A Case Study on HELL Pizza

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Introduction

Being a famous household name, HELL Pizza is a popular pizza brand which was originally founded by Callum Davies in the year of 1996 in Kelburn. HELL pizza is combined with a mission to deliver "the best damned pizza in this life or the next." Starting from a small pizza shop in Kelburn, HELL pizza has successfully developed into an incredibly franchise with a total number of 66 stores across New Zealand, with iconic branding and distinctive strategic management processes. There are mature human resource management and some strategic management approaches in the market, following a series of basic guiding ideas. These basic management ideas are more than a kind of attitudes, but shows a thinking model of an enterprise. The purpose of achieving management goals is mainly supposed to accurately learn the needs of the targeted market and the desires of the targeted consumers. Rather than following the traditional and mature human resource management and some strategic management approaches, HELL Pizza has adopted its distinctive approaches in these two aspects, which have contributed to its recognition, popularity and incredible success in pizza market. Based on the development of HELL Pizza, this paper aims to make an analysis of strategic management and human resource management in this company, combining the given cases. In this process, relevant management theories and frameworks will be included for providing future success strategies to form a competitive advantage for HELL Pizza as well.

HELL Pizza’s Strategic Management Achievement

An enterprise strategic management decides its success or failure in future development. The strategic management within an enterprise can be viewed as its guidance of its development direction. Situated in current economic era, it is necessary for an enterprise to develop its strategic management by combining market trends, consumer demands and product features. Strategy generally reflects the idea that organizational goals can be achieved through it (Salamzadeh et al., 2017).

The brand is commonly differentiated from competitors. Enterprises can realize their communication goals with the consumers by establishing their brands, enabling consumers to achieve the brand and product information immediately after having purchase intentions. A successful brand generates consumers' confidence in products and loyalty to the brand, with deep impressions in consumers’ awareness. Enterprises can also extend their fields through the help of brands. Brand is a product with unique connotations and characteristics. The brand simply refers to the name of the product with special market effects. By attracting constant attention from loyal consumers and developing proper advertising activities, a brand can help to achieve various propaganda purposes. Therefore, the brand has become an important part for various enterprises.

In the given case, the founder Callum came up with HELL, believing that he would have a lot of fun with it. This has made a strategic management basis for its further development. HELL Pizza has developed a franchise model, providing possibilities for it to grew quickly in the following years. Benefiting from the franchise model in 2004, HELL managed to expand from four stores to twelve store in the first year. Nowadays, HELL Pizza has owned 66 pizza franchise, involving a total number of over 1000 employees in New Zealand. The overwhelming expansion is closely related to its distinctive strategic management and brand positioning in reality. Consumers are impressed with its diabolical image once they have known about HELL Pizza, which aims to make a great difference in New Zealand. The management members including Stu McMullin and Callum Davies and the marketing department employees Jason Buckley and Siang Tay deal with their own marketing strategies including brainstorming and national marketing. There used to be some shock marketing in HELL Pizza, which achieved impressive market responds despite of some doubt and skepticisms. The intention was never to shock the market or consumers, but to do it for fun. All of the consumers are able to obtain the distinctive brand style of HELL Pizza. This helps HELL Pizza to establish successful strategic management with created style.

HELL Pizza’s Human Resource Management

With the arrival of modern society, the integration of the world economy is developing rapidly. As a discipline, human resource management plays a role in addressing this situation and raising awareness of human resource issues as risks for the organization (Becker & Smidt). The continuous innovation of human resource management is the need for adapting to the new market trends for a number of enterprises. First of all, innovating and optimizing human resource management can help enterprises to achieve strategic objectives more smoothly and to achieve social and economic benefits. Then the innovation of human resource management is beneficial to the development of enterprise employees in a wide range of aspects. From the perspective of enterprise employees, their confidence in themselves and a sense of belonging can be effectively, which are beneficial for them to full paly their value. Therefore, innovating and optimizing human resource management is an important task for modern enterprises.

