Chipotle Mexican Grill (CMG, Financial) has been facing food safety scandals for a long time now. To tackle its food safety issues, the company has decided to deploy Zenput at more than 2,400 restaurants.
All about Zenput
Zenput is essentially a mobile platform that helps managers maintain a record of daily operations and obtain accurate information relating to food storage procedures using a tablet or phone. It provides both quantitative and qualitative data that can help struggling Chipotle drive measurable changes in its stores. KFC, Dominos and Jersey Mike’s had already adopted the same for improving food safety protocol.
Using this software, the managers can allot a checklist of particular tasks to various jobs like opening or closing the store, food storage or the roll-out of new menu items. Managers can easily check whether the wok has been done in proper sequence or not. This software would help the company to monitor food use.
Recurring food-borne illness troubles Chipotle
The burrito chain has been the source of various public food-borne disease outbreaks since 2015. It is to be noted that other restaurant chains like Chipotle have undergone food safety scandals in the past, but repeated setbacks alongside several food-borne illnesses have put a question mark on Chipotle’s practices and have also made customers and investors cautious.
Furthermore, there was an outbreak of Clostridium perfringens at a Chipotle restaurant in Powell, Ohio, where approximately 700 people reported gastrointestinal problems like nausea, diarrhea and fever as recently as August. Chipotle’s third-quarter results were adversely impacted due to this outbreak. However, the company’s management believes that Zenput will play a big role in stopping any future food-safety problem.
Last word
Chipotle's focus is on luring its customers back to stores by introducing new and limited-time menu items. At the same time, the company is trying to execute faster mobile and online ordering. And it has extended its working hours in stores by opening early and closing late. In fact, it is experimenting with a “happy hour” including snack items and drinks both in the afternoon and after 8 p.m. Time will tell whether the company’s efforts to woo its customers will bear fruit or fall flat.
Disclosure: I do not hold any position in the stock mentioned in this article.
