Papa Johns 2008 Annual Report Download - page 14

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7
cross-marketing activities. We will continue to explore additional cross-marketing opportunities with
third-party companies.
We have developed a system by which domestic Papa John’s restaurant customers in areas we service are
able to place orders online at papajohns.com, including the “plan ahead ordering” advance ordering
feature and Spanish-language ordering capability. In addition, our customers can order via text messaging
and mobile web. We receive a percentage-based fee from domestic franchisees for online sales, in
addition to royalties, for this service.
We offer our customers the opportunity to purchase a reloadable gift card marketed as the “Papa Card,”
in any denomination from $10 to $100. We also offer Papa Cards for sale to consumers through third-
party outlets and continue to explore other Papa Card distribution opportunities. The Papa Card may be
redeemed for delivery, carryout and online orders and is accepted at substantially all Papa John’s
traditional domestic restaurants.
Company Operations
Restaurant Personnel. A typical Papa John’s restaurant employs a restaurant manager, one or two
assistant managers and approximately 20 to 25 hourly team members, most of whom work part-time. The
manager is responsible for the day-to-day operation of the restaurant and maintaining Company-
established operating standards. The operating standards and other resources are contained in a
comprehensive operations manual supplied to each restaurant. We seek to hire experienced restaurant
managers and staff, provide comprehensive training on operations and managerial skills, and motivate
and retain them by providing opportunities for advancement and performance-based financial incentives.
We also employ directors of operations who are responsible for overseeing an average of seven
Company-owned restaurants. The directors of operations report to operations vice presidents, who are
each responsible for the management of approximately 100 Company-owned restaurants in specific
geographic regions. The operations vice presidents report to four division vice presidents, who also have
responsibility for franchise restaurant operations in their respective regions. These team members are
eligible to earn performance-based financial incentives.
Training and Education. The Operations Support and Training (“OST”) department is responsible for
creating the tools and materials for the training and development of team members. With these tools and
materials, our field-based trainers train and certify training general managers in all markets. Operations
personnel, both corporate and franchise, complete our management training program and ongoing
development programs in which instruction is given on all aspects of our systems and operations. The
program includes hands-on training at an operating Papa John’s restaurant by a Company-certified
training general manager. Our training includes new team member orientation, in-store and delivery
training, core management skills training and new product or program implementation. Our ongoing
developmental workshops include operating partner training, advanced operator training and senior
operator training. We provide on-site training and operating support before, during and after the opening
of all Company-owned restaurants and for the first two restaurants per franchise group with additional
support available upon request.
Point of Sale Technology. Point of sale technology (our proprietary PROFIT SystemTM) is in place in all
domestic traditional Papa John’s restaurants. We believe this technology facilitates faster and more
accurate order-taking and pricing, reduces paperwork and allows the restaurant manager to better monitor
and control food and labor costs. We believe the PROFIT System enhances restaurant-level marketing
capabilities through the development of a database containing information on customers and their buying
habits with respect to our products. Polling capabilities allow us to obtain restaurant operating