In a recent announcement, the pizza restaurant chain Papa Johns stated that customers expected better from the company and so did the company itself. This announcement was posted on a video via social media. The recent announcement was the first public advertisement made by the pizza chain since July of 2018 when the founder John Schnatter was relieved of his position of executive chairman. Over the last few months, Schnatter has looked to get support in order to take back control of his company. Schnatter said that Papa Johns was his life’s work and he apologizes for those who are dealing with difficulties in reviving the company’s reputation.
Recently there was a campaign in which customers were expressing their disappointment in the company. The chief executive officer of Papa Johns wrote a letter to all employees, customers and franchisees which revealed the company’s efforts to address the issues that have affected Papa Johns in recent months. Since the removal of John Schnatter as executive chairman, Papa Johns suffered a drop in sales by 6.1% in North America. Sales for the company have dropped as much as 10.5% during the month of July. Due to these recent drops in sales, Steve Ritchie put together a fiscal outlook of negative 7-10% over the next year.
In order to help address the company’s issues, Steve Ritchie has decided to complete unconscious bias training which will help promote diversity and cultural sensitivity. The company will also look to do an independent cultural audit in order to find out more about its diversity and inclusion practices. Steve Ritchie visited a number of locations throughout the United States in order to get feedback from a number of employees and franchisees about how the company can better address diversity and inclusion.
Papa Johns will also look to develop two long term initiatives. These will help improve diversity in the company and help restore its reputation. There will be the Papa Johns minority owned franchise expansion and development program. The company will also look to form a new foundation that will look to help make a positive impact on various communities where employees live and work. These initiatives will hopefully bring people together in the community according to Steve Ritchie.