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GROUP ASSIGNMENT
TECHNOLOGY PARK MALAYSIA CT003-4-0-PT PERSPECTIVES TECHNOLOGY UCFF1003 {G2}
HAND OUT DATE: 2ND DECEMBER 2010 HAND IN DATE: 17TH MARCH 2011 PASS MARK IS: 40% ASSIGNMENT TITLE: PIZZA HUT ONLINE ORDERING SYSTEM NAME OF LECTURE:

THAM HOONG CHING

NAME OF GROUP MEMBERS: 1) MUHAMMAD HAMMAD ZULFIQAR TP023602 2) GHARIB KHAMIS MWINYI TP024372 3) BAIJUMAN TP

Asia Pacific University College of Technology and Innovation

Table of Contents
ABSTRACT .................................................................................................................................... 3 INTRODUCTION TO THE PIZZA HUT RESTAURANT .......................................................... 3 The history of the Pizza hut ........................................................................................................ 5 Pizza Hut Technology ................................................................................................................. 5 COMPONENTS OF THE PIZZA HUT TECHNOLOGY ............................................................. 6 THE TECHNOLOGY AND THE WEB OF THE PIZZA HUT .................................................... 6 THE STRENGTHS AND WEAKNESS OF THE PIZZA HUT WEBSITE ................................. 7 PROCESS AND DESIGN OF THE PIZZA HUT ONLINE ORDERING TECHNOLOGY........ 7 LIFE CYCLE OF THE PIZZA HUT TECHNOLOGY ................................................................. 8 The growth of pizza hut technology ........................................................................................... 8 The maturity of the pizza hut technology ................................................................................... 8 The decline of the pizza hut technology ..................................................................................... 9 ALTERNATIVE OF THE PIZZA HUT TECHNOLOGY ............................................................ 9 Input Replacement (services) ...................................................................................................... 9 Output Replacement (services) ................................................................................................... 9 Final Product ............................................................................................................................... 9 Compare the pizza hut technology/product with the alternatives ............................................... 9 THE EFFECTS OF PIZZA HUT ONLINE ORDERING SYSTEM ........................................... 10 Convenience and reliability ...................................................................................................... 10 Information and reviews ........................................................................................................... 10 FACTORS INFLUENCE TOWARDS PIZZA HUT TECHNOLOGY ....................................... 10 ETHICAL ISSUES ....................................................................................................................... 10 THE FUTURE OF THE PIZZA HUT TECHNOLOGY ............................................................. 12 Previous stage ........................................................................................................................... 12 Prediction of the next few stage ................................................................................................ 12 The reasons of placement, based on articles and market acceptance ....................................... 12 CONCLUSION ............................................................................................................................. 12 WORK BREAKDOWN ............................................................................................................... 13 REFFERENCE ............................................................................................................................. 14

Asia Pacific University College of Technology and Innovation

ABSTRACT The purpose of this report which involving Pizza hut online ordering Technology, the components of the technology, and how this Pizza hut restaurant make their market through new technology of online ordering system (website) , and how this Pizza hut market being introduced, growth, maturity and also decline of the Technology. And also explain the whole process of online ordering system from customer to Operator. INTRODUCTION TO THE PIZZA HUT RESTAURANT Pizza hut is an American restaurant chain and international franchise which offering different styles of pizza like Buffalo wings, pasta, garlic bread and etc, Pizza Hut was started in 1958, by two brothers in Wichita, Kansas, Frank and Dan Carney had the idea to open a pizza parlor, they borrowed $600 from their mother and opened the very first Pizza Hut in 1959, the first franchise unit opened in Topeka Kansas and Almost ten years later, Pizza Hut would be serving one million customers a week in their 310 locations. In 1970 Pizza Hut was put on the New York Stock Exchange under the sticker symbol (PIZ) and in 1986, Pizza Hut introduced delivery service and something no other restaurant was doing, by the 1990's Pizza Hut sales had reached $4 billion worldwide and in 1998 Pizza Hut celebrated their 40th anniversary and launched their famous campaign "The Best Pizzas Under One Roof". In 1996 Pizza Hut sales in the United States were over $5 million, out of all the existing pizza chains, Pizza Hut had the largest market share, 46.4%, however Pizza Hut's market share has slowly eroded because of intense competition from their rivals Domino's Little Caesar's and newcomer Papa John's.

