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Organisational Behaviour summary - Essay Example

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McDonald’s is undoubtedly the world’s largest fast food chain with a presence in 120 countries, 31 000 outlets and serving 15 million customers daily. Its annual revenue is a whooping $ 41 million per annum, of which 80% is from eight of its major regional markets including…
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described McDonaldization as a process through which society adopts the characteristics of a fast food restaurant, which has four components; calculability, efficiency, predictability and control. However, McDonald’s has diversified beyond these traditional fast food items through the acquisition of restaurants such as Boston Market and Donatos Pizzeria. McDonald’s not only operates stand alone restaurants but also has presence in commercial establishments such as mall, gas stations and airports.

What began as a simple drive through in 1941 has emerged to be the world’s largest fast food chain. There is a trans-generational connotation to McDonald’s as every American seems to have gone through it at one point or through out their lives. But how has McDonald’s managed to be such a global icon of success? McDonald’s is used as a learning tool, even by organizations out of the food and service industry. This implies that their strategy is well above global standards. It puts emphasis on staff training and development programmes, strict and consistent quality and service, continuous innovation and development and a centralized promotion campaign.

The main emphasis of McDonald’s competitive advantage that has ensured that they have remained as a leader is the relentless quest for consistency and innovation. This is compounded by the fact that McDonald’s has put measure in place such as the quality assurance labs globally to ensure that only products of the highest standards are used in the production process. Despite the fact that the staff hired by McDonald’s is mostly untrained and inexperienced, these recruits undergo vigorous training on food preparation and customer care.

While it is a global enterprise, McDonald’s operations are standardized through out. This has advantages such as the standardization of cost efficiencies and the management is able to make comparisons and learn from its various outlets. This also encourages healthy competition

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