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The aim of writing this report is to critically evaluate what is McDonald's approach to quality management from Customer, Franchise and Employees perspectives. Furthermore to explain how they manage service recovery, measure delivery and standards through CSO index and Crew development programme . Also to identify 3 gaps in service quality with recommendations on how they bridge it. The other aim of writing this report is to apply the Juran's theory of service quality to McDonald's.
Definition of Quality:
Feigenbaum has defined Quality as: "The total composite product and service characteristics of marketing, engineering, manufacture and maintenance through which the product and service in use will meet the expectation by the customer. (Oakland .J.S, 2005)
According to Philip B Crosby: "Quality is defined as conformance to requirements, not as goodness or elegance."
(Oakland, J. S.)
Three stake holders of McDonald's
Franchise system is the back bone of McDonald's success. In other words many reasons that McDonalds' has been able to expand so quickly and achieve its reputation brand recognition has been its effective franchising business model allow the company to expand quickly both domestically and internationally. Franchise systems having uniform operation has made the McDonalds restaurant one most standardized in the world. Not only do all McDonalds sick to offer the same products offering, they intend to offer same food experience for all of its customers. No matter what part of the world you are in.
McDonalds franchise network is the world's heading fast food chain with more than 30,000 restaurants serving 52 million people in 119 countries with 1020 restaurants in the U.K of those stores, More than 70% percent of restaurants are franchise.
Franchise have live up the companies expectation and brand standards by providing good quality service, quality food, clean restaurants and happy customers are all very important to McDonald's.
How franchise has to live up with brand standard in the following qualityareas:
Food safety policy
Health and safety Policy.
Hygiene-: McDonalds been king in fast industry it has take special care of food and hygiene. Management has to be very strict on hygiene because it has to serve millions of customers. McDonalds' have highest obligation to our customers to ensure that they are not expose to any risk of infection or illness. It is must to very employees to wash their hands before you commence work, on return from a meal break, after using the toilet, after carrying out cleaning work, after touching face or hair, trash walk, taking delivery or other activities where they may become dirty ( remember you cannot always see dirt).As well as this, hand should be wash should be washed every hour or every half if working in the grill area. glove are available in restaurant for use whilst performing cleaning tasks.
Sickness reporting policy:- All food handlers have a responsibility to our employees and customer not to work if they are suffering from food poisoning, or suffering from the symptom of food poising i.e. vomiting or diarrhoea. If you are suffering from these symptom employees will not be allow to work again until no symptom for 48hr period. Failure to report such conditional is an offence under the food safety regulations and may lead to prosecution as well as being classes as an example of gross misconduct. Hygiene and safety department is available in restaurant.
Food safety policy:- McDonalds' operating procedures are specifically to ensure high quality safe food.
These procedures must be adhered to at all time, in particular:
Food must not used if it is past its use by or best before date.
Food must not be serving if the holding time has expired.
The correct equipment and utensil must always be used for each task.
Food equipment, utensils and preparation area must be kept clean using Clean As You go (CAYG) procedures.
and finally, if something is not right e.g freezer is too warm or piece of equipment is faulty , it should be report the manger immediately. Food should be always look carefully while preparing to serve, if it is not right it should not be serve and should be reported to managers.
Health & Safety Policy
The Franchisee is committed to minimising the risk of damage, ill-health and injury to employees, customer and visitor. This will be achieve by examining our operation and ensuring all necessary system are in place, and resource available , to provide a safe and health work system are in place, we must all work together to identify risky and take action to eliminate them .As with other aspect of our business we shall be seeking to continually improve our performance. This will involve measuring against standard and reviewing progress on regular basis.
Customer expectations and perceptions
McDonalds - I'm loving it.
McDonalds Promises- Whenever you think of fast food, First thing in mind comes is McDonalds'. People expect high standards from McDonalds. Every single product use to make a burger to full meal comes best quality standard. Whenever person order a meal in McDonalds he expect good and quick service with hot food. Food will be hygienic nicely dress and safe to eat. From burger, fries, salad, cold drinks to hot drink every product will be fresh. Employee taking order will always greet u and will be always friendly. Customers enjoy every bit meals in our restaurant. I m loving it will be on very customer mind when ever their think about McDonalds.
Importantly, employees need to know exactly what customers, both internal and external, expect of them. Communication should be as detailed and specific as possible, since employees in each work group want feedback they can act upon to improve performance in each job. General feedback from customers (e.g. they want no faults or no errors) is less useful.
McDonalds has recognised that complaints, enquiries or positive feedback from customers are important pieces of information. When used properly complaints can help us fine-tune our business and meet our customers' requirement. It is these insights that help the Company to keep moving forward.
Barriers to quality for employees:-
High labour turnover.
Training and development.
Labour turn over in McDonalds'
McDonalds' is considered as very high labour turn over company. Main reason behind it is that it has about 70% of staff as part timers employees. Staffs are schedule according to busy time especially on Friday, Saturdays and Sundays. Employer takes full advantage of students who are working part time. Student does have any other chose rather work part time according to schedule. Most of students are not satisfied with job so their move on to another job if there gets one. Visa and end of student course is also big issue behind high labour turn over, because when ever international students finish with his course has to move on to their country.
