McDonalds’ Operation and Strategy: A Fresh Food Supply Chain (Beef)

THE SUPPLY CHAIN OF MCDONALDS’
OPERATION AND STRATEGY
[A FRESH FOOD SUPPLY
CHAIN (BEEF)]

AGENDA
The agenda of this presentation is to discuss the
different course chapters in the context of
McDonald’s supply chain. A fresh food supply
chain for beef will be the point of focus for the
study.

OPERATION FUNCTION
 McDonald’s is on its journey to facilitate a Fresh
Food Supply Chain
 However, it faces many complexities and
challenges
 Speed of delivery
 Safety of food
 Operational cost
 Supply challenges (All Things Supply Chain,
2020)

OPERATION AND SUPPLY
STRATEGY
 Supply could be a challenge for effectively
managing a Fresh Food Supply Chain
 The only way is to work closely with suppliers to
take few strategies to ensure sufficient supply
 McDonald’s has already done this in the past
with its ‘Smoothie’
 Worked with a group of suppliers to hit the
volume and price to meet the demand (All Things
Supply Chain, 2020)

PRODUCT DESIGN
 McDonald’s, the world’s largest buyer of beef (All
Things Supply Chain, 2020)
 Need to work closely with suppliers to meet its
supply needs
 The blend of beef varieties that suits the cost and
benefit needs of McDonald’s should be managed
 Strategic planning with suppliers over certain
time span could meet the supply needs of
McDonald’s

PROCESS SELECTION
 Apart from its few permanent products like Big
Mac, basic hamburger, cheeseburger and the
Quarter Pounder, McDonald’s adopts ‘Mass
Customization’ to meet the local needs of its
international locations (Panwar & Patra, 2017)