McDonald’s Today
McDonald’s was founded in May 15, 1940 by Richard and Maurice McDonald. The company opened in San Bernardino, California as a barbecue restaurant. In 1948, the McDonald brothers reorganized the business as a hamburger stand – serving hamburger, fries, and soda – using production line principles they called “Speedee Service System”. 1953 saw the rise of the first McDonald's franchise in Phoenix, Arizona. This was also the franchise that first displayed the arches logo. Ray Kroc, a businessman from Illinois who sells multi-mixers, visited San Bernardino and was impressed by the firm’s “Speedee Service System”. He joined McDonald’s in 1955 as a franchise agent, firing up a vast franchising strategy to grow the business. In April …show more content…
Believing thus, McDonalds’ developed “People: Learning for Life”, a strategic initiative that focuses on its employees. The strategy centers on five people principles, such as “(1) resources and recognition, (2) values and leadership behaviors, (3) competitive pay and benefits, (4) learning, development, and personal growth, and (5) resources to get the job done” (Coulter, 2013).
The principle of resources and recognition expects managers to value the employees and to treat them with respect just as they would want to be valued and respected. It calls on them to formally give recognition for exemplary performance, teamwork, and excellent customer service. Everyone should act with the best interest of the company in mind. Thus the principle of values and leadership behavior encourages open communication, respect for diversity, and ownership of personal responsibility. Everyone is encouraged to acquire new knowledge and share this knowledge with everyone in the team. McDonald’s believes that a competitive pay and benefits package will move its employees to value their jobs. This principle aims to decrease the percent turnover of employees. Training is the center of McDonald’s people strategies. Employees are provided valuable learning, development, and personal growth through various training on quality, service, …show more content…
The company faced challenges and went through enormous changes to turn around the decline in revenue by developing strong strategies. McDonald’s main strategy, ‘Plan to Win’ is built upon three components including (1) operational excellence, (2) retaking the lead in marketing, and (3) innovation. With the ‘Plan to Win’, McDonald’s focused on ‘being better, not just bigger’ and was able to give better restaurant experience to customers and superior value to shareholders. For the past eight years McDonald’s has been implementing strategies that give emphasis people, products, place, price, and promotion – its five major business drivers. Such strategies include marketing, business expansion and line extension, human resources (HR) management practices, operational practices, and responsible business practices. The strategy worked then, and is still working to this
McDonald’s was founded in May 15, 1940 by Richard and Maurice McDonald. The company opened in San Bernardino, California as a barbecue restaurant. In 1948, the McDonald brothers reorganized the business as a hamburger stand – serving hamburger, fries, and soda – using production line principles they called “Speedee Service System”. 1953 saw the rise of the first McDonald's franchise in Phoenix, Arizona. This was also the franchise that first displayed the arches logo. Ray Kroc, a businessman from Illinois who sells multi-mixers, visited San Bernardino and was impressed by the firm’s “Speedee Service System”. He joined McDonald’s in 1955 as a franchise agent, firing up a vast franchising strategy to grow the business. In April …show more content…
Believing thus, McDonalds’ developed “People: Learning for Life”, a strategic initiative that focuses on its employees. The strategy centers on five people principles, such as “(1) resources and recognition, (2) values and leadership behaviors, (3) competitive pay and benefits, (4) learning, development, and personal growth, and (5) resources to get the job done” (Coulter, 2013).
The principle of resources and recognition expects managers to value the employees and to treat them with respect just as they would want to be valued and respected. It calls on them to formally give recognition for exemplary performance, teamwork, and excellent customer service. Everyone should act with the best interest of the company in mind. Thus the principle of values and leadership behavior encourages open communication, respect for diversity, and ownership of personal responsibility. Everyone is encouraged to acquire new knowledge and share this knowledge with everyone in the team. McDonald’s believes that a competitive pay and benefits package will move its employees to value their jobs. This principle aims to decrease the percent turnover of employees. Training is the center of McDonald’s people strategies. Employees are provided valuable learning, development, and personal growth through various training on quality, service, …show more content…
The company faced challenges and went through enormous changes to turn around the decline in revenue by developing strong strategies. McDonald’s main strategy, ‘Plan to Win’ is built upon three components including (1) operational excellence, (2) retaking the lead in marketing, and (3) innovation. With the ‘Plan to Win’, McDonald’s focused on ‘being better, not just bigger’ and was able to give better restaurant experience to customers and superior value to shareholders. For the past eight years McDonald’s has been implementing strategies that give emphasis people, products, place, price, and promotion – its five major business drivers. Such strategies include marketing, business expansion and line extension, human resources (HR) management practices, operational practices, and responsible business practices. The strategy worked then, and is still working to this