Inventory system of McDonald: McDonald had a different approach to inventory management wherein they used to pre-cook a batch of hamburgers and sit under heat lamps. It is used to keep them under the lamps for as long as possible and eventually discard whatever they couldn’t sell. Hence customers couldn’t enjoy freshly made food. The only way it could happen was by the customer giving a special order. Therefore McDonald moved to the JIT system of inventory management. This shift was possible because that enabled them to make burgers faster and keep the time between placing an order and receiving it as soon as possible. This results in the finished product sitting in the inventory for as little as possible. This enables proper inventory management and reduces wastage while giving maximum satisfaction to the customer.
Product flow: Productivity is a very important factor in a business. It is how well a business produces its goods depending on how efficient the output is made. For McDonalds this is very important because as a fast food chain we need to keep costs and waste as low as possible, whilst still producing quality burgers and chips to meet customer demands and company goals.
Technology used: McDonald’s has taken advantage of technology to streamline their processes and improve efficiency .Through technology enhancements such as FPl’s Help Desk service, network and application consolidation, and other technology implementations, operations of the company are greatly improved.
Touch order allows customer to place order at McDonald’s via handset.
The customers can place their order directly from their tables, dubbed as ‘Touch Order’. Its the first self-ordering system in the world to use RFID.
McDonald’s has also implemented technology to improve supply chain management and allows