189_Nailis Sa'adah_KFC Indonesia

STRATEGIC MANAGEMENT ANALYSIS 20
22
KFC INDONESIA

SDTepRarAtemTeEn KGeuIaCnganM A N ADeGpaErteMmeEn PNemTasa-ran2 0 2 2 Departemen Keuangan

TABLE OF CONTENT

1. INTRODUCTION
2. COMPANY PROFILE
3. VISION AND MISSION
4. OUR MENU
5. OUR SEGMENT SERVICE
6. IFE MATRIX
7. EFE MATRIX
8. CPM
9. SWOT
10. IE MATRIX
11. GSM
12. QSPM

Joseph Carlton

STSRTARTAEGTEICGIMCAMNAANGAEGMEEMNTEN- T20-222022

INTRODUCTION

Nailis Sa'adah (7211420189)
Senior Analyst in Strategic Management Subject

Hello!

My name is Nailis Sa'adah. I am a student majoring in
accounting, Faculty of Economics, Semarang State
University. In the final project of management course,
which taught by Mr. Prof. Heri Yanto, M.B.A., Ph.D. and Mrs.
Retnoningrum Hidayah, SE, M. Si., M. Sc., QIA, CRMP I acted
as a senior strategic management analyst for KFC
Indonesia.
I am very excited about doing this final project. Because I
have an opportunity to analyze the condition of the
company from the internal and external side and evaluate
the strategy being implemented.

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COMPANY PROFILE

KFC INDONESIA PRODUCTS :

KFC Indonesia or PT. Fast Food Indonesia is the only Kentucky Fried Chicken,
franchise holder of KFC Brand in Indonesia, was Meals, Drinks, Coffee
founded in 1978 by the Gelael Family.
OUTLETS :
KFC itself is an American fast food restaurant chain
headquartered in Louisville, Kentucky, that 730 outlet scattered
specializes in fried chicken and the world's second- throughout Indonesia
largest restaurant which location globally more
than 150 countries. EMPLOYEE :

>16.500 employee

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VISION AND MISSION

VISION

Always be the number 1 fast-food restaurant brand in Indonesia and maintain
market leadership by being the most modern and favorite restaurant in terms
of products, prices, services, and facilities.

MISSION

Strengthening KFC's brand image with innovative strategies and ideas,
continuously improving the unparalleled dining atmosphere, and consistently
providing quality products, services, and restaurant facilities following the
changing needs and tastes of customers.

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OUR MENU

FOODS

Currently the menu from KFC is not only Fried Chicken, but also other foods
such as spaghetti, twisty, and burgers. But mostly made from chicken.

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OUR MENU

DRINKS

KFC sells drinks such as, coffee, tea and floats.

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OUR SERVICE SEGMENT

drive-thru kfc birthday

kfc foodbus kfc
breakfast

OUR SERVICE SEGMENT

delivery kfc coffee

kfc
catering

STAGE I :
INPUT STAGE

(IFE, EFE, CPM)

KFC? JAGONYA AYAM!

IFE MATRIX

(INTERNAL FACTORS EVALUATION)




Internal Factor Evaluation (IFE) Matrix is a strategy tool used to
evaluate firm's internal environment and to reveal its strengths as
well as weaknesses.
Based on the analysis the score of the IFE Matrix of KFC Indonesia
or KFC Indonesia is 3,18 which is more than 2,5. It means, company
have a strong internal position.

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EFE MATRIX
(EXTERNAL FACTORS EVALUATION)

External Factor Evaluation (EFE) Matrix is a strategy tool used to
evaluate firm's external environment and to reveal its opportunity as
well as threats. Based on analysis, the score of the EFE Matrix of KFC
Indonesiais 2,93 which is more than 2,5. It means, company have a
strong external position

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CPM MATRIX

CPM (Competitive Profile Matrix) area tool that compares the firm and
its rivals and reveals their relative strengths and weaknesses.
In doing CPM Analysis, we should to compare with competitor and
determine key factors that will compare.
In doing this analysis, analyst compare KFC Indonesia with two Fast
Food Company, they are Mc Donald and CFC Indonesia. So, here is
company profile of competitors.

Competitors Company Profile
.

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COMPETITOR PROFILE

McDonald's Indonesia

McDonald's is a trademark for PT Rekso PRODUCTS :
national food which was founded in 1991.
Company is engaged in fast food retail. Hamburgers, Chicken,
Fish, Beverages,
McDonald's itself is the world's largest Dessert, etc
restaurant chain by revenue, serving over 69
million customers daily in over 100 countries OUTLETS :
across 37,855 outlets as of 2018.
>200 outlets

EMPLOYEE :

>14.000employee

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COMPETITOR PROFILE

CFC Indonesia

CFC Indonesia or PT. Pioneerindo Gourmet PRODUCTS :
International is a franchise-based fast food
company. CFC or Californian Fried Chicken Hamburgers, Chicken,
itself comes from California which basically Meals, Dessert, etc
serves fried chicken.
OUTLETS :

>280 outlets

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CPM MATRIX

Based on several criitical succes factors, KFC
Indoneisa position is stronger than CFC, but

MCDonald's is the strongest.

