Wendy's Global Next Generation Store Design in New Albany, OH2024 Tom DubanowiuchWendys is a quick-service restaurant brand has more than 7,000 locations worldwide and annual revenue exceeding $2 billion. The company continues to invest in technology to enhance both customer and crew experiences. Matt Spessard is Wendys Chief Information Officer, a role he took on in February 2024 after serving as the companys Global Chief Technology Officer for the year and a half prior. Spessard and his team are focused shared insights on Wendys approach to digital innovation, AI-driven customer interactions and the evolving landscape of restaurant technology.Enhancing Digital Channels and Customer EngagementAs CIO, Spessard oversees global technology initiatives spanning restaurant technology, enterprise systems, data analytics and cybersecurity. One of his primary goals has been driving growth through digital channels, which has yielded impressive results.Wendy's CIO Matt SpessardWendy'sIn 2024, we introduced new customer relationship management and loyalty capabilities while rebuilding our mobile platform and app, Spessard explained. These improvements have driven great business results. Our digital revenue is more than 40% higher than in 2023.Key innovations include a new mobile app, self-service kiosks and optimized digital ordering processes. Wendys leverages data-driven experiments to refine these digital interactions, ensuring a frictionless and personalized customer experience.Revolutionizing the Drive-Thru with FreshAIA standout example of Wendys commitment to AI-driven innovation is its FreshAI platform, designed to reimagine the drive-thru experience. This initiative began as a small-scale experiment before evolving into a significant technological transformation.We initially asked whether we could automate the order-taking process with a conversational AI model, said Spessard. At first, rule-based solutions seemed viable, but we quickly realized the complexity required a more advanced approach. Thats when we partnered with Google Cloud to develop a generative AI model that could speak Wendys.After extensive testing in a single restaurant in Dublin, Ohio, near the companys headquarters, Wendys gradually expanded the FreshAI platform. Over the course of a year, the AI system improved through iterative development, incorporating crew and customer feedback. Now deployed in nearly 100 restaurants across 18 states, FreshAI is proving its value in streamlining operations and enhancing the guest experience.Innovation Through ExperimentationWendys success with FreshAI is a testament to its rigorous innovation process. Spessard emphasized that the company employs a structured approach to vetting new technologies, ensuring only the most impactful solutions move forward.Weve built an industrialized process for innovation, he underscored. Each idea goes through multiple stages: feasibility testing, pilot programs, incubation and eventual deployment. We consider it a success when we reject six out of every seven ideas because it means were prioritizing the right initiatives.This disciplined approach enables Wendys to test cutting-edge technologies without overextending resources. Whether its refining AI-powered ordering or exploring new ways to optimize kitchen operations, the company remains focused on solving real business challenges.The Future of AI and Restaurant TechnologyBeyond FreshAI, Wendys is actively exploring other generative AI applications to enhance both customer and crew experiences. Spessard believes that AIs role in the restaurant industry will continue to expand, but he emphasized the importance of measured implementation.Some companies rushed AI deployments without fully understanding the complexities, he noted. We took a more deliberate approach, spending a full year in a single restaurant before scaling. Thats why were confident in our ability to expand FreshAI successfully.Additionally, Spessard is closely watching trends in edge computing, low-earth orbit satellite connectivity and spatial computing. These technologies have the potential to revolutionize restaurant operations by enabling faster data processing, improving connectivity in remote locations and enhancing training and simulation experiences for crew members.A Career Built on Restaurant InnovationWith over 26 years in the industry, including leadership roles at SONIC Drive-In, Churchs Chicken and Yum! Brands, Spessard has a deep understanding of the evolving expectations of both customers and employees. While consumer adoption of digital technology has accelerated in recent years, the fundamental desires for quality service and convenience remain unchanged.The bar has been raised, but what people want from a Wendys experience has stayed consistent, he emphasized. Technology should enhance those core elements, not replace them.As Wendys continues to embrace digital transformation, Spessard and his team remain focused on leveraging technology to improve efficiency, elevate customer interactions and maintain the brands legacy of quality and innovation. With AI-driven advancements like FreshAI and a disciplined approach to experimentation, Wendys is poised to lead the next generation of restaurant technology.Peter High is President of Metis Strategy, a business and IT advisory firm. He has written three bestselling books, including his latest Getting to Nimble. He also moderates the Technovation podcast series and speaks at conferences around the world. Follow him on Twitter @PeterAHigh.