Business Process Modeling Approaches Article Example | Topics and Well Written Essays - 500 words

Business Process Modeling Approaches - Article Example Paul Harmon comes in to provide much simpler, quicker, less expensive yet equally beneficial ways of improving the performance of one’s business. Paul picks up from Rummler and Brache who introduced a very straight forward modeling approach (Harmon, 2003). They named this approach Process Mapping. The Process Mapping model was further developed to form the Unified Language Modeling and later into the Business Process Modeling Notation. Paul argues that these models involve the use of extra work and he tries to simplify them while at the same time ensuring that the end results will be equally worth it. He starts by saying that any business that wants to carry out a business process modeling needs to identify its current position, reasons for the remodeling as well as what it wants to achieve at the end of the process. In his book Business Process Change, Paul picks up on the Unified Modeling Language to describe and uses it to describe various business processes that may need remodeling if a business is to improve its efficiency. Here, Paul identifies different levels of business process from external processes, top-level processes down to the junior-level processes where roles have been assigned to various junior officers in the company. He says that it is important for every business level to be remodeled if the company wants the best results from the whole business modeling process (Harmon, 2003). Paul Harmon brings out various business modeling diagrams that are essential for a business to have. He introduces that ‘is diagrams’ which reflect the company’s current position, the ‘could diagrams’ which indicate the company’s targets and that ‘should diagrams’ which are a must attain target for the company. He recognizes the need for a business to integrate human activities and information technology (IT) activities in the modeling process for best results. According to Paul, any efficient

Recommendation Report Assignment Example | Topics and Well Written Essays - 750 words

Recommendation Report - Assignment Example By becoming energy efficient the company becomes cost efficient which provides not only the economic benefit but also a marketing benefit. One way YEG can tap into the eco-consumer market is by providing LED light bulbs that reduce utility bills by up to 80% and have the lifespan of as long as 20 years. In this report, a cost benefit analysis of LED bulbs and its non-LED counterparts will be done and the pros and cons of each product will be analyzed. Green Marketing Analysis Green marketing is essentially the, â€Å"consumption an disposal of products and services happen in a manner that is less detrimental to the environment† (Choudhary & Gokarn, 2013). With the rise in the awareness about nonbiodegradeable waste, impact of toxic pollutants and global warming, marketers are consumers are now shifting towards green marketing and becoming more environmentally conscious. We believe YEG can achieve success in green marketing if three key principles given below are followed (Chou dhary & Gokarn, 2013): Consumer Value Positioning Calibration of Consumer Knowledge Credibility of Product Claim Customers are looking for these three principles when they consider the green products. Consumer value positioning entails providing a product that is just as good if not better, than its alternatives. The value that the customer is looking for should be present in the eco-friendly product. Calibration of consumer knowledge means that you educate the consumers about the specific environmentally friendly attributes of the product. This involves using the ‘green’ aspect of the product as a marketing tool. Marketing the product as a ‘green solution’ for their needs is essential as studies show that if all other things are constant, consumers will prefer the green alternative (Ginsberg & Bloom, 2004). Credibility of product claim means that the business should market the products’ benefits in a specific and meaningful manner. Studies show that consumers don’t like ‘green marketing’ if it is done as a, â€Å"token gesture flashed as eye candy on market literature† (Univsersity of Vermont, 2012). Hence credibility of the claims being made is important while implementing this strategy. Keeping in mind these three principles that the customers require, if YEG will provide a product that delivers on all three factors with its value and is a ‘green solution’ then YEG can tap into this market. Annotated Bibliography Mishra, P., & Sharma, P. (2012). Green Marketing: Challenges and Opportunities for Business. Journal of Marketing and Communication, 8(1), 35-41 This paper analyzes the need for green marketing in