Working in McDonalds' is high pressure job especially peak time during breakfast and lunch time. It is busiest place to work in fast food industry. we receive all age customers, not only in restaurant but drive thur as well. Employees have focus on delivering great level of QSC&V is the best way to achieve 100% customer satisfaction:- Quality, Service, Cleanness, Value.
High labour turns over leads to work pressure because employers have deal with lots of new staff and on job training. This leads confusion between front and kitchen staff. Front staff doesn't receive food at right time from the kitchen which can leads to bad service. Management has to deal with less staff on floor which increases work pressure per staff. Staff also have work long shifts to fill up gap between staff.
Training and development
Once Crew Members have been recruited, they have to attend a welcome meeting at their chosen restaurant or recruitment centre. This meeting will last an hour and is designed to engage and inform new starters. It involves viewing a DVD which gives important information about the company, and also allows for manager/new starter interaction. The second part of the orientation is a compulsory online Health & Safety and Food Safety test that the new starter completes in their own time. The first shift begins with a tour of the store highlighting key Health & Safety and Food Safety procedures. It is recommended that this should last for the first two hours of the shift.
Staffs recruited have to exam of station where there be working at for example Front, kitchen or back room person. There is also on job training to guide the new staff with floor manager.
TASK 1 (II):
Customer Satisfaction Opportunity Index (CSO) in McDonalds.
What is customer satisfaction opportunity index (CSO) ?
Whenever customers choose McDonalds they expect hot & fresh food served accurately and quickly in clean restaurant by crew/ managers that are friendly and attentive to their needs. Our customers are telling us in loud and clear words that when they visit McDonalds they expect us to deliver on all of the element of Quality, Service and Cleanliness (QSC).
Through analysis from both internal and external data it has been identified that there are five critical QSC drivers of customer satisfaction. There are things customers want to see us deliver on every visit.
Quality- hot, fresh and safe to eat products
Fast/quick- total experience time under 5minutes
Accurate- receive everything ordered including condiments
Friendly- friendly and attentive service with effective communication
Clean- dining area well maintained, clean toilets and employees.
To evaluate how McDonalds restaurant are meeting these critical drivers company had created the CSO index. The CSO is the percentage of visits that miss one or more of the critical drivers of customers' satisfaction. This act as a barometer on how well restaurant is meeting the customers expectations when they visit restaurant. Understanding this gives balance into how rate our own performance on measures that are important to us as a company and how are rated directly from the customer.
CSO is calculated based on the number of mystery shop visits that miss a critical driver question. If one or more critical drivers are missed , the mystery shop visit is only counted once. for example If 100 mystery shop visited are conducted and 40 of them have one or more crictical drivers missed the CSO will be 40%.
The goal is to decrease the number the number of visit that are missing a critical driver. Lower CSO % better performance.
Mystery guest visits mcdoanlds restaurant twice a month to check CSO point. Mystery guest results is not only is good for franchisee to gain advantage over other restaurant to achieve or to expand company by adding other restaurant. Good result can also result in into bonuses for managers.
Key points Mystery guest looks into when visits the restaurant.
Greeting/farewell - He checks if employees or mangers he talk to were polite and friendly or not?
Attentiveness - he checks if employees/ mangers came in contact were attentive to customer or not.
Effective communication- he checks communication with crew member was clear and easily understood.
Service timing- food should be serving in within 5min of the order.
Accurate food and drink- Correct order should be taken. Food and drink should be serve with correct sauces.
Correct condiments- Have employees provide the customers the proper napkins and straws/ stirrers?
Hot & fresh sandwiches- Was mel serve hot and fresh and did it taste good.
hot and salted fries- were the French fries serve hot ,salted and crisp or your potato product hot and crisp and did they taste good?
Clean restaurant interior- was the inside of the restaurant clean?
Crew Development Programme
Initial Training- When crew is recruited he trained on following standards to achieve the first star. Crew has to clear the written test to order to achieve the first star.
Cleanliness & foundation.
hygiene & Food safety
Health & safety
2nd stage .
In quality training crew is trained on following food standards, which can be on job training as well training in class during the quality class. Crew have to clear this stage to clear to achieve 2nd star.
Buns & dressings
toasted Deli sandwiches
Employees have to attend service class ones a month to improve standard of service quality regarding beverage serving, food serving and hospitality in order achieve the 3rd star.
On passing the test crew is award with star which is display the badge, which show performance the crew.
Service quality gap
When promises do not match actual delivery
Day starts very early in McDonalds' Denham. Been drive thur restaurant we start serving breakfast at 7 a.m, We receive lots of car in drive thur early morning as everyone is rushing to offices or work. Customer expect quick service with hot and hygiene food because McDonalds' is famous for its good service. Problem starts when morning shift staff don't turn up on time. Management have to manage with less staff. Ones order is taken in front kitchen staff have to deliver food within 3min which is according to McDonalds' service standard. If front staff are not able to serve order with in 3min, customer are advise to seated and have to the car the park if in drive thur and have wait for there food, It can happen at times that order can be missed out and customer will be waiting for more time which can lead to bad service.