With the development of human resource management in modern society, human resource management has risen to the level of enterprise strategic management. The idea of human resource management has become topical and controversial (Storey, 2016). Traditional human resource management fails in adapting to needs of the new era. Human resource management is supposed to play an active role in the future planning and the strategic decision within an enterprise. In turn, an enterprise is expected to deal with the relationship between human resource management department and other departments rationally and smartly. By giving full play to human resources management employees, an enterprise would provide advantageous conditions for human resource management employees to mobilize the enthusiasm and motivation of employees in other departments.

In terms of HELL Pizza’s success, part of its success should be attributed to the effectiveness in franchising to grow the brand. This is closely related to its human resource management concepts. As many of its franchisees used to work in HELL Pizza, they are particularly familiar with the brand and loyal to the brand. Benefiting from Callum’s management concepts, fun and loyalty are highly valued in the company. Achieving a consensus in management, HELL Pizza is successful in selecting people to become franchised in running the branch shops. Being experienced workers, these people have acquired professional knowledge of the HELL Pizza products. Giving freedom to go for fun, the staff and franchises are motivated to maintain a high retention rate and operating activeness situated in an enterprise culture receiving wide approval and strong support. It is inevitable that there are some failure examples when establishing franchisees in London, India, Canada, Dublin and South Korea, many of which have to suffer major crisis influenced by particular factors. All of the staff are dedicated to improve the situation for the shops. The key is they staff and franchisers approve the human resource management in HELL Pizza. They are willing to work in such a fun working environment and feel they can full play their value in the company.

HELL Pizza’s Competitive Advantage

For many large companies with several branches in different cities, it is a popular choice to have a professional fulltime agency to make marketing plans and media advertisement. Things is different in HELL Pizza. HELL Pizza refuses to employ an agency but establish its own head office team for this part, a marketing department with only two employees Jason Buckley and Siang Tay. They are able to think about market plans and strategies together with the contribution of the company director. In this way, many kinds of brainstorming and national marketing are realized within the small department, with some interesting and special ideas in some cases. Although there are limitations in setting a small department in marketing, this has also brought some advantages for HELL Pizza. The biggest advantages are that this provides HELL Pizza with possibilities and convenience to adopt an immediate respond and proper approaches in face of changed marketing tendency. There are no complicated board approvals and processed in front of a market change, facilitating effectives which is almost impossible in many other popular brands.

Suggestions for HELL Pizza’s Competitive Advantage

HELL Pizza is successful in establishing its own brand, which can be obviously differentiated from other competitors. This is benefited from the establishment idea, strategic management and human resource management in the company. Nowadays, with the increasing competition from the market, it is believed that there are further approaches for HELL Pizza to form its own competitive advantages. Designing is an indispensable factor for a company, including its brand and products. In the market competition, the brand and products need to be easily identified, founded and memorized by consumers. Design is more than a creation but a meaningful activity. The purpose is to through deep communication between design and the company, the company can convey the information of the brand and the products to consumers. Therefore, HELL Pizza is recommendation to attach more importance to design strategic management in the near future.

Design strategic management means to shape and extend the brand. It is the key to transferring new technology to company products, which is also a bridge connecting company goals and consumer demand. Design strategic management plays an irreplaceable role in improving company competiveness in the market. Being a management tool, design strategic management helps its products and services to achieve advantages in the market. For HELL Pizza, it is successful in strategic management. With the involvement of design strategic management, these two aspects can become complementary to each other. The rational use f strategic management and design strategic management can accurately regulate the production process and respond quickly to the technology upgrading and market changes.

Conclusion

HELL Pizza is supposed to be viewed as a good case for further analysis. Being a popular brand with its own distinctive characteristics, the strategic management and human resource management achievement in HELL Pizza should be perceived and learned. Although there used to be some crisis and propaganda arguments related to HELL Pizza’s marketing strategies, there is no doubt that HELL Pizza has set a distinctive and excellent example for many enterprises in marketing. Apart from the management achievements in HELL Pizza, its cultural values should be respected. Personality is valued add given freedom to be fully played. The fun working environment with wide consensus becomes an attractive point in its operation. Above all, it is lee rational to merely refer to HELL Pizza’s successful management experience for other companies. Instead, other companies should combine their features with excellent management awareness, by exploring an acknowledge market strategy and facilitating its own brand loyalty.

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