Mcdonald's Production and Operations Management

1038 WordsMay 28, 20135 Pages
Mcdonald’s Use of Teams in Production and Operations Management Introduction Strategies are important for all businesses, regardless of the products or services that they offer. Through strategic management and operations, companies are able to integrate new and effective means of running their respective businesses. In turn, these strategies results in an increased profit of sales, stable market position and greater levels of customer loyalty. In the fast food industry, businesses such as McDonald’s must establish certain business and marketing strategies. Primarily, the main goal of McDonald’s, just like any other organization is to sustain their competitive advantage in the global market. Overview of the Company…show more content…
Despite some issues being raised against the company and the changing of marketing strategies, McDonald’s has remained in the status of being one the most successful big companies during this recession. On May 9, 2012, “the fast-food giant posted February sales results that most chains would envy” (Adamy, 2009). Even in this tough economy, McDonald’s was able to maintain profitability with it cheap dollar menu. Part of its business strategy is its plan to phase out certain items to try to create a healthier image for itself. The company is also planning other menu changes such as switching the size of some of its menu items. All of these changes in the menu are part of its strategy to provide a range of choices that supports a balanced lifestyle. McDonald’s also has a diverse market to include not only fast food but also children’s wear. The McKid’s products include footwear, videos, toys and casual clothes. Strategies in other areas of the organization were also made, such as the three-wheeled vehicle that is used to collect discarded cups and burger wrapping in the neighborhoods around some of the restaurant locations. McDonald’s developed three core strategies for sustaining the competitive advantage. These are customer convenience, customer value, and optimal operations. Together with new innovative digital strategies, McDonald’s creates new and bold ideas for the company. Currently the major focus areas are nutrition
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