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Taco Bell Building A Competitive Organization Using It

1343 words - 5 pages

Executive SummaryThe Taco Bell Corporation is well positioned to continue to be a strong and expanding presence in the highly competitive fast food industry - if they maintain their strategic vision. The combination of strong, supportive knowledge based IT systems complementing a corporate culture that rewards innovation and entrepreneurial thinking offers unbeatable corporate efficiency and flexibility. The IT systems are used both to empower the staff and maximize the efficiency of scaleable delivery systems in a mature industry.By treating the IT systems as tools for the staff to reach a more sophisticated industry understanding, the company can push decision making down into the organization close to the customer, while maintaining appropriate top level controls. Taco Bell's management understands that the fundamental unit in the fast food industry is the individual location and the staff that manages that location. These people can quickly react to the customer's requirements - if they are given correct and timely information in a useable format. This flattens the management infrastructure and builds inherent flexibility into the company. This powerful strategy is not limited to delivery of Mexican fast food, indeed it can be applied to any type of fast food. Taco Bell has created a highly trained and highly leveraged workforce by using sophisticated IT systems that gives the company the adaptability to take on new challenges and fast changing markets with maximum efficiency.Using IT to empower staffTACO, a powerful "smart" system tool to help with unit daily operations, is the essential system used to achieve the company goals. By giving the store crew direct and useful information about the specific store in language the crew can understand, they can make decisions and act at a micro market level. The power to maximize efficiency, while responding to a local run on cheese tacos because the local little league ordered 50 for lunch is unmatched in the industry. By using the capability of the knowledge based IT systems the store staff is empowered to manage the unit directly instead of relaying on superiors, who do not have the intimate familiarity with the specifics of that site. If sales records of one store in Chicago show that they sell 50% more beef burritos then comparable locations, then the on-site staff can make sure that they stock lots of beef burritos!An important component to the TACO system for the company is the ability to capture the corporate collective knowledge in sophisticated knowledge bases and impart it to the staff without long training periods. Generally, the typical person who is attracted to this line of work is uneducated and unsophisticated. By using these "smart" decision systems, Taco Bell is able to leverage the corporate memory and empower otherwise unsuitable or untrained staff to make meaningful and correct daily operations decisions. Coupled with extensive training, this strategy builds loyalty and improves...

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