In-depth Analysis of Management Practices at McDonald's Australia

This report offers a detailed analysis of McDonald's Australia's management practices, covering its history, organizational structure, and strategic objectives. It examines the company's purpose, which focuses on customer satisfaction and employee well-being, and how it achieves this through a hierarchical structure managed by a board of directors and key executives. The report explores the four key managerial functions – planning, organizing, leading, and controlling – as applied by managers, highlighting the differences between top-level and assistant managers. It also addresses the importance of sustainability and innovation, the diverse roles of managers (decisional, informational, and interpersonal), and how the company navigates a dynamic business environment to maintain a competitive edge. The analysis includes references to academic sources, providing a comprehensive overview of McDonald's management strategies and their impact.

Running Head: MCDONALD’S 1
Management

Running Head: MCDONALD’S 2
Managing McDonald’s Australia
Question 1
McDonald’s started their operations in the year 1955 in Des Plaines. It started when the man
named Illinois established the first restaurant. In Australia, McDonald’s recognised its first
ever restaurant in the Yagoona Sydney in the year 1971. After the passage of fourteen years,
McDonalds house of charity registered as the official charity in Australia. After that, in the
year 1986, McDonald’s opened its 9000 restaurant by employing around 100 employees.
After this, in the year 1993, it has opened the World first McCafe in Melbourne. From that
date only, McDonald’s is operating around 900 stores in Australia (Driskill, 2018).
Question 2:
the main purpose of McDonalds is to deliver the exception value and satisfaction to the
customers by providing the pleasant and stable working environment for its employees. It
also believes that it is essential to maintain the continuous profitability and innovation by
conducting operations in the ethical manner. In this way, McDonalds has the purpose of
delivering strong values through each level of the organisation.
McDonald’s operates under the rigid stricture where it has the board of directors at the top.
After this, the managing director follows it. The chief executive officer of the company
oversees the CMO, CFO, COO. All these three directs the human resource team actions that
further guide the restaurant and general manager. The organisation structure of restaurant
consists of the general manager who then controls the restaurant manager. After this, floor
manager directs the crew managers as well as staff training crew. It is true that without the
loyal stakeholders and customers, it is not possible for the McDonald’s to achieve their
purpose. This is the reason McDonald’s trust on the stakeholders including partners, suppliers
and the employees for achieving its purpose (Crawford, 2015).
Each one of these groups tend to give the positive feedback as well as encouragement to its
customer service. In addition to this, stakeholders also provide the well-known and
innovative brand name for conducting the day-to-day operation.
Question 3:

Running Head: MCDONALD’S 3
Managers in every organisation are effectively known for undertaking the four functions
named planning organising, leading, organising, as well as controlling. Planning is done to
define the purpose of the organisation, how this purpose will be served and achieved. For
instance: Andrew George play the role of entrepreneur by effective searching the micro
environment in rode to improve the effectiveness and efficiency in meeting its purpose. As
compare to this, assistant manager has to think regarding the skills of its non-managerial
staff. Further, it plans to assign the role that fits best to the person. In this way, Andrew give
emphasis on the bigger picture of the organisation whereas assistant manager given emphasis
on planning as well as directing the task to its members (Margerison, 2017).
After this, the organising function tends to decide the organisational task and identify which
task are required to be completed. Andrew George plays the role of allocating the resources
and control the resources in every store. As compare to this, assistant manager will organise
those resources of the non-managerial staff. Leading means taking charge of the situation,
motivating the members, as well as guiding them with direction. Andrew therefore plays the
significant role of the leader by motivating its team members to become more efficient,
effective as well as innovative. It can be done by providing the incentives such as pay rise or
promotion. As compare to this, assistant manager do not have the enough power to do this.
However, they can motivate the non-managerial employees (Hanson, Hitt, Ireland &
Hoskisson, 2016).
At last, controlling means checking the activities that are done by the employees. after seeing
their performance, their mistakes are identified and corrected in case of any deviation.
Andrew therefore would play the role of disturbance handler by solving the conflict. It also
provides the feedback in order to improve their communication skills. Similarly, assistant
manager also provides the feedback to its non-managerial staff by specifically correcting the
technical skills. In this way, the difference between Andrew Gregory and assistant manager is
that Andrew is the top level manager that tends to control the behaviour and performance of
the managerial employees. In comparison to this, assistant managers tend to control the non-
managerial employees (Grew, 2018).
Question 4:
Andrew George tends to encourage the work practices based on sustainability within the
McDonalds countrywide. Technical skills mean the capability of the person in completing
their task effectively. Andrew has worked part time as the customer service assistant and