Change over problems-: Denham McDonald serves breakfast from 7am to 10:30 am but change over from breakfast to main menu start at 10:15 just 15min before main menu. Staff have 15min to organise the restaurant for main menu. kitchen staff have to work really quick to arrange the grills, 3 of out 4 grills are close for cleaning process. During the busy time restaurant have management from one grill. So some time it is not possible to provide food which is required. Customers have to suffer due to change over. Customer expects best service from McDonalds' but some time it doesn't happen. McDonald cannot compromise with food safe and hygiene standard.
The difference between customer perception and expectation
McDonalds is well know not only for excellent service in restaurant but also for drive thur. Customer travelling in car don't have to get down park the car have their meal. McDonald have made it possible by drive thur. Now without taken long break one can have meal in car within 3min of order. And McDonalds' have live up to customer expectation by quick service. People do take away food for home. McDonalds do serve fresh and hot food every time but by the time that food reach its destination it become cold. McDonald should provide containers in which food can be stay warm. We do receive complains of food not been warm after some time, we cannot spoil mood of customers so we have to provide fresh food when complained.
One can expect friendly and quick service from McDonalds'. Its is important that employees have good communication within to provide quality service and requirement of customers. Customer are attracted to different kind McDonalds' menu. To be different from its competitor McDonald try different food and make changes every 1.5 month for the promotions, but customers have their choices what there want we have made it within service time.
For example:- Customer orders Big Mc without sauce or cheese we have to make the special order to make our customer happy. McDonalds' understands problems of customer as some customer may problem with some of the ingredients so we have make specially them to make them happy. Communication between front staff and kitchen is necessary to full fill the requirement. Before it was difficult provide especial order at right time in drive thur we had to park the car for especial order. Providing order within service is only if there is good communication between drive thur staff and kitchen in busy times. McDonalds have come up with latest technology by providing micro fone or heads sit. Now kitchen staff have especial device in there ear so there can hear every orders and be ready before time. McDonalds' is bridging gap between communications.
Joseph M. Juran
Joseph M. Juran made many contributions to the field of quality management in his 70+ active working years. His book, the Quality Control Handbook, is a classic reference for quality engineers. He revolutionized the Japanese philosophy on quality management and in no small way worked to help shape their economy into the industrial leader it is today. Dr. Juran was the first to incorporate the human aspect of quality management which is referred to as Total Quality Management.
The process of developing ideas was a gradual one for Dr. Juran. Top management involvement, the Pareto principle, the need for widespread training in quality, the definition of quality as fitness for use, the project-by-project approach to quality improvement--these are the ideas for which Juran is best known, and all emerged gradually.
Similar Dr W Edwards Deming, Joseph Juran is an international applauded quality guru, strongly influencing Japanese manufacturing practises. His belief that "Quality does not happen by accident" gave rise to the quality trilogy:
And the Key steps in implementing company-wide strategic goals are:
Identify customers and their needs - both internal and external - and work to meet those needs
Create measures of quality, establish optimal quality goals and organise to meet them
Create processes capable of meeting quality goals in "real" operating conditions.
In the 1980's Joseph Juran acknowledged that the common approach to total quality management - quality awareness campaigns and slogans - was not efficient as they did not have substance, and there is no short cut to quality. He believes quality must at the top, grating senior managers who believe training is for junior workers.
Quality in McDonalds
Our customers are our business. Without them we would have no reason to open our door. Therefore our goal every minute of every hour is to make our customers feel happy who visited McDonalds. We do this by focusing on:
QUALITY- McDonald's is famous for quality and keep standard high by using the finest ingredients with the help of the biggest asset of the company the employees in preparing and serving the tastiest food by following the procedures which they are taught.
SERVICE - Service is best you think like a customer. A caring and respectful attitude and a sincere smile do as much to bring the customers back as the best food in the food.
CLEANLINESS - Our customers expect and deserve a spotless restaurant. But its not only to make a good impression. A clean restaurant is a safe restaurant. Its very employees job to keep the restaurant clean and hygienic.
VALUE- What is a value? It's the total experience our customer have it our restaurants, from the food service, to the dinning area environment, to the price they pay. Its what we've always been know.
Delivering great level of QSC&V is the best way to achieve 100% customer satisfaction.
ref- (McDonalds Franchisees Employee Handbook)
McDonalds Identify customers and their needs.
McDonald's big amount of regular customers in the market. To build long term business it is important to retain people once they have become customers. McDonald's receives different types of customers.
Parents with kids - Visit McDonald's to give the children a treat.
Children - Want to visit McDonalds as it a fun place eats.
Business customers - Visit McDonald's during the day as service is quick, the food tastes great and can be eaten in the without affecting a busy work schedule.
Teenagers - Are attracted by the saver menu which is affordable and the internet access available in restaurant.
Overall, I would say that a company needs a quality model in order eliminate the defects totally from the organisation. And to find out if the company has any defect either in staff performance, staff productivity, revenue of the organisation, the management needs to carry out different business performance check so that the areas where the improvements are needed can be work it out. In order to improve those areas the organisation has to build up some new plans and policies so that the target can be achieved.