Update for Chapter 5 News Article: An Efficiency Drive: Fast-Food Lanes,
Equipped with Timers, Get Even Faster. Wall Street Journal Interactive Edition,
May 18, 2000.
In 2004, fast food restaurant chains are continuing to invent new ways to become more efficient at the drive-through. They are also trying out new innovations to increase business.
The original article, written in 2000, described how some fast food restaurants were experimenting with the use of toll tags at the drive-through window to eliminate costly time spent exchanging currency. This technology is still being tested at select locations, but has not been widely implemented. Another new idea that is still in the test-stage is the process of allowing a customer to pay by swiping their credit card, thus eliminating the time spent fumbling for change and exchanging money with a cashier. Along with the credit card machines are new display screens that allow a customer to verify his own order at the time the order is placed. Other innovations include the shortening of menu options to reduce time spent choosing between many different selections, and keeping the drive-through window open 24 hours a day. Also the installation of a two-lane, side-byside drive-through layout, has been tried in order to reduce the time customers spend waiting on the person in front of them to complete their order. Essentially, the two-lane layout gets orders to the kitchen faster, thus speeding up one of the longest and most labor-intensive processes in the restaurant. As an additional complement to the two-lane strategy, some restaurants have outfitted staff with wireless equipment so they can take orders outside at the customer’s vehicle during peak traffic times.
Fast food restaurants are also making other innovations in an effort to be more attractive and spur sales. Many McDonald’s restaurants across the nation now have wireless access for customers. Ultimately, the company plans to add Wi-Fi capability in about 8,000 of its 13,000 U.S. restaurants. Another new idea that has been having great success is to combine two different restaurants under one roof. The company that has had the most success installing these combinations is Yum Foods, owner of KFC, Taco Bell, Pizza
Hut, Long John Silver’s, and A&W All American Food Restaurants. Results of combinations at Yum Foods have shown that cash flow increases on average by 30% while sales increase over 20%. A major advantage of having multiple brands under one roof is the elimination of the “veto vote” where one member of a party refuses to eat at a specific restaurant. The combinations have served to widen each individual restaurant’s market, while creating efficiencies by having two restaurants share only one space.
Sources:
Harzel, Tony. Five Dallas-Area McDonald’s to Use Toll Tags to Accept Payment.
Knight Ridder Tribune Business News . March 5, 2002.

Alexander, Delroy. Salad Days Give McDonald’s a Sales Boost in May.
Knight Ridder
Tribune Business News . June 7, 2003.
Donaldson, Jr., Stan. New Owner of Fast-Food Restaurants in Ohio Simplifies Menu,
Cuts Prices. Knight Ridder Tribune Business News . June 25, 2002.
Hornaday, Bill W. McDonald’s Rolls Out Wi-Fi Internet Access at Restaurants Across the Nation. Knight Ridder Tribune Business News . June 7, 2004.
Purdy, Kevin. Putting Two Fast-Food Chains Under One Roof Is Becoming Trend in
Buffalo, N.Y. Knight Ridder Tribune Business News . September 15, 2003.
Solnik, Claude. Four McDonald’s Restaurants in Long Island Install a Host of New
Technologies for Consumers. Long Island Business News . August 1, 2003.
Galvin, Andrew. Fast-Food Chains Differentiate Their Drive-Throughs In Orange
County. Knight Ridder Tribune Business News . November 18, 2002.