Question

KFC is fixing a mistake it has been making for years KFC knows it has lost customers' trust. Now it is debuting a new programme to win Americans back. "Customers were saying, 'Your food doesn't taste the same,'" Jason Marker, KFC's US president, said Monday in a press event. "We're not making the food the same way the Colonel had, and we're not making food in what he described as 'the hard way.' Today marks the end of that." The chicken chain is undergoing a process it is calling "Re-Colonelization" — a public recommitment to quality involving employee retraining and a new satisfaction guarantee. Effective immediately, if customers aren't satisfied with their KFC order, the restaurant will remake whatever aspect of their meal fell short. The chain has rolled out an extensive "chicken mastery certification" program, spending more than 100,000 hours retraining more than 20,000 employees. The retraining involved 43 rallies across the US, attended by more than 97% of restaurant general managers. National training events were also held in every KFC location in the US. More broadly, KFC has been trying to turn business around by updating its restaurant design, with plans to remodel 3,000 locations in the next three years. Its Colonel-centric marketing campaign, launched in 2015, is another piece of the puzzle in presenting KFC as a brand that is in touch with its culinary roots. New menu items, such as the Nashville hot chicken, have similarly emphasized the importance of creativity and wellcrafted recipes. KFC's domestic business has struggled in recent years, with Marker comparing the brand to a football team "that was once great." As rivals such as Chick-fil-A have exploded in the US, KFC hasn't been able to keep up with modern, fast-casual-influenced customer demands. According to KFC chief marketing officer Kevin Hochman, only two in five millennials have even visited the chain. BACHELOR OF COMMERCE YEAR 3 – ACADEMIC AND ASSESSMENT CALENDAR - DISTANCE 30 REGENT BUSINESS SCHOOL (RBS) – JANUARY 2018 "I think it's fair to say that we haven't been living up to the standards or the philosophy of Colonel Sanders himself," Marker said. The Re-Colonelization — and the repositioning of the Colonel as a figure of authenticity at the center of the brand — attempts to recalibrate KFC by returning to its roots. In an era when consumers are craving authenticity, the Re-Colonelization could be just what the brand needs to jump-start its business in the US. QUESTION ONE [25] With reference to the case study of KFC above, critically discuss how KFC is adopting Total Quality Management principles, practices and techniques to address the challenges experienced. Your answer should reflect on the relationship between TQM theoretical constructs and its application at KFC.

Answer 1

Total Quality Management (TQM) describes a management approach to long-term success through customer satisfaction. In a TQM effort, all members of an organization participate in improving processes, products, services, and the culture in which they work.

Attributes of TQM and how KFC applied them:

Customer-focused: KFC is aggressively marketing itself a supplier of a product that today's consumer craves. "In an era when consumers are craving authenticity, the Re-Colonelization could be just what the brand needs to jump-start its business in the US." This statement clearly ascertains that customers are persuaded to buy KFC's products. Further, the remaking of product not rightly serving the purpose really drives the customer confidence.

Total employee involvement: 'The chain has rolled out an extensive "chicken mastery certification" program, spending more than 100,000 hours retraining more than 20,000 employees. The retraining involved 43 rallies across the US, attended by more than 97% of restaurant general managers.' This means they are extensively involving their employees to train them as per the expected standards.

Fact-based decision making: Given that KFC is aware of the situation that 'only two in five millennials have even visited the chain' and its acknowledgement, has helped KFC accept the reality and design the roadmap ahead.

Communications: 'The chicken chain is undergoing a process it is calling "Re-Colonelization" — a public recommitment to quality involving employee retraining and a new satisfaction guarantee.' These kind of statements, plus the regular awareness campains conducted to market the products are examples of effective communications.