Strategic Operations Management Report: Macdwell Rebranding Analysis

This report provides an analysis of Macdwell's rebranding strategy through the lens of operations management. It begins with an overview of Macdwell, its mission, vision, and values post-rebranding, emphasizing the importance of quality and affordability. The report discusses the role of operations management in maximizing efficiency, profitability, and productivity, highlighting its involvement in managing resources like human resources, production, inventory, and transportation. Quotes and examples illustrate key concepts such as profitability management, competitive advantage, and manufacturing edge. The roles and responsibilities of an operations manager are detailed, including cost control, supply chain management, and communication skills. Finally, the report underscores the importance of rebranding for achieving strategic objectives and adapting to market changes, mentioning successful rebranding examples. This document is available on Desklib, a platform offering a variety of study resources for students.

Operations Management
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Contents
Introduction................................................................................................................................3
Overview of Macdwell...............................................................................................................4
Operation management..............................................................................................................5
Quotes and Examples.................................................................................................................6
Roles and responsibilities of Operation Manager......................................................................7
Importance of Rebranding..........................................................................................................8
Macdwell Corporate profile.....................................................................................................10
References................................................................................................................................11
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Introduction
Operations management assist in identifying and understanding the different key aspects
which are associated with the business operations as well as lean management which include
the capacity, quality, supply chain as well as productivity. Operations management play an
important role which requires the proper management of both raw materials along with the
personnel (Heizer, 2016). The main job of manager in the company is to analyse the
inventory, purchasing and supplies. In the business entity, tasks which are done by human
resource includes that needs to be determined, to manage the operation employees and staff
development should be planned. The manager of the company should adopt appropriate
functions which include planning, organising, staffing, directing as well as controlling
(Jacobs, et. al., 2014).
This report is based on the rebranding of the business entity and for that mission and vision
statement needs to rebrand. They have to analyse the activities which are related to the
operation management within the Macdwell so that strategic objectives accomplished.
Macdwell offers the qualitative products and services to the consumers. In this report, a
realistic monetary value which is related to the cost and benefits need to be included. Along
with this, VRIO framework needs to be adopted which is helpful for the company in
rebranding.
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Overview of Macdwell
Macdwell is the largest chain of fast food retailer around the whole world. After rebranding
the name of the company, the mission statement of the business entity is to deliver the fresh
and delicious fast food or coffee to the consumers with the better quality as well as at an
affordable price. The vision statement of Macdwell is to retain the potential consumers by
focusing on the products quality and value which assist in generating more profit. The values
of Macdwell is honesty, transparency, humility, respectfulness, responsibility and fairness.
The main objectives of the company are to establish or build the presence in the market as
local fast food outlets in the fast food industry as well as gain the market share.
Macdwell needs to focus on the appropriate and effective strategy which aid in increasing and
analysing the efficiencies of the business. In the present time, the company is focusing on the
expansion of the business in China by improving the business strategies in the international
market. Macdwell needs to adopt innovative technology which assists in attaining the
competitive advantage in the market. The fast-food retailer chain offers the unique and
healthier options to the consumers which include fresh foods, salads as well as renovating the
presence of its physical locations. The brand is recovering well and according to needs and
wants of consumer, products and services should be delivered as it assists in development on
a continuous basis.
The key speciality of the business is depending on building the corporate image, pleasant
services at a reasonable and affordable cost. The main key aspects which help in attaining the
success to Macdwell is to create a unique as well as an innovative menu which helps in
creating differentiation at the high competition. It is necessary that they have to control the
costs in all the areas as well as need to execute the conservative approach which is a policy
for the business entity in expanding the growth. The company need to sell the merchandise
are of high quality and provide satisfaction to keep the consumers happy. In the fast food
business, two most important values which aid in delivering encouragement includes brand
and image.
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Operation management
Operation Management states the administration of the diversified business practices which
aid in creating the highest level of efficiency within the business entity. Operation
management is concerned with the converting materials along with the labour into the
products effectively and efficiently. It will assist in maximising the profit of the business
entity. A transformation process states the activities which take one or more input such as raw
material, then it should transform and then the value should be added to them and this offers
the outputs for consumers (Mahadevan, 2015).
Transformation process should include the changes in the physical characteristics of material
or consumers. This will assist in creating the changes in the location of material or
consumers. Along with this, it assists in changing the purpose of delivering the products and
services. In Macdwell, operation management is a costly part as well as operations having an
adverse impact on the companies’ ability to attain the success in high competition. It assists
in offering the opportunity so that productivity and profitability should improve (Bendoly, et.
al., 2015).
Management of operations assists in implementing or executing the strategic objectives of the
business entity. Based on the organisation, management of operations in Macdwell includes
human resources need to manage, production, inventory, transportation, purchasing along
with the procurement. Operations management is essential in the business entity as it helps in
increasing the productivity and profitability (Hitt, et. al., 2016).
