International Resource Management of Mcdonald

Topics: Human resource management, Management, Employment Pages: 7 (2058 words) Published: August 14, 2013

International Human Resource Management (IHRM) is a core aspect of HRM, essential for all international practitioners (CIPD, 2012). It is a vital concept for HR managers in multinational enterprises (MNEs). IHRM is about the world-wild management of Human resources (Brewster, 2002) IHRM refers to any HR professional who is working in an organisation which operates in more than one country (CIPD, 2012). According to Amstrong (2010, p.8) Internationalisation connotes an expansion of interfaces between nations, the flow of business, goods or capital from one country to another, that is, action in which nationality is still strong in the consciousness (Sparrow et al., 2004 p.17). Mc Donald is the world’s largest fast-food chain operating in 119 countries, serving over 65 million people each day (1% of the world’s population), in there 34 000 restaurants. (Business Insider, 2012) 80 percent of outlets are owned by independent operator using franchise as an expansion strategy to reach a maximum of customers. (Franchise Direct, 2012). McDonald’s $27 billion in revenue makes it the 90th-largest economy in the world and the $8.7 billion in revenue from franchise store alone, makes McDonald richer than Mongolia (SEC, 2012). McDonald employs 1.8 millions people worldwide. It is actually the biggest employer of USA (McDonald’s statistics). The report will be divided in four main parts. First of all, the author will defined and analysed the different approaches that McDonald used for the next 3 topic areas of IHRM, which are: the Recruitment, the training and career planning of employees. The author will integrate theories and compare between each other. The next point will highlight Staffing issues to achieve company’s goals. Then, a conclusion will be added and some recommendations proposed to improve and fill the gap.

2.0 different approaches

Comprehensive human resource strategy is adopted from recruitment and training to pay reward schemes tin order to motivate staff to deliver company’s values and objectives globally. 2.1 Recruitment

For McDonald, staff is its most important asset. Customer satisfaction is a top priority and it begins with the abilities and behaviour of employees and their commitment to the company (…). However, McDonald restaurant employments have the reputation of paying low wages paid on an hourly basis, with easy, repetitive and boring task. Hourly-paid staff or restaurant workers are the biggest groups in the organisational structure of a McDonald. About 50 restaurant crewmembers run a restaurant, with a majority joining at the entry level and as part time employees (…). Most this category of employees is composed of people in transition in their life as working mothers, seniors or students Over 60% are aged 20 or under (…). Those people are drivers of the turnover rate. The term “Mcjob” has been specially created for these specific job role. In the recruitment process, owners of franchises, the franchisees, are in charge of the recruitment of hourly-paid employees, with the support of the operation’s Managers (…). Indeed, the method of selection used for restaurant workers is adapted from the best-fit approach. They recruit people living near by the outlet. For instance, local job centres or newspapers are used to advertise vacancies (…). In theory the best-fit approach meet the Armstrong’ thinking in terms of HRM success, which is consist on having the right person, at the right time, at the right place (…). Then, Interviews are planned to look after behaviour and personality more than skills. For instance McDonald UK have a proper policy, which is to ‘hire the smile’ (…). It is not just about hiring happy people, it is more about doing everything to keep them smile. At the end of the face to face, the interviewers give a mark regarding the answers of the respondent and they offer to those who earn the highest ratings. Every applicants have a trial shift in order to identify...

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