a business, the goals of green marketing and the challenges associated with it. It also examines the benefits it can give to the business if implemented properly and the role this strategy will play in the future. The core theme of this paper was how to pursue green marketing along w ith its environmental and social dimensions. It suggests that environmental impact assessment must be done in a systemized and effective manner. The three goals that companies must achieve to become ecofriendly include: Cleaning up their products by eliminating hazardous substances, take back and recycle products and reduce climate impact. The marketers should educate the consumers about the benefits of green products and form a policy that addresses their need for a quality product that does not

Ataxia Telangiectasia Mutated in Glucose Transport

Ataxia Telangiectasia Mutated in Glucose Transport A role for ataxia telangiectasia mutated in insulin-independent stimulation of glucose transport Abstract Literature reports suggest that ataxia telangiectasia mutated (ATM) can activate the AMP-activated protein kinase (AMPK), a protein that can stimulate glucose transport in skeletal muscle. We hypothesized that 5-aminoimidazole-4-carboxamide ribonucleotide (AICAR), an AMPK activator, would increase glucose transport in mouse extensor digitorum longus (EDL) muscles in an ATM-dependent manner. AICAR-stimulated glucose transport was prevented by the ATM inhibitor KU-55933 and in ATM-deficient (ATM-/-) muscle despite normal stimulation of AMPK phosphorylation. S231 of TBC1D1 matches the sequence motif of ATM substrates, and phosphorylation of this site is known to inhibit TBC1D1 and lead to increased glucose transport. Accordingly, we assessed TBC1D1 phosphorylation and found that AICAR-stimulated phosphorylation of TBC1D1 at S231did not occurin ATM-/- muscle. However, activation of ATM without activation of AMPK was insufficient to increase TBC1D1 phosphorylation.The data suggest that AT M plays a role in AICAR stimulated glucose transport downstream of AMPK. Keywords: AMP-activated protein kinase; ataxia telangiectasia mutated; TBC1D1; AICAR; glucose transport; skeletal muscle Introduction The serine-threonine kinase ataxia telangiectasia mutated (ATM) appears to play a role in glucose homeostasis. For example, recent genome-wide association studies have found that genetic variations near the ATM gene are related to glycemic responses to metformin [1, 2], a commonly-prescribed drug for blood glucose control. While the mechanism for metformin’s effect on blood glucose levels is under debate [3-6], it is known that metformin acutely stimulates glucose transport into skeletal muscle concomitant with activation of the AMP-activated protein kinase (AMPK) [7]. Activation of AMPK is sufficient to stimulate insulin-independent glucose transport into skeletal muscle [8, 9]. Intriguingly, ATM dependence has been reported for activation of AMPK in response to DNA damage or insulin-like growth factor 1 in HeLa cells and fibroblasts, exposure of lung cancer cells to ionizing radiation,exposure of lymphoblaststo H2O2, or treatment of HeLa cells and mouse embryonic fibroblasts with the adenosine analog AICAR [10-14]. Despite these suggestive data on the role of ATM upstream of AMPK, the potential role of ATM in AMPK-dependent stimulation of glucose transport has not previously been investigated in skeletal muscle, the predominant whole-body storage depot for glucose. Accordingly, the purpose of this study was to test the hypothesis that glucose uptake stimulated by the AMPK activator AICAR would be dependent on ATM in skeletal muscle. Methods Materials Antibodies against TBC1D1, AMPK, phosphorylated AMPKÃŽ ± T172 (P-AMPK), and phosphorylated ATM S1981 (P-ATM) were purchased from Cell Signaling Technology (Beverly, MA, USA). Antibodies against phosphorylated TBC1D1 (P-TBC1D1) S237 (S231 in mouse) were purchased from EMD Millipore Corporation (Billerica, MA, USA). Antibodies against tubulin and ATM were obtained from Sigma-Aldrich Corporation (St. Louis, MO, USA). Horseradish peroxidase-conjugated secondary antibodies were obtained from Pierce Biotechnology (Rockford, IL, USA). The ATM inhibitor KU-55933 was a generous gift from Dr. Graeme Smith (KuDOSPhramaceuticals, Cambridge, UK). The AMPK inhibitor Compound C was provided by Merck Co., Inc. (Rahway, NJ, USA). Doxorubicin was purchased from Sigma-Aldrich Corporation. Radiolabeled 2-deoxyglucose and mannitol were purchased from American Radiolabeled Chemicals, Inc. (St. Louis, MO, USA). Collection and Processing of Animal Muscle All procedures using live animals were approved by the Saint Louis University Institutional Animal Care and Use Committee. Transgenic mice expressing a truncation mutation of ATM [15] were obtained from The