McDonald’s Value Chain
Analysis
Mission
Statement
“McDonald's brand mission is to "be our customers' favorite place
and way to eat." Our worldwide operations have been aligned around a
global strategy called the Plan to Win centering on the five basics of an
exceptional customer experience – People, Products, Place, Price and Promotion.
We are committed to improving our operations and enhancing our customers'
experience.”
Company
History
The story of
fast food is the story of post-war America. Though created by a handful of
mavericks, the fast food industry has triggered the homogenization of our
society. This speeds Malling our landscape, widened the chasm between rich and
poor, fueling the obesity epidemic, and encourage the giants of American cultural
imperialism abroad. The Mc Donald's Corporation has become a powerful symbol of
American service economy. The Mc Donald's Corporation is the largest owner of
retail property in the world. McDonald's promote their food as 'nutritious',
but the reality is that it is junk food. American popular culture reigns supreme and unchallenged. Nations of the world hates America. Nation in the world love American culture. American culture is a culture of the world. American pop culture is king. McDonald's is a classic symbol of American capitalism
SYMBOL U.S. hegemony
McDonald's is a symbol of the power of the United States that emerged after World War II as a form of soft power in the constellation of International Relations. The emergence of small-scale industries was initially unexpected and unplanned, that McDonald's, better known by McD is a forerunner to the formation of a new force for the United States that make up even a lifestyle change to eating habits of Americans and even the world. In this paper the authors use the research question, the impact of McDonald's Corporation fastfood industry to the countries of the world.
The success of the two brothers Richard and Maurice McDonald is then able to change the world food trade into a political-economic interests of the state, and can act as a shaper of public opinion. And how McD influence the public through the U.S. presidential election to win.
Existence McD's brothers who had many advantages effectiveness and innovation, preferred by many parties, from industry competitors fast food to rich investors all over the country, who want ownership McD.
Hamburger University, McD's corporate headquarters, the only university with a bachelor's degree Hamburgerology printer, designated as managerial training center McD. constructed in such a way, as fancy as possible, just to form an executive McD quality that will open a franchise outside of the U.S., given the ability of team work, motivation of employees, promotion of language with McD, McD and cultural formation which then indirectly, will be embedded in brains customers to always come in and eat whatever McD menu provided anywhere in the world.
Exploitation of human resources on a large scale to all McDonald's employees in the United States. Various injuries to cause of death was not widely known. And materials contained in the food McD, who for years questioned by the U.S. Department of Health and criticism from other international bodies in charge of nutritional foods (FDA) prior to shipping to customers in. McD Corporation only want perfect results in terms of profit.
McDonald's Corporation using their terms, to explain his goal to conquer foreign lands, the "global realization". To date, more than 1,700 restaurants McD spread in more than 120 countries worldwide. Value, taste, and American fast food industry practice has been exported to every corner of the earth, helped to create a homogeneous international cultural sociologist Benjamin R. Barber labeled "Mc World".
In this paper the authors use the research question, the impact of McDonald's Corporation fastfood industry to the countries of the world.
MC DONALD'S HISTORY OF
In 1937, Richard and Maurice McDonald opened a drive-in restaurant in Pasadena, then moved to San Bernardino and opened the McDonald Brothers Burger Bar Drive-In. South Calofornia economy rapidly growing business Drive-In began to mushroom in many places in America. Ketidakpuassan McDonald brothers with his drive-in business, in 1948, they fired all of its employees and closed the restaurant. Three months later, McDonald Brothers reopen with a radical concept, the Quick Service System (Speedee Service System). This method is designed to increase speed, reduce prices, and driving up sales volume. The only sandwich yangt sold only hamburgers and cheeseburgers.
Serving meals using ketas bag, paper cups, and paper Pering. The employees perform one task, and do not require skilled chefs. Without waiters, no waiters, no dishwasher. McDonald start the revolution fast food restaurant business. McDonald made with a simple design that is easy to remember. Golden arch that forms the letter "M" with a neon-lit at night. Change is certainly disconcerting habit of local people, because they are used to being served waitresses. However, the price is cheap and delicious hamburger drive-in beat culture that has been ingrained in American society itself. And since that time, working-class families were able to give their children food restaurant.