Running Head: MCDONALD’S 4
French fry cook. Therefore, he has enough knowledge regarding the portion control in
cooking. It has moved to the position of authority that enables it to maintain the environment
that tends to encourage the sustainability. In this way, Andrew maintains the innovative and
encouraging working environment by ensuring the positive organisational culture. It also
gains the confidence of employees by answering their own questions. It is aiming to maintain
the same thing. Andrew also uses his conceptual skills for creating the customer-focused
environment. There are times, McDonalds also faces the dynamic and complex environment
where customers have several options to choose from. By focusing on the customers need,
Andrew has also created the concept named “create your own taste” in order to gain the
competitive advantage over its competitors. Besides this, it also takes into account positive as
well as negative feedback. In addition to this, Andrew has also decided to invest around $
1billion on remodelling the organisation. It has also examined how the staff members of the
organisation tend to interact with the customers for maintaining the positive relationship. This
will help in knowing the changes required in the nature and attitude of the employees
(Nagarajan, Kee, Thevarajan Kumaran, Letchumanan & Aziz, 2019).
Question 5:
It is true that the job of manager is far from the basic. It comprises of performing the several
managerial roles every day. The role of manager is classified into the three categories named
decisional roles, informational roles and interpersonal roles. Andrew is able to perform each
of its basis exceptionally. It also facilitates the weekly conference with the management team.
It also plays the role of disseminator that comes under the category of information. The role
of disseminator is to ensure the meeting in order to relay the information to employees that is
gathered from the micro as well as macro environment. Andrew also fits perfectly in this role
by ensuring the weekly conference. Entrepreneur role is also fall under the category of
decision. The Andrew George performs it effectively by adding the new products in the menu
of McDonalds. At the time of undertaking the entrepreneur role, manager is also required to
developing the new product, services, as well as programs as per the opportunity gather from
the macro and microenvironment. In spite, Andrew is busy in giving emphasis on the
company’s commitment, he also play the role of leader. It effectively do the research on the
activities including the essential training, guidance and motivation. One of the aspect of
training also tend to maintain the focus of employee on customers. It will also help the
Andrew in focusing on the interpersonal skill training (Crane, Matten & Spence, 2019).

Running Head: MCDONALD’S 5
Question 6:
It is true that the business world is continuously changing that requires the organisation to
acquire more competitive skills. McDonalds also operates in the dynamic and complex
environment by competing with the new entrants as well. Andrew George effectively helps in
overcoming the barriers and creates the competitive advantage over its competitors by
ensuring the innovation in the technological improvement of customer service. Besides this,
other managers should also learn the positive approach of the Andrew George that will help
in maintaining the profitable market share.
There is also big difference between the CEO of profit organisation and the CEO of non-
profit organisation. However, the main emphasis of McDonalds is on earning the profit by
fulfilling the managerial duties. In this way, McDonald’s is said to be the profit organisation.
It is because the CEO of profit organisation tends to give focus on earning the huge profit. all
the CEO of organisation performs the four activities that are planning, organising, leading as
well as controlling. The CEO of non-profit organisation works with the board of directors
that further plans the strategic direction of the organisation. the role of CEO is also to create
the link between them as well as with the employees.

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References
Grew, R. (2018). Food in global history. United Kingdom: Routledge.
Crawford, A. (2015). McDonald's: A Case Study in Glocalization. Journal of Global
Business Issues, 9(1), 11.
Nagarajan, K., Kee, D. M. H., Thevarajan, R., Kumaran, S., Letchumanan, M., & Aziz, A.
(2019). Efforts of McDonald’s Towards Green Environment: Case Study on
McDonald’s. International journal of Tourism and hospitality in Asia Pasific, 2(2).
Hanson, D., Hitt, M. A., Ireland, R. D., & Hoskisson, R. E. (2016). Strategic management:
Competitiveness and globalisation. Cengage AU.
Crane, A., Matten, D., & Spence, L. (Eds.). (2019). Corporate social responsibility: Readings
and cases in a global context. Routledge.
Nankervis, A. R., Baird, M., Coffey, J., & Shields, J. (2016). Human resource management:
strategy and practice. Cengage AU.
Driskill, G. W. (2018). Organizational culture in action: A cultural analysis workbook.
United Kingdom: Routledge.
Margerison, C. J. (2017). Managerial Consulting Skills: A Practical Guide: A Practical
Guide. Routledge.