McDonald’s
•Introduction
McDonald's was started in 1954 by Ray Kroc . The first restaurant was build in Alabama. It started its operation in a small scale business. Perhaps now the business had developed into a wide range brand in the world with more than 32,000 restaurants in 117 countries, and provided jobs opportunity to young and old generations.

Question1 : How has the competitive situation that McDonald’s faces changed since it was founded (in its current form ) in the 1950s?

1 Kroc separated with McDonald’s brothers in order to promote the marketing strategies. 2 They changed service from ‘car hop’ to a self-service drive-in format for efficiency. 3 The menu was changed from a large menu to limited menu. (different varieties) 4 The price was changed for a meal at reasonable prices. 5 They maintain the high quality of cleanliness in their organisation. 6 The organisation spread to different cities. 7 The process of standardisation of identical level of food and services.

Question2 : How have McDonald’s operations activities, in terms of its design, delivery and development influenced its operations performance objectives? The diagram below shows how operations activities works. Operation s strategy Operation Performance

Design

Operation management

Improvement

Planning and control

Design:
1.It prescribed specific cooking instructions such as temperatures, cooking times for menus were to be held less than 10 mines in the transfer bin between being cooked and being served.

2.Design automatic machine, to cook more efficiently and a simple V-shaped aluminium scoop that made the job faster and easier as well as presenting fries in a more attractive alignment with their container.

3.They developed a method of air drying the raw fries , quick frying, and then freezing them.

Strategy:
1.Focusing on four areas- improving the product establishing strong supplier relationships, creating (largely customised) equipment, and developing franchise holders. But it was also their strict control of the menu which provided a platform of stability. Although their competitors offered a relatively wide variety of menu items. McDonald’s limited theirs to ten items. This allowed uniform standards to be established, which in turn encouraged specialisation. 2.It had a research and development laboratory to develop new cooking, freezing .storing and serving methods. 3.Franchisees and operators were trained in the analytical techniques necessary to run a successful McDonald’s. 4.They had an idea for a new menu to accomplished customer’s demands. 5.They build up a strong relationship with suppliers to maintain good quality of their products .

Planning and control
1.The company formed a ‘field service’ unit to appraise and help it’s restaurants by sending field service consultants to review their performance on a number of ‘dimensions’ including cleanliness, queuing food quality and customer service.

2.The company contributes their experience for the benefit of franchise operations in their relationship to concentrate on recruiting, deliver and driving profitability.

3. It concerned with getting good quality from their supplier.

Improvement
The approaches toward McDonald’s improvement day to day activity of their business as made tremendous achievement e.g. 1. Implement its plan to win customer attention. 2.It provide common framework for local and global adoption. 3.It maintain famous standardisation. 4.It provide different variety and combination of food e.g. China, India and UK

Performance
1They take the hamburger business more seriously than anyone else.

2 It build relationship among supplier share around producing and delivering the highest quality beef patties.

3 Rigorous food safety and quality standards and practices are in place and executed at the highest levels everyday.

4 they developed a method of air drying the raw fries, quick frying, and then freezing them.

Question3 : Draw an operations strategy matrix for McDonald’s.
Low Volume High There is low repetition in production volume High variety in demand High Anticipation in changing overtime. Time between production and consumption. High visibility

High

Variety variation

Low

High

Low

High

visibility

Low

Question4 : Search the internet site of Intel , the best known microchip manufacturer, and identify what appear to be its main elements in its operations strategy.
1.Intel as wide network company producing microchips for computer, phone , TV etc. 2.Tremendous achievement made around the world.