Lean Management in McDonalds: Report

Running head: IMPORTANCE OF LEAN MANAGEMENT
IMPORTANCE OF LEAN MANAGEMENT
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IMPORTANCE OF LEAN MANAGEMENT1
Executive summary:
The report throws light on the importance of lean management in an organization. Lean
management applicability and usage is shown in the light of given organization McDonalds.
McDonalds has been one of the leading quick service restaurants practicing lean management.
Lean management is the process used to achieve maximum profit at reduced cost by eliminating
wastes and through proper time management. Any organization practiced this management
approach has strived for improvement. Furthermore, this report provides McDonalds operational
management strategies like Just in Time (JIT) management that includes various process and
techniques. This technique enhances the quality and value of products and services that is
provided to the potential customers at acceptable cost.

IMPORTANCE OF LEAN MANAGEMENT2
Table of Contents
Introduction:....................................................................................................................................3
Process mapping within McDonalds:..............................................................................................4
Implementation of Lean Management:............................................................................................5
Application of Lean Management in McDonalds:........................................................................10
Lean Management practiced within the Organization:..................................................................11
Conclusion:....................................................................................................................................13
References:....................................................................................................................................14

IMPORTANCE OF LEAN MANAGEMENT3
Introduction:
In the current scenario, lean management is used by the organization to not only be
competitive but also make sure that its objectives and goals is achieved at an adequate cost.
McDonald’s is the world’s leading and popular fast food chain company. The core idea of lean
management is maximizing the value of the customers besides reducing wastes (Goetsch and
Davis 2014). It has more than 30,000 local restaurants that serve more than millions of peoples in
117 countries each day (Mcdonalds.com 2018). The main vision of the organization is to provide
its customers the best quick service experience from its restaurant present all over the world.
This means providing its customers with outstanding value and quality services. It operates five
of their offices housing support departments leading from HR to marketing. The marketing
strategy of McDonalds is related with the environment, internal resources and the basic
competencies along with their shareholders. It also aims in serving best food in a more fun and
friendly environment. The main motive is to provide its potential customers with food of high
quality, value and standard. This approch furthermore provides a fair return to their shareholders.
Operation management is the process of efficient production and distribution of process
and services. This also includes development of product and services. This function is generally
managed by the operation managers. McDonalds operation management involve both service
and product management. Through lean management approach the organization is able to
identify its business processes. It seeks in eliminating any waste of money, time and effort by
properly identifying the business process (Distelhorst, Hainmueller and Locke 2016). This
further involves revising or improving the steps that fails to create value. The main customer for