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A Streamlined Strategic Management System - Term Paper Example

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The paper "A Streamlined Strategic Management System" tells that organizations with a streamlined strategic management system have a planned framework that is inclined to the missions, visions and objectives. California Pizza Kitchen is a world-class company specializing in chicken Pizza…
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A Streamlined Strategic Management System
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Extract of sample "A Streamlined Strategic Management System"

By so doing, CPK will improve its margins since it will have streamlined the pizza menu alongside other critical issues. With the economy favouring the restaurant chains, CPK has options to weigh, which include selling itself. With such options at sight, the company’s directors have allowed the management to come up with strategic alternatives like changing the capital structure, merging, or acquiring other companies in the same industry. However, investors must be warned that such strategies are not a guarantee for good performance in future.

A few years ago, CPK suffered from low sales because most pizza consumers opted to cook at home. Having realized that, the company launched a call centre where customers would call to make orders with free delivery. In addition, the company increased its wine varieties and catering program. Since it owns most of the pizza restaurants in the US, CPK prefers to lease a huge proportion of its property in places where it is located. Such a strategy has assisted it to avoid huge debts. In conclusion a premium pizza company in the US and around the world, CPK has to categorically select its best positions.

Strategies, as discussed above, are an indicator that the company acknowledges the existing competition, changes in customer preferences, global issues, and environmental changes. Through such attributes, the company has adopted some strategies to accommodate customer preferences for instance launching a call centre, which makes it possible for customers to make orders instead of cooking at home. Some strategies are purely meant to help the company maximize profits. Managing a series of CPK restaurants can be a hectic task.

For this reason, the management made a unique decision by leasing out some of the restaurants under its name to reduce costs attached to management and thus maximize profits. Strategies are helpful to any organization. They are like a guide to achieving goals that are aligned with the company’s mission statement. CPK is in the premium pizza category and thus has to work itself out to ensure that it maintains the image and protect its brand from dying. The discussion above gives a perfect illustration of the strategies used by CPK in ensuring it survives.

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