Overview of McDonald’s
The report helps in analysis of the different strategies that will help in analysis of strategy of the quality management applied by McDonald’s. McDonald’s corporation is the leading food service company that was found by two brothers named Mac and Dick McDonalds in the year 1940 in California. McDonald’s became popular in Ireland and O’Connell street. There are more than 74 McDonald’s around the entire world and the main principles of McDonald’s included cleanliness, Quality, Value and Service has helped McDonald’s in achieving 100% satisfaction of the customers.
McDonald’s is the largest food chain by revenue wherein they are serving more than 69 million customers and there are approximately more than 37000 outlets in different parts of the world (Mcdonalds.com, 2018). The revenue generated by the company is more than US$24.622 billion and the number of the employees working in McDonald’s including all the outlets are 375,000. There are major competitors of McDonald’s wherein KFC is one such competitors that has huge importance in the competitive market as well. Furthermore, it can be seen that there are more than 375,000 individuals who are employed in McDonald’s till the year 2017 (Chaudary, Zafar and Salman 2015).
The global operations of McDonald’s are aligned in an effective manner around the world wherein the current strategy of the company is to provide their customers with exceptional kind of service. The marketing mix of the respective company includes people, place, product, price and promotion. In the present scenario, it can be seen that McDonald’s provides exceptional service to the customers to become the fast and quick food chain that provides high quality food in a clean environment (Kalpakjian and Schmid 2014).
McDonald’s has currently adopted a strategy that is based on three kind of sections that includes the importance of customers along with satisfaction provided to the customers. With the implementation of the information technology, it is essential in nature for McDonald’s has developed different new ideas as to improve the different operational activities of the restaurant appropriately. McDonald’s has implemented the management teams for the inspection of the quality of the food that is sold by them and the control for the business to be successful in nature. In McDonald’s, the total quality management includes that all the employees are working on time and they are ready to serve the customers (Sanz-Calcedo et al. 2015).
- In the present scenario, the quality management of McDonald’s includes the involvement of the employees and there is high morale among the employees who perform well in the organization as to achieve incentives and the employees are friendly with the customers as well (Goetsch and Davis, 2014)
- Secondly, the entire focus is on the customers that helps the management of McDonald’s to be unique from the competitors. The large-scale efficiency is measured by McDonald’s with proper implementation of technological advancements. The restaurant takes into account the nutrition of the customers and they provide food to the customers that will help the company in gaining competitive advantage in an effectual manner (Jiménez-Jiménez et al. 2015)
- There is continuous kind of improvement in the different food items that are provided to the customers by McDonald’s. In order to improve the quality standard, McDonald’s focuses more on the different training and development programs of the employees as this helps McDonald’s in providing satisfaction in an effective manner (Mohammad Mosadeghrad 2014)
The present strategy of McDonald’s has been implemented by the company in a successful manner. The restaurant tries to provide different kind of training to the employees as to understand the different tastes and preferences of the customers. Furthermore, there is continuous improvement in the different strategies of quality management wherein it includes building different kind of products that will make them competitive in nature. It has been seen that there are different competitors of McDonald’s that includes Wendy’s and Jack in the Box. McDonald’s tries to understand the different strategies that has been applied by them as this provides them the different areas wherein focus is required to be done by McDonald’s.
Competitors of McDonald’s
Furthermore, McDonald’s applied a proper and perfect human resource strategy that helps the company in meeting with the different requirements of the customers (Sahney 2016). The competency in McDonald’s has helped them in improving the skills of the employees in an effective manner as this helps them in competing with the market effectively. However, there are different kind of strengths of McDonald’s that includes self-service criteria that helps them in saving cost. McDonald’s keeps in mind the regional and cultural barriers that helps them in providing different kind of food in different countries (Sallis 2014).
The implementation of total quality management strategy by McDonald’s has helped the company in creating more opportunities for themselves in the future (Fu et al. 2015). The training of employees, continuous improvement and customer satisfaction are the main priority of the company and it helped them in gaining competitive advantage effectively in the competitive market as well. The implementation of the strategy of McDonald’s has to understand the different difficulties faced by the firm and they can implement different models and approaches of the different gurus of TQM as to generate productivity in an effective manner.
Furthermore, there are few weaknesses and limitations of McDonald’s that has to be analysed effectively. McDonald’s has spent a huge amount on the training of the employees. McDonald’s need to analyse the different needs and preferences of the customers effectively as this will help them in gaining more competitive advantage in the future (Kiran 2016). There are different kind of strategies that has to be analysed by McDonald’s as this will help the company in delivering as per the choices of the customers.
