McDonald’s Organizational Capabilities
A.) One of McDonald’s organizational capabilities is the emphasis they place on their leadership practices and the extensive leadership programs they offer. According to an article by Joan Gallos regarding McDonald’s leadership practices, “It starts with having high standards. When we talk about people being ‘ready now’ and ‘ready future’, the ‘ready now’ candidate has to be someone who can be better than the incumbent over time. And, if every time you have an opening you put somebody in that’s stronger, you’re going to increase your organizational capability.” (Gallos, 2011) 1.) This organizational capability definitely contributes to superior customer value. Focusing time and resources to ensure strong and sustaining leadership skills allows McDonalds to maintain the skills necessary to keep their customers happy and satisfied. 2.) Yes, this organizational capability can be used in a variety of ways. Training strong current and future leaders contributes to all aspects and areas of the McDonald’s organization. 3.) Though other fast food organizations have the capability of implementing strong leadership programs, McDonalds has proven to be a leader in structuring strong leadership programs and high standards. B.) McDonald’s ability to adapt to changes in technology, demographics, and globalization is another strong organizational capability. In order to achieve a high level of adaptability to these ever-changing dynamics, they place a heavy emphasis on building strong teams and incorporating a value of teamwork. “We’re a very team-based environment. Therefore, whenever we have a business issue, our natural inclination is to put together a team of people to look at it. It’s typically cross-functional and in some cases cross-geographic as well. This focus on team goes back to the restaurants. All you have to do is walk into a restaurant during the lunch "crush" and see 15 or 20 people working hard together. The whole...
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