This report analyzes the current sourcing practices of McDonalds French fries and provides recommendations for a green sourcing process. It discusses the current practices, problems associated with them, and their impact on the environment and consumers. The report concludes with recommendations for sustainable sourcing practices.
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Running head: GREEN SOURCING PROCESS OF MCDONALDS FRENCH FRIES Green sourcing process of McDonalds French fries Name of the student Name of the University Author Note
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1GREEN SOURCING PROCESS OF MCDONALDS FRENCH FRIES Table of Contents Introduction:....................................................................................................................................3 Literature Review:...........................................................................................................................3 Green sourcing and current practices of McDonalds:.....................................................................4 Recommendations:..........................................................................................................................5 Conclusion:......................................................................................................................................6 References........................................................................................................................................7
2GREEN SOURCING PROCESS OF MCDONALDS FRENCH FRIES Executive summary The report aims to analyze the issue of green sourcing practices of French fries of the company, McDonalds. The first part of the essay discusses about the current practices of the McDonalds and problems associated with their practices. The second part of the essay explains the possible problems of the current practices and its effect on the environment, people and the consumers. The final and the last part of the essay provide certain recommendations which the company should adopt for their future prospects.
3GREEN SOURCING PROCESS OF MCDONALDS FRENCH FRIES Introduction: This aim of this paper is to systematically analyze the current sourcing practices of French fries of McDonalds and provide recommendations to the company for the green sourcing process of. The first part of the essay will focus on the literature review and the current practices of the company while the next part will analyze the issue of green sourcing. Afterward, it provides some recommendation to the company which it can adopt to ensure a green sourcing for French fries. McDonald is the largest chain of fast food spread across more than 119 countries and serving almost 68 million customers worldwide(Mcdonalds.com, 2019). It has a range of food items starting from cheeseburger, fried chickens, French fries and soft drinks. Literature Review: According to the opinion of Achillas et al., (2018) the top priority of a corporate business organization is portrayal of the organization as a socially responsible and environmentally sustainable body. In this regard, green supply chain and green sourcing of the products are crucial which provides it a competitive edge in the market. Moreover, greener options are more tangible and long standing. It has corporate benefits too in terms of broadening the business base. This article reviews the green supply management; the strategic tool includes different themes, like production, packaging, sales, logistics and environmental sustainability. However, there are certain challenges of the green sourcing mechanism in its proper implementation.
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4GREEN SOURCING PROCESS OF MCDONALDS FRENCH FRIES Green sourcing and current practices of McDonalds: According to Achillas et al., (2018) one of the top priorities of current business Endeavouris to procure a green supply chain management which is inbound and outbound logistics, production, packaging under the “green banner”. While French fries are the most sold fast-food of the worlds, the company has certain shortcoming in terms its sourcing method. The major ingredients of French fries are potatoes, canola oil, safflower oil, natural flavor, soybean oil, citric acid, vegetable oil to name a few. The potatoes that are procured by McDonalds are of the Russet Burbank potato species, which are produced by the farmers in the United States in large number, are susceptible to bacteria and fungi. This leaves no chance to the farmers but to use pesticides in large quantity. This leads to a situation called the pesticide drift which is the residue of the pesticides from the land being carried away from the land and the rural communities living near to the potato fields becomes victim of the situation(Forbes.com, 2019). Data shows that due to the pesticides drift, the blown away parts containing carcinogen disrupt the nervous system of the consumers and it is even more among the children. As estimated , almost 98% of the potatoes are grow with heavy usage of pesticides(Forbes.com, 2019) This practice is harmful in many ways and not just for the farmers but even f for the ecology and economy. This sourcing practice creates health hazards for the consumers, it creates huge financial burden on the farmers for their expenditure on pesticides and finally it is not environmentally viable. Send ingredient which is safflower oil heated at a very high temperature which might cause inflammation in the human body(Forbes.com, 2019). The tasty touch which is given to French fries contains the monosodium glutamate which causes the damages the
5GREEN SOURCING PROCESS OF MCDONALDS FRENCH FRIES nervous system of the consumers especially those who are the regular consumers of fast-food. Lastly, the hydrogenated soybean oil that is used in preparing the French fries can cause long time damage to the DNA and even cancer for excessive consumption(Forbes.com, 2019). The company faced much criticism due to the unsustainable ingredients used in the making of the French fries and just because it uses locally grown potatoes, it does not mean that the other ingredients safe and healthy. Compared to this company, there are other fast-food companies like the Burgerville which uses locally made sustainable ingredients for their customers. It also uses TBHQ which is an ingredient like a preservative; this causes increased asthma, hormone disruption, skin races in the longer run. Recommendations: There is a need to develop green sourcing process for the company so that it gets a competitive edge in the market. Firstly, the company should opt for a sustained method of procurement of the supplies like potatoes and different oils and preservatives. It should ensure that the farmers are given investment in their businesses and the burden of finances for buying the pesticides do not directly fall on them. Secondly, the company should adopt a different variety of potato which does not get rotten easily so that the excessive use of the pesticides can be reduces to some extent. More than 90 % of the procurement of the potatoes has to be from the local farmers and complete organic. Its slogan should be “fresh, organic and local”. It should opt for an integrated pest management for the potatoes it procures. It should develop a habit of reducing the pesticide use to have a massive impact in the market. It should stop its use of the preservative to reduce the health hazards.
6GREEN SOURCING PROCESS OF MCDONALDS FRENCH FRIES Thirdly, it should reduce the excessive use of monosodium glutamate that can damage the nerve in a longer run of the consumers. It should opt some replacement for making the French fries tasty and crispy. For example, it can opt a greener option of sea salt which not only makes French fries smoky and exotic; it is a greener option which does not have health hazards. The company should also focus more in the supply chain management for the French fries. For example, it can procure greener ways of packaging. It should adopt eco-friendly packaging that will reduce the excessive use of paper as container bags. The company has to ensure that the procurement policy is based on its values of protecting the environment and health of the people and go beyond the profit making motive. Conclusion: Green sourcing is important in reducing the long-term cost of the company, sustainable and eco-friendly practices, risk management and efficient consumer friendly products. This helps to give the company a competitive edge in the market, enhances their brand image and trust among the consumers. It also helps to reduce the environment footprint by reducing the environmentalhazards.Hence,itisimportantfor companieslikeMcDonaldstohavea sustainable green souring and procurement policy in order to sustain longer in the market.
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7GREEN SOURCING PROCESS OF MCDONALDS FRENCH FRIES References Achillas, C., Bochtis, D., Aidonis, D., & Folinas, D. (2018). Green Supply Chain Management. Forbes.com (2019).The Unfortunate Health Risks Of French Fries. [online] Forbes.com. Availableat:https://www.forbes.com/sites/alicegwalton/2017/06/14/the-unfortunate-health- risks-of-french-fries/#79a00e2e1bdf [Accessed 4 Jan. 2019]. Mcdonalds.com(2019).OurHistory:RayKroc&TheMcDonald'sBrothers| McDonald's.[online]Mcdonalds.com.Availableat: https://www.mcdonalds.com/us/en-us/about-us/our-history.html [Accessed 4 Jan. 2019].