Analysis of Mcdonald’s Ceos Strategic Initiatives Essays

1379 Words Jul 28th, 2016 6 Pages
McDonald’s and Its Critics: 1973–2009 is the most influential case study written about the McDonald which makes the readers aware of the reasons and strategies behind the success of the McDonald, even with the criticism McDonald faced throughout the history of its existence. This case study analyzes the strategic initiative taken by each CEO and assessment of these initiatives.
Ray Kroc, 1955–1973
Ray Kroc founded McDonald’s Corporation in 1955. He bought the rights from MacDonald’s brothers to open the franchises all across the country. Illinois was the first place to have McDonald. Ray Kroc adopted the ideas of simple, limited menu and easy steps of food. He gave the world with the most famous gold arch logo of the McDonald.
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He gave the idea of field supervisors, who visits various franchises and supervise whether SOPs are met or not

The Turner strategic initiative was the decentralization. Decentralization is defined as the process in which authority delegates at the lower level too, and some important decisions take place at the bottom level of the hierarchy. He was of the view, the closer the decision making is to market and field, the better the decision making will be. His technique was very successful and doubled the annual sales of McDonalds during the first five years. He increased the number of regional managers who were responsible to make decisions related to the new franchises opening. One of the most successful accomplishments of his period was “Ronald”, a character for the kids. Turner spent great budget amounts on advertising on TV. During his period, he has to deal with the problems and threats related to franchises rights and union rights.
His strategy of decentralization was very successful as it gives control and power at lower levels too. He observed that when the decision making is closer to the marketplace i.e. at regional and franchise level, the decision making will be more successful.

Michael Quinlan, 1987–1998
Quinlan was the first CEO of the McDonald, who owned an MBA degree. He combined street level business with the boardrooms expertise. He was very successful and famous in employees due to his

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