Mcdonald's Organizational Structure

1757 Words Apr 19th, 2013 8 Pages
McDonald's Organizational Structure and Response to Environmental Challenges

McDonald's Organizational Structure and Response to Environmental Challenges
The first McDonald’s opened in 1955, in Des Plaines, Illinois. The organization has maintained a history of steady improvement and consistency within its organizational efficiency and products from its inception. McDonald’s invests greatly in their training program to ensure that employees properly perform their assigned duties according to prescribed best practices. The company continues to receive prestigious awards for their leading-edge training, including the “Employer of Choice Award” from the Restaurant Business Magazine (Restaurant Management, 2004; Early et al., 2004).
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Standardized menus and restaurant training processes consisted of structured system of educating employees on specific processes to prepare food products. Each adaptation McDonald’s employed supported the organizations ability to sustain its objective to remain profitable via implementing initiatives top down through its hierarchical systems. The formalized system facilitated efficiencies in processing as well as production of food products that maintained consistent tastes even as the organization expanding its product lines to include breakfast items (wickedmonkeys.com, n.d ). McDonald’s celebrated its 25th anniversary in the 1980s and continued to expand its menu offerings by introducing health conscious products as well as aggressively pursued growth into international markets through the 1990s (wickedmonkeys.com, n.d.).
The hierarchical structure of McDonald’s continued to supports prominent growth as the organization adapted to support a globalization strategy (Floersch & Crosby, 2008). Efforts to expand into international markets required the organization to develop marketing, menu, and training strategies that allowed it become competitive in foreign markets as well as maintain true to its organization system that valued structured formalization. Globalization efforts consisted of standardized strategies that
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