doing it.
 LISTEN and more importantly, respond to the voice of the customer.
Vision of Pizza Hut
• To make the people know that for all the eating items they desire to eat can be made
available in minimum time without much effort and excluding money
• To improve the well-being of our customers, community and people connected to our
Enterprise. “RUN GREAT RESTURANTS”
Marketing objectives and goals
It has emerged by keeping some marketing objectives in mind.
The marketing objectives are as follows:
 To make an effective marketing plan so that it can draw attention of the customer and
grab a substantial portion of customers.
 Grow and retain current customers by taking various promotion activities.
 Diversify the service offering to insulate the business against fluctuations in any one
component of the revenue stream.
 Build customer loyalty by providing quality foods, excellent environment and quick
service programs.
 Maintain a staff of enthusiastic employees excited to serve the customers.
 Build the new product to the point where it becomes a household name.
 Increase market share in local market segment by 15% in 3rd year.
 Reduce marketing costs by 20%over next year.
 “To satisfy the internal customers because they are the window to the external
customers

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HR DEPARTRMENTOF PIZZA HUT
“HR team, fully committed with Pizza Hut members, strives to foster a work environment that
attract and inspires excellence in people, so that together we realize the Plan to win”.
The cornerstone of the success of Pizza Hut was considered to lie in serving their customers, to
make them satisfied. The company is aware that it is possible only when the employees, who are the
most valuable resource, are provided on-the-job training and learn to work hard with dedication. Pizza
Hut wants its managers to understand the business from “the ground up” and the importance of
Customer Service to their company the importance of talent management is understood by the
company and, therefore, at the level of acquisition of talent, certain steps have been taken, which
would make joining the Pizza Hut team a lucrative option for prospective employees.
HUMAN RESOURCE TEAMS AT PIZZA HUT
The Human Resources Department is split into several functions, which aim to support the
overall business with a real ‘Passion for People’. These functions include the following:
The Training & Development Team
This team aims to support and develop team members to their fullest potential, using various
programmes such as, the Expert Training Programme, as well as the Developing Training Programme
for all levels of restaurant management. They also conduct specific technical trainings and core and
fast track management development programmes to develop and nurture the management cadre. The
Recruitment Team: The Recruitment Team is split into two separate teams, one recruiting for
management positions within the restaurants and the other recruiting for positions within the
Restaurant Support Centre.
The Compensation & Benefits Team
This team aims to provide all Pizza Hut employees with a comprehensive and competitive benefits
package, including; fair pay, bonus, health care and pension.
The HR Operations Team
This is dedicated generalist HR support for the Managers and Team Members working in
the restaurants.
The Organizational Development and Communications Team
This team focuses on business communication, organizational development and change. It also aims to
support and develop team members to their fullest potential within their Restaurant Support Centre

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The reasons for joining Pizza Hut Team are as follows:
 Flexible hours, working hard, having fun, making friends and earning money.
 Independence and confidence and learning resulting in self-development and social skills.
 Opportunity to take on functions at various organizational levels and career options to move to
the top of the organizational hierarchy, even go to the extent of owning a Pizza Hut franchisee.
POLICIES OF HR DEPARTMENTIN PIZZA HUT
REWARD SYSTEM
Pizza Hut used Balanced Scorecard as the primary mechanism for allocating rewards and handing out
bonuses for restaurant managers. Its reward system attempts to get aligned with the ‘‘Founding
Truths’’ and ‘‘How We Work Together Principles’’ on which the coaching culture of Pizza Hut was
based. First, people measurements were added to financial measurements and customer
measurements, reinforcing the ‘‘putting people first’’ credo. It might have taken three years before all
restaurant managers had been trained as coaches, but the scorecard was flexible enough to allow for
measuring the results of good coaching—such as reduced turnover—within a year. Second, restaurant

