Mcdonald's Case Study

2096 Words Apr 10th, 2012 9 Pages
PLCY-399

Case Study: McDonalds and Its Critics: 1973-2009

Mar 27th 2012

<McDonald’s And Its Critics: 1973-2009> is the most useful case that I’ve ever read about the McDonald’s. This case helped me fully understand the McDonald’s history from 1973 through 2009, as well as the reasons for its successes and failures through the years. Starting from the beginning, McDonald’s was a restaurant ran by two brothers Richard and Maurice, who managed this restaurant as a carhop drive-in restaurant in San Bernardino, California since 1930s. In the early 1950s, the brothers transferred the carhop service with self-service by simplifying the menu. In 1954, Ray Kroc, a salesman who supplied multitier milkshake machines to the McDonald
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From the contributions that Kroc made for McDonald’s, I learned that the key elements of his strategy were carefulness, braveness, innovation, strictness, and uniformity. Kroc’s Corporate-level strategy can be defined as centralized. All decisions in the company were made at top-level management and pushed to the franchises. A year after opening McDonald’s first restaurant, Kroc hired Fred Turner to manage one of the McDonald’s. Turner was an ambitious and fast learner, he learned that Kroc paid a lot of attention on training franchisees and decided to embellish Kroc’s strategy with his “Management Science”. Turner laid the foundation for a successful franchise system that has lasted well into the 21st century. The manual covered very detailed systematic knowledge and operating techniques. For example, it defined cooking times for all food items, and also, it established quality control measures, which is a totally new phrase at that time, etc. These measures had become the foundation of McDonald’s’ core competencies. Kroc leveraged Turner’s standard operating procedures to further develop uniformity. Kroc sent Turner to the franchises as a field auditor. Turner’s manual was such a success that it pointed out a way for franchises to easily and uniformly operating the restaurants much better. Furthermore, a big step that Turner made was to establish a training center called the “Hamburger University”. The university was running very well. Classes were

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