Resources

Resources
COMPANY: MCDONALD’S

MÁRIO VIEIRA

There

are various types of resources
McDonald’s would use that would be required to develop opportunity and to operate and deliver products and services to their customers. The resources that would be required would be dependant on many different aspects of the business such as the size of your business, the type of business etc. McDonald’s is a very large organisation that will have different resources that will assist them and ensure they are operating effectively.

The resources used by
McDonald’s
 Financial

Resources (Money, shares and other assets)

 Physical

Resources (Tangible property, equipment and space)

 Human

resources (People, knowledge, employees, experience)

 Technological

software, tills)


Resources (System,



Human Resource Management

Basically HRM is the management of people. By this it means, people handling with recruitment, absent, equality. McDonald’s will need to make sure they have people that are recruited to develop employee’s skills and ensure the business is operating effectively and need to consider training to staff that are under performing. 

Labour

Every business need to make sure they have people/ staff who manage employee’s directly that are involved with the production of the business’s products or services. 

Training

Training is very important for every business including McDonald’s as they will need to make sure they are providing training and assistance to their employee’s that require it and to keep them up dated with any changes within the business or with any legal changes that have arisen.


Recruitment

In seasonal time where there is more demand for production the business will need to make sure they have the right staff to comply with the demand that is required. McDonald’s will need to make sure they recruit employee’s at peak times so they generate maximum profits and revenue.


Development

McDonald’s will need to make sure they develop employee’s which can be regarded as investing in a valuable asset such as source of motivation, source of helping employees fulfil their potential.

Plan and Control

Costs associated with opening a restaurant:
 The

cost of a restaurant typically ranges from £125,000 to £325,000




£30,000 franchise fee
£5,000 training deposit, returned after completing training

 On-going

fees, stock, rental

Supply Chain

Types of stock

Stock forecast

Historical sales from last two years National events.
School holidays , bank holidays

Information from business manager.
Festivals nearby or road being closed

Lay-out

Hierarchy

Quality


Quality is a very important aspect for a business selling products such as McDonalds.
Improving the quality of a burger can affect many other aspects of operations performance. McDonalds may need to make a lot of changes.

McDonalds mission statement is:
 Our

aim is to provide a fun and safe environment where our customers can enjoy good food made with quality ingredients at affordable prices.

Here are some of their aims & objectives
 To

serve quality food that our customers can trust

 To

be a socially responsible company

 To

provide good returns to its shareholders

 To

provide its customers with food of a high standard, quick service and value for money

The Volume-Variety Effect &
Process Design
 The

effect of volume-variety is one of the factors that needs to be taken into consideration before the choice of the manufacturing process is done. High volume leads automatically to a low variety and vice versa. So the effect of high volume and low variety in
McDonald’s indicate the suitability for the process.

Managing Queues

Single Queue Theory vs. Multiple Queue
Theory

 Single

queue: is also called as naïve approach which performs as an outlet system or finding its way out in terms of shaping the services process.  Multiple

queue: or intelligent approach is in contrast or opposed on the system of the

Objectives


For McDonalds to be able to achieve this they will need the support from the customers, therefore this is all down to the support of the customers.



McDonalds could achieve this by improving the quality of the play facility for children. Using a different softer foam on floors and surfaces will make it a fun and safer place for children.



McDonalds could also improve the quality of customer service by speeding up the process and therefore having a faster turnover of customers.



Improving the small things at McDonalds could also make a big different such as the clarity of the menus.

Strengths

Weaknesses

- Globalization: 31,000 restaurants serving 120 countries.
Of the 31,000 restaurants at least 14,000 restaurants in the US

- Advertisement techniques that target children.

- Earns revenue not merely by fast food sales, but also as a property investor, a franchiser of restaurants.
- Adjusted Ingredients and product offerings to comply with upgraded health standards deemed necessary by the
USDA

- Consumers use disposable income to purchase fast food meals so when the budget it threatened, consumers redirect these funds.
- Public perception: McDonald 's has been impacted by negative press like the documentary "Supersize Me" by
Morgan Spurlock in which he contributed our society’s obesity to McDonald 's and other fast food chains.

- Active Children 's Charity: The Ronald McDonald House

- Negative image due to “Fast Food Nation” and other media sources.

Opportunities

Threats

- Innovation: Continued adaptation to societies needs such as
USDA and Supersize Me upgrade.

- Current world economic standing: the company 's revenue streams are diversified, but depending on the length of this
"recession", they will inevitably be negatively impacted by the trickle down effect. - Public Health Crisis: with a growing number of obesity cases among Americans, fast-food chains like McDonalds will continue to be overshadowed by their previous product offerings
(Supersized Meal, no fruits or yogurt, slim salad selection). - Social changes - Government, consumer groups encouraging balanced meals, 5 a day fruit and vegetables.

- Conservation: Researching green energies and green packaging solutions and incorporating these findings as a part of their marketing strategy and advertisements. - Exploration: Create new product offerings. Continue to use technology to influence revenue strategy: possibly use text messages to deliver specials offers to individuals who sign up for such services.

S.M.A.R.T
Increase sales of Big Mac’s in the UK by 5% in the next 6 months. This is also another S.M.A.R.T objective as once again it is stated clearly what the aim is (to increase sales of Big Mac’s in the UK), it is measurable, achievable, and realistic and also there is a time in which they should be able to accomplish the objective.
Open 5 new restaurants within the next 3 years.
This is an S.M.A.R.T aim and objective as it is stated clearly what the aim is, it is measurable, achievable, and realistic and also there is a time in which they could or should be able to accomplish the objective.

References


McDonalds (2014) Financing a Franchise [Online] Available from: http://www.mcdonalds.co.uk/ukhome/Aboutus/Franchising/thefinance-bit.html [Accessed 8 November 2014]



McDonalds (2008) Finance at McDonald’s [Online] Available from : http://www.mcdonalds.co.uk/content/dam/McDonaldsUK/People/S chools-and-students/mcd_finance.pdf [Accessed 8 November
2014]



McDonalds (2008) Stock Control at McDonald’s [Online] Available from : http://www.mcdonalds.co.uk/content/dam/McDonaldsUK/People/S chools-and-students/mcd_stock_control.pdf [Accessed 8
November 2014]

References:  McDonalds (2014) Financing a Franchise [Online] Available from: McDonalds (2008) Finance at McDonald’s [Online] Available from : McDonalds (2008) Stock Control at McDonald’s [Online] Available from :