Jackson Laboratory (Bar Harbor, ME, USA). Mice that were heterozygous for the transgene were used to breed wild type (ATM+/+) and ATM deficient (ATM-/) mice. After weaning, each mouse was anesthetized with ketamine/xylazine (55 mg ketamine and 5.5 mg xylazine per kg), and a tail sample was obtained for genotyping as previously described [15, 16]. Mice were anesthetized with sodium pentobarbital (50 mg/kg) and extensor digitorum longus (EDL) muscles were removed and incubated in vitro as described previously [16, 17]. The incubation media for the muscle consisted of Krebs Henseleit bicarbonate buffer (KHB) containing 8 mM glucose and 32 mM mannitol. Vials containing EDL muscles were gassed with 95% O2 : 5% CO2 and kept gently shaking at 35 ºC. Muscles were incubated for one hour to allow recovery from dissection. Muscles were then transferred into KHB containing 32 mM mannitol and 8 mM glucose in the presence of 0.1% dimethyl sulfoxide vehicle (DMSO) or 1  µM KU-55933, a concentration sufficient to inhibit ATM [18, 19] but low enough to avoid inhibition of phosphatidylinositol 3-kinase [19]. After 30 minutes, muscles were incubated in KHB with 8 mM glucose and the absence or presence of 2 mM AICAR for one hour with the continued presence of DMSO or KU and 32 mM or 30 mM mannitol to keep osmolarity constant across media. At this point, some muscles were blotted and clamp-frozen with aluminum tongs cooled in liquid nitrogen and stored at -80  ºC for later western blot analysis. Other muscles were subjected to 2-deoxyglucose (2DG) uptake assays as described below. In parallel procedures, EDL muscles from wild-type or ATM-deficient animals were allowed to recover in vitro for one hour, incubated in KHB containing mannitol as described above and in the absence or presence of 2 mM AICAR for one hour and then either clamp-frozen or subjected to 2DG uptake assays as previously reported [16, 17] and briefly described below. 2DG uptake Muscles were washed at 30  ºC in glucose-free KHB containing 40 mM mannitol in the absence or presence of KU-55933 (DMSO vehicle) or, for procedures with the ATM-/- mice, in medium containing neither KU nor DMSO. Muscles were then incubated in KHB containing 4 mM 2DG, 2  µCi/ml 3H-2DG, 36 mM mannitol, 0.3  µCi/ml 14C-mannitol, and 0.1% DMSO or 1  µM KU-55933 if they had been present in earlier incubations. Muscles were clamp-frozen and stored at -80  ºC. Muscles were then homogenized in Kontes ground glass tubes in ice-cold buffer containing protease and phosphatase inhibitors (50 mM HEPES, pH 7.4, 2 mM Na3VO4, 150 mM NaF,10  µg/ml leupeptin, 10  µg/ml aprotinin, 0.5  µg/mL pepstatin and 1 mM phenymethylsulfonylflouride). Homogenates were centrifuged at 4  ºC for 10 minutes at 14,000Ë £g, and supernatant protein concentration was analyzed by the bicinchoninic acid (BCA) method (Pierce Protein Technologies, Rockland, IL, USA). Supernatant aliquots and aliquots of the incubation media were mixed with Ultima Gold XR scintillation fluid (Perkin Elmer, Boston, MA, USA), and samples were assessed by scintillation counting (TriCarb 3110TR, Perkin Elmer, Boston, MA, USA). The disintegrations per minute (DPM) of 14C-mannitol were used to measure the extracellular volume, and intracellular 2DG was calculated from 3H DPM after accounting for 3H DPM in the extracellular space. 2DG transport was expressed as nmol 2DG/mg protein/10 minutes. Western Blotting Samples were homogenized, centrifuged, assayed for protein content as described above, diluted in Laemmli sample buffer containing dithiothreitol, and boiled for 5 minutes. Samples were then analyzed using SDS-PAGE as described previously [20]. Samples were run on 4-20% Tris-HEPES gels (Pierce) and then transferred onto nitrocellulose membranes. After transfer, membranes were blocked with 5% non-fat dry milk in Tris-buffered saline containing 0.1% Tween. Proteins on the nitrocellulose membranes were probed with primary and secondary antibodies described in the Materials section and then visualized using enhanced chemiluminescence (Western Lightning; PerkinElmer, Waltham, MA, USA). Western blots were quantified using TotalLab software purchased from TotalLab Nonlinear Dynamics (Newcastle on Tyre, UK). For probing ATM and P-ATM, samples were run on 3-8% Tris-Acetate gels (Invitrogen, Carlsbad, CA, USA) alongside HiMark (Invitrogen) molecular weight markers. Statistics Data were analyzed by ANOVA with post hoc LSD comparisons. A level of P Results AICAR-stimulated glucose transport ATM’s role in AICAR stimulated glucose transport was assessed in isolated EDL muscle by using either ATM deficient mice or by using the specific ATM inhibitor, KU-55933. As shown in figure 1A, ATM protein was present in only background levels in EDL from ATM-/- mice. As shown in figure 1B, AICAR increased