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managers were given stock options as an outright block grant, and stock options were added to the list
of performance incentives. This initiative was the first of its kind in the fast food industry. Legally
limited initially in the number of stock options it could award, Yum! Chose to award its restaurant
managers these options before their bosses, the area coaches, were able to get theirs
PERFORMANCE MEASURMENT POLICY
To measure performance in the context of desired cultural texture of the organization, Pizza Hut
developed the ‘‘Founder’s Survey,’’ an annual company-wide survey that measured the company on its
adherence to the ‘‘How We Work Together Principles.’’ All employees, except restaurant managers,
were invited to participate, with participation rates in the mid-80 percentages. Results were broken
down by function and by levels. Managers were then required to come up with action plans for those
areas where results were less than satisfactory. Second, a values-focused, 360-degree performance
review system was implemented up to the restaurant manager level. Individuals were held
accountable for how they lived the values
STRATEGIES ADOPTED BY PIZZA HUT
A business's strategy is the pattern of decisions and actions that are taken by the business to achieve
its goals. A business has a variety of goals and objectives. All businesses need to organize their business
activities in order to achieve their business objectives. Running a business involves planning the current
as well as future activities. Hence, in order to achieve the business objectives, all business
organizations adopt different strategies. Similarly, Pizza Hut has adopted many strategies which help
achieve the targets set by the main office to the local store opened at Peshawar. Changes are the
external as well as internal environment has led Pizza Hut rethink their past strategies and has
therefore designed new strategies after noticing the changes in the environment. These environmental
changes are seen through the PEST and SWOT analysis. After considering all the factors Pizza Hut has
decided upon the strategies and their current strategies are divided into five main categories and
further have sub-parts. These strategies are:
Functional Strategies
These are strategies designed to improve the efficiency of a business's operations. They often focus on
an area, such as marketing, human resource etc. All business organizations adopt strategies at
functional level as once the functional objectives are achieved, corporate objectives become easy. In
order to make the functional strategy efficient, Pizza Hut has made all the functional departments co-
operate with each other.
Total Quality Management (TQM)
This is the most important for a food chain like Pizza Hut. All the employees’ back-of-the-house i.e. the
kitchen assistants are trained accordingly. They are given extra classes in order to meet the quality

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standards set by Pizza Hut around the world. This strategy is important in order to satisfy the CHAMPS.
This strategy is strictly implemented in Pizza Hut in order to fulfill the quality standards. Different
quality management staff is also there at Pizza Hut. The shift managers have the task to observe
whether the quality standards are met or not, whereas there are a total quality management
department at the main office in Karachi. This department has the task to implement quality standards
and know whether they are achieved or not.
Business Level Strategy
Business level strategies are plans made to gain a competitive advantage over its rivals in a market.
Hence, all the businesses need to adopt business level strategies in order to compete in a competitive
environment. If we take a look at the Pakistani market, there are no large competitors of Pizza Hut but
unlimited small competitors exist in the market. The threat of competitors is very low as there is no
international food chain offering pizza in Pakistan at present. Therefore, present strategies adopted by
Pizza Hut are keeping in consideration the present competition. Whereas, in future this competition
will increase and Pizza Hut will have to change all its business level strategies in order to compete with
its rivals. In very near future Dominos is opening its first branch in Karachi. This would be a threat for
Pizza Hut and hence, the strategies would be changed.
Pricing Strategy
The level of competition a business faces determines its pricing strategy. Sometimes a business has the
scope to set its price and sometimes a business cannot. When a business has the scope to set its price
there is a number of pricing strategies or policies it might choose. As there are no such competitors of
Pizza Hut which could compete with the quality of pizza produced at Pizza Hut, therefore, the pricing
strategy adopted by Pizza Hut is 'market skimming'. Pizza Hut has adopted this pricing strategy as they
want to hold maximum share of the market by maximum profit. This is a golden era for Pizza Hut, as
there are no competitors and hence, Pizza Hut is free to charge any price they want. They are charging
higher prices due to the uniqueness of the product. They satisfy the target market as the food quality is
worth the price paid. The pricing strategy is not just to get the worth of quality but also to gain
maximum profits before any competitor enters because then Pizza Hut will have to change its pricing
strategy. Although the prices would be lowered with the new entrants in the market but not to a
greater extent as the quality food products are not home-produced. They are imported from different
countries keeping in view the best quality.
Advertisingstrategies
 The advertising strategy for Pizza Hut is two-fold.
 Firstly, laying emphasis on it being an international brand with Pakistani heart
 Pizza Hut’s communication is reflective of family values, family bonding, etc.