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STAGE II :
MATCHING STAGE

(SWOT, BCG, IE, GSM)

SWOT MATRIX




STRENGTH WEAKNESSES

1. Second best global brand in fast 1. Product mostly related to chicken
food industry
2. Only sell products authorized by the
2. Has 2 million followers on Instagram
3. Provide purchase through kfcku central company

application and other digital 3. Decrease in total assets and increase
platforms
4. Have a good taste and quality in liabilities in 2021
5. Being the first in the Top of Mind
Awareness based on the Brand 4. Market segmentation for the upper
Image Tracking Study (BITS) survey
6. Clean and comfortable outlet middle class
7. Carry out STAR and ALL STAR
certification programs for crew 5. Some service segments have

OPPORTUNITY decreased sales value

6. Lack paying attention to the

nutritional value of the product

THREATS

1. Actively campaigning for 1. Emergence of fast food competitors
environmental care through 2. There are similar recipes on social
#NostrawMovement
media
2. Increasing delivery-order habit 3. Healthy-life trend
3. Collaborate with other brands or 4. Fluctuation in price of raw materials,

influencer especially chicken
4. Tax rate down to 20% for 2022 5. Need certification Halal from MUI
5. Economic growth increase 6. Employee wage rates continue to
6. Social media users increase
rise

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SWOT MATRIX




SO STRATEGIES WO STRATEGIES

- Improving the quality of order -Strengthen the marketing of the service
delivery service (S3, S4, S6, O3) segment whose sales are decrease (W4,
- Improving marketing through social W5, O3)
media with interesting campaign (S1, S2,
O6,03)
Improving brand image (S1, S2, O1)

SW STRATEGIES WT STRATEGIES

-Doing research via social media (S2, -Make new innovation support healthy-
S5, O2) life (W1, W2, W5, O3)
Improve worker skills continuously (S8, Carry out better financial management
O6) (W3, W4, W6, O4, O5)

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BCG MATRIX




BCG (Boston Consulting Group) is a tool which help company to identify and

evaluate portfolio product's company based on industry growth and relative market
share. The result will use to decide strategic planning that needed for each product.

Relative market
share

High Low

erahs hgiH
htworg tekraM
woL

KFC Indonesia is in a star position, which means products from KFC
have high market growth and high market share.

For this reason, companies must make large investments so that their
position in the market remains strong and sales volume increases.

STRATEGIC MANAGEMENT - 2022

IE MA
TRIX
(INTERNAL - EXTERNAL)




The IE Matrix is a strategic management tool which is used to analyze the
current position of the divisions and suggest the strategies for the future. The
Internal-External (IE) Matrix is based on an analysis of internal and external
business factors which are combined into one suggestive model.

Total IFE Score

Strong Average Weak


(3-4) (2-2,99) (1-1,99)

erocS EFE latoT High I II III
(3-4)

Medium IV V VI
(2-2,99)

Low VII VIII IX
(1-1,99

IFE Score : 3,18
EFE Score : 2,93

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GRAND STRATEGY

MATRIX




RAPID GROWTH MARKET

QUADRANT 2


QUADRANT 1

Product development Market development
Market development Market penetration
Market penetration Product development
Horizontal/vertical integration Forward integration
Liquidation/divestiture Backward integration
Horizontal integration
Related disversification
NOITISOP

EVITITEPMOC GNORTS

NOITISOP
EVITITEPMOC KAEW
QUADRANT 3 QUADRANT 4

Retrenchment Related diversification
Related disversification Unrelated diversification
Unrelated diversification Joint venture
Liquidation/divestiture

App Ondev SLOW GROWTH MARKET




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GRAND STRATEGY
MATRIX




Grand Strategy Matrix is a matching stage which defines the
situation of business through the market growth and their
competitive position in the market.

X-AXIS represent competitive position, with the left side of
the matrix indicating weak competitiveness and the right
side strong competitiveness.
Y-AXIS represent Market growth represented, with the top
of the matrix indicating rapid growth and the bottom
indicating slow growth.

Based on analysis above, KFC Indonesia is in Quadrant 1
position, which means company have haigh market growth

and strong competitive position.


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STAGE II :
DECISION STAGE

(QSPM MATRIX)

QUANTITATIVE STRATEGIC
PLANNING MAT
RIX (QSPM)




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QUANTITATIVE STRATEGIC
PLANNING MA
T
RIX (QSPM)




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EXPLANATION QSPM MATRIX







QSPM is a strategic management tool used in evaluating strategic options
by determining the attractiveness of each option, then selecting the
feasible option.
There are two options here, based on best strategies in SWOT analysis

1. New innovation support healthy-trend
2. Improving digital marketing and sales.
Based on the results of the attractiveness score calculation, total
attractiveness of strategic planning by improving digital marketing and
sales is higher than total score of strategic planning by make new
innovation support healthy-trend. Therefore, more appropriate strategy for
the company to do is to improve digital marketing and sales.

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THANK YOU!