Approach used by McDonald’s for its capacity management

Managing Business
Operations Assessment
Data analysis case
study

Approach used by McDonald’s for its capacity management
JIT – Just in time management
JIT system can be defined as the system which assist an organization in it's working as
per the time scheduled or before time in order to make their operations more effective and timely
according to their suppliers and customers so that they can be very well satisfied in supplying
and purchasing the products from the company in a more easier way. Moreover, it supports the
firm in controlling of the wastages at the time of manufacturing the products by controlling the
production and wastage of raw materials as well. Thereby, this technique is used by the firm to
enhance their customer servicing strategy and to make their production more cost effective
(Bamana, Lehoux and Cloutier, 2019).
JIT system utilized by McDonald’s has some views such as it has a characteristic of
reduction in stock list in supply chain, this assist the firm in accomplishing the demands of the
consumers on an instantaneous basis because of catering minimal quantities of deliveries in the
food production chain at McDonald’s. It has also adopted the pull system using this approach
which helped in control in production and raw materials. Moreover, it has also backed up in the
engagement of employees in participation in such plan of action and procedures (Knauss, Liebel,
Schneider, Horkoff and Kasauli, 2017).
This approach is used by the McDonald’s to overcome the challenges faced by the
company due to the Covid-19 situation. Challenges they were facing like overall output were
varying because of variety in production methods, customers were demanding variety of end
products, there were less degree of visibility of end products to the customers and the less
volume aspect. But after the adoption of the JIT system, they have overcome such situations like
reducing the waiting time for the customers so that they can give best services to them and
reducing the cost of production for more savings. This has solved the methods of production
problem and varying demand of the customers.
Implementation of the four D's by McDonald’s
Direct
This point is applied by the company to direct the over all strategies that has been
planned and are to be executed in terms of creating the vision and meeting their expectations into
reality because it is important to direct the regulations, norms and policies adopted by the firm
and if they are not being directed then it can be difficult for them to convert their vision into
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