Tuesday, December 10, 2019

Competition Companies Is Creating Stressfulâ€Myassignmenthelp.Com

Question: Discuss About The Competition Companies Is Creating Stressful? Answer: Introduction: Dominoes Pizza enterprise is one of the largest pizza chain in the nation of Australia. This is mainly in the terms of network store managers as well as network sales. It has been seen that it has over 1900 stores all over Australia. They provide high quality pizza which does not only have good taste but also ensures that they are made with the finest species and commodities and ensures a hygienic system of preparation (The Times 2017). This organization mainly works through the system of franchises where organization takes up a royalty form the stores; sales. The franchises are given all the responsibilities to maintain the employees of the stores. However recently, the organization has been in the issues of the scandal of low payment of the wages resulting in huge turnover of the employees. These are affecting the franchise owners who are having hard time mentally, financially and physically. The following report will mainly contain a detailed discussion of the different issues fac ed by the different stakeholders of the organization and how they are affecting each of them individually. Literature review: Dominoes Australia has been under recent scan of the media due to the reports of under wages paid to the workers of the franchises of dominoes. Report of one of the store manager namely Azrael Yin had come into news where he stated that it took him three years to gain courage to inform head office that one of its biggest franchises are engaged in exploiting workers however he got no response (The Times 2017). It was his boos namely Pamir Dehsabzi who stated that labor cost should be kept low as 27 percent of sales to keep on with the work. For this, he had to cut the number of hours every of the worker worked so that their pay gets reduced accordingly and the stores could be kept on going. This system often fluctuated with the rise and fall of sales every week. Investigation done by Fairfax media stated there had been reports for wide spared underpayment of wages (Couriermail.com.au, 2017). It also includes underpayment of different penalties suing a delivery scam and also illegal sa le of different sponsorships of migrants which extended to up to $150,000. The franchise owners also had to face large number of issues (Ferguson 2017). Often good franchise owners like Nirmal Patel had stated that he often has to go through several stresses to make the ends meet which took a toll on him. He often felt that he is cheating on the workers. He thought that he would stay in the business as long as he would recover his losses but the system of the brand made him get into the system in a stressful way (The Times 2017). There had been day when he had to himself deliver pizza in his care along with his wife and children showing how worsening it was getting for him. Moreover the price of the pizza is very low whereas the loss is incurred by the franchise as they the prices of the ingredients grow up. For the franchise, it is observed that when labor, food or rent cot increases, dominoes introduce a new fee or charge which has to be bore by franchises (Australia 2017). Fourth ly, it is also seen from Fairfax investigation that the business model of the Dominoes is not on making profit from the franchise but making sales out of which they would take a wholesome royalty form every sale. Moreover revitalizing their own brand by competitor Pizza hut and their selling of half pried pizza in certain months also affected the sales of the franchise also (Couriermail.com.au, 2017). Methods: Several recent articles have been studied in order to develop knowledge about the organization trends that are followed in the marketing chains of dominoes. Not very good reviews are obtained from the articles as mostly all were concerned with the underpayment of the workers. Different important dailies have also been studied thoroughly to determine the feelings of the workers, the franchise owners and also of the employer. Various magazines have also been studied as supportive evidences as it contained interviews of the workers and also of the franchise owners which reflected the inside stories of the working places of the organization. Discussion: It has been seen that he organization is following an autocratic ruling system where they are just placing the pressures on the franchise and the workers. An improper relationship handling is occurring between the three levels of the organization like the employers and the head office, the workers and the franchise (Sivaram and Turner 2016). They are not providing a proper strategic plan for the franchise and the workers to follow and have no proper working principle (Ferguson 2017). As a result of these, no ropier bonding and organizational commitment is present among the stakeholders. As a result of job dissatisfaction, huge turnover rates are noticed and as a result franchise owners are facing huge issues. Also, franchise owners are also facing ethical dilemma. When on one hand they have to cut down the payments of the workers to meet the basic level of financial support to run the stores, they are morally being degraded themselves as they themselves know that they are cheating th e right of the workers (Reeve 2015). However they feel helpless as they have to go on with the trend to keep with their business. Moreover the company is not also empathetic to the others stakeholders and this is evident from the fact that the growing price of the ingredients of the making of pizza is also compensated by the franchise owners either form their own pocket or by cutting down wages where they get no help from employers (Australia 2017). The organizations continuous introduction of new schemes of providing pizza at very cheap rate had added to the ordeal. Moreover, the growing sale of the rival company of pizza hut is yet another blow to the present condition. Hence effective leadership and strategic management are extremely necessary in this situation to develop the working environment of the organizations and it franchises and thereby develops a proper reputation for the company (Bell et al. 2013). Conclusion: Dominoes are one of the most loved pizza centers all over Australia and are a current favorite for all age groups. They have a steady consumer base who wants uninterrupted delivery form the stores. However, the working system of the pizza company is not at all in a proper shape due to various internal conflicts among the various levels. While the workers are underpaid by the franchise owners, they are themselves fighting to meet the minimum sales are required to keep on with the business. No help is received by the franchise owners form the head offices and in turn they completely deny of the so many critical issues occurring in the organization. Hence, a very strong strategic management team is required in the organization that would help them to overcome the stressful situations successfully. References: Australia, B. 2017.The problems for workers during Australia's 'pizza wars' have been revealed. [online] Business Insider. Available at: https://www.businessinsider.com/the-problems-for-workers-during-australias-pizza-wars-have-been-revealed-2017-6?IR=T [Accessed 15 Sep. 2017]. Bell, D.E., Andrews, P. and Shelman, M., 2013. Dominos Pizza.Boston, MA, Estados Unidos: Harvard Business School Publishing. Couriermail.com.au. 2017.Dominos chews up the dough. [online] Available at: https://www.couriermail.com.au/news/queensland/dominos-dream-run-ends-with-854m-sliced-off-its-value/news-story/97750436b83ac74deabf8112bff53086 [Accessed 15 Sep. 2017]. Ferguson, A. 2017.The Domino's Effect. [online] Sydney Morning Herald. Available at: https://www.smh.com.au/interactive/2017/the-dominos-effect/ [Accessed 15 Sep. 2017]. Reeve, B., 2015. The Institutional Influences on Food Industry Self-Regulation-The Food Pyramid Meets the Regulatory Pyramid: Responsive Regulation of Food Advertising to Children. Sivaraman, G. and Turner, P., 2016. The 7-Eleven wages scandal: The need for law reform.Precedent (Sydney, NSW), (135), p.53. Sutherland, C., 2013. Complexity and Simplicity in Australian Enterprise Agreements: Coding Framework, List of Agreements and Chi Square Tables. The Times. 2017.$1b wiped off Domino's shares in minutes. [online] Available at: https://www.victorharbortimes.com.au/story/4855535/1b-wiped-off-dominos-shares-in-minutes/?cs=4182 [Accessed 15 Sep. 2017].

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