Asia Pacific University College of Technology and Innovation

Home delivery was a driving force for success, especially for Pizza Hut and Domino's, however, this forced competitors to look for new methods of increasing their customer bases, many pizza chains decided to diversify and offer new non-pizza items such as buffalo wings, and Italian cheese bread, the current trend in pizza chains today is the same, they all try to come up with some newer, bigger, better, pizza for a low price. Offering special promotions and new pizza variations are popular today as well, in the past Pizza Hut has always had the first mover advantage, their marketing strategy in the past has always been to be first, one of their main strategies that they still follow today is the diversification of the products they offer, Pizza Hut is always adding something new to their menu and trying to reach new markets For example, in 1992 the famous buffet was launched in Pizza Hut restaurants worldwide. They were trying to offer many different food items for customers who didn't necessarily wants Pizza, another strategy they used in the past and are still using is the diversification of their pizzas. Pizza Hut is always trying to come up with some innovative way to make a pizza into something slightly different - different enough that customers will think its a whole new product. In 1983, Pizza Hut introduced their Pan Pizza, which had a guarantee of being ready to eat in 5 minutes when dining at Pizza Hut restaurants, in 1993 they introduced the "Bigfoot" which was two square feet of pizza cut into 21 slices, in 1995 they introduced "Stuffed Crust Pizza," where the crust would be filled with cheese and In 1997 they marketed "The Edge," which had cheese and toppings all the way to the edge of the pizza. Currently, they are marketing "The Big New Yorker," trying to bring the famous New York style pizza to the whole country. Lastly, Pizza Hut has always valued customer service and satisfaction, in 1995 Pizza Hut began two customer satisfaction programs: a 1-800 number customer hotline, and a customer call-back program. These were implemented to make sure their customers were happy, and always wanted to return.

Asia Pacific University College of Technology and Innovation

5 The history of the Pizza hut The history of Pizza hut began in 1958, when what is now the world's largest pizza franchise was born. Today the Pizza hut company is part of the Pepsi Empire, but back then two brothers Dan and Frank Carney, borrowed $600 from their mother to open a business in Wichita, Kansas. They found a small, twenty five-seat restaurant and there was only enough space for nine letters on their sign. The building resembled a hut so they called it Pizza Hut, since they wanted the word pizza to appear in the name also. Pizza Hut Technology Pizza hut provide online ordering system to their customer through the internet, online ordering solution is guaranteed to achieve increase revenue and customer satisfaction, Online pizza ordering services are websites that feature interactive menus allowing customers to place orders with local restaurants and different kind of pizza shown at the menu. Much like ordering consumer pizza online, many of these allow customers to keep accounts with them in order to make frequent ordering convenient. A customer will make register at the web site of pizza hut.com and choose favorite style of pizza, choose from available items, and choose delivery or pick-up. Payment can be by credit card or cash, with the restaurant returning a percentage to the online food company. The online ordering has become one of the fastest growing segments of the pizza hut business in recent years. Ordering system throughout the world has relied on pens and papers, Problems such as missing orders and information sent to the wrong place arise. Furthermore, some could not be able to handle the massive volume of orders. Under the old manual ordering systems, it takes up too much time to process Real time ordering and improved efficiency has been the focus of entrepreneurs. As with many business scenarios, getting rid of paper improves efficiency, reduces human error and allows information to flow to an infrastructure without a time consuming data input process. There is also less chance of handwritten orders being misread and a higher customer turnaround as customers will be served faster.

Asia Pacific University College of Technology and Innovation

6 To keep pace with the modernization, there should be room for improvement in the field of information technology, nowadays companies shift from manual to computerize primarily because of advantages brought by the use of computers. Pizza hut ordering system, customer can order through their website www.pizzahut.com , also it will be more advance technology through implementing new technology at GPRS, customer will order pizza through their GPRS when they are on driving to find near restaurant, and also last year pizza hut restaurants has been introduced new ordering through iphone 3G and iphone 4.