glucose transport in muscle from wild type mice(P AICAR-stimulated phosphorylation of AMPK It has previously been reported that ATM plays a role in AICAR-stimulated AMPK phosphorylation in HeLa cells and mouse embryonic fibroblasts [12]. Thus, we assessed phosphorylation of AMPK to determine whether ATM’s role in AICAR-stimulated glucose transport was through an influence on AMPK phosphorylation. As shown in figure 2A, AICAR-stimulated AMPK phosphorylation was normal in muscle from ATM-/- mice. Likewise, AICAR-stimulated AMPK phosphorylation was unaffected by the ATM inhibitor KU-55933 (figure 2B). Phosphorylation of TBC1D1 The RabGTPase activating protein (GAP) TBC1D1 is required for stimulation of glucose transport by AICAR [21]. Furthermore, phosphorylation of mouse TBC1D1 at S231 (corresponding to S237 of human TBC1D1) in response to AICAR occurs concomitant with an increase in glucosetransport [22-24], and S231 phosphorylation appears to be necessary to convey insulin-responsiveness to TBC1D1 [25]. Intriguingly, S231 and the surrounding amino acids (F-S-Q) match the consensushydrophobic-serine/threonine-glutamine (à ¯Ã‚ Ã¢â‚¬  -S/T-Q) motif of ATM targets [26, 27]. While phosphorylation of this site is increased by the AMPK activators phenformin and AICAR [28], and the site is an in vitro target of AMPK [28], this does not rule out the possibility that another kinase could act on the site. Thus, we hypothesized that S231 phosphorylation in response to AICAR would be dependent on ATM. As shown in figure3, AICAR increased phosphorylation of TBC1D1 S231 in EDL from wild type mice (P Discussion The new information provided by this study is that AICAR-stimulated glucose uptake in skeletal muscle is dependent on ATM. Additionally, this role for ATM in AICAR-stimulated glucose uptake does not involve an effect at the level of AMPK phosphorylation but instead is associated with altered phosphorylation of TBC1D1, downstream of AMPK. Based on data that the ATM inhibitor KU-55933 blunted activation of AMPK by metformin in a hepatoma cell line, Zhou et al proposed that ATM acts upstream of AMPK [2]. However, two independent groups have shown that KU-55933 prevents AMPK activation by metformin through inhibition of the cation transporter responsible for metformin uptake rather than through inhibition of ATM [3, 4]. In hepatocytes, ultraviolet light irradiation stimulated phosphorylation of the ATM target H2AX, but had no effect on AMPK activity [4]. Additionally, caffeine, which inhibits ATM,suppressed phosphorylation of H2AX but not activation of AMPK by metformin [4] . Finally, while hydrogen peroxide activated both AMPK and ATM in HEK293 cells, KU-55933 prevented ATM autophosphorylation but did not interfere with AMPK activity [4]. Together, these data [4] suggest that ATM does not act upstream of AMPK, at least in hepatocytes or HEK293 cells. While it has been reported that ATM acts upstream of AMPK inHeLa cells, lung cancer cells, fibroblasts, lymphoblasts, and embryonic fibroblasts [10-14], it seems unlikely that tissues corresponding to these cell lines would play a meaningful role in glucose homeostasis. Intriguingly, however, the increase in insulin sensitivity and a concomitant increase in autophosphorylated ATM in L6 myotubes in response to serum starvation was found to be dependent on AMPK, while inhibition of ATM prevented increased insulin action but not an increase in AMPK phosphorylation in serum starved myotubes [18]. Together, the data from serum-starved myotubes [18]suggest that ATM could act downstream of AMPK in regulation of glucose transport. The current data showing blunted glucose transport despite normal phosphorylation of AMPK in response to AICAR in ATM-deficient skeletal muscle or muscle exposed to KU-55933 are consistent with the idea of ATM acting downstream of AMPK. AMPK is a heterotrimerof ÃŽ ±, ÃŽ ², and ÃŽ ³ subunits, each with multiple isoforms [30]. The two main activating upstream kinases for AMPK are liver kinase B1 (LKB1) and calcium/calmodulin-dependent kinase kinase ÃŽ ² [31], though there are some reports that ATM-dependent phosphorylation of AMPK does not require LKB1 [11, 32] and could indeed be through direct phosphorylation of AMPK by ATM [11]. Intriguingly, LKB1 is an in vitro substrate for ATM [33], suggesting a potential mechanism for the ATM-dependent phosphorylation of AMPK [14]. However, phosphorylation of LKB1 by ATM does not affect LKB1 activity in vitro or LKB1 localization in vivo [33], so the precise role of LKB1 phosphorylation in activation of AMPK remains uncertain. Clearly, there are cell-type differences in the role of ATM upstream of AMPK, and perhaps these are influenced by factors including the expression profile of AMPK subunit isoforms or the subcellular localizations of ATM, AMPK, and