TABLE OF CONTENTS INTRODUCTION...........................................................................................................................1 Key events...................................................................................................................................1 Key literature to case...................................................................................................................3 Summary of task.........................................................................................................................3 CONCLUSION...............................................................................................................................4 REFERENCES................................................................................................................................5
INTRODUCTION McDonald's is an American fast food retain company that deals in products especially burgers. It was founded in 1940. It is a public company that is spread over 36000 locations all over the world. McDonald's provides a variety of products to customers. It also operates in many countries. So it isimportantfor McDonald'sto maintain food safety and quality. Also, McDonald's is highly involved in many cases related to quality of food. Due to this McDonald's hastodevelopseveralpoliciesandmakesomechangesintheirprocess.Besidesthis, McDonald's operates at very large level, so it has to follow different rules of countries. Moreover, McDonald's has been able to create a positive impact on minds of people. This is done by providing high quality food. That is why McDonald's is taken for this present report. McDonald's is a multi national company that provides a variety of products and services to people. It produces burgers and other food products. Key events Food industry must maintain effective hygiene so that high quality food can be provided to people. For this companies have to check the quality of raw materials that are being used. It is important that standards must be set to measure food quality (Myersand Wiel,2014). It will help in identifying the contaminated food and removing it. Also, it is necessary that a proper cooking environment is maintained. It is the responsibility of companies to provide healthy and nutritious food to people. So it will help in maintaining brand image. Health and safety risk This case describes the incident that occurred in South Korea where an undercooked burger meat was served and number of people was suffering from health problems. But in child was suffered heavily due to this. A mother complained that her daughter suffered permanent kidney failure due to this. McDonald's has been involved many incidents related to poor food quality. This has impacted their image to a great extent. Decision making theory– For this case decision making theory can be applied. It states that by taking proper decisions the risk can be minimised. This theory is applicable in all areas of management.
CSR Another case occurred in 1990 that was related to French fires. McDonald's said that they use vegetable oil for cooking French fires, but later in 1993 a customer claimed that company uses beef oil for cooking food items (Chandel and Ramasamy, 2016). It was against the beliefs and values of many religious groups. The court took legal action against the company. The lawsuit ended in 2002 resulting McDonald's to pay $10 million dollars. This case was related to misinterpretation. Due to this McDonald's suffered a huge loss in their profits. Also, there was a negative impact on its brand image. Business ethics theory –this theory based on social obligation and moral duty that business has towards society. Basically, theory is based on three elements that are as follows :- Changing and emerging social responsibility to various social problems Eternal and intrinsic ethical values stated by Kantian principles such as human rights, social justice, etc. Corporate citizenship Obesity This is a case in which two teenagers are suing McDonald's and two Bronx franchise that they have damaged their obesity. It is because McDonald's didn't provide sufficient information about health risks associated with their meals, so this lead to health problems and issues after eating from McDonald's. The lawyers of McDonald's said that person must know about what ingredients in products such as Hamburgers and fries have. Pica Theory –It states that a person get fat because they are having inappropriate mixture of nutrients in their body. A person will not get fat by eating too much. This theory can be applied in this case. Theories applicable to McDonald's
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It is very important that risk management should be followed and implemented. It is because it will help in taking proper and corrective actions. Also, with this McDonald's will be able to implement risk management effectively. Stakeholdertheory-forthispresentcasestakeholdertheorycanbeapplied.Itstates relationship between organisation and external and internal environment. It also shows that how they are interrelated to each other and what influence it can have on business activities. Due to these scandals, McDonald's stakeholder was highly affected. In this stakeholder includes the customers,suppliersandgovernmentwashighlyaffected.DuetoscandalsMcDonald's customers was highly affected in various countries. A negative image was created in their minds due to poor quality. By using this company will be able to grow. It will also result in reduction in scandals. By enhancing quality of food McDonald's can maintain its brand image. Furthermore, it will help in providing healthy and nutritious food. With this McDonald's can gain trust and confidence of customers. Management can set standards through which quality of food as well as raw materials can be measured (Sjöström, Berg and Waern, 2018). It will help in identifying mistakes in this and correcting them. Along with this, certain measures can be taken to improve the process and methods of cooking food. Key literature to case Reports of several scandals related to food industry (10 outrageous McDonald's scandals 2017) Importance of providing healthy food to people. Culture of Japan and needs of people. McDonald's corporate governance (2015 ) Summary of task The task completed in this are as follows :- Reading of scandals related to food quality in McDonald's Secondary research conducted in McDonald's to identify its internal environment.
Reading the media reports related to other companies Issues that are discovered include Lack of literature review related to McDonald's scandals, so a deep understanding of why scandals occurred is required. More cases and evidence are required to support the scandal. CONCLUSION This report concludes that McDonald's must develop an action plan to improve the quality of food. This will help in providing healthy and nutritious food to people and increasing their satisfaction. With this they will be able to retain them as well.
REFERENCES Books and journals : Chandel, S.S. and Ramasamy, P., 2016. Overview of the initiatives in renewable energy sector under the national action plan on climate change in India.Renewable and Sustainable Energy Reviews,54, pp.866-873. Lindsay,P.and Norrving,B., 2014.WorldStrokeOrganizationglobalstrokeservices guidelines and action plan.International Journal of Stroke,9, pp.4-13. Myers, K. and Wiel, S.V., 2014. Discussion of ‘data science: An action plan for expanding the technical areas of the field of statistics’.Statistical Analysis and Data Mining: The ASA Data Science Journal,7(6), pp.420-422. Sjöström, N., Berg, D. and Waern, M., 2018. F215. Early Signs Action Plan: Experiences Of Relatives.Schizophrenia Bulletin,44(Suppl 1), p.S305. Online McDonald'sfoodsafetyscandal,2015.[Online]Availablethrough: <https://seekingalpha.com/article/2805175-mcdonalds-yet-another-major-food-safety- scandal> McDonald'sburgerscandal,2017.[Online]Availablethrough: <https://www.mirror.co.uk/news/world-news/mcdonalds-burger-scandal-undercooked-meat- 11129494>