McDonald’s
Culture
An organization has a personality which we call its culture.
And that culture influences the way employees act and
interact with others, for strong organization culture even
though individuals may have different backgrounds or
work at different organizational levels, they tend to
describe the organization’s culture in similar terms.
Also there is another dimension of organization
culture is the interaction between the organization itself &
the external environments surrounding it.
Culture:
is "a learned set of shared explanations about beliefs,
values, norms and social practices, which affect the
behaviors of a relatively large group of people#. Another
definition of culture is a collective programming of the
mind ". Culture is obviously not something that we have
from the birth unchangeable. $any factors influence on it
Macdonald`s was establishing a study for each
market before entering so it was taking
inconsideration new Market environment (Culture,
economy & Policy and concentrated on Culture is
components which are Aesthetics, -values &
Attitudes, Manners & Customs, Social structure,
Religion,
Personal communication, education & physical
environments. In addition, taking in consideration the
0ofstede 1ramework individualism vs Collectivism,
Achievements vs Nurturing, power distance, 2ncertainty
avoidance & long-term orientation. these elements helped
Macdonald`s for making good decisions about mode
of market entry, hiring & managing workforce.
McDonalds aims to be multicultural and respect diversity
have the adaptive midst which study the culture
for every country and present to them the kind of
product and advertising campaign that suitable to
them. 5o ensure this multicultural Macdonald`s is
aimed to be
primarily franchisor
with over 32,000 outlets across the globe, Macdonald`s
is the world’s 1irst largest restaurant chain. Running so
many restaurants across such a geographical spread
entails a great degree of risk, both financial and
operational. 1ranchising allows the company to mitigate
these risks to some degree as it believes that
franchising helps it deliver a great,
locally4relevantcustomer experience, and so it em
ploys a business model that provides balance bet
weenfranchised and company4operated restaurants. 1or
example,
McDonald’s Manfoods Egypt is a100% Egyptian company
with a 100% Egyptian workforce and is owned by
Mr. Mohamed
ismail Mansour, Managing Director. Macdonald’s
Manfoods Egypt was founded in 1994 Macdonald’s
opened its first restaurant in Egypt. 5oday, over 70,000
customers are served under the golden Arches at 100
branches throughout the country. Now it employs
more than 5,000 individuals and indirectly supports
and provides employment opportunities for over
11,000 families.
The types of foods are symbolic
to particular regions, religions and mores. In India, to the0indu
people, the cow is considered to be sacred as part of its religion
therefore Macdonald`s replace cow meat by lamb meat. in is
Islamic countries the pork is forbidden therefore it is excluded
from the menu. $ore and above Macdonald’s alters its regional
menus to conform to local taste in Egypt it introduced
McFalafel
sandwich in breakfast menu while in Saudi it introduced
McArabia
sandwich.
The MacCafe format is an attempt to attract a different
demographic
Closely linked to the reimaging drive is the rollout of the
company’s café style MacCaf e’s concept. realizing the current
trend for so-called gourmet coffee, and the ever-increasing
popularity of coffee culture
ingeneral, Macdonald’s has introduced a range of café
style drinks including mocha, latte, cappuccino, hot chocolate,
smoothies and shakes. in the US, MacCafe is simply the name
given to this particular product line, but things have been taken a
step further in Europe, where MacCafe is generally a separate
area of the restaurant that resembles a cafe rather than a typical
Macdonald’s outlet. in addition to teas, coffees, smoothies and
shakes, European MacCafes also sell dessert sand light snacks.
As of December 2010, the company operated 1300 MacCafe
establishments on the continent. the addition of coffees, teas,
and smoothies and the introduction of the MacCafe format is yet
another example of Macdonald’s ability to identify a consumer
trend and Quickly accommodate it through evolutionary
development of its product offering.
Macdonald`s have a
people oriented culture
People-oriented cultures value fairness, supportiveness, and
respecting individual rights. In these kind of organizations, there
is a greater emphasis on and expectation of treating people with
respect and dignity.5he Macdonald’s empire sits atop
the ‘three-legged stool’
which is first introduced by ray Kroc Macdonald’s success is
built on Quickly serving consumers with tasty, convenient meals
they can enjoy in a comfortable environment. In order to
do this, the business must run efficiently from suppliers right
through to customer facing staff. the company refers to the chain
of suppliers, franchisees and employees as the System’ or, more
colloquially, the ‘three-legged stool.’
Allstages of the chain are efficiently and effectively linked, with
suppliers performing the Macdonald’s daily miracle’ and
providing over 32,000 outlets with a regular supply of safe and
fresh produce, franchisees investing in their restaurants and peop
le to improve the overallcustomer experience, and employees
acting as the friendly, helpful face of the Macdonald’s brand.