COMPONENTS OF THE PIZZA HUT TECHNOLOGY The pizza hut technology can be classified in to the medium technology because its a wide set technology that fall between high and low technologies, on using Online ordering system, the customer can order a pizza through the internet www.pizzahut.com this is the situation where by customer can choose different kind of the pizza, and also pizza hut uses Mobile ordering system, (Most Flexible Access) is the most and common way of the technology in the many pizza hut restaurants in many countries especially in Malaysia, you can order pizza by using your mobile phone and the system or data base of the pizza hut technology store the information about the previous customers orders, at the next time when you call pizza hut restaurant all the history of the customer are being shown as previously

THE TECHNOLOGY AND THE WEB OF THE PIZZA HUT It easily to find a lot of information about pizza hut and into website on Google, You Tube and Face book, Just search pizza hut on Google or You Tube you can find all information about its online web site, ordering system information and food. Join pizza hut on Face book and be aware from latest and cheap offers for pizza and other kind of food, and in cause of late delivery of order they also give free pizza voucher to their customers so as to give be friendly and hopeful with their customers.

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7 THE STRENGTHS AND WEAKNESS OF THE PIZZA HUT WEBSITE Pizza Hut's weaknesses are the complex computer systems and internal conflicts from franchisees. The complex computer system was contracted to develop delivery pizza service because Pizza Hut management was convinced that the installation of this system was essential to the delivery strategy and would be a significant competitive advantage. This system allowed the customers in a particular market to call a single number to place in order. The caller first was asked his or her phone number and the system ascertained whether the caller had ordered. The operator would verify the caller's name and address and ask if the customer would like the same type of pizza previously ordered. The order would then be forwarded automatically to the appropriate delivery unit where a terminal would receive the order information.

PROCESS AND DESIGN OF THE PIZZA HUT ONLINE ORDERING TECHNOLOGY

The online ordering system diagram of the pizza hut, a whole process of ordering food, it starts from customer to operator, once operator receives the order from the customer. Then operator send the order to kitchen for preparation of pizza or food after that operator will update sold and

Asia Pacific University College of Technology and Innovation

8 inventory files of the sold items. (Inventory file is a data base file of the system of the Pizza hut, mostly uses the Microsoft Access), then pizza will be ready from kitchen and its send back to operator and after then operator send pizza with a receipt to customer by using delivery messenger. According to the system Diagram the types of the system design is Computer aided design because it is easy to understand the flow of the system Diagram of the pizza hut ordering system.

LIFE CYCLE OF THE PIZZA HUT TECHNOLOGY On June 5, 2007, pizza hut firstly introduced their online ordering system at nearly of all U.S delivery locations. Pizza hut is the largest pizza chain in the world that allows customers to order online and have pizza delivered rights to their door or ready carry out at their nearest restaurant. In Malaysia pizza hut firstly introduced their online ordering system on 23 June 2007. The growth of pizza hut technology Pizza hut chains always competed on product and price, but the use of new technology is becoming just as important as the latest meal deal or promotional item. Interactive campaigns, mobile coupons and advances in online ordering seek to reach consumers. Pizza Hut has taken online ordering a step further with the launch of widgets, which allow consumers to place orders more quickly and easily. The maturity of the pizza hut technology At the maturity stage, sales growth has started to slow and is approaching the point where the inevitable decline will begin. More competitors have stepped forward to challenge the product at this stage, some of which may offer a higher quality version of the pizza at a lower price. This can touch off price wars, and lower prices mean lower profits, which will cause some companies to drop out of the market. Pizza Hut Company will seek to lower unit costs at the maturity stage so that profits can be maximized. The money earned from the mature technology should then be used in research and development of new technology.

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9 The decline of the pizza hut technology This occurs when the pizza hut technology peaks in the maturity stage and then begins a downward slide in sales. Eventually, revenues will drop to the point where it is no longer economically feasible to continue making the product. Investment is minimized. But the pizza hut company sells the rights to supporting the product to another company, which then becomes responsible for servicing and maintaining the product.

ALTERNATIVE OF THE PIZZA HUT TECHNOLOGY Input Replacement (services) It cant be replace of the input of online web ordering system of pizza hut website because user must have to input their address cell number and name to get pizza at time. Output Replacement (services) Pizza hut is still trying to improve its web software because customer still feel difficulty sometimes in booking order at peak hours. They still trying to upgrade their old web software with a new and better one to get fast output of customers order. Final Product Pizza huts final product is pizza and it cant be replace with any other food or thing but they are trying to make their pizza more tasty and delicious and better than before to get more and more customers. Compare the pizza hut technology/product with the alternatives Pizza huts main competitors are Papa Johns and Dominos pizza. Dominos pizza fist introduced their online ordering system. But short after dominos, pizza hut also introduces their online ordering system. Most of people still like dominos pizza more than pizza hut because their web software is still better and easy to use compare to pizza hut. Thats why pizza hut is still looking forward to upgrade their software.

