Name: Allison Ann Watanabe
Title: vice president of information technology, El Pollo Loco, Costa Mesa, Calif.
Birth date: May 22, 1959
Place of birth/current residence: Los Angeles, Calif./Laguna Niguel, Calif.
Education: master of business administration, University of LaVerne, LaVerne, Calif.; bachelor of science, business administration, University of Southern California, Los Angeles; certificated cash manager designation from NACHA - The Electronic Payments Association
Career highlights: joined El Pollo Loco in April 2008 after four years as chief information officer, or CIO, of pet and animal magazine producer BowTie Inc.; vice president and CIO, Friend Communications, 2002 to 2004; director of information technology, Canon USA, 1996 to 2002; project manager, financial manager/cash manager and senior systems manager, Toshiba America Electronic Components,1986 to 1996; and senior management information systems analyst and senior financial analyst, Rockwell International, 1982 to 1986
Manages: IT department of 15 people
Reports to: Joe Stein, chief financial officer
Family: husband, Dennis; sons Bradley, 21, and Taylor, 18
Hobbies/activities: golf
POS system: Micros 3700, version 3.2, running on NCR terminals
Primary unit-level, back-office applications: Micros 3.2 and MyMicros.com (transitioning to a proprietary data-warehouse portal)
Enterprise accounting and human resources management tools: Lawson for accounting; ADP ProBusiness & PowerSource for human resources.
Wide area network: managed in-house
Allison Watanabe is the first to admit that restaurant and multinational corporate information technology worlds are, well ... worlds apart.
"High-tech multinational corporations, such as some of the ones for which I worked before coming to El Pollo Loco earlier this year, do not blink an eye at spending tens of millions of dollars on any particular technology," Watanabe says. "They are usually the first to try new innovations. For example, in 1997, I built the Canon eStore for eCommerce. More than 10 years later, the restaurant segment is just starting to embrace online ordering" and, in general, "seems to wait for other industries to try new technologies."
But Watanabe doesn't consider this approach shortsighted in all cases. "There are certain technologies — kiosks, for example — that consumers just aren't quite ready to fully accept, so it is OK to be slow getting out of the gate," she asserts. "E-commerce, in the form of online ordering, on the other hand, probably should have been approached more aggressively."
Watanabe sees her role at El Pollo Loco as one of taking the company's technology "to the next level" to increase sales and operating efficiencies while cutting costs. She indicates that she looks forward to the challenge on behalf of the chain that now has more than 400 company-owned and franchised flame-grilled chicken restaurants in 13 states.
What are a few IT changes you've made at El Pollo Loco since you arrived?
We're in the middle of testing a POS system upgrade, to Micros 4.1. We'll be rolling it out to one store next month, then a group of stores later this year, before starting a wider-scale rollout in early 2009. [Next we'll] upgrade our back-office [applications] and look at starting on-line ordering and call center [support].
What prompted those changes?
We want to move into online and text-based ordering to boost sales, but our current POS system doesn't allow for it. For instance, it doesn't support the integration of credit card transactions via the Internet. It also doesn't accommodate text-based ordering or our planned online catering order acceptance. The POS upgrade is a prerequisite for these other deployments.
What will you gain by replacing MyMicros with a homegrown back-office data warehouse portal?
Our own data warehouse will afford us enhanced functionality and access to data on a more timely basis. We'll be able to achieve better integration of stored data, as well as enjoy improved reporting capabilities [and] ad-hoc reports. There will also be financial savings for franchisees; once the data warehouse is in house, they won't need to pay for their own data warehouse software.
Won't this be a major undertaking?
No. El Pollo Loco has had a mini-data warehouse for the past three years, and a polling process has been built over time. We've already gone back and re-architected the database to hold all of our data.
How much say do you have in the IT systems used by franchisees?
We have a fair amount. For example, we are instructing all franchisees to migrate to Micros by the end of 2009.
What is currently the biggest challenge you face in your position, and how are you trying to meet it?
Cost containment is a big one. Franchisees are always asking how they can reduce their initial equipment investment and ongoing maintenance fees. We're looking at ways to take care of the ongoing [fees] part.
Your department has a degree of responsibility for Web-based and mobile marketing initiatives. What is the scope of that responsibility?
We make sure the marketing department understands the ramifications of implementing the technology needed for these initiatives and the obstacles that technology might present. There are a lot of questions that must be asked, but marketing may not be aware of them. Take outsourcing a direct marketing initiative [for example]. It's imperative to know where the database will be held and how to be certain that we retain the rights to the database.
Do you see this responsibility as good or bad?
Isee joint responsibility as a good thing. When it comes to consumer experience, it should be a joint effort that not only includes IT, but marketing and operations.
Does your company do any outsourcing of IT functions?
Yes, our POS maintenance, Web hosting, accounting and human resources applications are all outsourced.
Is outsourcing something that is likely to increase going forward, or do you believe you have already found the right mix of in-house-managed and outsourced functions?
Ibelieve in outsourcing when it makes sense for the company. I am in the middle of balancing it out now, but it takes time. You must look at the company direction, IT resources expertise and cost.
What is it about IT that grabs you?
Everyday is different and I love to find ways to improve and help the business.
