Preview

Supply Chain Management

Powerful Essays
Open Document
Open Document
1323 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Supply Chain Management
Supply Chain Management of McDonalds
McDonald's Corporation (NYSE: MCD) is the world's largest chain of hamburger fast food restaurants, serving more than 58 million customers daily.[4] In addition to its signature restaurant chain, McDonald’s Corporation held a minority interest in Pret A Manger until 2008, was a major investor in the Chipotle Mexican Grill until 2006,[5] and owned the restaurant chain Boston Market until 2007.

A McDonald's restaurant is operated by either a franchisee, an affiliate, or the corporation itself. The corporation's revenues come from the rent, royalties and fees paid by the franchisees, as well as sales in company-operated restaurants. McDonald's revenues grew 27% over the three years ending in 2007 to $22.8 billion, and 9% growth in operating income to $3.9 billion.

McDonald's primarily sells hamburgers, cheeseburgers, chicken products, french fries, breakfast items, soft drinks, shakes, and desserts. In response to obesity trends in Western nations and in the face of criticism over the healthiness of its products, the company has modified its menu to include alternatives considered healthier such as salads, wraps and fruit.

In a fast food business, supply chain is of highest importance. It helps in minimizing cost, cut down the delivery time, improve the profits and at the same time maintain the highest standards.
The importance of supply chain can be understood by the fact that before setting up their first restaurant in India, mc donalds infused around Rs. 400 crores in the supply and delivery chain.
Mc donalds india source all its products and its raw materials from India only. Mc donalds develops local businesses that supply them the products and that too of highest standards. Today mc donalds have around 38 suppliers and that too on the long term basis.

MC DONALDS DISTRIBUTION CENTRES……

• Noida and kalamboli(Mumbai)……………..1996
• Bengaluru……………………………………..2004
• Kolkata…………………………………………2007

1st distribution

You May Also Find These Documents Helpful

  • Better Essays

    Gb 570

    • 1311 Words
    • 6 Pages

    A supply chain is very important to an organization. It can and should show the relationship between suppliers, distributors, managers and consumers. This paper would detail how important suppliers and distributions are to an organization’s success. And how important a supply chain is within an organization and how managers can utilize the supply chain. It is important that companies such as Target Corporations utilize the supply chain and gain competitive advantages. Target is one of the world’s largest retail stores; the first Target was opened in 1962 in Roseville, Minnesota (Target.com). By the end of 1962 there were only four Target and they were all operated in Minnesota.…

    • 1311 Words
    • 6 Pages
    Better Essays
  • Good Essays

    Supply chain is the beginning of a business production. A business must have a supply chain in order to be able to receive products and to distribute them. The definition of supply chain is described as a certain network of other companies that works together to both serve the customer, and the consumer (Supply Chain, 2015). A supply chain is the main link between a business and its consumers. When a consumer purchases a product from a business it comes from a line of other companies. The product might come from one store that manufactures the product, then is sold to another store for a goods price, next it is sold to the customer at the price they are willing to pay. Supply chains are not always used to their full extent. Many companies are unaware of what really goes on within their supply chain. There are businesses that do not know the information flow of the supply chain, and only really focus on the visible aspect. This results in the miscommunication and the potential to use the supply chain to its maximum potential (Handfield, 2011).…

    • 811 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    McDonald's is the world's largest chain of hamburger fast food restaurants, serving around 68 million customers daily in 119 countries. McDonald’s is headquartered in the United States in Oak Brook, Illinois. The company began in 1940 as a barbecue restaurant operated by Richard and Maurice McDonald. In 1948 they reorganized their business as a hamburger stand using production line principles. Businessman Ray Kroc joined the company as a franchise agent in 1955. He subsequently purchased the chain from the McDonald brothers and oversaw its worldwide growth.…

    • 1437 Words
    • 6 Pages
    Powerful Essays
  • Good Essays

    Mcdonalds Stock Essay

    • 1218 Words
    • 5 Pages

    McDonald’s serves 64 million customers each day. McDonald’s sells its products in 117 countries and operates 32,737 restaurants as of the end of 2010. Of the restaurants, 80% are franchised or licensed, and the remaining 20% are operated by the company. Under their franchise arrangement, franchisees provide a portion of the capital required by initially investing in the equipment, signs, seating and décor of their restaurant businesses, and by reinvesting in the business over time. The Company owns the land and building or secures long-term leases for both Company-operated and conventional franchised restaurant sites. This maintains long-term occupancy rights, helps control related costs and assists in alignment with franchisees (MCD, 2010).…

    • 1218 Words
    • 5 Pages
    Good Essays
  • Powerful Essays

    a. McDonald’s is an American fast food chain that sells a variety of fast food alternatives, but most notably has earned its reputation and success for the hamburger. It is the largest fast food chain in the world, with globally recognized “golden arches” symbolizing a reliable meal can be had in over 119 countries. McDonald’s has continued to develop their menu to reflect the desire/demands of their customers. The current CEO of McDonald’s is Mr. Don Thompson.…