McDonald fastfood network is not launched by large corporations that rely on specialized study groups and market research. However, the orphans, salesmen, cooks cookers are optimistic to expand its business. The initial cost for low fastfood restaurant, but its profit margin is high. This causes many fastfood businesses opened in the United States.
In 1954, Ray Kroc, a milk shake mixer salesman visiting rrestoran offer cooperation. Kroc convinced the brothers to sell franchise rights McDonald'd throughout America. Kroc the founder of McDonald's Corporation using the philosophy of "QSC and V" (Quality, Service, Cleanliness, and Value). In his autobiography Grinding It Out, Kroc using Quick Service Sietem popularized by the McDonald brothers and spread to the rest of America.
McDonald's Corporation under the leadership of Ray Kroc and Walt Disney Company that built WaltDisney, reflecting the triumph of corporate America. Proximity Kroc and Disney goes back together into corps in World War I. University Development Disneyland Disneyland reserved for employees, also followed by the construction of the University of hamburger by Ray Kroc, who trained thousands of executives and managers waralabawannya. Giving motivational material, promotions, team performance is taught to get a "degree Hamburgerologi".
"In my company, which gather in Connecticut for training, is another person who has lied about his age to get him seen as an odd duck, because whenever we have the time and go out of town to catch the girls, he stayed in the camp to draw . His name was Walt Disney. "
Although Walt Disney Company develops much more quickly at that time, in the future it could be McDonald was the more influential. McDonald's corporate pengikikut inspired many, and much of the sector and the American perkeonomianmenheluarkan mascot (Ronald McDonald) were able to go beyond Mickey Mouse (Walt Disney Mascot).
Mascot Speedee McDonald at first, little chef is headed hamburger wink. Later named Archie McDonald. In 1960, McDonald's hired a waralabawan weather presenter NBC, William Scott and Scott plays a clown by the name of Ronald McDonald. And Ronald McDonald has become a popular figure until now. McDonald network expansion end of the 1960s associated with the decline of the glory of the Walt Disney Company.
but the reality is that it is junk food. American popular culture reigns supreme and unchallenged. Nations of the world hates America. Nation in the world love American culture. American culture is a culture of the world. American pop culture is king. McDonald's is a classic symbol of American capitalism
SYMBOL U.S. hegemony
McDonald's is a symbol of the power of the United States that emerged after World War II as a form of soft power in the constellation of International Relations. The emergence of small-scale industries was initially unexpected and unplanned, that McDonald's, better known by McD is a forerunner to the formation of a new force for the United States that make up even a lifestyle change to eating habits of Americans and even the world. In this paper the authors use the research question, the impact of McDonald's Corporation fastfood industry to the countries of the world.
The success of the two brothers Richard and Maurice McDonald is then able to change the world food trade into a political-economic interests of the state, and can act as a shaper of public opinion. And how McD influence the public through the U.S. presidential election to win.
Existence McD's brothers who had many advantages effectiveness and innovation, preferred by many parties, from industry competitors fast food to rich investors all over the country, who want ownership McD.
Hamburger University, McD's corporate headquarters, the only university with a bachelor's degree Hamburgerology printer, designated as managerial training center McD. constructed in such a way, as fancy as possible, just to form an executive McD quality that will open a franchise outside of the U.S., given the ability of team work, motivation of employees, promotion of language with McD, McD and cultural formation which then indirectly, will be embedded in brains customers to always come in and eat whatever McD menu provided anywhere in the world.
Exploitation of human resources on a large scale to all McDonald's employees in the United States. Various injuries to cause of death was not widely known. And materials contained in the food McD, who for years questioned by the U.S. Department of Health and criticism from other international bodies in charge of nutritional foods (FDA) prior to shipping to customers in. McD Corporation only want perfect results in terms of profit.
McDonald's Corporation using their terms, to explain his goal to conquer foreign lands, the "global realization". To date, more than 1,700 restaurants McD spread in more than 120 countries worldwide. Value, taste, and American fast food industry practice has been exported to every corner of the earth, helped to create a homogeneous international cultural sociologist Benjamin R. Barber labeled "Mc World".
In this paper the authors use the research question, the impact of McDonald's Corporation fastfood industry to the countries of the world.
