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Strategic Audit of Panera Bread Company

Strategic Audit of Panera Bread Company. Case 29 Strategic Management MGMT 436 Group 5. Current Situation. A. Current Performance

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Strategic Audit of Panera Bread Company

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  1. Strategic Audit of Panera Bread Company Case 29 Strategic Management MGMT 436 Group 5

  2. Current Situation A. Current Performance Revenues between 2000 and 2003 rose sharply due to new unit expansion but masked a slowing year-to-year growth rate. New strategies and initiatives must be taken in order to continue growth. • Revenues rose from $350.8 million in 2000 to $977.1 million in 2003, fueled by new unit expansion • In 2000, comparable sales and annualized unit volumes (AUVs) increased 9.1% and 12.0% respectively. In 2003, those same figures increased only 0.2% and 0.5% reflecting slowed growth.

  3. Current Situation B. Strategic Posture Mission • Mission Statement "A Loaf of Bread in Every Arm" (www.panerabread.com/about/company). ObjectivesProvide the following fast casual food service qualities • The casual atmosphere of coffee shops • The quality food of sandwich shops • The quick service of fast food chains StrategiesSpecialize in the following five consumer dining needs • Breakfast • Lunch • Daytime "chill-out" • Lunch in the evening • Take-home bread

  4. Strategic Managers A. Board of Directors

  5. Strategic Managers B. Top Management

  6. External Environment A. Natural Environment • Climate • Crops such as wheat, grain, sugar cane, fruits and vegetables are affected by adverse weather conditions such as droughts, hurricanes, tornadoes, and excessive rain resulting in increased ingredient costs driving up product costs negatively affecting company profits • Energy Costs • Rising gas prices will affect transportation and shipping costs while increasing electrical charges will also negatively affect company profits

  7. External Environment B. Societal Environment

  8. External Environment C. Task Environment

  9. Internal Environment A. Corporate Structure

  10. Internal Environment A. Corporate Culture

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