The Motivational Issues Of Dominos Pizza

This project proposal is been undertaken to investigate the motivational issues of Dominos Pizza which is located on Queen Street, Auckland, New Zealand. This branch was made in the year of 2009. This research is tremendously valuable as it will provide an in depth detail of the source of the problem which is affecting Domino`s Pizza. This research will exactly pin point the root of the problem and according to the problem measurable decisions can be taken to resolve it.

The research process I have used to gather primary data is a combination of both qualitative and quantitative research. Where firstly is questionnaires which I distributed a set of questions to all the low level management employees of the company. Secondly I conduced an interview with Ishwar Chawla who is positioned as a Shift Manger. Then I did a literature review by browsing the internet and gathering information from the company`s official website. Then finally while they were working I was observing them on how they work and perform. After identifying the problem I distributed the questionnaires to the staff members to get it filled where there are total 21 employees but only 10 forms came back to me from the 12 I sent.

After gathering the crucial information such as the culture and how things work in Domino`s Pizza; which would help me in my research through literature review. Then I used Maslow’s Hierarchy of Needs as every person has different needs and they go from physiological or basics needs, safety needs, social needs, esteem needs and self-actualization. From the total number of workers which is 21 the most workers in the business are still on the physiological or safety needs as maximum number of employees are part-time workers from which only 3 of them are full time employees in that branch of Domino` Pizza. Which creates a factor of job security because if there had to be any redundancy the first employees to be layoff will be part-time workers which could be a major demotivating factor to the employees. Then there is a list of strengths and limitation explained about the study or research which I conducted.

I have explained the methodology and the relevance using a management theory and I have used four instruments such as interview, questionnaires, literature and observation. The theory I have used is Douglas McGregor’s theory and I have also drawn up a fishbone diagram for lack of motivation (figure 3). The Primary research results summary is showing signs of motivational issues. There is a communication problem between employees. Then I analyze the data based on the questionnaire results the employees are concerned about the communication pattern that it should be done directly which means face to face rather than putting it on the notice board. Listed down possible solution and their possible consequences. Then I related Herzberg – The Two Factor Theory with the findings which motivation and hygiene factors.

In the conclusion and recommendation I suggested the possible solution to the problem such as being more democratic and let the employees put some input into the decision making process. To get rid of delays and shortage of resources I suggest to adopt the Just-In-Time concept. Which will avoid overstocking and will have fresh stocks and it will making the production process quicker and efficient.

Introduction:

Setting Of Project:

This is a project proposal and is been carried out to investigate the motivational issues of Domino`s Pizza which is located on Queen Street, Auckland, New Zealand. This is a multinational company which is a fast food restaurant and this branch was established in the year 2009. Domino`s Pizza produces pizza and has an image of fast delivery of the pizza and has a variety of pizza. This company is established worldwide and has many branches in New Zealand. This particular branch is a franchise and it has a multi-divisional structure. It has a decentralized and they have bureaucratic decision-making.

The structure will evolve over time with the changes in strategy, degree of diversification, geographic scope and the nature of competition.

Research Problem:

The major problem identified is Motivation. This is the factor that keeps the employees work efficiently and effectively. Motivation affects the operations or tasks carried out in the company. The company`s only way to be successful is by having a healthy staff which is well motivated and enthusiastic with their roles in the company. Motivation keeps employees active and be productive in the task they perform. I also have my personal interest to doing this assignment on my company.

The Importance of this Research:

This research is extremely valuable as it will give an in depth detail of the cause of the problem and find out the source of the demotivation which is affecting Domino`s Pizza. This research will exactly pin point the root of the problem and according to the problem measurable decisions can be taken to resolve it. Domino`s Pizza is linked with suppliers where they purchase the ingredients (raw materials) such as pizza base, chicken, pork and much more. Use it to makeup the pizza`s. The absence of motivation impedes the performance of the workforce and therefore they don’t accomplish successfully in order to meet their goals to make as much as profit as possible.in this situation administration principles of management functions can be kept in place. These functions are as follows:

Controlling

Organizing

Planning

Coordination

Commanding

The above functions could be the solutions of the problem as they may bring in some positive results to the company in terms of performance and the motivational level of the crew. There can be certain reconstructive changes to gradually eliminate these problems which effects and accurate motivation for team to grow in the correct course. These minor problems need to be solved right now they become enormous and go out of control and lead to a destruction of the company if not taken immediate action.

The Aim and Purpose of the Study:

The aim of this research is to identify the common business problems which in this case is the motivational issues as it is affecting the company negatively.

To keep the crew or workforce highly motivated and keep on training them with new skills which will improve productivity.