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 Secondly, highlighting the premise that the pizza is a catalyst that brings people together
ensures that this is a brand that connects with the Pakistani consumer
 Pizza Hut spends approximately Rs 10-12 crore on advertising annually using a media mix of
print, television and radio.
Promotional Strategies
Promotion are so very important for an organization , like any other organization same applies to Pizza
Hut as well . Pizza Hut Pakistan promotional strategies are as follow
 They promote their latest deals offer in several local websites for e.g www.geo.tv
 They follow below the line activities like Bill Boards , Bridge Pannels , Door to door policy , cable
advertisement and magazines
 And you often find there promotinal campaigns running in universities and colleges etc
Sales strategies
 Pizza Hut being the leader among fast-food restaurant in Pakistan have versatility in their
sales strategies , as they follow a vast channels and mediums to sale their product to the
customers .
 The medium and channels they follow are of 3 types
 Dine – In
 Delivery
 Take away
Through Dine–In facility they facitilate there customers with their lavish services and customer
relationship .
Through Delivery facility they make their customers delite by providing Oven-Hot Pizza , right at
customers door-steps .
Through Take away facility , customers can take their food where ever they like .

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Apart from this , there are many other sales strategies Pizza Hut follow like they go to customers door-
step to give awareness about their new products , deal and offers , and also provide them coupons of
which customers can avail discounts as well
COMPARATIVE STRATEGY
This forced competitors to look for new methods of increasing their customer bases. Many pizza chains
decided to diversify and offer new non-pizza items such as Buffalo wings, and Italian cheese bread. The
current trend in pizza chains today is the same. They all try to come up with some newer, bigger,
better, pizza for a low price. Offering special promotions and new pizza variations are popular today as
well. For example, chicken is now a common topping found on pizzas.
In the past, Pizza Hut has always had the first mover advantage. Their marketing strategy in the past
has always been to be first. One of their main strategies that they still follow today is the diversification
of the products they offer. Pizza Hut is always adding something new to their menu, trying to reach
new markets. For example, in 1992 the famous buffet was launched in Pizza Hut restaurants
worldwide. They were trying to offer many different food items for customers who didn't necessarily
want pizza.
Another strategy they used in the past and are still using is the diversification of their pizzas. Pizza Hut
is always trying to come up with some innovative way to make a pizza into something slightly different
- different enough that customers will think it’s a whole new product. For example, let's look at some
of the pizzas Pizza Hut has marketed in the past. In 1983, Pizza Hut introduced their Pan Pizza, which
had a guarantee of being ready to eat in 5 minutes when dining at Pizza Hut restaurants. In 1993, they
introduced the "Bigfoot," which was two square feet of pizza cut into 21 slices. In 1995, they
introduced "Stuffed Crust Pizza," where the crust would be filled with cheese. In 1997, they marketed
"The Edge," which had cheese and toppings all the way to the edge of the pizza. Currently, they are
marketing "The Big New Yorker," trying to bring the famous New York style pizza to the whole country.
Lastly, Pizza Hut has always valued customer service and satisfaction. In 1995, Pizza Hut began two
customer satisfaction programs: a UAN (in USA 1-800) number customer hotline and a customer call-
back program. These were implemented to make sure their customers were happy, and always wanted
to return. In our plan, we will first give a situation analysis of current and relevant environmental
conditions that affect our plan. Next, we will give a brief analysis of the current fast food industry, and
any trends or changes that might occur in the future.

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SEGMENTATION
Main segments which Pizza hut has captured are the combination of higher incomes and dual career
families , due to higher income consumer have more disposable income , allowing them to eat out
more often .
Pizza Hut holds the most market share in the Pizza industry, the perceived quality and service of the
company will help to ensure a better the average chance at a successful introduction of a new product.
The introduction of a product that keeps with today trends is also important to reduce the risk of
failure.
Pizza Hut maximum market segment is younger generations. These generation ranges from 12 to 30,
the overall spending of these generations is mostly on non essential items, the higher amount of
spending has been done on eating out.
POSITIONING
Pizza Hut was among the first multinational brands to enter the food retail sector in Pakistan. When
the first Pizza Hut restaurant opened in Karachi the quick service industry was at a nascent stage and
the pizza category was dominated by a sole regional player who had a marginal presence. Pizza Hut
went on to play a significant role in pioneering and developing this category in Pakistan.
Worldwide and in Pakistan, Pizza Hut has come to become synonymous with the 'best pizzas under one
roof'. This is because at Pizza Hut the belief is that every pizza has its own magic, thus making it a
destination product – which everyone seeks. It is this belief that has ignited the passion to create,
innovate and serve the finest product the industry has to offer, while setting standards for others to
strive to replicate. Pizza Hut is committed to providing uncompromising product quality, offering
customers the highest value for money and giving service that is warm, friendly and personal.
A critical factor in Pizza Hut's success has been its unique dining experience. Crew members at
Pizza Hut strive each day to provide 'CUSTOMER MANIA' - the kind of service that ensures that every
visit of the customer is a memorable one.
Pizza Hut's constant endeavor to provide extra value – whether it is pizzas which are available to suit
every price range, new promotions or the introduction of innovative product ranges - that puts a 'Yum'
on every customer's face - has allowed it to increase its presence in Pakistan to the current 38
restaurants across 9 cities.

