Human Resource Management in McDonald's

Project- Human
Resource Management

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
Overview of organisation............................................................................................................3
Critical appraisal of HR process.................................................................................................4
Relation of Human resource activities with corporate culture and strategy of the organization.
.....................................................................................................................................................6
Human resource challenges faced by the company....................................................................7
CONCLUSION ...............................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Human resource management is referred to as the practice which involves managing the
people in order to achieve the better business performance. It is a function of management which
is concerned with motivating, hiring and maintaining the workforce of the company. It deals with
the issues which are relating to the employees like training, hiring, compensation, hiring,
communication, administration and motivation (Bailey and et. al., 2018). The company chosen
for this report is McDonald's, which is an American company dealing in fast food. It was
founded in the year 1940 and is headquartered in Chicago, USA. This report shall cover
description of the company, critical appraisal of the HR process, relation of HR activities with
corporate culture and strategy and the challenges faced by company in relation to human
resource practices.
MAIN BODY
Overview of organisation
McDonald's is a fast food based company which was founded as the restaurant which
was operated by Maurice McDonald and Richard. The organisation initially began with the
hamburger stand and later turned the business into the franchise. Its product line includes
hamburgers, French fries, chicken, soft drinks, desserts, milk shakes, wraps, pan cake, breakfast
and many other. The company has approximately 210,000 employees who contributes in the
success of the organisation. It is world's largest chain of restaurant in terms of revenue which
serves around 69 million of customers on daily basis in around 100 countries (Boella and Goss-
Turner, 2019). This company follows divisional organisational structure where the business
activities are divided into components which are given their responsibility as per the
organisational requirement. There is a corporate control in relation to the managerial direction
and control. For instance, the directives and mandates of the company is passed from CEO to the
middle managers and the restaurant manager and its personnels in the organisation owned
operations and among the franchise. It has a function based groups in the corporate structure
where the company has people group for the human resource management, supply chain and
sustainability group for the management of supply chain and many other. Each of the group is
under the leadership of the senior manager and corporate executive. This organisational structure
helps and supports the controlling and monitoring of the global operations (Bratton and , 2017).

Critical appraisal of HR process.
The human resource process refers to fundamental strategies which the leader of HR
implement in order to ensure successful workforce cycle and the work experiences. This process
is the way of bringing consistency and also the visibility to the common function of HR
department (Brewster, Mayrhofer and Farndale., 2018). The HR manager of McDonald's follows
different practices of HR which involves the following-
Recruitment and selection-
It is a process which involves attracting the candidates in order to interview them with
company. It involves the process of posting the job advertisement on the websites or newspaper
in order to attract and retain the talented workforce into the company (Chelladurai and Kerwin,
2018). The contribution of each employee is important for the success and growth of the
company so it is important for McDonald's to choose the right candidate at right place. If a
wrong candidate is selected, it impacts the business much more when the company does not hire
at all. Recruitment is regarded as the key strategic activity for business.
Strength: The major benefit of this practice is that it involves strong pool of applicants
who have accurate qualifications so that the company can screen out of it the best employee who
can contribute to business success and growth. McDonald's must initiate recruitment of right
candidate at right place in order to reduce the employee turnover and boost morale of employees
(Zaid, Bon and Jaaron, 2018).
Weakness: The process of recruitment may not be always efficient and this is its greatest
weakness. For instance, traditional means of recruitment like job advertisement on website or
any online portal such as LinkedIn as it is not important that a candidate shall see the post and
choose to apply there. So McDonald's must look at other methods of recruitment in order to
attract talented candidate (Delery and Roumpi, 2017).
Performance appraisals-
It is the process which involves evaluating the performance and productivity of the
employees in order to achieve the pre determined set of aims. It is the best way to let the
employees about how they are performing and also involves getting feedback about how the
company is performing. It is important to have the effective strategy for the performance
appraisal in order to motivate the workforce as it involves increasing the productivity of the
employee, thereby seeking to engage the employees in order to retain the talent (Gigauri, 2020.)