Total Quality Management for McDonald's in Australia

Running head: TOTAL QUALITY MANAGEMENT
Total quality management
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Table of Contents
Introduction......................................................................................................................................2
Discussion........................................................................................................................................2
Question 1: The rationale behind implementation of Total Quality Management......................2
Question 2: Total quality management concepts and tools to be implemented at McDonald’s..5
Question 3: Implementation plan for total quality management.................................................9
Conclusion.....................................................................................................................................11
References......................................................................................................................................12

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Introduction
McDonald’s is one of the most popular and well known fast food chains which was
originally founded in the year 1940 in California, United States. It initially began as a hamburger
stand and later emerged as a full blown fast food chain, with franchises around the world. At
present McDonald’s has over thirty five thousand stores in at least 119 countries around the
world. It also happens to be one of the most beloved fast food brands, providing top quality food
and beverages to customers across the globe. The target market for the brand would be people
between the ages of fifteen and thirty, providing affordable yet delicious food to customers
("McDonald’s Australia", 2018). The purpose of this report is to study the concepts of total
quality management or TQM with respect to McDonald’s in Australia. Total Quality
Management may be defines as an organizational approach to instill and inculcate a working
environment in the company where employees would continuously improve their performance
and work towards the overall betterment of the company.
Discussion
Question 1: The rationale behind implementation of Total Quality Management
Total Quality Management may be defined as a continuous process in business where
constant evaluations of the business operations are executed and any flaws or defects within the
system are highlighted (Goetsch & Davis, 2014). These flaws and defects are then rectified so as
to pave the way for seamless supply chain and operations in the organization. TQM can help in
streamlining operations, enhancing the quality of products manufactured, improve customer
experience and ensuring maximum employee performance. The process of total quality

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management at an organization is all encompassing in nature and takes into consideration the
various parties that would be responsible for determining the quality of the final product that is
delivered to the customer (Gharakhani et al., 2013). It can also be called a structured approach to
the overall management and development of an organization.
McDonald’s, which is one of the top moguls in the fast food industry of Australia, has
faced a number of issues pertaining to quality in the past. For one, it has often been accused of
blatantly ignoring the accepted and compulsory food quality standards in a few countries. As
such, implementation of TQM would prove to be extremely beneficial for the company. The
main rationale behind implementation of TQM is competitive advantage and improvement of
product and service quality. The main purpose of total quality management at an organization is
the continuous improvement of the internal practices (Ebrahim & Sadaghi, 2013). TQM takes
into account the industry standards and the internal priorities which are incorporated into its
strategies (Augusto, Lisboa & Yasin, 2014). It also comprises the attitude, environment and the
culture or attitude of the people working at the organization; apart from that, each aspect of
company operations including finance, marketing, engineering, design and production would
also be taken into account. In other words, TQM is a collective process and is adaptable and
infinitely variable. It would address the various key problems in a business which include
redundancy in processes, unnecessary tasks, duplicate efforts, human errors and so on
(Androniceanu, 2017). Post the implementation of TQM, a company would notice the following
changes:
 Cost reductions – If the principles of TQM are applied to an organization for a prolonged
period of time, it can prove to be immensely cost effective and reduce the overall costs
involved in running an organization. The reductions in cost would include elimination of