Analysis of Mc Donald's Operations

Topics: McDonald's, Inventory, Supply chain management Pages: 2 (417 words) Published: October 18, 2014

Mc Donald’s Case Study
McDonald's is one of the best-known brands worldwide and its core business being basically fast-food; it specializes in burgers (Big Mac) and fries. While other restaurants stick to their conventional menu will rarely innovate, McDonald’s on the other hand has been able to adapt to the local demand in a global environment by catering their menu to the local taste. This continuous product innovation & improvement based on detailed market research has helped keeping the brand ahead of its competitors and contributed to further enhance the existing reputation of the brand. In order to have this competitive edge, McDonald’s has taken some key measures to name a few along the years, namely: Aggressive market research to continuously adapt to the changing needs and tastes of its customer, for e.g. seeking more food variety and gradually shifting towards healthier eating. Value added services to adapt to people’s busy lives with great focus on convenience. More choice and better pricing strategy to ensure excellent value for money; for e.g. extra value meals and combination of menus Process standardization and attention to details to ensure product quality in each and every outlets. A number of key decisions and operations have contributed to the overall strategy of McDonald’s. These are: 1. PRODUCT PLANNING: Continuous improvement to meet customer needs and preferences, adapting/customizing the menu to the local demands and tasted. 2. CAPACITY PLANNING: ensuring that there is enough stock of ingredients to prepare food items to respond quickly to the fluctuating demands. 3. LOCATION PLANNING: Setting up of the locale with a view on factors such as proximity to the source of raw material, proximity to customers or suppliers, transportation facility, etc. 4. INVENTORY & SUPPLY CHAIN MANAGEMENT: Ensuring that the proper raw-materials and services are available at the right time. At the same time, since the business deals with perishable...
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