Human Resource Strategy Of Mcdonalds

Burger King, Wendy’s, or McDonalds? I usually go with McDonalds, I don’t know what it is, but something about McDonalds attracts me to them more than the other two mentioned. Don’t get me wrong, I love all three of those fast food chains, but McDonald’s has a competitive advantage over the other two whether it be their food, customer service, or etc. In addition, their business strategy, alignment with its business, human resource, and staffing strategies also help create this competitive advantage. However, they are some threats that could impact McDonalds.
One of the most important aspects of McDonalds business strategy focuses on people. First, what is a business strategy? A business strategy is “how the company will compete in its marketplace.”
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The five human resource strategies include respect and recognition, values and leadership behaviors, competitive pay and benefits, learning, development, and personal growth, and lastly, ensuring that employees have the resources needed to get the job done. Those five human resource strategies will align with their staffing strategies. When recruiting, organizations want to attract good, quality employees. They will try to recruit and hire the best people, retain them by offering them ongoing training, and then promote from within to fill its managerial positions (Phillips & Gully, 2015). McDonalds will hire people who want to excel in delivering outstanding customer service (Phillips & Gully, 2015). McDonalds staffing strategies and their human resource strategies align to help keep their competitive advantage. Having respect, recognition, values, and leadership behaviors will help result in good customer service, which McDonalds takes great pride in. Even with strong human resource and staffing strategies, there are some threats to McDonalds competitive …show more content…
I don’t think that a tight labor market where it is difficult to find talented people will be a problem. When McDonalds is in the recruiting process, they will be able to tell if the applicant has the necessary qualities for the job, such as respect and leadership behaviors. If those individuals who were in the recruiting process were to be hired and McDonalds saw that they didn’t have the talent, McDonalds could train those individuals for the job. The overall determination of an employee’s success is based on the customer’s satisfaction. If they receive good satisfaction, then McDonalds still has their competitive advantage. Like stated above, McDonalds provides ongoing training throughout the employee’s job, so the training for those individuals would be a constant factor. Next, let’s look at threats to McDonalds’ competitive advantage through a business aspect. In an article by Panos Mourdoukoutas, he suggests that McDonalds’ sales and profits have been losing momentum due to two of its advantages, scale and scope. McDonalds delivers a quicker, more convenient, and less expensive meal compared to other traditional restaurants (Mourdoukoutas, 2013). McDonalds has more units around the world (33,510) compared to Wendy’s (9,792) and Burger King (12,512). Also, McDonalds offers diverse products such as the McCafe that they have added in many locations. However, both scale and scope have limits and Mourdoukoutas suggests that

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