Analysis of Operations and Process Management at McDonald's

operation and process management

OPERATION AND PROCESS MANAGEMENT: 1
Contents
Introduction...........................................................................................................................................2
Analysis of the operations of the selected organisation.........................................................................2
Nature of the transformation process-................................................................................................2
Impact of the ‘4Vs’,...............................................................................................................................3
Volume dimension.............................................................................................................................4
Variety dimension.............................................................................................................................4
Variation dimension..........................................................................................................................4
Visibility dimension..........................................................................................................................5
Performance objectives and current performance..................................................................................5
Speed.................................................................................................................................................5
Cost...................................................................................................................................................5
Quality...............................................................................................................................................6
Dependability....................................................................................................................................7
Flexibility..........................................................................................................................................7
Location and Layout..............................................................................................................................7
Layout Design.......................................................................................................................................7
Supply chain management.....................................................................................................................9
The use of information technology and human resources to support the operations............................10
Identification of the major strengths and weaknesses..........................................................................10
Strengths..........................................................................................................................................10
Weaknesses.....................................................................................................................................11
Conclusion...........................................................................................................................................11
References...........................................................................................................................................13

OPERATION AND PROCESS MANAGEMENT: 2
Introduction
McDonald’s is one of the largest chain of hamburgers in the world that serves more than 60
million customers in 119 countries on daily basis. The company is headquartered in United
States. In UK, it operates more than 1200 restaurants (McDonald’s Corporation, 2017). The
company has a workforce of 67000 people working in both the company owned branch or
franchisees. The objective of this report is to analyse and examine the performance of process
management and operations of the company in order to focus the supply chain. This report
concludes the discussion by focusing strengths and weaknesses of the processing system of
McDonald’s (McDonald’s Corporation, 2017).
Every company relies on external environment of business to grab the opportunity to grow.
Moreover, apart from the opportunity, the external environment brings threats the risk that
creates dynamic situation for the organisation. While considering the natural environment,
global warming is an issue that creates negative impact on economies. Global warming is
severely affecting the supply chain and transportation system of McDonald’s. Indirectly the
quality of the food products of company will be affected because of global warming which
contribute to the damage of seafood and agricultural products (McDonald’s Corporation,
2017).
Analysis of the operations of the selected organisation
The operational management is a process that considers the production and finally deliver the
goods to customers. Operational activity is the core activity of the company especially while
considering the size of the McDonald’s. Managing its regular operations is a challenge.
McDonald’s have its establishment in different regions which has different dishes in the
menu.

OPERATION AND PROCESS MANAGEMENT: 3
Nature of the transformation process-
McDonald’s follows a manufacturing process, which is completely transparent to the
customers. The company follows a transformation process of inputs into outputs. It handles
the input and output servicing which maintains quality services. The specific operation has a
flow input-transformation-output. This system has a set of elements that work for a particular
aim by acting on inputs to produce outputs. This flow adds economic value to the product.
Inputs in the below flow chart are land, labour, capital, and material. The process includes
roasting, wrapping, assembling that helps to obtain the output (Lee, and Vachon, 2016).
(Source: Lumencandela, 2018)
The arrow-based flow chart of transformation is the critical element, which determine the
way organisation produces goods and services that can meet consumer needs.
Impact of the ‘4Vs’,
All the operational processes are similar in the process as they all indulge in transforming
inputs to derive output. The distinguishing point depends on the peculiar process of what is
the variety of outputs. The operational process of McDonald’s is described by analysing the