Continued work PP Due tomorrow at 9am
dveez1
powerpoint_ops_571.ppt
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The supply chain of MacDonald's is
Extensive and complex
Safe, efficient, and quality food
Large number of direct suppliers
Large number of indirect suppliers
The supply chain of McDonald’s is very complex and extensive. McDonald’s make sure that they gain the efficient, safe and quality food at an affordable price. There is large number of direct and indirect suppliers of McDonald’s. Direct suppliers include the companies that make or deliver the final products to the restaurants of the McDonald’s. Indirect suppliers include the farms and organizations that process or grow the ingredients that are delivered to the direct suppliers.
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Gather raw material
In less than 45 minutes hamburger patties are cooked
In 11 seconds buns are toasted
Individual items on each customer order are transmitted immediately to the area where the hamburgers are assembled
The customers is served within 15 seconds
To manufacture the hamburger, the organization first gathers the raw material and makes the patties of hamburger. In McDonald’s cooked patties of hamburger are stored in a special device that up to 30 minutes maintain the moistness of the cooked patties. Latest technology is used for the process. In less than 45 minutes the hamburger patties are cooked. In only 11 minutes the buns are toasted. On each customer order, individual item is instantly transmitted to the area where the hamburgers are assembled with the help of specially designed computer system. The assembly process in which toasting of the buns is also included is designed in such a manner that a customer is catered in 15 seconds. The organization has developed a very quick response process with the help of clever process engineering and up-to-date technology. The product is made to the exact specification of the customers and is delivered fresh and quickly.
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Hybrid system is used by McDonald’s.
McDonald’s uses the hybrid process. Hybrid process combines the features of both make-to-stock and make-to-order. In this process, a generic product at some point of the process is made and stocked. In the final process, these generic products are then finished on the basis of actual orders.
As McDonald’s cook the patties of hamburger and stock it and are assembled after the order is placed so they are using hybrid process.
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Raw material
Cook
WIP
Customer place order
Assemble
Deliver
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The process performance metric that McDonald's should use is
Efficiency
To measure the performance of the process, the organization should use the efficiency. The efficiency would help the organization to find out that whether they are providing the order to the customers timely or not. It would also help the organization to find out that whether the food is produced according to the standards or not.
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Jacobs, F. R. & Chase, R. (2011). Operations and Supply Chain Management (13th ed.) Boston, MA: McGraw-Hill Irwin
Farooq, M., Ali, M. M., Crystal, M., Bilal, S., & Mazhar, M. (2014). McDonald’s supply chain management. Retrieved September 9, 2014 from http://www.slideshare.net/mariakerawala/mc-donalds-scm-report?next_slideshow=1