MC DONALD'S HISTORY OF
In 1937, Richard and Maurice McDonald opened a drive-in restaurant in Pasadena, then moved to San Bernardino and opened the McDonald Brothers Burger Bar Drive-In. South Calofornia economy rapidly growing business Drive-In began to mushroom in many places in America. Ketidakpuassan McDonald brothers with his drive-in business, in 1948, they fired all of its employees and closed the restaurant. Three months later, McDonald Brothers reopen with a radical concept, the Quick Service System (Speedee Service System). This method is designed to increase speed, reduce prices, and driving up sales volume. The only sandwich yangt sold only hamburgers and cheeseburgers.
Serving meals using ketas bag, paper cups, and paper Pering. The employees perform one task, and do not require skilled chefs. Without waiters, no waiters, no dishwasher. McDonald start the revolution fast food restaurant business. McDonald made with a simple design that is easy to remember. Golden arch that forms the letter "M" with a neon-lit at night. Change is certainly disconcerting habit of local people, because they are used to being served waitresses. However, the price is cheap and delicious hamburger drive-in beat culture that has been ingrained in American society itself. And since that time, working-class families were able to give their children food restaurant.
McDonald fastfood network is not launched by large corporations that rely on specialized study groups and market research. However, the orphans, salesmen, cooks cookers are optimistic to expand its business. The initial cost for low fastfood restaurant, but its profit margin is high. This causes many fastfood businesses opened in the United States.
In 1954, Ray Kroc, a milk shake mixer salesman visiting rrestoran offer cooperation. Kroc convinced the brothers to sell franchise rights McDonald'd throughout America. Kroc the founder of McDonald's Corporation using the philosophy of "QSC and V" (Quality, Service, Cleanliness, and Value). In his autobiography Grinding It Out, Kroc using Quick Service Sietem popularized by the McDonald brothers and spread to the rest of America.
McDonald's Corporation under the leadership of Ray Kroc and Walt Disney Company that built WaltDisney, reflecting the triumph of corporate America. Proximity Kroc and Disney goes back together into corps in World War I. University Development Disneyland Disneyland reserved for employees, also followed by the construction of the University of hamburger by Ray Kroc, who trained thousands of executives and managers waralabawannya. Giving motivational material, promotions, team performance is taught to get a "degree Hamburgerologi".
"In my company, which gather in Connecticut for training, is another person who has lied about his age to get him seen as an odd duck, because whenever we have the time and go out of town to catch the girls, he stayed in the camp to draw . His name was Walt Disney. "
Although Walt Disney Company develops much more quickly at that time, in the future it could be McDonald was the more influential. McDonald's corporate pengikikut inspired many, and much of the sector and the American perkeonomianmenheluarkan mascot (Ronald McDonald) were able to go beyond Mickey Mouse (Walt Disney Mascot).
Mascot Speedee McDonald at first, little chef is headed hamburger wink. Later named Archie McDonald. In 1960, McDonald's hired a waralabawan weather presenter NBC, William Scott and Scott plays a clown by the name of Ronald McDonald. And Ronald McDonald has become a popular figure until now. McDonald network expansion end of the 1960s associated with the decline of the glory of the Walt Disney Company.
Company
Info
• Corporate
Headquarters:
– McDonald’s Corporation 2111 McDonald's Dr
Oak Brook, IL 60523
• Employees:
– Approximately 400,000 McDonald’s employees
globally
– 1.6 million people globally are employed
through McDonald’s restaurants
and their franchises
• Restaurants:
– 32,000 world-wide, 118 countries
2009
Revenue & U.S. Stocks
·
NYSE: MCD
o
Current Price: $64.74
o
Change: $0.26 +
·
(As of 2/16/2010)
·
2009 Revenue (mil.)$22,744.701
·
Year Revenue Growth -3.3%
·
Year Net Income Growth 5.5%
Culture