Also motivate them on an individual level to help them accomplish their personal and company goals or aims.

To apply and relate motivation theories to the staff or employees and make production efficient.

The aim of this research is to identify the problem, solve it and improve on it.

To find out the reasons behind the problem which is causing it.

Methodology:

Research Process Used to Gather Primary Data:

The methods I used to collect information is by four methods and I have combination of both combination of qualitative and quantitative research which means there is both numerical values and statistics and depth understanding of behavior and why they tend to behave in that manner?

Firstly was the questionnaires where I kept 10 set of questions and distributed between the 12 employees but I received back only 10 questionnaires filled. This was to see the satisfaction level of the employees with various aspects of the company affecting their work and life. This will show if the company is following the rules and regulations such a minimum wage and maximum number of hours the employees are lead to work.

Secondly is the interview which was conducted with the Shift Manager of the Domino`s Pizza Branch on 5/205 Queen Street. The name of the manager is Ishwar Chawla and he is working in Domino`s Pizza since last 4 years. I asked him a different questions but these questions where no completely fixed as it was an interview. They would change according to the answer of the manager.

Thirdly is that I used secondary data or literature review which was using the internet to get some details of the company`s goals, missions and values. Such as going to the official website of the company which is (http://www.dominospizza.co.nz/) to have some information about the company.

Lastly is through observation. I watched how the employees working coordinating and looking at tasks which they were performing. I agree this method is not that accurate compare to others as the employees make act differently if someone is observing. I did ask a few questions face to face to the workers (unpretentious questions).

SWOT Analysis: Domino`s Pizza

Strength:

Location: it is located in the CBD which attracts maximum number of customers.

Brand Name/ Image: it is a multinational company therefore it is well known and well established and does not to get established.

Financial: as they are well established and have high revenue they do not have to borrow money to invest in its company for expansion. It will insource and does not require outsourcing to be done.

Technology: they have new technology and equipment to make pizza quicker and of better quality.

Offers: new offers or innovative various pizza flavors are being launched to maintain their sales.

Weakness:

Customer Service: they sometimes do not deliver the pizza in time as specified.

Demotivation: the staff is not motivated so they are not working efficiently.

Allocation of Resources: resources are not allocated or not put together properly. They run out of resources or toppings which delays the delivery time.

Opportunities:

New types of pizza or flavors are being launched.

Low price compared to the competitors prices.

Bringing in new products such as Lava cake and muffins.

Threats:

Competition: competitors of Domino`s Pizza such as Pizza Hut Hells Pizza.

Environment: the working environment is not satisfying. The kitchen is not well managed.

Information about the Size of the Sample Population and Its Adequacy:

After identifying the problem I distributed the questionnaires to the staff members to get it filled where there are total 21 employees but only 10 forms came back to me from the 12 I sent. This means 83.33% of adequacy sampling size was received of the employees received and the rest 2 forms were not given back. This took a lot of time due to tight schedules.

Figure Pie Chart – What do the employees feel about the working conditionStatistical Techniques:

According to the questionnaires it shows that most of the staff voted for the number 4. Which means that they feel it is good which is 60% in percentage.no one kept 1 nor 5 as their rating. 30% of the employees rated 3 and 10% rated 2. This means only small percentage of the employees are demotivated from the factor of working condition. The mode is 4 as it appeared the most.

Literature Review:

After having a detailed view of the website of Domino`s Pizza (http://www.dominospizza.co.nz/corporate/inside/InsideDominos.aspx). I found out about their vision, mission, food safety and many more crucial information about it which would help me in my research. It explains its culture and how things work in Domino`s Pizza.

Figure Maslow’s Hierarchy of NeedsI will be using Maslow’s Hierarchy of Needs as every person has different needs and they go from physiological or basics needs going upwards towards self-actualization. Most employees in the company are still on the physiological or safety needs as most these employees are part-time workers. Only 3 employees are full time employees in that branch of Domino` Pizza. Therefore job security is not really there because if there was cost cutting to take place then the part-time employees will be the first ones to be layoff. Which implies that the employees are not motivated and they are always looking for another job and they are sticking to this job just to satisfy their basic needs.C:Usersishant1000DownloadsMaslow_Needs_Hierarchy.jpg

Once the employees have satisfied their basic needs which is food, shelter then they would make sure that their job is secured. If they are assured that their jobs will not be lost and the company needs them then they will move towards social needs. Which means making new friends getting along with colleagues and working as a team together which will solve the problem of delayed producing and delivering to the customer. Working together to meet the target faster than expected and receive incentives from the hard work deployed into the work through team work. Then they go for esteem needs which is recognition, reputation and attention any many more. Then finally is self-actualization where he or she wants more responsibilities and wants everyone to trust him or her.

