Management and Administration of Operations: Identifying Inefficiencies and Recommendations for Customizing Products

This article discusses the inefficiencies in management and administration of operations, specifically in the case of McDonald's billion dollar mistake. It provides recommendations for customizing products, including conducting market analysis, utilizing social media, and empowering employees. The subject is management and administration of operations, and the course code, name, and college/university are not mentioned.

MANAGEMENT AND
ADMINISTRATION OF
OPERATIONS

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Identification of inefficiency and analysation of what should have been on the checklist of the
managers......................................................................................................................................3
Providing recommendations for customizing products...............................................................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
INTRODUCTION
Management is the act of getting the people to do what they desire for accomplishing the
goals of the organization and objectives by using available resources efficiently and effectively.

Administration of the operations can be said as the efficiency of the organization which is said to
concern it with converting materials and labour into goods and services of efficient and possible
maximization of profit. In the case study the failed attempt of McDonald's billion dollar mistake
has been discussed and areas of inefficiency has been discovered. This project will draw upon
the requirements which might be required for avoiding the situation. In this project
recommendations will be provided for reasonable amount of time for the being considered and
customized for the case of being impacted by the operational inefficiency of the business and its
capital cost.
MAIN BODY
Identification of inefficiency and analysation of what should have been on the checklist of the
managers
The Flexible leadership model of McDonald's which failed as their strategy for
innovation and growth. This leadership strategy of this organization was ineffective as it was
faced up against certain inefficiencies which affected the organizational effectiveness
(Olorunsola and Belo, 2018). The ineffectiveness of this organization was majorly caused due to
the lack of inefficiencies shown by this organization in the following aspects of the business. The
performance determinants are known to be interrelated to each other as they are the key
determinant for the innovation strategy. Areas in which this organization lacked efficiency are,
Lack of understanding :
The leaders at McDonald's were not situationally aware of the understanding of the
external factors which were able to impact the effectiveness of the organization and also
ineffective in understanding the strategies which were considered to be very helpful for
succeeding in the management of the company's internal process and resources (John and
Niyogi, 2019). The HR of this organization was unable to identify and understand the shared
values and beliefs of the organizational culture. This organization also failed in emphasizing over
the different factors which influenced the changing situations that requires the utilization of the
different systems for thinking.
Lack of performance :
The organization understood was unable to understand the performance capacity of the
leaders which in no matter the way they wished it to be. The performance of the organization
was also an indication of the past indicator which allowed the future events of the business to be

long in the term of track record of the success for allowing the business to develop the chance of
success.
Lack of communication :
This is a very effective model but there is a very big that is as identified reason which
was the lack of proper communication between the employees and the leaders which resulted in
poor management and failure in the understanding the developing opportunities of business
(Flexible Leadership: Learning to Lead and Manage. 2017).
Disconnect from the market :
The lack of disconnect which the management of McDonald's showed in the given
scenario was the major reason behind the failure (Kim, 2018). Most of the successful leadership
are considered to be consistently engaged with incorporation of the innovation and planning of
different initiatives. For making sure that the strategy of the business is effective it is important
for the management to consider both the internal and external factors which can change the
outcome of the business.
The operational managers at McDonald's should have kept the following determinants
under check,
 Increased Situational Awareness : The effectiveness of the organization policy can
increase in the business only when they are situationally aware of the understanding of
the external factors which can impact the effectiveness of the McDonald's. This was
important because at the time when the organization was focused on the implementation
of Flexible Leadership strategy model which however was important for changing the
leadership in the but failed significantly in the identification of the important issues
which the company's entire food preparation system had in the “Made for You” strategy
which was customization of the food order of the customers. In the end this campaign of
customization of order strategy failed for McDonald's due to the lack of situational
awareness of the business (Bubu, 2018).
 Embrace Systems Thinking : For this business it was important to implement the
thoughts which they have developed as a part of the leadership and other strategies that
require actions for chief execution. If the company had thought the strategy properly by
considering all the different outcomes of the implementation of the strategy they might
have recognized and embraced issues which would have presented themselves.

 Coordination of the leadership Across levels and subunits : The major performance of
the organization is said to depend on not only the decision but also the actions of the
chief executive. It is also very important for the commitment, cooperation and also the
coordination to be present between the employees for being implemented in the
organizational strategy. It is considered to be very difficult for achieving the seamless
coordination across the different parts of the organization. The formal plans and
objectives are said to be very helpful for being effective towards the coordination unless
the managers are said to have the ideals, values and also be able to provide the companies
with strong and shared values which belief the primary mission and the development of
the purpose of the organization (Feranita, Nugraha and Sampir, 2020).
 Lead by example : This strategy of this organization can be said to b e successful when
it will be able lead by example. Leading by example is a leadership strategy in which the
leaders set an example by showing how it is done and therefore developing a strategy
which can be used by their followers for implementation in the organization and also
develop effectiveness in their management. The main responsibility of the management
needs to be the development of an ethical behaviour which can influence the actions
towards the consistent and espoused values of the core ideology.
Providing recommendations for customizing products
There are number of strategies which can be taken into consideration by organization for
achieving ability to offer customized products to its clients. It is essential for McDonald to
concentrate on different factors that are highly supporting for meeting organizational goals &
objectives of customizing products. There should be focus given on implementing effective
leadership practices so that higher capabilities to identify relevant course of actions in turn
meeting overall gaol can be derived.
 It is suggested to McDonald to concentrate on conducting market analysis so that reliable
and relevant information regarding customer requirements and prevailing trends in industry
can be identified (Feranita, Nugraha and Sampir, 2020). Having effectual technique to
communicate with buyers allows firm to get ability to obtain crucial insights that are
essential for considering in decision making process. This helps organization to get review
of requirements on which it need to focus on gaining competitiveness. Having effectual

