Information System of McDonald's
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Added on 2020-05-28
Information System of McDonald's
Added on 2020-05-28
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Running head: MCDONALDS0Strategic InformationSystem
MCDONALDS1Table of ContentsIntroduction................................................................................................................................2Analysis of McDonald’s Structure, Products, and Services......................................................3McDonald’s Operations and Functionalities..............................................................................4Requirement of Information System Strategy in McDonald's...................................................5Information System Strategy Challenges...................................................................................6Recommendations......................................................................................................................8Conclusion..................................................................................................................................9References................................................................................................................................10
MCDONALDS2IntroductionDue to digitalisation, modern corporations are facing fierce competition, and they implementstrategic policies to gain competitive advantage in order to sustain their future growth. Themanagement of companies uses strategic policies to improve their operations’ efficiency inorder to increase their profitability. The role of strategic information system is growingbetween modern firms, and they use it to improve the efficiency of their business activities.This report will focus on analysing the information system of ‘McDonald’s’ to understand itsinfluence on business operations. Information system enables different departments of anenterprise to share data with each other which assist in improving the decision-makingprocess. Most of the leading firms strategically implement Information System to gain and maintain acompetitive advantage in the industry. McDonald's is an American fast food chain which wasfounded in 1955; the company offers its services worldwide through more than 35 thousandlocations. This report will analyse McDonald’s structure, products, and services to evaluateits operations and functionalities. The report will create an information system strategy forMcDonald's after analysing gaps in its business structure. Further, the challenges which occurduring implementation of information system strategy will be discussed, and variousrecommendations will be provided to address such issues.
MCDONALDS3Analysis of McDonald’s Structure, Products, and ServicesMcDonald's was founded in 1955 as an American fast food chain restaurant; the head officeof the firm is situated in Oak Brook, Illinois, United States. The company operates in ‘fastfood restaurant’ industry, and it offers its services worldwide. McDonald's is known foroffering high-quality food products at reasonable prices; the firm maintains a similar feelthroughout its restaurants worldwide. The enterprise is one of the world’s largest fast-foodrestaurant chains with operations situated in more than 35 thousand location. The corporationgenerated revenue of US$24.622 billion in 2016 financial year. The company has more than375,000 employees spread throughout its restaurants globally; in Australia, the firm hasemployed more than 90 thousand workers, and it is one of the largest employers in thecountry (McDonald's, 2017). The products offer by McDonald's include hamburgers,chicken, soft drinks, desserts, coffee, milkshake, French fries, salads and many others. The corporation provides family friendly services in its restaurants, and it maintainssimilarity throughout its restaurants worldwide. The similarity in restaurants is appreciated bythe customers since it is easier for them to book their orders. The primary competitors of theenterprise include Subway, Burger King, KFC, Starbucks and Yum Brands. McDonald's hasgained a competitive advantage due to its effective supply chain and positive relationshipwith suppliers. The company has successfully franchised its business, and it allows small ormedium businesses to open their own McDonald’s restaurants. According to Hitt, Ireland,and Hoskisson (2014), McDonald's serves around 1 percent of the world’s population eachday which is more than 68 million people. The company fulfils its corporate socialresponsibilities while performing its business functions by maintaining diversity inemployees and uplifting local communities’ development.
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