Strengths and Limitations of the Study:

Strengths:

The people who are working are very cooperative and are taking out time to fill up the questionnaires I handed them.

The manager had given me access for a week and I could come at any time for doing my research which gives enough time to finish my research easily.

As some of my friends work in this company it is easier for me to take crucial and detailed information for the research.

As the company is not huge so the information collection section is done very quickly. This means less time wasted.

Limitations:

Not all the employees are available at the same time as they all have different shifts and different times they come to work for. Which makes data collection more time usual.

The manager is not always available.

During observation people where acting differently as they knew that they are being watched. Which may have given misleading results.

Not all information was exposed or shown to me and was kept close.

Methodology and its Relevance Using Management Theory:

I have used four instruments such as interview, questionnaires, literature and observation. I gave the questionnaires to the 12 employees working in the small branch of the Domino`s Pizza on Queens Street in which I received 10 questionnaires out of 12 back. Then I did a personal interview with Ishwar Chawla and before doing these two I did an internet research over Domino`s Pizza product range and offers. Then while they were working I was observing them of how they were performing their tasks and I would ask some simple and quick queries or questions while they were working.

Figure – Fishbone DiagramFigure 3: Fishbone Diagram for lack of Motivation

I will be using Douglas McGregor’s theory according to my research Theory X matches or fits in well. The managers of Domino`s pizza leans towards more upon theory X then Y. This means there less participation of employees and more authorization. Where the workers would try to avoid work and be very lazy and do not want any responsibilities thus they have to be pushed to work for them to work or perform efficiently. This shows that the employees are highly demotivated. The manager is of a Theory X.

Figure McGregor Theory X and YFigure 4: McGregor Theory X and Y:C:Usersishant1000Downloadstheory_x_y.gif

According to the plan I reviewed the information from the internet and the surveys and according to the plan I had to take at least 5 questionnaires and I have done total 10 and I performed the interview as well and even the observation process. I had a time period of only a week and the plan was of 5 weeks. I managed to undertake all the tasks in 6 days as they were very cooperative and helpful with my research.

This boosted my data collection for my research as I did it 4 weeks earlier which gave me more time to analysis the problem in hand and figuring out how to solve it.

The relevance of the business problem which maybe lack of motivation could be solved through this research. This could also increase the productivity of the company and become more efficiently. If they have any time management issues; then that issue could be amended by my research result. This could also give solutions of keeping the organizations employees efficient and this means less resources wasted and all the resources will be allocated.

The organization will get an idea of how to motivate the employees. This means they will find out the motivation factor. This will help to improve your output and that will increase your profit as the expenses reduced. This research will help the managers to better understand their employees and makes it easy for managing the workers more efficiently.

Results and Discussion:

Primary Research Results Summary:

The study is showing signs of motivational issues. There is a communication problem between employees and there is more of autocratic leadership taking place which means no interaction and contribution in the decision making process.

They simply just have to follow orders which could be a problem. They have recently renovated the place and they have made it smaller then before which is making the work place small and uncomfortable. Keeping the employees demotivated as the working environment is unpleasant.

Some employees are really working hard but they are not being recognized as they are supposed to. The employees are not told or informed about the long term plans; they are only told about the short-term. The employees are not being recognized for their job well done and the manager is not satisfied with the performance of the workers.

There is only one way communication which means no contribution of the employees to the businesses decision making process. This will make them feel invaluable and unwanted by the company which can lead serious demotivation and reduce productivity and quality of the production. This would keep the labor turnover high.

Analysis of Data:

Based on the questionnaire results the employees are concerned about the communication pattern that it should be done directly which means face to face rather than putting it on the notice board. They also prefer to have a bigger work place so that they can freely move. They also complained about the cleaning procedure as the work place gets very dirty. They clean every 2 hours. They want the company to Introduce some new vegetarian pizza`s for the vegetarian customers. The employees should be given more staff discount as they are working for the company. This will make them feel that they belong somewhere and they will motivated and become more productive which may improve the performance and sales of the branch.

Possible Solution:

There are particular things which motivates them such as good aptitude and a larger and comfortable place to work at.

The management ways must be modified at ground level.

A lot of importance is required for smooth communication process.

They should get a bigger working place.

There should introduce some tangible incentives and appreciation for the work will done of the employee.

Possible Consequences:

More services will rise costs but as they will get motivated and work more efficiently which will increase profits. This means in the long-term it will be beneficial.

