{
  "docId": "019dd923-622c-750b-8b9c-dad126beff94",
  "docSlug": "416ab93b6285",
  "documentTitle": "Darden Restaurants, Inc. (DRI)",
  "authorId": "03_Starboard_Value",
  "authorName": "Jeffrey C. Smith",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "activist_investor",
  "sourceTypeLabel": "Activist investor",
  "presentationDate": "2014-09-11 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 117,
  "pageCount": 294,
  "prevPage": 116,
  "nextPage": 118,
  "slideType": "propose_solution",
  "function": "propose_solution",
  "density": "overcrowded",
  "nDataPoints": 12,
  "notes": "Includes a red annotation circle highlighting the potential savings.",
  "elementsJson": [
    "headline_text",
    "subtitle_text",
    "bullet_list",
    "kpi_table",
    "callout_box"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b9c-dad126beff94/117",
  "deckHref": "/decks/019dd923-622c-750b-8b9c-dad126beff94",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b9c-dad126beff94.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b9c-dad126beff94#slide-117",
  "components": [
    {
      "bbox": {
        "h": 0.12,
        "w": 0.92,
        "x": 0.04,
        "y": 0.81
      },
      "kind": "callout",
      "text": "We believe LongHorn needs to reduce the prep items that customers are not giving them credit for, and focus their labor efforts on what customers actually care about. Estimated total savings from reducing prep costs is $6.5 – $12 million",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "cfa65e1d-f9b2-407c-a46f-547ef744f3af",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.37,
        "x": 0.55,
        "y": 0.72
      },
      "kind": "legend",
      "text": "Red circle highlighting $6.5M and $12M savings",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "92924a76-9f15-4bc6-afa4-2cbd79534b02",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.06,
        "w": 0.92,
        "x": 0.04,
        "y": 0.46
      },
      "kind": "list",
      "text": "Outback and Texas Roadhouse purchase several speed scratch items (e.g. pre-made soups, ready to heat and serve), and the food quality at these concepts is in-line with LongHorn.",
      "attrs": null,
      "subkind": "bullet",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "0648eb26-ac78-441a-8711-284b9940404c",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.92,
        "x": 0.04,
        "y": 0.37
      },
      "kind": "list",
      "text": "LongHorn does not get credit from customers for fresh soups made in-house daily or hand battered chicken tenders because those are not top priorities for the guest when visiting LongHorn – guests are looking for great steaks at an affordable price.",
      "attrs": null,
      "subkind": "bullet",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "0866c934-01fa-4ed5-9a1b-e19d59287bf9",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.06,
        "w": 0.88,
        "x": 0.08,
        "y": 0.3
      },
      "kind": "list",
      "text": "Significant prep is conducted in-house with an average of 3 FTEs per day, while Outback uses 2 FTEs for prep per day.",
      "attrs": null,
      "subkind": "bullet",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "0ce06b4a-b7fe-476a-9d4d-e24acabc08f7",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.92,
        "x": 0.04,
        "y": 0.22
      },
      "kind": "list",
      "text": "LongHorn prepares many of its items in-house: salad is cut in-house daily, chicken tenders are delivered raw and hand battered daily, soups and some salad dressings are made fresh daily. Its competitors use “speed scratch” items instead.",
      "attrs": null,
      "subkind": "bullet",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "7f3d8492-39de-4953-b678-264a9ad41f71",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "Annual Labor Cost Savings: $12 million",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd952-fb95-7708-ad48-f9d45beef7fd",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.06,
        "w": 0.92,
        "x": 0.04,
        "y": 0.16
      },
      "kind": "paragraph",
      "text": "Higher menu complexity appear to explain LongHorn's high labor costs relative to Outback and Texas Roadhouse.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "cacb3088-69c3-4c23-977b-bd477112fa91",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.22,
        "w": 0.84,
        "x": 0.08,
        "y": 0.55
      },
      "kind": "table",
      "text": "LongHorn prep FTE cost analysis table",
      "attrs": null,
      "subkind": "data",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "69bcf39e-6910-4207-8a9a-2799660d2c72",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.12,
        "w": 0.92,
        "x": 0.04,
        "y": 0.04
      },
      "kind": "title",
      "text": "We believe this opportunity also exists at LongHorn, as competitors long ago outsourced items LongHorn still makes in-house",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "b16a3de9-c106-4247-8bd9-91c861e6d854",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "cost-benefit-analysis",
      "slug": null,
      "matchId": "5aeeb3a7-18e1-4792-8de2-4cf0e91e4a41",
      "evidence": "Table comparing current costs vs potential savings from FTE reduction",
      "confidence": 0.8
    }
  ],
  "arcBeats": [
    {
      "to": 150,
      "from": 61,
      "beatId": "7f4dff44-8750-44a5-80e9-2077a7cdbc5c",
      "arcName": "Overcoming the Monster",
      "arcSlug": "overcoming-monster",
      "beatName": "The Victory",
      "beatSlug": "overcoming-monster-the-victory",
      "evidence": "The document presents Starboard's plan for victory, including operational improvements and leadership changes.",
      "position": 3,
      "confidence": 0.8,
      "parentBeatName": "Turn",
      "parentBeatSlug": "turn"
    }
  ],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}