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Market Targeting
Pizza hut targeted market defines them as a family product. This is because they don’t really directly
market their customers. They are targeting everyone whereas their competitors target a certain
gender or age. But pizza hut targets a wide range of customers. This is because they want to make the
most money and who blames them.
They have many competitors and they are bound to try everything to cope up tops. Their competitors
are everywhere. There are just a few that are main competitors and pizza hut will always try to be the
best and get the most money by making their products better quality but also cheaper.
They try to offer something different with their product as well. They offer a range of stuffed crusts to
try and attract customers. They also do vegetarian options with meet free pizzas and a salad and pasta
bar. Not a lot of restaurants offer a salad and a pasta bar. This is another competitive idea to attract or
customers.
MARKETING INTELLIGENCE
In order to maintain 7 – 8 lacs customers anually , Pizza Hut Pakistan has strong
Marketing Intelligence team . They know how to delight customers and keep them satisfied for a
longer period of time .
Being the leaders in Pizza Industry , they know pizza is there core product and what
more varieties should offer to keep themselves different from others in the market . Their marketing
intelligence team keeps themselves up to date with current environment , first they try the products
and then launch them in the market .
CUSTOMER VALUE & SATISFACTION
Pizza hut create certain expectations among its customers, is fulfilling it accurately, and get a good
image in minds of customers. Its customers are satisfied by its quality as it satisfies their expectations.
They give basic priority to their customers.
Customer relationship management (CRM)
Pizza hut build and maintain profitable customer relationships by delivering superior customer value
and satisfaction. In 1995, Pizza Hut began two customer satisfaction
programs:
a. 1-800 number customer hotlines and a customer callback program. These were
implemented to make sure their customers were happy, and always wanted to return.

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b. They have full service restaurant as well as delivery services.
Exchange & relationships
Pizza hut has maintained very good relationships with its customers. It believes on exchange through
relationships. They create relationships by offering the best product and best services to their
customers for example they are offering to their customers home delivery services & providing
products according to customer’s require
HR DepartmentActivities
• Recruitment and Derecruitment
• Training and Development
• Performance Appraisal
• Employee Benefits
• Incentives
• Medical Cover
• Welfare amenities
• Health & Safety
Recruitment& Selection
MissionStatement:
“Some people wait for the future. Some push it along. We don't have waiters
Core Values
At Pizza Hut, people are the most important factor. They seek only those people, who can think, feel,
express themselves, learn, teach and hence grow. Their growth is the company’s growth.
FreshPeople:
Pizza Hut provides thorough In-house training to fresh people relatively inexperience people. Hiring
people having no previous work experience also helps them greatly in adjusting to the distinct culture
of the organization.
JustifiedSelection:
The selection is entirely based on merit which conforms the selection criteria without any bias towards
gender, religion, race, color, nationality, age
Role of HR Departmentin Recruiting& selection

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• Develop guidelines and procedures.
• Provide recruiting services and staff support.
• Council Restaurant Manager to make final employments decision.
• Provide basic training to newly hired employees.
Pizza Hut advertisement depending on the vacancies as the need arises.
SelectionProcedure
1. Screening of Applicants
After building a pool of candidate’s applications, short listing of selective applications is done by the HR
manager.
2. WrittenTest
This is the written test. The reason for the written test is to assess that whether the recruits are able
enough to fulfill the general practical requirements of the job.
The HRM department designs and conducts the tests as and when hiring needs arises.
3. Initial Interview
The ONE to ONE interviews conducted by Restaurant Manager.
4. O-J-E
Short listed candidates undergo 3 to 10 day OJE at a Pizza Hut restaurant which provides the candidate
with an opportunity to look at as a potential employer. It also gives Pizza Hut a chance to observe and
assess the candidate's performance.
5. Reference Checks
They look at the references that have been provided by the candidate, they check if the references are
valid or not
6. Final Interview
Candidates who have passed their OJE are called for the final interview. Interview is done by a panel of
three or four interviewers
Orientation
• Provides new employees with basic background information they need to perform their job
satisfactorily.
• New employees get a handbook:-
- Working hours
- Performance reviews
- Vacations
- Employee benefits
- Personnel policies
- Safety measures and regulations
The orientation is performed by the HRD Manager and the employees are introduced to their
supervisors.