McDonald & Employees; McDonalds
target to be committed to their people, so
McDonalds
objective is to provide opportunities and lifelong skills, rewarda
chievements, develop leaders and create a healthy environment
with different backgrounds and experiences in the workplace.
Additionally, Macdonald’s has the strategy to reward the
extra effort of employees with extra benefits and incentives.
there are cash based and non-cash based incentives. They are
given
allowancesfor attendance, medical, annual attendance and leave
fair assistance as cashincentives. There
are
rewards based on the performance, crew of the month or
theyear selections, the branch of the year titles, free food, and ac
cess to giftcertificates as non4cash based incentives.
Working in Macdonald’s also fulfills the social needs of
employees such as the need to get together, interact, socialize,
and meet new people. Also, empowering a person with a Job
even though average worker is unskilled make them feel good
about themselves and satisfy their ego needs with different ways
like employee of the month, certificates from the
Hamburger university and so on.
Hamburger University
has become the company’s global center of excellence for
Macdonald’s operations training and leadership development.
Macdonald’s training mission is to be the best talent developer
of people with the most committed individuals to Quality,
Service, Cleanliness and Value in the world.
First company to develop a global training center
.
Macdonald’s spends $1 Billion on training and development
every year. Macdonald’s Egypt has also embarked on a joint
educational venture with the
Faculty of Hotels and tourism, Helwan university to offer emplo
yment opportunities and internships to students,
in addition to enrolling non-university graduate Macdonald’s
employees in the Hotels and Tourism open
university program to provide them the opportunity
of a university education as well as the necessary knowledge and
skills to help them progress into management careers faster.
needs with different ways like employee of the month,
certificates from the0amburger 2niversity and so on.
McDonald # S
Macdonald’s in different countries use high-Quality brands and
demand standardized raw materials from other well4known
suppliers. They also have local supplies and 98% of their supply
is provided within the operated county so that their resource
dependency is reduced. Inly purchase from Responsible
suppliers who meet their stringent food safety standards, but
who also share their commitment to social responsibility and
sustainability animal welfare, rain forest and antibiotics policies
& supplier social accountability program
McDonald # Customers
they place the customer experience at the core of all they do
their customers are the reason for their existence. they
demonstrate their appreciation
by providing them with high
food and superior service, i
n a clean, welcomingenvironment, at a great value. 5his is guide
d by Ray Kroc Formula for Success" Quality, Service,
Cleanliness & Value. Macdonald’s has also expanded its menu
to improve choice for customers Although a greater availability
of healthy options has
beena key driver of $c%onald’s menu change in recent years, th
e company has alsoconsidered other factors when adding new
items to its selection. Catering for different tastes in different
geographies has been at the forefront of Macdonald’s thinking
for some time. The company now has more local offerings than
ever before. Also the products of Macdonald`s are safely
packaged when it is required for the product, in order the
customer does not have any problems or and negative feedbacks
to Macdonald`s. Macdonald`s ensure to offer
nutritional guide
of the product clearly state what the product contains. 5hrough
“our Open Door Program”,
they invite customers to a tour in their kitchen, so they can
closely know about their products’ Quality. the program gives
customers the opportunity to witness, for themselves,
Macdonald`s adherence to offering high-quality products,
handled as per safety procedures and strict cleanliness from
trained staff, according to the highest standards.
McDonalds are a learning organization
Macdonald’s fortunes began to turn. The customers started to be
health conscious and were looking for fresh menu and a better
tasting food. this lead to decline in sales and Macdonald’s fell
out of touch with customers, strive continually to improve that
aims
toanticipate and respond to changing customer, employee and sy
stem needs throughconstant evolution and innovation. Macdonal
d`s starts a revitalization Strategy called
'Plan to Win*
in 2003. Due to this strategy the company changed its mission
statement from
“The world’s best quick service restaurant”
to a mission statement which focused on customer
“Being our customer’s Favorite place and way to eat"
The 'plan to Win*
strategy focused around five basic concepts for exceptional
customer experience, people, products, place, price, and
Promotion and not just merely working upon quick service
and cheapest food and it became more customercentric and the outcomes were
exceptional. The employees were more focused on Quality and
overall customer experience. Macdonald’s Plan to Win has been
the right move and the company discovered the dedication to
customer satisfaction is the Golden rule for success
of organization. When we think of Macdonald’s, we think of
convenience menu which adds value and continuous addition of
new products as per the geographical and customer requirement
has always made the customer feel new and value addition.
