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BIT2019 Operations Management

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Over recent years the company’s strategy has been to become ‘better, not just bigger’, focusing on ‘restaurant execution’, with the goal of ‘improving the overall experience for our customers’. In particular, it has, according to some analysts, ‘gone back to basics’, a strategy used by McDonald’s Chief Executive Officer, Steve Eastbrook, when he was head of company’s UK operation, where he redesigned the outlets to make them more modern, introduced coffee and cappuccinos, worked with farmers to raise standards and increased transparency about its supply chain. At the same time, he participated fully and forcefully with the company’s critics in the debate over fast food health concerns. But some analysts believe that ‘burger and fires’ market is in terminal decline, and the McDonald’s brand is so closely associated with that market that further growth will be difficult.

1.Explain how the competition for McDonald’s has changed over the company’s existence and how these changes influenced the company’s operations strategy.

2.What are the most important structural and infrastructural decisions in McDonald’s operations strategy? Explain how they influence the company’s main performance objectives.

Discussion areas:

1.McDonald’s competition and operation

2.Operational strategy

3.Supply chain strategy and Supply chain strategy analytics (if applicable)

4.Planning and control mechanisms

5.Use the slide materials for help and guide in writing

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