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Training & Development
According totraining coordinator
Awais Skeikh:
“Training is an important part for our employee’s work experience and starts as soon as he joins the
Pizza Hut team. Crew Trainers, Managers and other employees will work shoulder to shoulder with
him. Training programs are ongoing with new things to learn all the time.”
Types of Training
1) On the Job Training:
Every day, around the world, restaurant members receive on-the-job training and coaching in skills and
procedures essential to their work.
2) ClassroomTraining:
Classroomcourses, developed and led by training experts, prepare outstanding restaurant employees
for advancement.
3) Computer-BasedTraining:
New computer-based training system is bringing interactive learning experiences to crew members
and managers right in the restaurants.
Levelsof Training
1) Crew Member’s Training:
At Pizza Hut, training never stops. Crew members are trained extensively on all food safety and food
handling processes. Trainees work while they learn the operational skills necessary for running each of
the 23 positions in restaurant - from front counter to the grill area.
2) Manager’s Training:
Pizza Hut is dedicated to professional training and development. The average Pizza Hut restaurant
manager spends more than 2,000 hours over four years in training of one kind or another. This is about
the same amount of time that a typical four-year college student spends in the classroom.
Conclusionabout the Training
"Part of training focus ensures that every one of our employees, from regional managers to crew
members, understands Q, S, C and V - quality, service, cleanliness and value.
Mr. Awais Shiekh says "That's what brings people into our restaurants day-in and day-out. Our training
also shows them how to serve one pizza to one person at a time, hundreds of times a day."
SpecificTraining Courses
1. Floor Management Course (FMC):
The FMC is geared towards improving the trainee's ability to deliver Q,S,C & V as a Floor Manager.
2. Management Development Program(MDP):
The MDP series is designed to help you become the most effective c . manager that you
can be.
3. Operations Consultant Course (OCC)

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4. Training Consultant Course (TCC)
Performance Appraisal
"None of us is as good as all of us."
According to Country HR Manager:
“To embed our values, we give our people 360-degree evaluation, with inputs from superiors, peers,
and subordinates. These are the roughest evaluation we get, because people hear things about
themselves they’ve never heard before.”
Performance Appraisal Process
Performance Review is a formal process in Pizza Hut twice a year where each employee is evaluated in
order to determine how he or she is performing. The appraisal process in Pizza Hut includes PA forms
for every particular job which involves:
- International Pizza Hut standards.
- Assessing the employees’ actual performance relative to these standards.
- Providing feedback to the employees.
Levelsof Performance Appraisal
- Out Standing
- Excellent
- Good
- Need Improvement
After giving the total grade to the employee the appraiser writes down about the strength and the
areas needing improvement of the employee.
Incentives
“The best results come when we combine profit sharing with greater worker involvement and give
employees information about the Company’s financial performance.”
Types of Incentives
1. Cash Based
2. Non Cash Based
Cash BasedIncentives
• Attendance Allowance
• Annual Allowance
• Medical Allowance
• Leave Fair Assistance [LFA]:
Once in two year managerial level employees are allowed to choose any area for
tourism in Pakistan with family for 10 days.

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Non CashBase Incentives
• Crew of the Year
• Crew of the Month
• Branch of the Year
• Employee of the Month
• Merchandise
Benefits
“We know we can’t afford everything for every one but neither do we deny to any one.”
When employee joins the Pizza Hut management team, he will receive the following:
Profit Sharing:
Profit will be share as according to company policy.
Vacation:
Increased vacation time per years of service.
Leaves:
Pizza Hut employees can also apply and obtain a leave of up to two months for personal reasons or to
study for examinations or school projects.
Company Car:
Restaurant managers are eligible for a company vehicle after only three years of service.
Educational Assistance:
Pizza hut offers an educational assistance programfor its employees.
Social Activities:
Enjoy a variety of activities with his team which could include an annual Convention, summer picnic or
outing, Eid Party etc.
Uniform:
All the employees accept those working in the offices are given uniforms.
Flexiblehours:
The restaurant opens for business 18 hours a day and that means work at Pizza Hut can fit into
anyone's schedule. Schoolwork, family or personal activities can be scheduled around working hours.
Workplace Safety
“Pizza Hut restaurants have workplace safety programs in place to ensure that Pizza Hut high safety
standards and procedures are clearly communicated and reinforced day-to-day. As an important
member of Pizza Hut team, Employee will be taught to identify and report any potential hazards and
encouraged to suggest ways that health and safety can be continually improved.”
Separation/Firing:
Reasons:
1)Disciplinary:
 Violation
 Stealing

