McDonald's: A Report on Speed, Technology, and Operational Performance

This report provides an in-depth analysis of McDonald's operations, focusing on the critical role of speed as a performance objective. It defines key concepts such as throughput rate, productivity, and efficiency, explaining how increased speed can improve all three. The report examines the impact of new technology on McDonald's performance, particularly in enhancing quality and dependability. It highlights how technology aids in improving quality of food products, streamlining order processes, and improving consumer satisfaction, ultimately contributing to increased profitability. The report also explores the implications of digital technology and its benefits for the fast-food chain. The report concludes that speed and technology are vital factors that contribute to McDonald's success and operational efficiency. The analysis utilizes various sources, including academic journals and books, to support its findings.

HOM SHORT REPORT ON
MAC DONALD

Table of Contents
INTRODUCTION...........................................................................................................................2
TASK...............................................................................................................................................2
Speed is important performance objective for restaurants like McDonald’s...............................2
Concepts of throughout rate, productivity and efficiency............................................................3
Impact of new technology on two of other four performance objectives....................................4
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
The current report is based on McDonald’s, is an American fast food organization
founded by Richard & Maurice McDonald in California, San Bernardino and United States. This
study explains, why speed is such a significant performance objective for firm and also define
throughput rate, productivity and efficiency concepts. Furthermore, it justified that increases
speed can improve all three component and also clarified impact of new technology on two
performance objectives.
TASK
Speed is important performance objective for restaurants like McDonald’s
The main objective of restaurant is to serve affordable and quality foods for consumers
and to server fast services, which is really very essential for business. Speed play vital role in
McDonald’s as it help to serve better services and deliver food items on time. It gains the
attention of customers and satisfies them that are quite beneficial for restaurant in term of
increasing consumer base, profit margin and productivity level rather than before. Consistently
servicing and delivering people orders quickly, speedily and accurately with a smile in an
ongoing challenge for workers within company (Janyan, 2018). Through speed management
assure client satisfaction and build a repeat consumers base that is beneficial for McDonald’s. To
retain the potential consumers for longer period of time, restaurant can improve their serving and
delivering speed rather than before which is one of its important performance objective.
The performance objectives within restaurant are utilized to enhance efficacy of
operations. It can be said that speed is significant aims of firm because it aids to respond quickly
to buyers thereby enabling them gained services or food products they ordered online or offline.
It is in line with restaurant strategy of client’s satisfaction through speed of response. In simple
words, every modern companies or restaurants have an operation function that means what firm
does to be in existence (Nguyen and et.al., 2018). McDonald is one of the biggest as well as
leading hamburger fast food restaurants chain in the world with hundreds of branches all over the
world. Speed of restaurant services improve which overall support and contribute to better
consumer’s experience. Increasing speed of service means higher table turnovers which will

make firm able to serve more peoples on timely manner. Speed of serving is the time a workers
takes to serve their target market (Sari and Sundiman, 2019).
Concepts of throughout rate, productivity and efficiency
Through put rate-
In simple term, throughput is rate of manufacturing or rate at which something is
processed. When utilized in communication networks such as packet radio or Ethernet,
throughout is the rate of effective and successful content delivery on a communication networks.
It refers to the number of flow units for example money, services or products and consumers
going through unit team or business procedure (Sari and Sundiman, 2019). Throughput rate is
calculated by using efficiency formula that can be calculated more than one way, but common
formula is I=R*T. In simple words, Inventory=Rate multiplied by Time, where R is throughput.
Furthermore, this concept is defined as amount of data or materials passed put through or offered
in specific time limit. It will help to improved profit and productivity level with better
management decisions by utilizing measurements that more nearby reflect effect of judgments on
three important variables such as Investment, throughout and operating expense.
Efficiency-
It is the quality of being capable to do a specific task effectively and successfully without
wasting energy or time (Yoshikawa and et.al., 2017). It is defined as the strength to produce
something with a minimum amount of attempt. For instance, efficiency is a reduction in number
of employees required to produce foods. It signifies the peak degree of performance that utilizes
least amount of efforts to achieve highest amount of results. For example, in order to gain the
business aims and objectives workers perform really very hard, they do all attempts to get better
outcomes rather than its competitors operating businesses in same industry. When staff have
efficiency to do something new or different without wasting time they can contribute in growth
as well as success of restaurants.
Productivity-
It refers to measure of efficiency of a machine, individual and systems used for
converting raw materials into final products or services. It computed by dividing average output

