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Organizational behaviour assignment : McDonalds

   

Added on  2021-02-20

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McDonal's announces Organisation Restructuring and Staff LayoffMcDonald's is considering to increase growth by revamping its existing organisational to a newone.McDonald's has undertaken the activities to transform the whole structure of the entity in orderto achieve new objectives viz. To improve the communication between corporate and employeesof the restaurant in order to reduce level of bureaucracy. This is to help the organization inmaintaining healthy relations with stakeholders and have positive impact on the business bymaking it ethical (Bauer & Falcone, 2012). The highlights of the new strategy are: To change the structure from centralised to decentralised by making divisions at locallevel by dividing the jurisdiction. Increase the growth under new organizational structure by making changes in policies,strategies and plans which can be implemented within the entity. To implement new process and channel for communication for bringing clarity in theinformation that can be exchanged between the entity and people working at therestaurant. Reduction of Net annual G&A expenditure by $500million which is not going to affectthe goals of McDonald's. To estimate the costs and other charges as pre-tax which is about $80million to$90million and likely to arise after restructuring. It is considering the severance packagesto employees. It is aiming to engage stakeholders and increase their participation in decision makingthrough effective communication. To incorporate ideas from them to conduct thebusiness of McDonald's. Bringing new structure It is transforming the business through bringing new structure in order to make the activities lesscomplex and easily manageable. Centralised business whereby only some of the regional officesare allotted the work of administration. It is going to be a time consuming process which needsadjustments in internal management as well as externally. The main focus is to explore number of opportunities after the whole modification is done.Under this, current regional structure which handles and make decisions that are applicable toMcDonald's that are present in a particular area. Higher growth 1
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