LKB1. The current study, as the first to demonstrate a role of ATM in insulin-independent glucose transport, adds to the growing body of literature suggesting a role for ATM in glucoregulation. For example, young mice that lack functional ATM are hyperglycemic compared to wild-type animals during oral glucose tolerance tests [34]. Likewise, for mice with an ApoE-/- background, animals that have only one allele ofATMthat codes for functional protein are hyperglycemic during intraperitoneal glucose tolerance tests and insulin tolerance tests compared to mice with two wild-type ATM alleles [35]. Finally, inhibition of ATM decreases insulin-stimulated glucose uptake in muscle-derived cell lines [16, 32], and insulin-stimulated glucose uptake is blunted in L6 cells expressing kinase-dead ATM and in mouse skeletal muscle from animals deficient in ATM [16, 32]. Quite interestingly, while ATM plays a role upstream of Akt in response to insulin in some cell lines and in glycolytic skeletal muscle [ 16, 20, 36], the point of influence of ATM in insulin signaling leading to glucose transport in oxidative muscle is downstream of Akt at theRabGAP AS160/TBC1D4 [16, 20]which, like TBC1D1, acts on Rabs 2A, 8A, 8B, 10, and 14 [37]. Thus, ATM influences both insulin-stimulated phosphorylation of AS160 [16, 20] and AICAR-stimulated phosphorylation of TBC1D1 in skeletal muscle. In summary, this study provides the first evidence for a role of ATM in AICAR-stimulated glucose uptake by skeletal muscle. Thus, ATM plays key roles in both insulin-dependent [16]and insulin-independent stimulation of glucose uptake in skeletal muscle, suggesting a basis for the association of ATM variants with glycemic profiles recently reported [2, 7].

The Ethics of Xenotransplantation Essay -- Morals Science Biology Essa

The Ethics of Xenotransplantation 1. Introduction to Xenotransplantation Xenotransplantation is the process of taking cells, parts of organs, or even whole organs from one species of animal, and implanting them into another species. The FDA has given their own definition of xenotransplantation which they say is â€Å"any procedure that involves the transplantation, implantation, or infusion into a human recipient of either live cells, tissues, or organs from a non human animal source, or human body fluids, cells, tissues or organs that have had ex vivo contact with live non human animal cells, tissues or organs.† The main interest of the practice is to be able to take organs from animals for the purpose of using them in humans in need of organ transplants. It is still a relatively new medical phenomena, with documented cases of the practice only taking place since 1906. 2. The Case The case at hand is whether or not we should use xenotransplantation in humans. It is a rather controversial topic that has brought up strong feelings in parties on both sides of the argument. One of the main arguments of the people who are for xenotransplantation is that there is a large shortage of organs available for transplant, and that animal organs could provide enough spares to satiate the need. A recent figure given by the FDA is that currently 13 people die per day in the U.S. because of the lack of organs available for transplant. Meanwhile, one of the arguments of those people against xenotransplantation stems from animal rights. Some people feel that it is wrong to use animals in such a way and that there is a great potential for animal abuse. A marker to the seriousness of the current need for donor organs is that ac... ...an. 1998. <http://wedge.nando.net/newsroom/ntn/health/012198/health5_26375_noframes.html> 3. United Network for Organ Sharing (UNOS). "U.S. Facts about Transplantation." Nov. 2000. <http://www.unos.org/Newsroom/critdata_main.htm> 4. Koshal, Arvind. "Ethics Issues in Xenotransplantation." University of Alberta. 1993? <http://www.ualberta.ca/~ethics/bb6-3xen.htm> 5. Center for Biologics Evaluation and Research. "FDA Approach to the Regulation of Xenotransplantation." 19 Oct. 2000. <http://www.fda.gov/cber/xap/xap.htm> 6. National Academy Press. "Xenotransplantation: Science, Ethics, and Public Policy." 1996. <http://www.nap.edu/readingroom/books/xeno/> 7. Michaels, Marian. "Defining the Risks and the Risk Reduction Strategies." 27 Feb. 1998. <http://hivinsite.ucsf.edu/topics/xenotransplantation/2098.3896.html>

Blah Jogging Around