per era by sum costs resources or incurred consumed in that time (Yoshikawa and et.al., 2017).
Productivity is also defined as a ratio between volume of inputs and output. It measures how
effectively production department work and perform towards producing quality items that
increase productivity level of business rather than before. In context of businesses, productivity
progress is really very essential because it provide more services and goods to target consumers
translated to higher profitability. Managing productivity within restaurants and other businesses
is important because it help to increase consumer base & profit margin year by year. Its growth is
significant to firm as it aid to control actual income means required to meet obligations of
people, shareholders, employees and suppliers.
Increased speed can improve all above concepts in context of McDonald’s-
From above discussion it has been identified that speed is the only elements that will
improves the throughput rate, productivity and efficiency level more than past few years. For
example, when workers increased their speed for producing food items for consumers in return
they can increase profitability which is very beneficial for McDonald’s. Furthermore, it can be
said that increased speed also effective in term of improving efficiency of staff to do more work
for achieving business aims. By increasing production speed employees enhance their efficiency
which make them able to hard work. In context of throughput rate, when speed in better than
before it save time and efforts of workers to make tasty food in McDonald’s.
Impact of new technology on two of other four performance objectives
Technology can be most widely defined as entities, immaterial and material, created by
application of physical attempts in order to achieve and gain some value. In recent time,
technology refers to machines and tools that may be used to improve speed and productivity
level within restaurants like McDonald’s rather than its competitors. New technology or digital
technology impact on quality for products in effective manner (Mutlu and University23, 2019).
As it helps to improve quality of food item produces by chosen restaurant for target market. For
example, by implementing new machines in production operation McDonald’s can enhance
quality level rather than before as they can make tasty food products in timely manner. It aid
management and food production department produce more effectively for growing world
consumers. People prefer to purchase quality items with affordable price that keep them retain
with it for longer period. By using machines instead of workers for producing Burger, French

fries and other goods, restaurant can improve quality as they capable to cut each piece in perfect
shape. Employees working in manufacturing section do not need to attempt extra efforts for
cutting slices, they can use advanced cutter or big machine for it because it saves time and
energy as well (Arroyo-López and et.al., 2017).
Technology is transforming food sector as it allows them to deliver quality products and
home delivery services in systematic manner, that gain the attention of consumers rather than
before. It led to reduction in nutrient deficiency related disease, usually safe food supply with
consistent better quality accessible independent of seasons, food options that do not need
preparation time. The utilization of advanced machines in food production procedure will assure
quality and affordability.
Dependability is being considered to produce outcomes with consistency; it also includes
doing in way it was intended and on time. It includes communicating and working whether
outcomes will be as intended, behind schedule, on time and alternatives to make things done. It
essential quality for staff to posses because dependability enhances huge variety of job
performance options. New and advance technologies impact on dependability as one of the most
important performance objective of McDonald. By implementing technology within operations
management, restaurant can enhance their growth as well as success. For example, McDonald’s
is dependent on workers to take order from consumers when they visit their outlet; it takes a lot
of time and consumer energy as well which is not really good for its business.
With the help of digital technology employees can take order via using applications that
save time and effort and allow people to choose item among list of options available at menu
card. Digital ordering is one of the best technologies that give management chance to serve its
consumers quality products and deliver in timely manner (Horng and et.al., 2019). By taking
order online, McDonald’s get many benefits as it makes ordering and delivering procedure
easier, efficient consumers and keep business ahead of competition within food industry.
Convenience is main element when it comes to client service, by offering seamless and easy to
use online ordering program restaurant create a better experience for target market, resulting in
an increases in profit margin as well as sales.

CONCLUSION
From above analysis it has been concluded that speed play vital role in operational
efficiency as it increase consumer satisfaction level & productivity of McDonalds. It has been
discussed that by implementing new technologies within production procedure company gain
benefits in term of increasing profitability.

REFERENCES
Book and Journals
Arroyo-López, P.E and et.al., 2017. Impact of training on improving service quality in small
provincial restaurants. Journal of Foodservice Business Research. 20(1). pp.1-14.
Harley, P.M., Tummala, M. and McEachen, J.C., 2019, January. High-Throughput Covert
Channels in Adaptive Rate Wireless Communication Systems. In 2019 International
Conference on Electronics, Information, and Communication (ICEIC) (pp. 1-7). IEEE.
Horng, S and et.al., 2019. Assessment of Unintentional Duplicate Orders by Emergency
Department Clinicians Before and After Implementation of a Visual Aid in the Electronic
Health Record Ordering System. JAMA Network Open. 2(12). pp.e1916499-e1916499.
Janyan, A., 2018. Factors influencing restaurant selection in Yerevan (Doctoral dissertation).
Mutlu, M.H.G. and University23, B.O.E., 2019. Recent Technologies and Methods in Restaurant
Kitchens. In CONGRESS BOOK SERIES (p. 123).
Nguyen, Q and et.al., 2018. Understanding customer satisfaction in the UK quick service
restaurant industry. British Food Journal.
Piva, M., Tani, M. and Vivarelli, M., 2018. Business visits, knowledge diffusion and
productivity. Journal of Population Economics. 31(4). pp.1321-1338.
Sari, M.P. and Sundiman, D., 2019. Risk Management Framework for Social Enterprise (Risk
Assessment of Vegetarian Restaurant).
Yoshikawa, K and et.al., 2017. Silicon heterojunction solar cell with interdigitated back contacts
for a photoconversion efficiency over 26%. Nature energy. 2(5). p.17032.