Pizza Hut 2008 Annual Report Download - page 5

a FamoUs recognition cUltUre WHere everyone coUnts.
We already serve as a best practice for other companies because of the way we use fun recognition to celebrate
the achievement of others and drive results. And our success starts with the fundamental belief that everyone at
every level can truly make a difference. This belief inspires us all to do our very best. We intend to capitalize on
our spirited work environment by using it as a magnet to attract and retain the best talent and make Customer
Mania come alive in every person and in every store as we go for operational excellence. As it stands today, this
culture is well established at our restaurant support centers and above store but is inconsistently executed at
our restaurants where it counts most. A dening global company will have its customers recognizing its passion
for making them happy and we will settle for nothing less.
dynamic, vibrant brands everyWHere.
We want our brands in every country to be always connecting with our customers, always reaching for new
innovations and excellence, and always leading. To this end, we are in the process of cascading our Achieving
Breakthrough Results (ABR) training to our managers around the world. The charge is to have an army of ABR
“black belts” who achieve the kind of breakthroughs that will make headlines in our industry. We believe this
is the most ambitious training initiative ever conducted in our industry and will help us achieve more – faster –
much in the same vein Six Sigma has done for manufacturing companies.
a company WitH a HUge Heart.
This means truly caring about others. This means opening doors and providing great career paths that
allow people to work their way up from the bottom to the top. That also means using our talent, time and
imagination to save lives and improve our environment. That’s why we have partnered with the United Nations
World Food Programme and have an annual hunger relief campaign that raised nearly $20 million in cash and
in–kind contributions in 2008. That’s the equivalent of 80 million meals, saving nearly 1.8 million children
from starvation. In addition, our team members donated ve million volunteer hours to this incredible cause.
Equally important is our commitment to health and nutrition, including an online exercise program to help
educate consumers about maintaining a balanced lifestyle. In China, our team has created an incredible
3-on-3 basketball tournament with 24,000 teams participating in 400 plus Chinese cities. The bottom line is
we do lots of good in the communities we serve and to learn more I ask you to check out our company’s rst
Corporate Responsibility Report which is published online at Yum.com. Great companies have always focused
on more than making money and we are doing just that.
resUlts, again and again.
I think you’d all agree the only way you can be recognized as “dening” is to continue to put the numbers on the
board that make you a winner with your customers and shareholders. And admittedly, given the current state
of the nancial markets and economy, 2009 represents our most challenging year yet. In the response to the
nancial uncertainties posed by declining investment values and rising unemployment, consumers have trimmed
their discretionary spending to conserve cash and rebuild savings. As a consequence they are dining out less
frequently and when they do go out to eat, they aggressively seek value. To succeed under these conditions
restaurant concepts must launch a two pronged attack: offer superior value, and provide differentiated and
relevant products. While it’s true that we enjoy some measure of insulation by virtue of our position in the lower
end of the dining out space arguably capturing trade down business from higher end concepts that are more
exposed to an economic slowdown—we are not immune to the effects of a weakening economy. Therefore, to
sustain our track record of success, we are sharpening our value offerings and providing innovative products
that uniquely satisfy customer needs and leverage the capacity of our assets. What’s more, we are condent that
our considerable nancial strength matches the staying power of our brands. In fact, we stand to gain from any
near term industry consolidation. That said, we think it’s also more important than ever to focus on the keys to
our long-term growth. And the good news for us is we have four very clear growth strategies we are pursuing with
urgency and purpose. Strategies that have served us well and put real meat on the bone in our quest to become
tHe deFining global company tHat Feeds tHe World.
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