Business Finance - Operations Management OPMT 620: Operations Management - Case Study McDonalds Assignment

CASE STUDY: McDonalds Dr. C. Guckel

Assignment1-OP-Strategy-Winter2024.docx 2024-01-23 - 1 -

Opera&ons Management

OPMT 620 Winter Term 2024

Assignment Paper 1 Topic: Opera4ons Performance, Opera4ons Strategy, Quality McDonald's, founded in 1940 by brothers Richard and Maurice McDonald in San Bernardino, California, played a pivotal role in revoluJonizing the restaurant business and creaJng the fast- food industry as we know it today. McDonald's revoluJonized the restaurant business by introducing efficiency, standardizaJon, and a focus on speed of service. Their model of franchising, markeJng, and menu diversificaJon paved the way for the modern fast-food industry, which has become a significant part of global food culture. The McDonald brothers pioneered a service system which emphasized efficiency and consistency in food preparaJon and service. They streamlined the menu to focus on a few items like hamburgers, cheeseburgers, fries, and milkshakes, making the process faster and more efficient than tradiJonal dine-in restaurants. Further, they introduced a high degree of standardizaJon in its operaJons. Every restaurant used the same cooking methods, ingredients, and equipment, ensuring consistency and quality across the enJre chain. McDonald's introduced the first drive- thru in 1975, providing even greater convenience to customers and seUng a trend that many other fast-food chains would adopt. Over the years, McDonald's expanded its menu to include items like salads, chicken, and breakfast opJons, catering to a broader range of tastes and preferences. McDonald's success and innovaJve business model influenced countless other fast- food chains and restaurants, leading to the spread of the fast-food industry as a dominant force in the global food business. When you walk through town, you see various fast-food restaurant chains or coffee shops with fast-food opJons, such as Burger King, KFC, A&W, Tim Hortons, or Subway. For this assignment, select one of the other fast-food chains and prepare a study comparing your selected chain with McDonald’s. Feel free to choose any chain you like. For the comparison, you

CASE STUDY: McDonalds Dr. C. Guckel

Assignment1-OP-Strategy-Winter2024.docx 2024-01-23 - 2 -

are expected to focus on aspects of both restaurants’ operaJons from an operaJons management perspecJve. Cover the following aspects:

1) Introduce the company of your choice. 2) What similariJes does this company have with McDonald’s, what is unique or sets them

apart from McDonald’s? 3) What is the unique selling proposiJon or compeJJve advantage of your selected

company? How is it presented and maintained? 4) Field invesJgaJon: Visit at least one restaurant of McDonald’s and one of your selected

company. InvesJgate their operaJons and report your observaJons in regards of: a. Layout of the restaurant and how it serves the purpose of the operaJonal goals; b. Customer wait Jmes, number/type of staff, variaJons throughout the day; c. Service performance and observed customer saJsfacJon; d. Stocked items & cleanliness; e. ProducJvity, JIT, and how it is achieved; f. Quality tools, such as Lean or TQM; how are they uJlized? g. Summarize the overall operaJonal processes observed.

5) Analyze if and to what extend the value proposiJon and compeJJve prioriJes were met in reality. Assess the operaJons strategy of McDonald’s and the company of your choice in the compeJJve environment. What challenges do they face, what opportuniJes do you see for their future development of operaJon strategies?

Structure your report according to the content you want to present and opJmize the flow, so that the reader can easily follow your logic and arguments. You should be able to accomplish the task with about 2,500-3,000 words of text, there is no upper or lower limit though. It is expected that you apply the APA formaUng. Reference Grades and Topics (refer to tasks described above):

Topic Incomplete Sa4sfactory Very Good Excep4onal IntroducJon of selected business (1) 6 7.5 9 10 Comparison with McDonald’s (2) 6 7.5 9 10 USP of selected business (3) 6 7.5 9 10 Findings from visits (4) 18 23 27 30 Analysis, conclusions and assessment (5) 6 7.5 9 10 Logic, flow & criJcal thinking 9 11 13.5 15 Format and overall presentaJon 9 11 13.5 15 SUM 60 75 90 100