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Concepts and Operations management principles in Mcdonalds - Essay Example

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It is one of the largest fast-food operators in the world having more than 30,000 outlets in more than 119 countries. It serves more than 50 million customers a day worldwide and more 2.5 million…
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Concepts and Operations management principles in Mcdonalds
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due Introduction McDonald’s restaurants are a subsidiary of the McDonalds Corporation of the USA. It is one of the largest fast-food operators in the world having more than 30,000 outlets in more than 119 countries. It serves more than 50 million customers a day worldwide and more 2.5 million customers in the UK by day. The Burger-based chain stores are structured in a variety of formats and have its branches in UK, Hong Kong and USA.
The strategic approach
McDonalds tailors in a variety of strategies in order to capture, serve and retain its customers for a value. It has pursued up the customer excellence grand strategy as a way of creating and sustaining value across its chain stores spectrum around the world. For instance, as noted Preliminary results statement, 2006, it offers a range of quality menu choices along with our convenience and brand affordability. Its performance reflects its continued commitment to leverage its operations and process engineering through adoption of the current technology in its systems and procedures. For instance, there is a close monitoring of its chain of operations through advanced techniques to ensure that there is timely delivery of products to customers’ complaints, queries.
As the CEO , Jim Skinner noted in the Financial highlights of the year 2011, ‘During 2011, McDonalds continued momentum drove higher profitability and market share gains as we fortified our leadership position around the world. The ongoing strength of McDonalds results is rooted in our Plan to Win with a relentless focus on what matters most to our customers. We are enhancing the customer experience – from our menu and service to our value and convenience – while giving more people more reasons to visit McDonalds more often’. Said McDonalds Chief Executive Officer,. This implies that the chain store constantly pursue customer excellence strategy.
The Financial highlights 2011, notes that its success is a result of a diversification to ensure that customers have a variety of food variety to satisfy their needs are satisfied. The recent growing competition from its rivals has necessitated the need to differentiate its products, offer excellent quality customer services, have wider, and more distributed chain stores with uniformity of services across the globe. A wide coverage and presence of several chain stores in region reaches out to more customers than its main rivals do. An examination of some of product offering includes cheers, salads and other breakfast options. Through continued efforts to innovate, it has created a solid reputation for its customers, a competitive advantage it has enjoyed since its initiation in the public eyes.
The chain store is located in the USA, a country where is first formed and registered a public limited company. The reasons cited for its location in the USA are as a follows. First, the region has a wide access to both managerial and supervisory services. Furthermore, the developed infrastructure such as good communication, power and knowledgeable personnel has enabled the region to be located in the USA.
Comer ford (1985) stresses the importance; the location is strategic that the location has a wide variety of customers, raw materials and pool of expertise. In addition, the financial services aid the development and revenue generation through faster means o0f payment such as PayPal, money bookers and other online-payment methods. This makes the services to be faster, convenient and reliable. The recent research shows that there is appositive correlation between the location of the business and the profitability, such that strategically located businesses generate more sales and have a better customer reputation than the poorly situated business units.
The chain stores have continued to differentiate its services in order to woo more potential customers, suppliers and other stakeholders. If I was given an option to choose to locate the chain store headquarters, I will choose its headquarters to be located in China. The reasons are that besides having a larger population translating into more customers; China has a pool of skilled and innovative labor. Furthermore, the location will have a close relationship a wider customer base thus boosting the sales of the organization.
References press releases since 2006, 2011
Comerford, A. & collarghan,W., (1985).Strategic management: Text, Tolls and cases for Business Policy. Kent publishing, Boston. Read More
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