(Case study 5.4)Never Underestimate the power of Rules General MillsGeneral Mills, the cereal maker best known for Cheerios cereal and Yoplait yogurt, created two of the best known restaurant chains in the United States- Red Lobster and Olive Green and has ver 1,500 restaurants in the United States, Canda and Japan.Problems occurring in the company One of the main problems occurred in the company customers was company was loosing their image in the market , customers were no longer enthusiatic about the quality of the food or customer service. Another problem occurred in company was Sales volume fell off many restuarants.Reasons causing the problems

One of the main reason of the problems occuring in the company was that the companys managers lost the control over their busines because of openeing soo many restaurant at once. Another main reason was the managers of orlandon protype were not aware of the complains of the company and ther were no actions taken to the complaints coming in business. Another problem in the company was that the company,s top managers Top managers had not created enough rules and SOPs for restaurant managers to follow the procduedures in the organisation as well as there were no specific trainning given to cooks and waites in the company in order to match the contnious standards of the company. Actions taken to tackle the problems There were many actions taken in order to fix up the problems such as the Top managers decided that in future each restaurants managers and staff would atend a four-month intensive training so they continously match the franchises standards.

As the company mainly lacked in the quality of the product they were providing. To fix up this Managers were taught the rules to be followed when preparing and serving food.

All the rules and regulations were wrtiien in manual so managers can rfer that to the other staff working in restuarants and get them to work on standards. Businness created Regional managers whose responsibility was to supervise restaurant managers. And they were resposible for giving restaurant managers additional training and times.