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Key strategic and operational issues faced by the McDonald’s

Category: Operations management Paper Type: Assignment Writing Reference: HARVARD Words: 1081

Executive Summary

The research report was written about the Key strategic and operational problems faced by the organization. There are the wide ranges of the companies which are facing the several issues related to executive management and critical strategic, but for this research, the McDonald’s is selected as the subjected company for analyzing its various problems due to its key strategic and operational management. Firstly, the McDonald’s is introducing according to its worth in the market then its multiple challenges and difficulties are discussed excellently one of these issues are disconnection among the customers and operational management of the company, and then this issue is analyzed in effective manners. In the last part of the report, the recommendation is provided as a solution to these problems. 

Introduction of Key strategic and operational issues faced by the McDonald’s

McDonald’s is considered as the one of the public traded company which is dealing with the products of the fast food ad this is founded in 1940 in the United States of America the company is growing by operating in the retail stores, and this company has arrangements of the partnership across the globe. In Oak Brook, Illinois the headquarter of the company is located. Richard and Maurice are known as the founders of the McDonald’s who have started this business on partnership. Now the company has been boasting in over 36 000 locations across the globe. The firm employs a whopping 420 000 employees as the record of the year 2014 shows it. ‘I Love It’ is the slogan of the company and the letter “M” is the branding of the   McDonald’s. The reports are conducted for measuring the operational issues of the McDonald’s which it has faced due to its management and several other perspectives (GREGORY, 2017). 

Methodology of Key strategic and operational issues faced by the McDonald’s          

The research report is conducted by using the secondary source of data which is related to the operational issues of the McDonald’s. The qualitative research design is used for analyzing the operational problems of McDonald’s. The qualitative research design leads toward the preexisting data related to McDonald’s which is available on various websites. Several research studies are provided for supporting the analysis of the operational issues of the McDonald’s as well as many studies are conducted for the strategic planning of the McDonald’s. For analyzing the various problems of the strategies of the McDonald’s multiple websites are search, and the data is collected from the numerous research studies which are conducted for many other research projects and few of the issues are performed from the annual report of the McDonald’s  (Bhandari, 2017).

Analysis of Key strategic and operational issues faced by the McDonald’s

There are various issues which are facing by the operation managers of the McDonald’s few of these issues can be explained in such ways as; The confidence of the CEO of the McDonald’s has been inspired for the commitment of the organization for the value creation of the product at where the customer is assuring the value of their money. The experiences of the customer don’t focus by the McDonald’s because when the customer received their products, they always demanded the higher value for this product (Sec Gov, 2004).

The other one major problem which have been faced by the McDonald’s that is related to the disconnection among the perception of the operation management and customer the head of the McDonald’s has understanding according to three points as quality, aspiration, and love which are also considered as the three basics attributes which will be helpful for enhancing the customer loyalty. The perception of the public for the McDonald’s has become the primary source for the quality of the McDonald’s  (Wibowo & Handayani, 2017)

Findings and Conclusions on Key strategic and operational issues faced by the McDonald’s

The assessment of the operations of the organization discloses that the clients are moving far from the undertaking's items. In that regard, McDonald's is persistently losing the cutting-edge clients. Since recent college grads are settling on its rivals, for example, Starbucks. McDonald’s appearances in the absence of allure to twenty to thirty-year-olds who include the future client base are the methodology taken to showcase the organization's items to the customer base. Marking as a methodology embraced by McDonald's influences it to request the administrations of organizations that thus deal with the brand picture.Recommendations of Key strategic and operational issues faced by the McDonald’s

By analyzing the whole case of McDonald’s it is recommended for the company to uses Total Quality Management effectively, that involves the quality management at all level in the company, include; production, customers, suppliers, etc. This also permits McDonald’s to regain competitiveness in the market to attain increased satisfaction of the customer. McDonald’s uses this technique to develop their products quality continually.

It is also imperative for the McDonald’s to effectively manage the operations teamwork and also make sure that all staff members are involved in the process of production, it means that all employee in the McDonald’s understands their roles. Therefore it would also help the company in improving motivation and morale and increasing efficiency. In the company like McDonald’s Corp the Total Quality Management must be put into practice to increase the involvement of customer as a lot of organizations, together with McDonald’s take pleasure in the chances to get information and feedback from customers. McDonald’s businesses can use a lot of software or tools related to project management to shorten the managing projects task. On the whole, by reducing costs and waste, provide McDonald’s with a competitive benefit  (Martichenko & Grabe, 2018) 

References of Key strategic and operational issues faced by the McDonald’s

Bhandari, N. C., 2017. Walmart-Bharti Joint Venture: Formation, Breakup & Strategies. Academy of Strategic Management Journal, 16(1), pp. 209-224.

GREGORY, L., 2017. McDonald’s Operations Management, 10 Decisions, Productivity, s.l.: Canmore.

Martichenko, R. & Grabe, K. v., 2018. Designing and Implementing: Lean in Your Supply Chain. [Online]
Available at: https://www.scl.gatech.edu/sites/default/files/downloads/leancorgtscl-designing_implementing_lean_insc.pdf
[Accessed 19 November 2018].

Sec Gov, 2004. NATIONAL BEVERAGE CORP. [Online]
Available at: https://www.sec.gov/Archives/edgar/data/69891/000095014404007513/g90168e10vk.htm

Wibowo, A. T. & Handayani, N. U., 2017. Design implementation of lean supply chain management: A case study on the loading process of fertilizer at PT Petrokimia Gresik port. AIP Conference Proceedings, 1902(1).

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