Macdonalds Management Of Quality And Services Business Essay

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Since 1955, they've been proud to serve the world some of its favorite food. And along the way, they've managed not just to live history, but create it:  from drive-thru restaurants to Chicken McNuggets to college credits from Hamburger U and much more. It's been quite the journey, and they promise this is just the beginning-they've got our hearts set DCon making more history.

The first McDonald's drive-thru was created in 1975 near an Arizona military base-to serve soldiers who weren't permitted to get out of their cars while wearing fatigues.


Being the world's prominent junk food restaurant, Mcdonald has its high standards of objectives and to maintain sound rapport world wide the management has to have a compact strategy and performance review system to compete and survive as setting sublime standards.



"If you don't know where you're going, then sure as anything you won't get there."

Setting Goals

The major outcome of strategic road-mapping and strategic planning, after gathering all necessary information, is the setting of goals for the organization based on its vision and mission statement.

A goal is a long-range aim for a specific period. It must be specific and realistic. Long-range goals set through strategic planning are translated into activities that will ensure reaching the goal through operational planning.

Setting Objectives

An objective is a specific step, a milestone, which enables you to accomplish a goal. Setting objectives involves a continuous process of research and decision-making. Knowledge of yourself and your unit is a vital starting point in setting objectives.

Strategic planning takes place at the highest levels; other managers are involved with operational planning. The first step in operational planning is defining objectives - the result expected by the end of the budget (or other designated) cycle.

Setting right objectives is critical for effective performance management. Such objectives as higher profits, shareholder value, and customer satisfaction may be admirable, but they don't tell managers what to do. "They fail to specify priorities and focus. Such objectives don't map the journey ahead - the discovery of better value and solutions for the customer."6

The objectives must be:

be focused on a result, not an activity

be consistent

be specific

be measurable

be related to time

be attainable


Quality definition:

Generally: measure of excellence or state of being free from defects, deficiencies, and significant variations. ISO 8402-1986 standard defines quality as "the totality of features and characteristics of a product or service that bears its ability to satisfy stated or implied needs."

Manufacturing: Strict and consistent adherence to measurable and verifiable standards to achieve uniformity of output that satisfies specific customer or user requirements.

Objective: Measurable and verifiable aspect of a thing or phenomenon, expressed in numbers or quantities, such as lightness or heaviness, thickness or thinness, softness or hardness.

Subjective: Attribute, characteristic, or property of a thing or phenomenon that can be observed and interpreted, and may be approximated (quantified) but cannot be measured, such as beauty, feel, flavor, taste.


The basic objectives of quality control are to maintain quality standards in order to ensure customer satisfaction and to reduce the costs associated with the scrapping of defective goods.

Quality control has two different aspects:

Quality of design related to the appropriateness of the product for the customer's purpose. After establishing customer requirements or the customer's insight of quality it is personified in production design and requirement.

Quality of conformance related to the extent to which the goods that are produced conform to the condition laid down. This aspect of quality concerns steadiness of the product.

There is a trade off between the costs associated with the maintenance of quality and the costs resulting from failures. Quality control involves the use of resources in the inspection process. To this has to be added the costs of prevention (special investigation in to failure, personnel training, and maintenance) which have to be balanced against the cost of failure (scrap, reworking, sorting rejects, loss of sales, after-sales service, serving complaints, additional operations).

However, quality control costs can be reduced by the inspection of variables in the production process. These include the raw materials that go in to the production process, work in progress and the machinery used.



one selling or buying goods or services in the same market as another or an organism that lives in competition with another.

In the excellent book [Even More Offensive Marketing], Davidson likens the process of gathering competitive data to a jigsaw puzzle. Each individual piece of data does not have much value. The important skill is to collect as many of the pieces as possible and to assemble them into an overall picture of the competitor. This enables you to identify any missing pieces and to take the necessary steps to collect them.

In his excellent book [Even More Offensive Marketing], Davidson likens the process of gathering competitive data to a jigsaw puzzle. Each individual piece of data does not have much value. The important skill is to collect as many of the pieces as possible and to assemble th em into an overall picture of the competitor. This enables you to identify any missing pieces and to take the necessary steps to collect them.

What businesses need to know about their competitors

The tables below lists the kinds of competitor information that would help businesses complete some good quality competitor analysis.

You can probably think of many more pieces of information about a competitor that would be useful. However, an important challenge in competitor analysis is working out how to obtain competitor information that is reliable, up-to-date and available legally(!).

Overall sales and profits

Sales and profits by market

Sales by main brand

Cost structure

Market shares (revenues and volumes)

Organisation structure

Distribution system

Identity / profile of senior management

Advertising strategy and spending

Customer / consumer profile & attitudes

Customer retention levels

What businesses would really like to know about competitors

Sales and profits by product

Relative costs

Customer satisfaction and service levels

Customer retention levels

Distribution costs

New product strategies

Size and quality of customer databases

Advertising effectiveness

Future investment strategy

Contractual terms with key suppliers

Terms of strategic partnerships



Market trends for any organization like Mcdonalds should be considered as prerequisites to formulate the mission statement and objectives in order to achieve the sublime.


All the measures, strategies and policies are to be formulated to meet the expectations of customers. The priorities should be going beyond their expectations by giving a unique style of presentation.


Once the customer gets his satisfaction, a word of mouth is definitely established in favor of company's good will.


Then a times come when people feel being privileged while being associated with that organization as buyers.ion





To manage the resources so as to achieve sublimity in way that a least amount of sources are utilized to get maximum out of it, is called efficiency.


Machinery, ambience within the organization, time schedules, etc


In any organization like Mcdonalds human resources factor proves to be the imperative to compete and survive as long lasting business with a sound good will.


The topic of motivating employees is extremely important to managers and supervisors. Despite the important of the topic, several myths persist -- especially among new managers and supervisors. Before looking at what management can do to support the motivation of employees, it's important first to clear up these common myths.

1. "I can motivate people"

Not really -- they have to motivate themselves. You can't motivate people anymore than you can empower them. Employees have to motivate and empower themselves. However, you can set up an environment where they best motivate and empower themselves. The key is knowing how to set up the environment for each of your employees.

2. "Money is a good motivator"

Not really. Certain things like money, a nice office and job security can help people from becoming less motivated, but they usually don't help people to become more motivated. A key goal is to understand the motivations of each of your employees.

3. "Fear is a damn good motivator"

Fear is a great motivator -- for a very short time. That's why a lot of yelling from the boss won't seem to "light a spark under employees" for a very long time.

4. "I know what motivates me, so I know what motivates my employees"

Not really. Different people are motivated by different things. I may be greatly motivated by earning time away from my job to spend more time my family. You might be motivated much more by recognition of a job well done. People are not motivated by the same things. Again, a key goal is to understand what motivates each of your employees.

5. "Increased job satisfaction means increased job performance"

Research shows this isn't necessarily true at all. Increased job satisfaction does not necessarily mean increased job performance. If the goals of the organization are not aligned with the goals of employees, then employees aren't effectively working toward the mission of the organization.

6. "I can't comprehend employee motivation -- it's a science"

Nah. Not true. There are some very basic steps you can take that will go a long way toward supporting your employees to motivate themselves toward increased performance in their jobs.






Along with other measures to improve the quality consistently human resource factor is also very important.


Services are directly related to the positive mindset of people working with an organization.