McDonalds: Analysis of Culture, Leadership, and Recommendations Report

This report provides an analysis of McDonald's organizational culture, identifying key strengths such as its emphasis on employee learning, inclusion, and diversity, while also pointing out weaknesses like declining customer satisfaction due to menu monotony and the inability to compete effectively in the evolving global market. The report delves into the leadership qualities needed to navigate change, emphasizing the need for charismatic leadership to inspire and motivate employees. It recommends improvements to address cultural issues, such as fostering team building, enhancing communication, and rebuilding the company's image through clear policies and effective leadership. The report concludes with the need for McDonalds to enhance its reputation and raise awareness to improve its standing in the fast food industry.

Running head: MANAGEMENT
MANAGEMENT
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1MANAGEMENT
Define the culture of organization
The culture of an organization includes the experiences, expectations and philosophies together
with the values guiding the behavior of the members and expressed in interactions with outer
worlds. The assignment will explain the culture of the company, McDonalds. The culture of this
organization targeted the development of human resource an efficiency. Some of the noted
characteristics that is present within the culture of the organization of McDonalds are the traits of
organizational learning, practice of inclusion and diversity and individual learning (Bereznoy,
2015). The culture of the organization is based over the beliefs, the attitudes and the rules which
has been developed and considered valid. McDonalds encourage person culture, adhocracy and
adaptive culture and furthermore formulates clear and strategic vision.
Identify the areas of strength
McDonalds, the American fast food company has a very pleasant and pretty organizational
culture that they use for attracting skilled employees and customers to their food chain. One of
the major strength of the organization and the organization’s culture is that is encourages
learning and gathering of knowledge. Employee centricity together with the factor of inclusion
and diversity are the major strength of the organization followed by their innovative way for
overcoming issues (Bishop, 2019). The culture of the organization furthermore supports the
positioning goals of the industry; thus contributing to the strength of the organization.
Identify the areas of weakness that need to improve

2MANAGEMENT
Though McDonalds have a very attractive and pleasant organizational culture to work in, there
are lots of areas in which the organization needs to improve since these are the areas where it is
weak. The organization is weak towards portraying their effectiveness of the company for the
target to achieve the level of capabilities of human resource. Among the various range of the
challenges and issues persisting within the company, some includes that the customers had been
falling out of love with the foods and the services of McDonalds for the monotonous menu and
the lack of innovation and spices in the menu (Howse et al., 2018). Secondly, the weakness of
the organization lies on the fact that McDonalds has failed to cope up with the high end
competitive market in the current global food chain market. The brand image of the organization
has furthermore declined for the servings of unhygienic items to the customer targeting as one of
the major weakness of McDonalds (Telang & Deshpande, 2016). The organization needs to
improve its recruitment process by employing skilled and efficient employees and also start new
and innovative techniques for attracting more customers and maintain the customer retention
scheme.
1.Key leadership qualities needed for leading organization through change
Leadership can be illustrated as an essential management function that helps for maximizing
efficiency for the achievement of the goals of organization. It plays a very essential role towards
the success of any organization. According to Karnani, McFerran and Mukhopadhyay (2016),
towards the absence of effective leadership , organizations cannot work effectively. Each and
every member of the organization requires to possess efficient set of skills and attitudes for
development of new and innovative ways to attract customers. The leadership style of the
organization needs to be altered for the improvement of the global operations of company.

3MANAGEMENT
Charismatic leadership style is needed for development of correct decision and inspiring and
motivating the employees of organization. The traits of the leadership that is required includes
creative and innovative approach for taking the accountability of the challenges the company is
facing.
2. Options needed to improve cultural issues
McDonalds needs some of the recommendation for the improvement of their leadership and
cultural issues that is going within the organization. According to the researches and the current
statistical analysis, the team leaders of the organization must have the responsibility of
maintaining stocks, motivating and training team, planning budgets, foster the customer
relationships and drive several of the marketing campaign effectively (McDonald's - Official
Global Corporate Website. 2019). One of the major cultural issue that needs to be improved
within the organization is that each and every member of the organization needs to be motivated
for performing better and enhance the process of the team building. Factors such as enthusiasm,
communication and commitment must be kept in mind for the improvement of the cultural
challenges of McDonalds. The organization should re-build their reputable image in the minds of
the customers by the development and the implementation of clear and strict policies with some
of the charismatic style of leadership. The organization should also start focusing over
organizing controlling, planning and leading effectively for reaching the targets or the goals of
the company. To summarize, McDonalds should take measures to raise awareness and enhance
the reputation of the organization.

4MANAGEMENT
References
Bereznoy, A. (2015). Changing competitive landscape through business model innovation: The
new imperative for corporate market strategy. Journal of the Knowledge Economy, 1-22.
Bishop, V. (2019). The Failure of Lehman Brothers: What went wrong?.
Howse, E., Hankey, C., Allman-Farinelli, M., Bauman, A., & Freeman, B. (2018). ‘Buying Salad
Is a Lot More Expensive than Going to McDonalds’: Young Adults’ Views about What
Influences Their Food Choices. Nutrients, 10(8), 996.
Karnani, A., McFerran, B., & Mukhopadhyay, A. (2016). The obesity crisis as market failure:
An analysis of systemic causes and corrective mechanisms. Journal of the Association
for Consumer Research, 1(3), 445-470.
McDonald's - Official Global Corporate Website. (2019). McDonald's - Official Global
Corporate Website. Retrieved 13 September 2019, from
https://corporate.mcdonalds.com/corpmcd.html
Telang, A., & Deshpande, A. (2016). Keep calm and carry on: A crisis communication study of
Cadbury and McDonalds. Management & Marketing, 11(1), 371-379.