They should provide some training to the workers so that they can become more effective.

This means it will reduce the time consumption and become specialized in their work.

Herzberg – The Two Factor Theory:

Where there is a motivation factor and hygiene factors. Motivation factors such as achievement should be recognized so that the employee is willing to perform again as he will be recognized for his work well done. They should provide responsibilities to the employees so that they feel valuable and let them give some input in the decision making process. Some employees are working very hard and not being recognized so they should award him or her by giving incentives or give promotion and this will provide personal and position growth.

The hygiene factors are factors which have a big role in motivating the staff as it links the business and the employees together. The manager should have interpersonal skills so that they have good interpersonal relationship with the employees. If the employees are supervised they tend to work harder that is why collecting information through observation is not always accurate.

The positive factor with Domino`s Pizza according to the employees is that the salary or pay rate per hour is good but many complaint that they work extra hours when you have to close the restaurant and they do not get any extra pay for the hours worked which can lead to demotivated staff. But the staff who closes the restaurant can take the extra pizza`s left.

Conclusion & Recommendation:

After the methodology, the results & discussion the problem has been identified and in his I will provide the possible solutions to overcome the problem. These problems have been identified and confirmed by the interview, questionnaire and observation.

The manager does not provide the long term plans which they should provide. They should provide both short-term and long-term plans so that the employees know what is going on in the company. The employees need to be motivated so that the use their full potential as the managers want. The manager does not give any tangible awards or incentives. He should give a gift even if it is small but that gift will be valuable for the employee as it will be an appreciation token.

The manager should not only see the performance, he should also see the effort he or she is putting in her work and appraise the employee foe the employee. There is no much contribution of staff because the orders come from top level management and those instructions need to be followed; in this case they have to bring in some involvement as they may provide very good ideas to the company and they we fell wanted by the company which will increase their confidence the way they work. Training should be provide regularly so that the employees are productive all the time and resources are not wasted. This will be beneficial as they employees will become multi-tasking.

The purpose of this research is to overcome the problems which are affecting the performance and this research is mainly based on the motivational factors which is one of the major part of productivity. If the employees are not motivated then they will not put any effort in their work and this can lead to low quality production. Where quality control is concerned new equipment are needed and this will reduce wastage and utilize resources efficiently. Staff should be provided with annual bonus and appraise them for their work well done. The manager should have a good relationship with the employees to know the employees needs and keep constant communication between the manager and the low level management. The manager should constantly give targets to his subordinates and give some responsibilities so that they would work for it as if it is their own business.

They should be trained constantly to inherit them with new techniques and tactics to perform the tasks and try to keep rotation on the tasks so that they do not get bored of doing the same task again and again. They should throw an annual party for the staff as an appreciation of the effort put into their work. This will keep them happy and maintain positive environment around the working place.

The problems should be prioritize; the ones which require instant or immediate attention should be solved such as paying extra pay for the extra hours they work for when closing the restaurant and get bigger kitchen and place for the customers sit and have their pizza`s. the employees should be recognized for their hard work.

They should adopt the Just-in-time. Is a production strategy that attempts to develop a business return on investment by reducing in-process inventory and associated carrying costs. To meet JIT objectives, the process relies on signals between diverse points in the process, which tell production when to make the following part.

They should apply just in time as this will increase the speed of production of pizza`s and the problem of running out of toppings or resources on pit time will be solved because just before the resources finish the next batch will come in. This will reduce the time wasted in waiting for the resources. This will improve the delivery time and keep the customers satisfied. This will reduce congestion which is created at lunch time and weekends.

They should expand the work place and get more employees because when there is a lot of customers it becomes very difficult to make the pizza as they are understaff. They should employee more full time workers so that they can supply the demand completely.

References

^ Herzberg, F.I. 1987, ‘one more time: How do you motivate employees?’ Harvard Business Review, Sep/Oct87, Vol. 65 Issue 5, p109-120 (note: the reference to sales numbers is in the abstract written by the editors.)

^ Feder, B.J. 2000, “F.I. Herzberg, 76, Professor and Management Consultant”, New York Times, Feb 1, 2000, pg. C26. Available from: ProQuest Historical Newspapers the New York Times (1851 – 2003). [October 28, 2006].

^ Herzberg, Frederick (1959), The Motivation to Work, New York: John Wiley and Sons, ISBN 978-1-56000-634-3

Domino`s Pizza referred from http://www.dominospizza.co.nz/corporate/inside/InsideDominos.aspx

Just In Time – JIT. (n.d). Retrieved from Investopedia: http://www.investopedia.com/terms/j/jit.asp#axzz25LU9aWVZ