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Quotes and Examples
The first quote is profitability management refers to the analytic application which includes
the models which are associated with the business processes to accurate in determining the
process, product, profitability as well as customer cost. From this, they can make inform
decisions so that process needs to streamline, reduce cost and offer the growth by increasing
revenue. Senior objectives based on the activity which aid in questioning the existing
processes as well as ask personnel to come up with the new ideas to boost the business as
well as increasing the sales. Operation managers need to attain the best experience which
adopting at the monitoring their revenues along with the expenses (Zurich, 2017). They have
delivered the corporate statements of income, trends based on profitability along with the
budget reports.
Next is a competitive advantage, as it is a condition or situation which puts a business entity
in the favourable as well as superior business position. In the business, employees need to
manage their operations so that they can handle all the factors whether it is internal or
external. Internal driving force includes the operating policies or average attrition rate. This
assist in reflecting the number of staff members leaving due to retirement or deaths. Forced
workforce reductions which include terminations or components related to attrition rate
(Zurich, 2017). External factors that in the operations, managers heed includes the state of the
economy along with the rivalry strategies. Operation management help company in
increasing the position because of a better understanding of its operating environment
according to the changing conditions.
Another one is manufacturing edge and in this, operation management provides the
permission to the manufacturing firm so that they can change the ways by which they are
producing the products and services. This will assist in delivering the maximum satisfaction
to the manufacturer as it assists in preventing a deterioration which aid in maintaining the
affordability which can happen if the business entity is facing the losses and not repay its
existing liabilities. Tools which are related to manufacturing used in the operation
management which are defect tracking programs, management software related to the
warehouse as well as applications based on process re-engineering (Brown, et. al., 2013).
By evaluating the operational activities, management waves in the company should goodbye
to the days of the regulatory bodies fines and on the basis of that regulatory decisions need to
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make. They have to put effective internal controls so that they can make the personnel task
which is performed according to the law (Brown, et. al., 2013).
Roles and responsibilities of Operation Manager
An operation manager assists in charging of directing the daily activities of the business
entity which assist in attaining maximum benefits of employees, administration, customers or
investors. It requires the synchronizing along with the organizing the activities of various
managers along with the departments within Macdwell and on the basis of that, they have to
make schedules, meeting or goals of each department within the company so that they can
work in harmony (Katzenbach and Smith, 2015).
The operational manager needs to do effective communication as well as conflict resolution.
Another responsibility is that manager needs to adopt appropriate skills which are related to
planning and scheduling. In Macdwell, the role of managers is to control the costs as well as
need to utilise the raw material which assists in maintaining the budget of the business entity.
It is necessary that employees of Macdwell need to manage supply chain which assists in
decreasing the cost of production and this will assist in increasing the profit.
Manager of the company needs to forecast the financial statement as well as sales reports
which assist in expanding the growth in Macdwell (Sennewald and Baillie, 2015). It is
helpful in attaining the advantages for the managers to adopt the cost-benefit analysis which
aids in driving the efficiency of the business operations. The operational manager is
responsible for effective communication to attain the objectives to the whole department. It
assists in creating a positive culture as well as improving skills which aid in facilitating
within the employees along with the departments.
If in the company, any type of conflict occurs among employees, then manager of Macdwell
need to share the decision making with the top management so that they can find the
corrective solutions. Macdwell manager should improve their leadership skills along with the
abilities which assist in improving the process along with the designing of the operations of
the business entity. In the Macdwell, the practices should use effective capabilities which
assist in making the effective decisions as well as identify the solutions of problems which
occur in different situations (Katzenbach and Smith, 2015).
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Another duty of a manager is to use appropriate skills along with the knowledge when they
get effective guidance to the staff members. It is a duty manager that they have to establish or
create a positive impact on employees. Manager needs to offer regular motivation along with
the appreciation which aids in developing the staff members of Macdwell so that they can
deliver positive job satisfaction.
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Importance of Rebranding
Rebranding is necessary for the business entity as it helps in attaining the goals and
objectives effectively and efficiently. By the rebranding, variations in the leadership can be
made which aid in identifying the new way to reflect the transition. Rebranding may be done
when it needs the makeover as it is challenging to remain fresh. It has been evolved their
brand identity so that they can keep up with the changes in their respective markets. Without
rebranding, Macdwell cannot attain the success among competitors which assist them in
increasing market share (Franklin, 2015).
At the time of rebranding, acquisition assists in expanding the market share. This requires the
more time which assists in analysing the overlaps in audiences, geography as well as a set of
products. Mergers assist in creating the new brand as well as visual identity in the market. As
consumer behaviour evolves which assist in maintaining the brand. Changes made in
technology, pricing or convenience as it is important to the target audience. Rebranding
assists in repositioning the brand as Macdwell grows, then it assists in changing the brand.
Brand progresses in reaching to the new audiences and in this, so many challenges occur in
introducing the position which aid in connecting with them (Franklin, 2015).