The alternative kind of strategies that can help McDonald’s in overcoming the present issues are as follows:
- McDonald’s needs to reduce the spending of training of the employees in the organization. Furthermore, McDonald’s need to motivate the employees on the job by taking care of their different expectations. The company needs to hire employees who are motivated and loyal to the company as this will help the company in reducing the employee turnover in an effective manner (Talib and Rahman 2015)
- McDonald’s need to improve the different products that are sold by them to their customers as this will provide them high quality food and the food has to be certified in nature. There have been different issues relating to the quality of the food that is supplied by McDonald’s as this will help them in solving such issues (Hazen et al. 2014)
- McDonald’s need to develop more healthy choices that are accepted socially and it is required for McDonald’s to develop menu that will be acceptable by customers and it is fitting into speedy service model (Jacobs, Chase and Lummus 2014)
- McDonald’s need to increase their presence in the different Asian countries as it can be seen that McDonald’s is growing faster in China as compared to United States.
There are different contributions of the gurus with their different quality management strategies that has been applied by them. Firstly, Dr. W. Edwards Deming is the influential guru of quality management in United States along with in Japan. Deming has developed a Shewhart Cycle as the framework that is essential in nature for improving the productivity and quality of the products (Oakland 2014). There are four steps of improvement in the quality management principle of Deming that is known as PDCA cycle and in the present era it is used in assessment of the organizational performance.
Furthermore, contribution and principles of Juran’s has been described that helped in understanding that the main focus of the guru was on managerial aspects in the quality management. There are three different major components of the theory of Juran’s that includes the planning of quality, controlling the quality and improvement of the quality. Juran’s introduced the ten steps for the quality improvement that includes the improving the satisfaction of the customers in an effective manner. The ten steps include the following:
- Building proper awareness of the opportunity and need for the improvement
- Providing proper and accurate training
- Carry out different kind of projects to solve different issues effectively
- Progress of report (Jaca and Psomas, 2015)
- Results of communication
- Keep score
- Maintain proper momentum by implementing improvement part of systems and processes of the organization
- Organize in an effective manner to achieve the goals
- Setting different goals for improvement
Implementation of Total Quality Management Strategy
Ishikawa’s contribution and the principle were the Japanese quality guru who helped in pioneering process of quality management in the Kawasaki shipyards and he was famous for development of cause and effect diagrams and the implementation of the seven QC tools. The seven QC tools are as follows:
- Histogram
- Control chart
- Scatter diagram
- Cause and effect diagram
- Check sheet
- Stratification Chart
- Pareto Chart
From the above fish bone diagram, it can be seen that it is the effective method and tool for preventing and reducing mistakes and errors in the entire organization that is related to quality of the products and services. Dr. Kaoru Ishikawa has introduced the concept that the next kind of process is the customers and this approach helped in introducing the quality management circle.
Dr. Genichi Taguchi is the other guru of quality management who has introduced different designs for parameters and tolerance. There are three development stages that include the following:
- Design of the system includes the development of functional prototype design along with determination of the parts, assembly and parts system (Calabrese and Corbò 2015)
- Design of parameter includes nominals of the entire system that runs statistically planned kind of experiments (Herzallah, Gutiérrez-Gutiérrez and Munoz Rosas, 2014)
- Design of Tolerance helps in dealing with the tightening of the tolerances along with upgrading different materials in an effective manner (Dale 2015)
From the above, it can be analysed that the gurus of the quality management have contributed a huge amount in the different kind of practices of the quality management. The gurus have provided brief introduction on the different kind of quality management strategies that will help in company in solving the different issues related to quality management in the organization. From the above analysis on contribution of gurus, it can be seen that Deming contributed and emphasized on process and the dominant factors were control of the variation.
Furthermore, Juran contributed towards the quality management practices wherein the main focus was on people and the dominant factors were fitness for the purpose. Furthermore, it was seen that Ishikawa mainly focused on value led theories and the main dominant factors were different quality practices and circles on quality management of the different companies.
Therefore, it can be summarised that all the gurus shared the emphasis that were common in nature and they focused on continuous improvement of the different services that are provided by them in order to meet the different requirements of the customers.
Conclusion
Therefore, from the entire discussion it can be concluded that strategic quality management plan of McDonald’s has positioned themselves as the largest food restaurants in the world. The quality management strategies that has been applied by McDonald’s is effective in nature, however there are few changes that is required to be made in the different areas as this will help the company in gaining competitive advantage in the entire market.
It has been seen that McDonald’s focuses more on the different expectations of the customers and benchmarking of the company as well. However, there can be different implementation of strategies that can be adopted by McDonald’s in meeting the expectations of the customers and the food quality has to be checked properly as this will help them in increasing their sales. McDonald’s need to open different outlets in other countries as well as this will help them in becoming best in comparison to other food chains in the market.
Alternative Strategies for McDonald’s
Therefore, it can be concluded and summarized that all the quality management gurus focused on a common kind of goal that was relating to the quality management of the entire organizations and this helped the companies in following such strategies to overcome different issues relating to the quality of the products and services that are produced and delivered by them to the different customers.
References
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