Newly innovated restaurants and ambiance are cozy and
comfortable and the convenient timing’s always want us to
revisit and say
“I’m lovin it”
Macdonald has an aggressive plan to modernize its business, the
company is placing a big bet on mobile, web base platform and
other tech platforms as it works to “build a better Macdonald`s”
Macdonald`s will upgrade 1,000 stores with self-service
ordering kiosks and mobile order technology every Quarter for
the next eight to nine Quarters. there were two ways you can get
served at Macdonald`s, “you walked to the front counter and
line up and take your drink and find a table or you go through
the drive through. Also Lou can pay in different ways first
Macdonald`s do accept cash as a payment method but they do
not take credit cards till Year 2003, The company`s move to
plastic comes in response to customers who don`t want to carry
cash and who want to receive frequent flier miles or other perks
that come with credit-or debit-card purchases. Macdonald`s
Egypt start to accept credit cards in year 2017, also the first selfservice ordering kiosks was introduced at El-Merghany branch
in year 2018.
$c%onald has an
aggressive plan to
modernize its
business, the
company is placing
a big bet onmobile,
web base platform
and other tech
platforms as it
works to Kbuild a
better
$c%onald:s.#.$c%
onald:s will upgrad
e ;,999 stores with
self4service orderi
ng kiosks and mob
ile order technolog
the next eight to
there were two
ways you can
getserved at
$c%onald:s,K
KLou walked to
the front counter
and line up
and take your
drink and finda
table or you go
through the drive
through. Also Lou
can pay in
different ways first
$c%onaldsdo
accept cash as a
payment method
but they do not
take credit cards
till Lear 8997,
5hecompany:s
move to plastic
comes in response
to customers who
don:t want to carry
cash and whowant
flier miles or other
perks that come
with credit4 or
debit4card
purchases.$c%onal
d )gypt start to
accept credit cards
in year 89;?, also
the first
self4service
orderingkiosks was
introduced at
)l4$erghany
branch in year
89;J.
McDonald & Corporate Social Responsibility;
it is noticed that when social responsibility is recognized as part
of a company`s business model, it can attract positive publicity,
help attract and retain top talent, and improve relationships with
customers and their communities.
the benefits can be far and wide, including client retention,
improved sales, and financial success.
They’re extremely proud of their longstanding children’s programs, like
Ronald McDonald House
, that continue to remain very strong and benefit so many.
Created in 1974, Ronald Macdonald House provides a "home
away from home” for families of seriously ill children who are
receiving treatment at nearby hospitals. There are now more
than 245 in 28 countries.
McDonald’s Egypt
was driven by its eagerness in developing the communities
where it operates and subsequently becoming
“the good neighbor”,
Macdonald’s Egypt has set a long-term plan with an emphasis
on educational support in Egypt, starting with Egypt’s biggest
slum- Ezbet-khair Allah. Since 2009, Macdonald’s Egypt has
exerted tremendous efforts in empowering children from Ezbet
Khair Allah by offering better education to children in the
crucial stages of schooling from kindergarten to intermediate
secondary stages. Macdonald’s Egypt has undertaken various
endeavors which have been the source of success in renovating
89 nurseries and ;9 primary schools in Ezbet Khair Allah.
Macdonald’s is committed to business culture on the well4being
issues so many of their customers’ care about. Macdonald’s are
focusing their efforts on menu choice, physical activity, and
consumer information. Macdonald’s culture is focusing giving
back to their community and it is a way to return customers’
loyalty. They take social responsibilities and commitment to
diversity seriously. Also Macdonald always looking for ways to
reduce, reuse and recycle in their restaurants and across their
whole business. 1or example, they use low energy Led light
bulbs, energy saving equipment and waterless urinals, and also
recycle the cardboard boxes used in
more than 89% of their restaurants, and more than 65%
of our packaging is made from renewable resources the is a part
of a campaign called "golden Arches Go Green Macdonald`s
Going Fully”.
Conclusion
An organization’s culture may be one of its strongest assets or its biggest
liability. According to the whole report discussion it could be
summarized that the culture of Macdonald’s is mixed with both features
of strong and weak culture. to be very clear it can be said that
Macdonald`s actually have a people oriented culture.
People-oriented cultures
value fairness, supportiveness, and respecting individual rights. In these
kind of organizations, there is a greater emphasis on and expectation
of treating people with respect and dignity. Macdonald`s should face
its main threat which is
Public perception as a “Junk food” brand
many think that it destroys cultures by
making people addicted to cheap, fatty food and also contributes toward
obesity and heart diseases, which leads to Macdonald`s has been forced
to shut restaurants in areas where the locals are health conscious.
Macdonald`s needs to be more accountable to implement its strategy. If
it is going to offer "healthy alternatives’ for customers, make them
healthy not full of sodium, colors
and preservatives. It should publicly announce a change in menubecome a healthiest fast food supplier on the globe.