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Key Performance Indicators (KPIs)
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a) McDonald's comprises a mixed manufacturing/service operation. Critically compare the different characteristics of the product and service operations and the consequential impact on the operational/performance measures employed.  (25 marks)  
b) Critically discuss the role of Key Performance Indicators (KPIs) used by McDonalds for their manufacturing and service operations at a typical restaurant. You should illustrate your answer by giving ONE (1) example of a KPI for each of the manufacturing and service operations (15 marks)  
c) i) Draw, label and explain McDonald’s supply chain network. (Focus only on those aspects of the supply chain which are needed to directly produce and sell food.)  (10 marks)  
ii) Critically evaluate the role of the supply chain in addressing  I. the concerns and needs of customers II.  in supporting McDonald’s operations objectives (24 marks)  
d) Using evidence to support your answer, critically discuss how McDonald’s is implementing lean philosophy to minimise waste, yet still meets the demand for immediate service. (16 marks)  
e) Conclusion – summarise the main points from your report and discuss the implications for McDonald’s strategic operations. (10 marks)  
NB. References should be in the Harvard format and this will be acknowledged in the marks awarded for your response.  

Answer

McDonalds started its journey in the year 1940 with the help of Mac McDonalds and Dick McDonalds with the name Bar-B-Q restaurant (Corporate.mcdonalds.com 2016). The restaurant started as a normal drive-in restaurant, which had a huge list of menu for the people who are coming to the restaurant. However, the restaurant was closed in the year, 1948 for three months and was remodeled. When the restaurant again reopened, there has been a huge cut down in the menu. Since the time it has enhanced the business and McDonalds has been performing well in the market and currently possesses franchises in 119 countries around the world.
The main ambition for McDonalds is to provide good food to the customers, work with good people, be a good neighbor, and maintain a good neighborhood. As far as the good food is concerned, the goal for McDonalds for 2020 is to serve to the customers 100% more vegetables, whole grams, fruit and low-fat dairy. Another aim of the organization is to reduce the saturated

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