According to C. Wright Mills, what occurs in any one individual's life is interrelated with society as a whole. To possess sociological imagination as defined by Mills â€Å"To be aware of social stucture and to use it with sensibility IS to be capable of tracing such LINKAGES among great variety of milieux. † The sociological imagination helps give us the ability to understand the correlation of one's own biography, history, and traditions along with the knowledge of the social and historical influence society may have on that person or groups of people.Mills notion makes us want to investigate into an individual's biography and lifestyles, and place their findings within the surrounding circumstances in which events occur in order to see the whole picture of the society in which the individual lives. In Lisa J. McIntyre’s case study titled â€Å"Hernando Washington† we read about a young man named Hernando Washington who kidnaps, rapes, and murders a 29 year ol d woman named Sarah Gould.When using the sociological imagination to look into this we ask questions such as, â€Å"What was the social milieu in which the event takes place? † and â€Å"what effects did the social system have on the individual? †. Asking these questions, we see that Hernando lived in an area where police activity was almost non existent. Hernando’s brother had been shot and sister had been raped with absolutely no police action ever taking place. This explains why Hernando thought he could get away with his actions.If all this could happen before then what would be wrong if he was the one who did it. We also see that Hernando viewed the rape he committed as sex. He thought that since Sarah was alone and with no male acomplise, it was ok for him to in his perspective have sex with (rape) her. The sociologists way of looking at what Hernando did doesn’t make did ok, but it does explain why he did it. He in his right mind with the situation s he had been placed in during his life thought that this was ok with just as much belief as what you and me think about it being wrong.

Krispy Kreme Swot Analysis

I. INTRODUCTION Krispy Kreme Doughnuts, Inc. (KKD) is an international retailer of high-quality sweet treats, including its signature hot Original Glazed ® doughnut. It began as a small bakery in Winston Salem, NC on July 13, 1937. Since then, the company has built a global reputation for serving the highest-quality doughnuts and great tasting coffee. Krispy Kreme Doughnuts is part of the Quick Service Restaurant (QSR) Industry, which includes almost all companies in the â€Å"fast food† industry. Our goal in this report is to use various tools to analyze KKD and recommend strategies for them to gain more competitive advantage in the market.First, we will observe the operational characteristics of KKD. These factors will show positive indications of growth in Krispy Kreme. We will look at how many stores they have currently, how many they are planning to add (in the U. S and internationally), and the training and technology that differentiates them from others in the QSR ind ustry. We then will evaluate the performance metrics, such as inventory turnover and days of inventory ratios, to compare how KKD compares to their competition. In order to find out how efficient Krispy Kreme is operating, our group intends to dentify where the QSR is positioned according to the industry life cycle. We will observe the SWOT analysis, then we will analyze their competitors to see where KKD stands in relation. This will give us the basis to develop recommendations about their current strategies. We begin the â€Å"SWOT† analysis by assessing KKD’s strengths, weaknesses, opportunities, and threats. II. SWOT ANALYSIS The following SWOT analysis is intended to examine KKD’s internal strengths and weaknesses so we can link them to external opportunities and threats with the aim of developing a strategy they should pursue. STRENGTHSStrengths are characteristics of the business or project that give it an advantage over other competitors. As a global org anization, KKD has become a household name as they’ve branched into grocery and convenience stores and made doughnuts readily accessible. KKD offers a product that cannot be matched by any competitors when referring to taste, freshness, and the finest ingredients. Their affordable, high-quality doughnuts create a strong visual appeal and â€Å"one-of-a-kind† taste. Some of the key strengths offered by KKD are: * You are able to get a fresh out of the oven doughnut in the store.Consumers are allowed to watch the process of the doughnuts being made and can buy doughnuts immediately after they are made so they are as hot and fresh as possible. * KKD is a vertically integrated company. They use specialized doughnut making equipment and specific doughnut mixes in each store. Vertical integration ensures a very high-quality product. * Market research shows appeal extends to all major demographic groups including age and income. * Consistent expansion: Krispy Kreme is now in 21 countries. * Product sold at thousands of supermarkets, convenience stores, and retail outlets through U.S. This raises product awareness to the maximum number of target consumers. * Fundraising: Organizations