McDonald's Customer Relations Strategy

This assignment examines strategies McDonald's can implement to improve customer relations. It suggests focusing on operational efficiency by streamlining processes and reducing unnecessary expenses. The importance of employing qualified staff with strong communication skills and a customer-centric approach is emphasized. Additionally, creating a clean and modern environment enhances the customer experience. By prioritizing customer satisfaction and implementing these strategies, McDonald's can regain its competitive edge in the fast food industry.

Running head: MACDONALDS 1
MacDonald
Name
Course
Institution
Tutor

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Table of contents
Analyze business operation and determine operation standards………………………..3
Business location………………………………………………………………………..3
Product and services…………………………………………………………………….4
Staffing structure………………………………………………………………………..
Develop ideas and concepts to meet customer requirement…………………………...10
Business customer base…………………………………………………………………11
Business operation strategy to meet customer needs and expectations…………………11
Develop and apply strategies to build customer relations………………………………12
References……………………………………………………………………………....13

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MacDonald
Analyze business operation and determine operation standards
MacDonald is one of the renowned fast food restaurant that offers their services to a large
portion of people in New Zealand. The restaurant has over 160 food outlets serving close to one
million people per week. The company operates under fast food chain industry. Its main
headquarters are located at Auckland (McDonald's Company Hierarchy. (n.d.).
At the time of initiating the business there were challenges that faced MacDonald such as
harsh import laws but the company was able to overcome. Ideally, strict import laws were put in
place to discourage importation with the aim of promoting use of products that were locally
manufactured in New Zealand.
Apparently, MacDonald obtains its products locally. Most of the products used like the
chicken, tomatoes, fish, apples, potatoes, eggs, milk, and lattice are produced locally. The quest
to utilize the local resources has contributed to the economy of New Zealand. Farmers in New
Zealand are enjoying ready market for the mentioned products.
Business location
MacDonald is a diversified business with a number of retail outlets. Apparently, it has
more than 160 food outlets in New Zealand. All the outlets are established at major town
hotspots hence able to offer their fast food services alongside their competitors (McDonald's
Company Hierarchy. n.d.). The floor space at MacDonald is large and the outlets are strategically
located. The ceilings is very high and it`s very spacious inside.
The map below shows the location of MacDonald courtesy of Google map;

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Product and services offered
MacDonald management has focused to offer fast foods. Its franchise deal with a variety
of meals and keep on adjusting their menu in order to suit the dynamics of the customer tastes
and preferences. In response to the client quest, the outlet offer Hamburger, dessert, chicken,
French fries, breakfast items, fish, salads, and soft drinks among other modern flavor that the
company keep on improvising. The business secret behind the success of this company is the
quality of foodstuffs they offer clients. The food quality is attributed to use of ingredients like
tomatoes, lattice, canola oil blend, and other food flavor to make first class foods.
Some of the common served meal are highlighted in the list below:
i. Chicken McMuffin- The meal is made from a slice of cheese and mayonnaise that
is enclosed between Muffins.

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ii. Breakfast Bagels- This is an all breakfast meal that has different flavors.
iii. Kiwiburger- This is a flavor of a hamburger that has different quality flavors like
beef, eggs, lettuce, onion, tomatoes, and mustard.
Staffing structure
Organization structure is important to any organization because it breaks down how the
system is run. The structure demonstrates how the various component re coordinated to achieve
the business objective (Child, 2012). However, since MacDonald operate under a market with
emerging issues, they have to adjust to changes as need arise. Therefore, the structure for
MacDonald is designed to adjust to changing business environment.
Macdonald operates under the downward command chain of communication depending
on the position of the employee. Lateral communication among people of the same level is as
well practiced. To understand the hierarchy of this food chain, the following highlights show the
breakdown of the structure.
The top category involves the top executives. The top executives takes the role to of making
critical decisions to the business, making long term and short term goals and objectives, and
ensuring smooth functioning and operation of the business. The top level executives in
MacDonald include:
 CEO
 Chairman of board
 Directors
 CFO
 Chief restaurant officer
 COO

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 Senior marketing manager
 Senior sales manager
The top executives are followed by departmental directors. The Business comprises of four
departments- finance department, marketing department, sales department, and Human resource
department. Each department is entitled to different roles in the verge of helping the business
realize its goals.
The finance department at MacDonald deals with approval of monetary activities. The
department handles money matters right from finance, preparing ledgers and book balancing as
well as maintaining the book of records. It is the most critical department because it is the source
of every activity that takes place at MacDonald. The department gives advisory services to the
executives in terms of right investment and proper means of handling financial resources
(Markides & Williamson, 2016). In MacDonald, each country is entitled to a finance and
accounting manager who deals with financial and accounting issues of a particular country. The
hierarchy is as follows:
 Finance country head
 Finance city/state head
 Finance manager
 Accounts manager