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 Confrontation
2) Performance:
 Poor Performance
Country HR Manager
Awais Sheikh
Message
“People are hired on the basis of their personality traits (i.e. education, family, social class, style,
experience, etc), but are fired due to character traits (i.e. dishonest, cheater, untruthful, corrupt, etc.)”
Recommendations
• As we know there is increasing trend in fast food industry and people are more conscious about
their health. Similarly Pizza Hut should open as many branches in other cities of Pakistan like
Gujranwala, Sargodha, and other cities like these. So it should develop the market for its
products, only in this way it can maintain its competitive advantage over its competitors like
domino’s.
• Pizza Hut in Pakistan has not using computer technology to a large extent. They should focus on
this factor to improve there overall performance.
• Similarly Pizza Hut should go for its own cattle/vegetable farm in Pakistan so it will reduce its
input cost and it will lead to lower market price of its products as compared to its
competitors. By this type of diversification Pizza Hut can also save its time And can improve the
quality because if the inputs are fresh, they can have more quality products.
• They even not make their website. They should make their website so that people should be
keeping in touch with new changes occurring in the Pizza Hut.
• There is need to change in the culture of the Pizza Hut its culture is bureaucratic it should
be clan culture because it realizes the creativity of employee to
respond to changing taste.
How the HR policiesrelate to organizational goals/objectives?
Most profitable corporations point out their successes to proper management of their human
resources (HR). Managing employees involves balancing between their goals and aspirations with
those of the company. A company's goals and objectives are survival, making profits, gaining market
share or gaining global recognition. By getting employees to make things happen in a productive way,
HR ensures that the business prospers.
Staffing Objectives
Human resources managers are first concerned with ensuring that the business is properly staffed, and
thus able to pull in the human resources it needs. This involves designing organizational structures and
identifying under what type of contract different employee groups will work. The right people are then
recruited and developed. HR managers compete in the job market to ensure only the best and talented
employees are recruited to assist in meeting the company goals and objectives such as profitability.

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Performance Objectives
Once the required workforce is in place, HR managers must ensure that employees are well motivated
and dedicated so as to maximize their performance. By use of various motivational techniques such as
promotion, increased pay and benefits such as company cars, HR managers can shore up an individual
employee's performance. They also train employees and negotiate improved performance with trade
union officials. HR managers can also assist in disciplining errant workers if their performance or
conduct is unsatisfactory.
Change-Management Objectives
In an organization, change is inevitable. It can be structural, requiring reorganization of activities or
hiring new people to fill in particular roles. At other times, change occurs to alter attitudes,
philosophies and established organizational norms. HR managers recruit or develop people with the
necessary leadership skills to steer the change process. They also inform employees of incoming
changes and help them adjust accordingly. Thus, if the organization intends to introduce computers to
cut down its costs and improve profitability, HR managers train employees with no computer skills.
Administration Objectives
HR managers have a responsibility to facilitate the smooth operation of the organization. They must
maintain accurate and inclusive data on individual employees. This data includes employee
performance reports, their terms and conditions of employment, training and attendance records and
their personal details. Precise record-keeping is necessary to ensure that the organization complies
with legal regulations such as National Minimum Wage regulations.

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CONCLUSION
Pizza Hut has many targets which it has achieve in a given period of time. The time-period is mostly a
year. Therefore, in order to fulfill the targets different strategies are adopted by Pizza Hut. It can be
concluded that these strategies have been successful and there is flexibility in the strategies, as they
can be changed with the changes in the market conditions as well as the targets.
Pizza Hut is doing a good job internationally and nationally. They introduce new taste in pizzas
according to their locations i.e. where they are situated. They are basically concern with successful
production and service and profit. They want to take advantage of their customer. In Pakistan the
performance of Pizza Hut is very well. In Lahore, three outlets of Pizza Hut are working. They maintain
their international standard by giving good service to their customers. Over all performance of Pizza
Hut is superior.

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REFERENCES
Management and lower labor of Pizza hut
Google Search Engine
www.definitions.com
www.answers.com
www.about.com
www.wikipedia.org
www.pizzahut.com

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