·
Forging new
opportunities
o
Innovation from
within
o
Empowered “big
thinking”
·
Social
responsibility
o
Community Focus
o
Responsible
Purchasing
o
Protecting Our
Environment
·
Diversity
o
Employee Force
McDonald’s
Production System
Operational
Strategic Performance Dimensions
.COST
Make it cheap:
·
Economies of
scale
o Allows McD’s to pass the value to consumers
McValue Dollar Menu
Party Pack
·
Cost controls
. QUALITY
Make it
consistent:
·
Universal taste
·
Core offerings
globally
Order Qualifier:
Make it good:
·
Taste appeal to
its target market
·
Healthy options
.SPEED
Make it fast:
·
90 second service
goal
Order Qualifier:
Make it dependable:
·
Menu items
available daily
·
Hot & Fresh
Order Qualifier:
New Product Development:
·
Regional menu
items
·
Healthy menu
options
.FLEXIBILITY
Order Qualifier: Product design:
·
S/M/L/Super size
·
Gender based kids meals
·
Happy meals vs. Mighty kids meals
·
Promotional packaging
Order Qualifier: Product Mix:
·
Sandwich varieties
·
Soft serve offerings (milkshakes, ice cream
cones, sundaes)
·
Salads
Order Qualifier: Production Volume:
·
Staffing based on consumer traffic and meal
time
·
24 Hour restaurants and drive-thru
MD’s Value Chain Analysis
Firm Infrastructure
Strengths:
Ø Brand recognition
Ø #1 in retail fast food industry
Ø Leadership
Ø Financial Strength
Ø Company image
Ø Intellectual property
Ø Franchising
Weaknesses:
Ø Lawsuits
Ø Company image
Ø Culture insensitivities
Inbound Logistics
Strengths:
Ø Economies
of scale
·
Pass value to customer (i.e. $1 menu)
Ø Just-in-time
order & delivery
Ø Sustainable
packaging
Ø Renewable
resources
·
Packaging composition (82% renewable
resources)
·
Oil recycling (diesel oil)
Ø Supply
chain control
Ø Quality
control
·
Freight truck inspections
·
Random audits
Weaknesses:
Ø Media
backlash
Operations
Strengths:
Ø On-line
& on-site kiosk job application systems
Ø 2nd
largest employer in the U.S.
Ø Reinforced
information systems
Ø Wireless
headsets
Ø Wi-Fi
offered in all locations
Ø R&D
in target consumer demands and trends
Ø Corporate
guidelines imposed on franchisees
Ø Franchisees
must purchase supplies from McD’s
Weaknesses:
Ø High turn-over (more then 100%)
Ø 90 second drive-thru rule (unsuccessful)
Ø Impersonal drive-thru greeters (telemarketer
like, person is not in store)
Outbound Logistics
Ø Distributor
agreements
Ø Quality
control
·
Freight truck inspections
·
Randomaudits
Ø Refrigerated
trucks
Ø Reinforced
Information Systems
·
Cashier
·
Assembly Line
·
Order fulfillment
Ø Just in time
order and delivery
·
Ensuring freshness
Ø Packaging
quality reinforces freshness
·
Hot/Warm food
Marketing & Sales
Strengths:
Ø Product
·
Health and
wellness campaign & product offerings
·
Consumer and
market research
Ø Price
·
McValue Dollar
Menu
·
Party pack
Ø Promotion
·
Disney and
Nickelodeon license agreements
·
Coca-Cola
endorsement
·
“Feeding the
athletes” Olympic sponsorship
Ø Place
·
New upscale MD’s
·
MD’s goes “green”
·
McCafe
·
Wi-Fi
·
McDonald’s Play
Place
Ø Ronald McDonald
Ø Community outreach
Weakness:
Ø “Supersize Me” movie
Ø Media/PR
Ø Adaptation to global culture and customs
Ø Product failures
Service
Strengths:
Ø Fast food service
Ø Order accuracy
Ø Clean environment
Ø Friendly customer service
Weaknesses:
Ø Lack of customer service
Ø Employee apathy
Ø Dissatisfied customers
Core Competence
Ø McDonald’s strength lies in the operations
and firm infrastructure.
Ø McDonald’s core competency is the production
and delivery speed of affordable food to a large number of customers to support
a low cost, high speed, and consistent quality strategy
Ø McDonald’s strategy is supported by its
strong financial resources, brand image, market leadership, buyer supplier
relations, and product value.
Competitive Advantage
Ø #1 Fast food restaurant in industry
Ø Customers
Ø Value and affordable menu
Ø Convenience
Ø Franchisee base
Fun Facts…
Ø Aprox.. 9 million pounds fries served daily
Ø 380 sesame seeds on a sesame bun
Ø Approx. 82% of consumer packaging is made
from renewable materials
Ø Convert oil into biodiesel fuel
Ø Logo differs between “green” locations and
traditional locations (green background vs. red color)
Ø Beer served in Germany McDonald’s