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The marketing department is in control of introducing new market to clients, identifying new
markets, promoting products, and building the business brand (G.W, 2014). It coordinates the
activities of the business by organizing promotion campaigns and reaches marginal areas as well
as keeping its image in the public eye. The same case applies to all each country; each country
has its marketing team to handle advertising in the area. The hierarchy is as follows:
 Marketing country head
 Marketing city/state head
 Marketing manager
 Marketing executives
The sales department deals with all sales related duties and tasks through checking they are
properly handled and run effectively. Each country has its sales department representatives. The
rank of this department is as follows:
 Sales country head
 Sales city head
 Sales executives
 Sales men
Each branch of McDonalds in the world is run by restaurant level executives. The list of
executives working at this level include:
 General Manager
 Restaurant manager
 1st assistant manager

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 2nd assistant manager
 Shift running manager
 Floor manager
 Staff training crew
 Crew members
 Support staff
 Cleaners
 Servers
 Cooks
 Bakers
MacDonald`s Company Hierarchy

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Develop ideas and concepts to meet customer requirement
One of the ways MacDonald can check to meet the customer requirement are as follows:
Roll with the changes in customer taste and preferences. The relevant department should ensure
they deploy an innovative team to work on meeting and coping and adjusting with the dynamics
of taste of the customer. Innovating new products keeps the customer returning to the business.
Also, extensive research is necessary to investigate the emerging issues that are trending
in the fast food industry. Fast food industry is prone to dynamics which can kick you out of the
market is strategic planning committee is not set to deal with such emerging and unexpected
outcomes (Johns & Kivela, 2008). Therefore, MacDonald will be able to forecast on the market
to predetermine the future of particular foods hence either eliminate them on improve them. As
well, it helps to monitor the way activities are done to improve the areas of weakness.
Executives
Marketing department
marketing
country head
marketing
state head
Finance department
Finance
counrty head

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Business customer base
Despite the challenges that face MacDonald, from the analytical point of view, the
company is still struggling to offer products that suit everyone. Initially, the target market of the
company were specifically the middle class people in the region. Apparently, the company is
striving to offer food for everyone including the high class earning people.
MacDonald still concentrates on improving their menu regularly to absorb new customer
(Martin et al. 2012). As a result, the company always focus on retaining their customers by
rolling with the change of customer taste. As usual, the business has remained innovative by
producing foods that more improved like salads and parfaits.
Meanwhile, MacDonald has focused on changing its menu to win back its customers. The
core strategy is by concentrating on fast food. The business analysists and top strategist have
deduced that it’s the business is slicing down prices and focusing on fast food to revive its public
image to especially those areas that the sales had declined.
Business operation strategy to meet customer needs and expectations
The only unique aspect the business in focusing on is improving the quality of the
products and innovating on new diets that attract at the same time retaining their clients.
MacDonald, have tried to maintain their menu by sticking to foods like BLT Bagel. By focusing
on maintaining of fast foods, the business is the leading food outlet at Auckland.
Another strategy is sagging the price of products. In MacDonald, anybody regardless of
the level of income can afford a meal (Dg & Dg, 2011). As such, people prefer enjoying meals
there. In addition, the restaurant gets traffic because of its quick service and efficiency while
dispatching their duty.

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Develop and apply strategies to build customer relations
The better strategy of maintaining customer flow, is by reviewing of the way the
operation of activities is coordinated. For instance, checking and eliminating staff members who
seem an expense to the business. The work output of each employer should directly reflect the
value of the employee has to the business.
Besides, the management ought to check on sanitation and improving the environment
under which operation takes place. Modern facilities should be put in place to ensure the services
delivered are of high class. As such, MacDonald will continue maintaining their competitive gap
in the fast food industry.
Also, the business strives to employee qualified staff with better human skill, good
communication skills, and tolerant to customers. The Business should operate on a policy that
the client is the boss (Can McDonald's regain its customer base? n.d.). As such, clients are
regarded and given first priority in all aspects.

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References
Child, J. (2012). Organizational structure, environment and performance: The role of strategic
choice. Sociology, 6(1), 1-22.
Markides, C. C., & Williamson, P. J. (2016). Corporate diversification and organizational
structure: A resource-based view. Academy of Management journal, 39(2), 340-367.
Martin, R., Muuls, M., de Preux, L. B., & Wagner, U. J. (2012). Anatomy of a paradox:
Management practices, organizational structure and energy efficiency. Journal of
Environmental Economics and Management, 63(2), 208-223.
Can McDonald's regain its customer base? (n.d.). Retrieved from
https://www.marketplace.org/2014/10/21/business/can-mcdonalds-regain-its-
customer-base
Dg, R., & Dg, R. (2011). restaurant washington dc. SciVee. doi:10.4016/28489.01

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G.W. (2014). Book Review: Customer Satisfaction Guaranteed. Cornell Hotel and
Restaurant Administration Quarterly, 30(3), 102-102.
doi:10.1177/001088048903000305
Johns, N., & Kivela, J. (2008). Perceptions of the first time restaurant customer. Food
Service Technology, 1(1), 5-11. doi:10.1046/j.1471-5740.2001.00001.x
McDonald's Company Hierarchy. (n.d.). Retrieved from
http://www.hierarchystructure.com/mcdonalds-company-hierarchy/
W., G. (1996). Recognizing Customer Loyalty. Cornell Hotel and Restaurant Administration
Quarterly, 37(5), 11-11. doi:10.1177/001088049603700510