CEO Makes A SHOCKING Discovery About His Company | FULL EPISODE | Undercover Boss USA | S3 E11

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Summary

Dan DiZio, CEO and co-founder of Philly Pretzel Factory, goes undercover to better understand his business and the challenges faced by his employees and franchisees. He encounters surprising issues and makes heartfelt decisions to improve their lives and the company.

Highlights

Introduction to Philly Pretzel Factory and CEO's Background
00:01:13

Dan DiZio, CEO of Philly Pretzel Factory, introduces his company, which has 120 stores, 1,700 employees, and generates $45 million in annual revenue. He shares his aspirations for the company to become a billion-dollar entity and recounts his childhood, including the loss of his father at a young age, which led him to start selling pretzels.

Undercover as Michael DS and the Struggling Franchisee Bill
00:05:26

Dan goes undercover as Michael DS, a data entry processor, to investigate an underperforming franchise in Bridgeton, New Jersey, run by Bill. He discovers Bill and his wife work long hours, struggle financially, and have resorted to selling unauthorized pretzel rolls to make ends meet. Dan feels guilt over their struggles and his lack of involvement.

Meeting with Bill and Donna
00:10:30

Bill's wife, Donna, recognizes Dan, forcing him to break cover. Dan confronts Bill about not following franchise protocol with the pretzel rolls, but feeling their financial struggle, Dan understands his actions. Bill and Donna express their disappointment that the corporate team, including Dan, hadn't provided adequate support when they sought help previously.

Working with Baker Marcus
00:15:39

Dan works with Marcus, a dedicated baker at a successful store in Broomall, Pennsylvania. Marcus works 60 hours a week, and Dan is impressed by his work ethic and devotion to his daughters. Dan learns that Marcus is considering leaving for another job with benefits, highlighting a significant issue within the company.

Delivery Challenges with Gino
00:21:28

Dan joins Gino for pretzel deliveries in downtown Philadelphia. He experiences the difficulties of navigating the city with heavy carts in the rain and the safety risks involved in transporting products down stairs. Gino reveals his passion for dance and his student loan debt, which he acquired after studying accounting but chose to pursue a dance career.

Mascot Duty with Billy
00:27:04

Dan takes on the role of Phil E the Pretzel, the mascot, in Absecon, New Jersey, with Billy. He learns that mascots are valuable for attracting customers but finds the costume hot and restrictive. Billy shares his personal story of how his mother became disabled in a 9/11 attack and a subsequent car accident, leaving him to support his family and pay for his education by working multiple jobs.

Dan's Reflections and Resolutions
00:32:21

Reflecting on his undercover experience, Dan feels deeply touched by the struggles and dedication of his employees and franchisees. He acknowledges his own shortcomings as a CEO and commits to changing the company culture to better support his staff and adapt to their needs.

Meeting Billy and Gino – Life-Changing Decisions
00:33:44

Dan reveals his true identity to Billy and Gino. He offers Billy $20,000 to help his parents and pay for his next semester of college, and invites him to lead a mascot training session at an upcoming convention. To Gino, Dan offers to pay off his $20,000 in student loans and buys a delivery vehicle to ensure safer deliveries.

Supporting Bill and Donna's Franchise
00:36:27

Dan meets with Bill and Donna, acknowledging his past mistakes. He promises to approve Bill's pretzel roll to be a company-wide product with Bill receiving credit, provides one month of business training, and gives them a brand new, wrapped delivery van. He also sends Bill and Donna on a much-needed vacation and pays their store's rent for an entire year.

Partnership with Marcus
00:38:57

Dan surprises Marcus with a $5,000 college fund for his daughters and ensures he receives medical benefits. In a significant gesture, Dan offers Marcus a 50/50 partnership in a new kiosk store, demonstrating his commitment to growing talent from within the company.

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