Andrew: Introduction to Management

Running Head: Andrew
MC DONALD
Introduction to management
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Andrew
Q.1
Ans1. McDonald’s is the world’s leading recognized business franchise and food service
retailer, which is established in 1948 as a fast food restaurant by brothers Richard and
Maurice in San Bernardino, California. It is almost serving approximately in more than 120
nations to 66 million customers around the world. Mr Ray made an agreement with brothers
to open a franchise, which made McDonald a large chain corporation. It is stated that
individual businesspersons and women administer around 80 percent of McDonald’s cafes
and restaurants. After 16 years of the company’s foundation in the USA, the first Australian
McDonald was started in Sydney (Robbins, Bergman & Coulter, 2018).
In addition, it has maintained progressively at a very fast pace having 95000 workers serving
more than 1.8 million customers every day with annual sales of more than $3.5 billion. In
1993, the world’s first McCafe initiated in Melbourne, Victoria, which becomes the second
most popular brand in the world. Then in 2014, Andrew Gregory stepped into the position of
CEO of McDonald’s Australia who quickly established his franchise for the Southern
Region. In 2016, Andrew holds the position of regional manager of the Australian executive
team. He was given the responsibility, which he finds little difficult to manage all the things
required to operate a franchise in an effective manner but he managed in a quite good
manner. He made his franchise-best in the whole world by delivering the best quality to its
clients in order to attract their customers. He develops an effective relationship with the
customers, which ultimately provides an advantage in generating goodwill and profitability
(Thornton et al., 2016).
Q.2
Ans2. The organization is a social unit of people having certain values and goals to achieve
the required objectives. Similarly, McDonald's has its own objectives and its purpose to
satisfy the needs of their individual framework inside a framework that makes sure that
responsibility guidelines are to be achieved and manages quality. McDonald's is fully
dedicated to offering exceptional customer satisfaction, value, and stable working
environment for their employees. They maintain their gratitude towards customers by serving
high admirable service and high-quality cuisine in a clean environment every time. They
believe that it is slightly important to maintain profitability and continuous innovation, value
their customer service, and develop ethical operations. Their main value is to carry day-to-
day improvement in their franchise, which is itself a learning organization that has been
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Andrew
responding to their dynamic systems, customers, community, and employees through
constant development and advancement (Rodrigues, Nikhil, and Jacob, 2016).
McDonald’s Australia works under a rigid mechanistic structure, which is divided, into six
key elements. The first element is work specialization, which can be determined as the work
activities divided among employers for separate job activities. The second element is stated
as departmentalization, which depicts how jobs are assembled together and it has five sorts
i.e. product, geographic, functional, process, and customer. The third element is
responsibility, power, and authority, which determines the role of each employee and ensure
that work is being done properly. The fourth element is the span of control, which depicts
that, the capability of managers to manage in an effective manner. Then, the fifth element is
centralization & decentralization, which shows the majority of the judgment made at the
upper level. The last element is formalization, which depicts that the employees’ behaviour is
guided by specific rules and regulations (O'Neill, Beauvais, and Scholl, 2016).
An organization operates with several purposes where its customers, stakeholders, and
employees play an important role in conducting business operations. The stakeholders are the
people who diversify the business and generate profitability. The customers provide
McDonald’s essential feedback for improvement and acquire their service and the employees
assist in day-to-day management practices (Lee and Lambert, 2017).
Q.3
Ans3. It is stated that after attaining the position of CEO of McDonald’s Australia, Andrew
Gregory was accountable for operations, business planning, public affairs, supply chain, and
marketing. For further advancement of McDonald’s Australia, he has carried authority and
responsibility role to encourage and motivate his employers. Andrew Gregory has undertaken
McDonald’s Australia with the help of a challenging environment with its existing
competitors such as KFC, Pizza Hut, Dominos, Subway, and Red Rooster. It is stated that
two more competitors are later competing for the Australian dollar such as Oporto and
Salsa’s Fresh Mex Grill as well as Guzman and Gomez (Zhang et al., 2018).
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