marketing analysis can aid firm to derive capabilities sto draw proper plan for arranging
tools and material in turn less time product can be served to customer.
 This is suggested to McDonald to conduct campaign on social media platform to grab
attention of targeted audience so that their valuable suggestions can be taken.
Questionnaire, t open ended questions, etc can be asked by customer through executing such
effectual pattern of campaign of connecting with customer by making them aware of made
for you service in turn deeper emphasis can be given. In addition to this, specified
organization can as well get the information regarding their innovative strategy to
accomplish buyers needs in effective manner (Mahmud, Mohammad and Abdullah, 2020).
It can provide assistance in review t customers views and reaction so that level of excitement
to forecast sales can be done. It can be useful in making appropriate plans and strategies in
turn offering customized products and services can become possible. The main reason
behind applying this course of action is to make prior planning so that distinct ability to
attract & retain customer for longer duration to achieve desirable position in industry.
 It is an international organization which has set certain standards regarding its offerings.
To evaluate that customer’s expectation and actual opinion about the offerings can be
assessed by conducting proper feedback mechanism. (Shuaib and Davison, 2018.) It can
contribute in assessing variance between the set standards and actual outcome can be
identified. This is useful in ascertaining level of efforts required to put for customizing
products through eliminating lacking areas. For example- McDonald offers french fries
which are just offer simple without consisting any factor. The innovative strategy through
offering different kinds of flavors by according to customer requirements. For this
experimental process to by offering these services for free for the first time to identify
required extent of operational efficiency & cost. In addition to this, taking review of
customer experience from this is positive or negative in turn better strategic decision for
implementing specific customization is beneficial or not can be recognized. These can
contribute in meeting achieving success through formulating strategic planning to forecast
relevant action and its consequences permit firm to insights for particular customization.
 It is advised to McDonald to utilize and deliver omni channel support to streamline all the
conversations so that engaging with client can become possible. It is useful in connecting
with customers in real time & reduced the average time for responding customer

problems. Customers satisfaction by proving relevant customization that can be useful in
adding value to products. Building credibility & trustworthiness as well become possible
through gaining excellence in all stages of internal processing in turn greater customer
experience can be achieved.
 Studying complaints & compliments is another method that provides effectual insights
about products and service lacking & strong points so that highlighting and eliminating
these features according to suitability of customer can be done effectively (Robinson, Nhat
Hoang and VanderPal, 2017). In addition to this, paying focus on valuing customer can
become possible for McDonald. For example- On official site and social media platform
buyers widely look on the views provided by previous client that has impact on their
purchasing decision. Focusing on this can contribute successfully implementing
customized feature through removing irrelevant aspect creating dissatisfaction.
 Supporting and empowering team of McDonald to motivate them to share their innovation
ideas by building effectual relationship with customer so that their personal views for
conducting improvement in overall procedure can become possible. It motivates team to
optimize resources in higher effective manner in order to get higher level of quality to
match predetermine industrial & international standard. This provides assistance in
delivering goods & services in standard duration, appropriate pricing strategy, etc so that
reliable product to clients can be delivered with appropriate time. This strategy can be
useful in implementing customization feature in products and services in order to match
expectation of clients through maintaining hygiene, respectful , etc working atmosphere
so that attracting customer can become possible. The main reason behind implementing
such strategy is to gain competitiveness and positive team spirit so that executing actions to
cope with changing circumstances can become possible. It can as well help employees to
build different tactics and knowledge that is useful in providing customer experience. This
action can be useful in formulating valuable communication method in respect to incline
conversion rate & satisfaction in turn prompt decision making by understanding
requirement of clients can be easily accomplished by employees.

CONCLUSION
From the above report it can be concluded that management & administration of
operation is essential for gaining success in current competitive environment. These are tow
important aspect that help in identifying, managing an d controlling operational practices so that
objective of business can be accomplished. The current report has comprised checklist of
inefficiency in leadership of specified organization. Crucial checkpoints that are needed to be
taken into consideration have been discussed in present study such as system thinking, etc.
There are various strategies that has been mentioned in present case study that are useful in
providing reasonable amount of customization. It includes conducting market analysis,
feedback mechanism, etc for gaining knowledge to implement effectual customization.

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Online
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