    • 1472 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Mcdonald’s

    • 2985 Words
    • 12 Pages

    McDonald’s Corporation is the world’s largest chain of hamburger fast food restaurants, serving around 68 million customers daily in 119 countries. Headquartered in the United States, the company began in 1940 as a barbecue restaurant operated by Richard and Maurice McDonald. McDonald’s primarily sells hamburgers, cheeseburgers, chicken, French fries, breakfast items, soft drinks, milkshakes and desserts. In response to changing consumer tastes, the company has expanded its menu to include salads, fish, wraps, smoothies and fruit. (Wikipedia, 2013)…

    • 2985 Words
    • 12 Pages
    Powerful Essays
  • Better Essays

    Mgt 230 Week 4 Paper

    • 1799 Words
    • 8 Pages

    McDonald's has successfully created a brand/name for itself as the leading fast food retailer in the world. It is somewhat of impossibility for one to not come across a McDonald's with over 30,000 local restaurants in over 100 countries (McDonald's, 2011). Those restaurants are owned either by a franchise owner or a corporation; a percentage of all the earnings from a franchise owner, including a percentage from their annual revenue go to McDonald's.…

    • 1799 Words
    • 8 Pages
    Better Essays
  • Better Essays

    Supply Chain Management

    • 911 Words
    • 4 Pages

    The supply chain differs for a company that sells a physical product such as furniture, from that of a company that sells a service such as cellular services. Though both supply chains differ, with powerful strategies both companies were able to achieve the same result, profits within the organization. Ultimately for any organization, the main goal is to increase profits. Improving the supply chain is one way to reach this goal. According to Schneider, "When companies integrate their supply management and logistics activities across multiple participants in a particular product 's supply chain, the job of managing that integration is called supply chain management. The ultimate goal is to achieve a higher-quality or lower-cost product at the end of the chain" (Schneider, 2004, p. 228). Lets attempt to show how Direct Buy, a furniture company, and Verizon Wireless, a cellular service company has achieved that goal.…

    • 911 Words
    • 4 Pages
    Better Essays
  • Good Essays

    McDonalds Case Summary

    • 418 Words
    • 2 Pages

    McDonalds is one of the world's largest fast food chains serving millions of customers everyday. The main reason for their success is the fact that McDonalds adapts its products to fit the local markets. It is a truly 'Global' corporation.…

    • 418 Words
    • 2 Pages
    Good Essays
  • Satisfactory Essays

    McDonald´s Corporation (McDonald’s) is the world´s largest foodservice retailing chain. The company is known for…

    • 306 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    McDonald's Corporation is the world's largest chain of hamburger fast food restaurants, serving more than 58 million customers daily. A McDonald's restaurant is operated by either a franchisee, an affiliate, or the corporation itself. The corporation's revenues come from the rent, royalties and fees paid by the franchisees, as well as sales in company-operated restaurants. McDonald's revenues grew 27% over the three years ending in 2007 to $22.8 billion, and 9% growth in operating income to $3.9 billion.…

    • 1836 Words
    • 8 Pages
    Powerful Essays
  • Best Essays

    Established in 1955, the McDonald's Corporation is the world's largest and best-known fast food service retailing chain mainly operated by franchises. The company has a leading share in global brand recognition and its products are sold in over 30,000 restaurants in over 121 countries, it also employs approximately 465,000 people. The company operates under the McDonald’s brand name but also uses 'The Boston Market' and Donatos Pizzeria. It has a small ownership in Prét A Manger, which collectively generate approximately $1 billion in annual sales (McDonald’s Corporation, 2007). The company’s net profit was $3,544.2 million in fiscal year 2006, an increase of 36.2% over 2005 (Marketline, 2007).…

    • 2846 Words
    • 12 Pages
    Best Essays
  • Good Essays

    McDonald's Corporation is the world's largest chain of hamburger fast food restaurants, serving around 68 million customers daily in 119 countries. Headquartered in the United States, the company began in 1940 as a barbecue restaurant operated by Richard and Maurice McDonald and in 1948 they reorganized their business as a hamburger stand using production line principles. Businessman Ray Kroc joined the company as a franchise agent in 1955. He subsequently purchased the chain from the McDonald brothers and oversaw its worldwide growth.…

    • 5673 Words
    • 23 Pages
    Good Essays
  • Better Essays

    Mc Donald

    • 3856 Words
    • 16 Pages

    McDonald's Corporation is the world's largest chain of hamburger fast food restaurants, serving around 64 million customers daily. Headquartered in the United States, the corporation was founded by businessman Ray Kroc in 1955 after he purchased the rights to a small hamburger chain operated by the eponymous Richard and Maurice McDonald.…

    • 3856 Words
    • 16 Pages
    Better Essays
  • Best Essays

    The McDonalds is the world’s largest fast food chain restaurant. [1][2] The company was established as a barbecue restaurant operated by Richard and Maurice McDonald in California, United States in 1940. In 1955, businessman Ray Kroc joined the company as a franchise agent in 1955, and subsequently purchased the chain from McDonald brothers. Since then, McDonalds began its worldwide growth. [3] Today, McDonalds owns around 68 million customers across 35,000 outlets in 119 countries every day and earns billions of annual revenues and net profits. [4]…

    • 1033 Words
    • 4 Pages
    Best Essays