A rebrand requires the variations in the leadership. Rebranding is time-consuming as well as
costly. This will assist in embracing the change and assist in recognising the need. Building a
brand in the market which assists in requiring a commitment to the culture, clients along with
the bottom line.
Example of Successful rebranding
Rebranding is the difficult task. Consumers of the company having an information what the
business entity is offering to them as well as rebranding can capable to increase the risk. The
successful rebranding is Hudson’s Bay Co. as it is an oldest merchandising company in the
world. It started the business when two Canadian fur traders learn the premium furs in the
barely accessible Hudson Bay region from the Cree. This company assist in recognising the
desire for the diverse range of merchandise. The main blunder of branding is that Bay was
slow to respond the new trends along with the ageing stores which are outdated and it is
unappealing. It requires the effective comparison to its American competition. It took the
huge chunk of the bay’s market share.
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The Bay does not have any choice and they have to reinvent itself as in this the store should
allow their massive budget which assists in renovating its ageing stores as well as marketed
as a high-end retailer. In the year 2011, the Bay provides the effective security with the
Canadian franchise rights to the trendy UK retailer.
The Bay rebranded themselves as Hudson’s Bay and revamped their logo to incorporate the
company as an original coat. This will assist in attaining results to the Bay as rebranding by
putting more efforts in their net income.
Example of unsuccessful rebranding
The biggest unsuccessful rebranding is British Petroleum. It requires a lot of changes and
reversed the whole process. In the year 2000, they made a replacement of logo which had
been with their business entity for the more than 70 years as well as it should be replaced
with the current logo design named as Helios which means sun god. The new design of logo
retains the colour palette.
British petroleum used to have a concise logo with the small footprint when they rebranded.
From the footprint of the logo, it has been analysed that original design of shield takes up less
space. After the choice of new logo of British Petroleum, the company faced the problem of
global outrage with the oil spill of Deepwater Horizon (Hardy, 2018).
British Petroleum is the largest business entity in the world and then they probably revert
their original brand identity. With the largest marine spill of oil of all the time is related to the
British Petroleum, this aid in decreasing the fallout from the spill and make some positive
public relations. At the time of rebranding of British petroleum, the estimated cost is “Helios
Logo Design” and it should be rollout was rumoured to be $211,000,000. The top
management of the business entity spends up to $125 million annually which aid in boosting
the level of the brand as well as marketing. This requires a lot of cash into the clean-up
operation of Deepwater horizon (Hardy, 2018).
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Macdwell Corporate profile
Macdwell was established in the year 1971 with the supply of coffee and other fast food
products in Seattle. According to the survey, Macdwell is the leading chain of the fast food as
they are supplying their products in 19000 locations and many countries as well. Macdwell
having so many rivalries in the business entity and it is necessary that they have to spend or
invest more amount which aid in expanding the business.
Macdwell has more than 3600 restaurants in the diversified parts of the world. The strategy of
the business entity is to deliver the effective and qualitative products as well as services
which aid in establishing a brand image in the world at the time of high competition. By
selling the coffee and other fast food products to the consumers, then it will assist in
increasing the revenue. To attain the success in the competitive market, organisation need to
hire the experienced staff which delivers their focus on qualitative production of the products
and services.
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References
 Bendoly, E., van Wezel, W. and Bachrach, D.G. eds., 2015. The handbook of behavioral
operations management: Social and psychological dynamics in production and service
settings. Oxford University Press.
 Brown, S., Bessant, J.R. and Lamming, R., 2013. Strategic operations management.
Routledge.
 Franklin, R., 2015. 5 Reasons Why Rebranding is Necessary. [Online] VAR Insights.
Available at: https://www.varinsights.com/doc/reasons-why-rebranding-is-necessary-0001.
[Accessed on: 19th March 2018].
 Hardy, T., 2018. 10 Rebranding Failures and How Much They Cost. [Online] Canny.
Available at: http://www.canny-creative.com/10-rebranding-failures-how-much-they-cost/.
[Accessed on: 19th March 2018].
 Heizer, J., 2016. Operations Management, 11/e. Pearson Education India.
 Hitt, M.A., Carnes, C.M. and Xu, K., 2016. A current view of resource based theory in
operations management: A response to Bromiley and Rau. Journal of Operations
Management, vol. 41 no. 10, pp.107-109.
 Jacobs, F.R., Chase, R.B. and Lummus, R.R., 2014. Operations and supply chain
management (pp. 533-535). New York, NY: McGraw-Hill/Irwin.
 Katzenbach, J.R. and Smith, D.K., 2015. The wisdom of teams: Creating the high-
performance organization. Harvard Business Review Press.
 Mahadevan, B., 2015. Operations management: Theory and practice. Pearson Education
India.
 Sennewald, C.A. and Baillie, C., 2015. Effective security management. Butterworth-
Heinemann.
 Zurich, L.B., 2017. Service Operations and Management.
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