Asia Pacific University College of Technology and Innovation

10 THE EFFECTS OF PIZZA HUT ONLINE ORDERING SYSTEM Convenience and reliability Online ordering system are usually available 24hours a day, and many customers have internet access both at work and home, other establishment such as internet cafes and schools provide access as well. So customer is easy and simple to order Pizza anytime and anywhere without any restrictions.

Information and reviews Online ordering system must describe and display products for sale with text, photos, and multimedia files, in online ordering system customer can view all photos and price of pizza so as to be easy and simply to choose and select which is favorite to him/her.

FACTORS INFLUENCE TOWARDS PIZZA HUT TECHNOLOGY Business: Its a large scale business serving the whole people of country. Anyone who wants to place it order can use it anywhere and anytime. Economic: Online ordering system serving its part in national income of a country by providing tax to government which is major benefit to economy. Lifestyle: Online ordering system improve the lifestyle because you dont need to go to restaurant to place order just by staying in home you can place your order and can save lot of time and can do other important work in that time.

ETHICAL ISSUES Ethics: Whatever users put on pizza huts website they never share users privacy with anyone and wont spread users address and contact number, this is the biggest example of ethics. Environmental Ethics: Pizza hut is careful about Environmental ethics, when any user sees the food box of pizza hut he may see the logo of keep your country clean. This is advice from pizza hut to their customers.

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11 Human rights (privacy & labor law): Customers put their contact number or address on their website they never share it to anyone and keep it private, Pizza hut never use their customer personal information for negative purpose, and they just use it to deliver food. Business Ethics: Pizza hut always try to make healthy food for their customers, they always follow business ethics about child labor, working hours of their employees according to the law of country. Legal implications: Pizza hut always do business under the law and always take responsibility for what they make and sale. Copyright Law: Pizza hut fully follow copyright law and they wont copy others product or logo for their own company, and no other company can use pizza hut products or logo for their own use without their permission. Intellectual Property: The Customer acknowledges that all intellectual property rights in the Products do and shall continue to belong to Pizza Hut and the Customer agrees that it will not infringe any of Pizza Hut's intellectual property rights. Ethical threats: Pizza hut have many Ethical threats including hacking, copying and fake franchise that uses their logo. Hacking: Hacking is very serious issue for pizza hut online ordering system; if a hacker enters in their web server he can steal the private information of their customers. Privacy: Pizza hut never share privacy of their customers with anyone but if anyone can enter in their server then he can steal personal information of their customers and can use it for negative purposes. Piracy: No other company is allowed to use pizza hut logo for their own firm; they must have to take permission from pizza hut to use their logo as their franchisee. Security: Pizza hut haired special networking security consultants for the security of their website.

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12 THE FUTURE OF THE PIZZA HUT TECHNOLOGY The future of the online pizza hut ordering system, the chairman from headquarter USA has already announced that they will produce new technology for ordering pizza when you are driving a car through GPS devices, on GPS devices, driver or any person within a car can order a pizza while they are in the journey or traveling from one area to another area especially in the city area. Previous stage Firstly pizza hut introduced its online web online system in USA only. But after sometime they introduced it in other countries also. Before their web system was not good as it is now, when customers try to place their order pizza hut online system take a lot of time to place their order because of its slow speed and slow software. Prediction of the next few stage Pizza Hut is enabling mobile ordering of its European branches via its application for Apples iPhone and iPad1 & 2. Pizza Huts application for iPhone and iPads aligns with its strategy to proactively expand its customer base. The reasons of placement, based on articles and market acceptance Due to the maturity of the pizza hut technology, or decline of the pizza hut technology, the pizza hut technology need to be upgrade its technology and make it widely and easily to their customers.

CONCLUSION For concluding this report of the pizza hut online ordering system, we would like to advices the management and their franchises, for up to date their website by using multi languages, for example when a customer wants to order a pizza have a options on choose prefers language, because majority of the user or customers especially in Malaysia are locally so its better to use their language (Bahasa) while they order pizza from web site.

Asia Pacific University College of Technology and Innovation

13 WORK BREAKDOWN

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14 REFFERENCE

Asia Pacific University College of Technology and Innovation