are able to use Krispy Kreme for fundraising. They allow consumers to use their donuts to help raise money for different philanthropies. (Ex: Krispy Kreme run) * Offers free doughnut day once a year to increase sales. This day allows people who have been reluctant to spend money on the donuts to get a free taste and therefore increases their amount of consumers. WEAKNESSES Weaknesses are characteristics that place the firm at a disadvantage relative to others.Some apparent weaknesses Krispy Kreme might have are: * Limited amount of â€Å"healthy† selections. * Limited menu: Lack Breakfast items. * Limited amount of non-snack food items. * Not innovative. * No major advertising: 100% reliance on reputation. * Opening additional locations but no focus on increasing cur rent store performance. * International differences/preferences. * Lack of knowledge of what the customer wants (demographics, psychographics, behavioral segmentation). OPPORTUNITIES Opportunities are elements that the company can exploit to its advantage.Most internationally located stores purchase their ingredients from local merchants rather than the Krispy Kreme Supply Chain. If KKD can find a cost effective way to provide these ingredients, they can capitalize on supply chain efficiencies to make a profit. Some opportunities for Krispy Kreme to leverage for growth would include: * Emerging markets and expansion abroad: International expansion has proven to bring better returns than expanding domestically. Asia and the Middle East both offer KKD a good market because of high levels of consumer sweet goods consumption and the popularity of Western brands in these International markets. Partnerships with sports teams and convenience stores. * Development of new menu items. * Add b reakfast/healthier options to compete more directly with Dunkin Doughnuts, etc. * Innovation. * Product and services expansion. * Local open kiosks and in-store locations in airports, bookstores, and other retail outlets. * Product Diversification. New Markets. * Significant co-branding opportunities with local sports teams and movie theaters. * Increased snack consumption: During the past 20 years, more Americans are going out to eat. In today’s busy world, there is less time to prepare meals anymore.KKD believes there’s an opportunity in this trend that will increase the growth of doughnut sales. THREATS Threats to an organization are described as elements in the environment that could cause trouble for the business or project. Some threats facing Krispy Kreme are: * Competition: Only 694 KKD stores compared to 10,000 Dunkin' Donuts and 20,000 Starbucks Increasing competition from large and small doughnut chains, Krispy Kreme market share erodes slightly in highly co mpetitive markets. * Price Wars: In the doughnut and pastry shop ndustry, price wars are generated in attempts to take away revenue from other restaurants and sustain growth. * Economic slowdown: External changes (government, politics, taxes, etc. ) * Ordering through the Internet: More and customers are ordering online, but Krispy Kreme does not offer online ordering of their donuts. They offer accessories online, such as coffee mugs and t-shirts. Dunkin Donuts offers more accessories including coffee, but no donuts. * Healthy food trends: Krispy Kreme must constantly be aware of substitute products from many different areas of the market place.Such substitutes demanded today include healthier menu items include zero trans fats in all products. Going organic or using 100% natural ingredient items. III. INDUSTRY ANALYSIS Operational Characteristics Today, Krispy Kreme and its one-of-a-kind â€Å"Hot Light† which is a light that hangs inside the store window for people to know when the doughnuts have just come out of the oven. This â€Å"Hot Light† can be found in approximately 694 locations around the world and is in 234 locations in the United States.In 2002, KKD shipped their first international load of doughnut mix to Australia, and since then have added locations in over 20 countries. All KKD ingredients and store supplies are shipped from the company’s distribution warehouses in NC, IL, and CA. The KKD distribution center supplies all of the products needed to operate retail stores, from doughnut ingredients (mix, filling, glaze, sprinkles, etc. ) to cleaning supplies and uniforms. Production is done in the factory stores and completely automated, which cuts overhead costs and provides consistency in the products.KKD shops generally operate seven days a week, excluding some major holidays. Traditionally, domestic sales have been slower during the winter holiday season and the summer months. KKD opened five new company operated small r etail shops in fiscal 2012 and three new company-operated shops in fiscal 2011, all of which were hot shops. They plan to open five to ten small retail shops in fiscal 2013, consisting mainly of small factory stores, all in the Southeastern United States. In the past three years, they have opened 92 stores (See Figure II).The ability to accommodate a drive-thru window is an important characteristic in most new shop locations, including both factory stores and satellite shops. Of the 85 shops, which serve on-premises customers, 79 have a drive-thru. Traditional factory stores generally are located in freestanding suburban locations generally ranging in size from approximately 2,400 to 8,000 square feet. The average size is 3,000 square feet. The stores typically have the capacity to produce between 2,800 and 16,000 dozen doughnuts daily. KKD is also investing in more technology to support the business.In 2012, KKD purchased new point-of-sale hardware for all of the company stores and implemented a new computer hardware system for all company and franchisee locations. KKD encourages team members to be courteous, helpful, knowledgeable and attentive, focusing intently on employee training. High levels of customer service and the maintenance of quality standards are enforced by frequently monitoring stores through a variety of methods, including random quality audits, known as â€Å"mystery shoppers† and a toll-free consumer telephone number.KKD offers a comprehensive manager training program for every position in the store, covering the critical skills required to operate a Krispy Kreme store and a training program. The manager-training program includes classroom instruction, computer-based training modules and in-shop training. The main competitors for Krispy Kreme are other quick service restaurants, such as Dunkin Donuts, Starbucks, Panera Bread, and Einstein Noah Bagels. Performance Metrics A company can measure its minimum inventory investment by its inventory turnover.This is the level of customer demand satisfied by the supply on hand. The inventory turnover tells an organization how many times they sell through the entire inventory in one year. The average day’s supply of inventory that is on hand tells you how many days your current inventory will last based on your sales levels. If a company is short on inventory, the warehousing costs will be lower, but there’s a risk of running out. In order to figure these values you need to figure your average inventory and know your costs of goods sold for the year.For the past three years (since 2010) Krispy Kreme has an inventory turnover ratio of 21. 26. They have average days where inventory is 16. 89 (see figures III and IV). Industry Life Cycle Most businesses evolve from the introduction stage, to the growth stage, maturity, and decline. It is important to understand the evolution of the Quick Service Restaurant (QSR) Industry that KKD competes in to accurately ass ess the strengths, weaknesses, opportunities, and threats speeding or slowing the firm’s growth. The introduction stage is dominated by the marketing of an innovation for the first time.Competition is minimal and returns are negative, as most companies must catch up on their investments in R;D, marketing, and manufacturing. The growth stage is characterized by high profits and competition. During this stage organizations begin to differentiate their products based on value and quality. The maturity stage shows high sales accompanied by very strong price pressures. Profit margins often shrink as the customers begin to see the product as homogenous (always the same). The decline stage is shown by reduced profits and many companies have to decide whether to stay in the industry or cut their losses.Based on these key factors, we believe the QSR industry is in the maturity stage of the industry life cycle. This is due to a low level of innovation, fluctuating profit margins, and g lobal expansion. IV. RECOMMENDED STRATEGY Krispy Kreme must remain competitive in the Quick Service Restaurant (QSR) Industry. To be effective at this we believe the first thing they should focus on cost leadership. Cost leadership is based on high volume sales of low margin products/services (i. e. Wal-Mart). To achieve this, KKD must focus on increasing their sales.This can be done by analyzing their target market’s key buying habits at the lowest cost to Krispy Kreme. Next, KKD should decrease their prices and adjust R;D, marketing and manufacturing to create a cost gap so they can save some money. KKD can leverage their economies of scale (complete automation of the doughnut making process, added capacity, and TQM) to create a long-term sustainable cost gap. We believe if KKD executives focus on cost leadership in the QSR industry, the company will benefit from increased revenues, retail operations, and increased interest in the brand name of Krispy Kreme.