Operations management Essay

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Published: 04.10.2019 | Words: 1690 | Views: 510
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McDonald’s Corporation is a world’s largest chain of fast-food restaurants. They’ve proudly served much more than 46 , 000, 000 customers in 59 diverse countries and currently have a lot more than 30, 1000 different spots worldwide. The fast food market is booming at a rapid rate, especially the health conscious meals options.

With this in mind, McDonald’s includes a strategic want to stay on top of their competitors by giving consumers with affordable prices, great service, and more healthy meal options. McDonald’s is competitive in many classes, including value, quality, supervision and staff training. Consumers trust McDonald’s products mainly because they use many of the same dependable brands that families purchase at community grocery stores. The corporation specifically is targeted on speed, standardization, quality, and affordability. McDonalds has shifted ahead of the competition by centering on these elements.

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McDonald’s competes on three main angles, such as velocity, affordability, and standardization, generally to make consumers happy. Through extensive researching the market and online surveys, the organization discovered that its consumers desired speed as one of the restaurants’ top priorities. Therefore , McDonald’s vision should “provide fast, friendly and accurate service” (“McDonald’s Worldwide”). McDonald’s noticed that specific goals are necessary to measure the efficiency of velocity; therefore , they will continuously take relevant measurements to assess actual overall performance with preferred targets.

In the customer’s purchase, to the producing of the hamburger, and until the customer leaves the cafe, speed is a key factor in McDonald’s operation approach. To reduce the amount of time it will take to provide solutions, the company uses standardized teaching processes for its employees and new drive-thru layouts. Along with acceleration, McDonald’s as well competes by providing prices at a low cost.

McDonald’s organization just lately underwent major strategy becomes better serve their customers. Beneath their earlier system, the organization would make a number of sandwiches simultaneously, and support the sandwiches in a warming bin until acquired by a consumer. Under this technique, management had to precisely anticipate how much foodstuff had to be put on hold. Specific prediction had to be used because if there are not enough food placed on maintain, this would make the problem of increase holding out times for customers, and a lot of food might cause waste materials of ended items. McDonald’s dramatically transformed their technique in order to stay competitive to fast food agencies.

The second operation decision necessary for organisations is usually capacity preparing. Capacity planning and control is the activity of setting the effective capacity of the operation in order that it can react to the demands positioned upon that. This normally means deciding how the operation should respond to fluctuations sought after. Operations managers usually separate short, method and long lasting capacity decisions.

For short- and medium-term capacity organizing, the capacity level of the operation is tweaked within the fixed physical limits that are collection by long lasting capacity decisions. This is also referred to as aggregate organizing and control because it is important to aggregate the many types of output from an operation as one figure. (source: http://www.mas.dti.gov.uk/content/resources/categories/fact/FACT_Capacity_planning.html) In McDonalds Restaurant, the procedures managers need to set it is capacity of getting food items in such a way that it responds quickly to the demands of the people items in peak hours which is very important for a junk food restaurant like McDonalds.

Additionally, it have to make sure that it has enough stock of ingredients to prepare food items which is very important because if one particular ingredients fall short then the whole process of making food might halt. For example if the buns required for making hamburgers falls short then a restaurant may not be able to offer any burgers even if it includes enough amounts of additional ingredients. Service location Site planning is one of the important businesses that every organisation carries out in fact it is essentially one of the critical accomplishment factors for virtually any organisation. Failure or success of virtually any organisation may well depend on the location where it is situated. Therefore it is very important for businesses to choose a perfect location.

Businesses may select location on such basis as various elements such as distance to the supply of raw material, cost-effectiveness, proximity to buyers or suppliers, competition inside the area, vehicles availability and cost, availability of resources, and availability of proper labour. McDonalds Restaurants also need to plan their particular location in a way so that maximum customers go to their restaurants. Therefore McDonalds prefer places such that it may have large customer base, travel access and availability of car parking space.

In addition it also wants locations suitable for uncooked material delivery that is availability of ample space for shipping of organic material. Process design: Following developing the item the businesses need to develop processes for making and supporting the item. Organisations need to identify appropriate processes which is needed to obtain required level of output in the planned goods and services at proper quality standards.

Organisation thinks both the classic methods when the organisation features handled and processed its products and providers and the possible alternatives which currently prove. That is, it considers the advancement of technology, computing power, and evolving managerial expertise. Bicheno, 2002; p99 In McDonalds restaurant as well, the operations manager develop and determines the process of preparing food items so that food is usually prepared employing that method which will help them to keep up with the speed as well as the quality with the food.

Additionally it also patterns processes in order that the health, security and health issues happen to be taken into consideration. As well the managers keep on introducing latest instruments with the advancement of technology so as to deliver pace, efficiency and quality in the product. Layout Design and style Layout is definitely the arrangement of facility to provide working, assistance and reception, storage and administrative areas.

The layout is designed by classic techniques employing templates, range plans, thread diagrams, and travel planning as they have been proved as low-cost techniques of achieving either optimal or perhaps near optimum layout strategies. Poor layouts can help reduce the overall potential and general productivity. Consequently care should be taken by business when designing layout. (Bicheno, 2002; p121) In McDonalds Restaurant also structure designing is a very important procedure. A proper structure of the instruments in the kitchen is incredibly essential to guarantee preparation of quality food in less time. Additionally, it designs their layout keeping in mind the health and safety issues.

In addition, it designs design in such a way that requirements of supervision is minimised. Another component that is considered is the cost of production which in turn also depends on the layout.. This is due to most of the products on hand consists of perishable items. For that reason delivery of inventory takes place thrice or more times per week depending on the organization of the cafe.

Moreover products on hand is kept in freezer with proper the labels so as to make sure freshness from the food items. This activities comes under inventory management from the organisation. Top quality Management Top quality management involves maintaining the standard of the goods and services to be able to meet the bare minimum requirements laid by the sector.

Moreover it is crucial so as to keep up the reputation of the company. To manage and keep the quality of the merchandise and services the organisation may take up a number of techniques like quality checks procedure etc . Quality in McDonald restaurant is vital because of two reasons. First of all because of the legal requirements of the top quality of foodstuff served. Subsequently, to keep up the favorable reputation which usually McDonalds eating places have gained over the years.

Quality of food can be very challenging to maintain and for that reason McDonalds restaurant carry on a number of practices to make sure that quality food is offered. Some of these methods are the visits by the food inspector in the head office, boss checks and so forth Maintenance Routine service means upkeep of the things in the business. In simple words, routine service is means of protecting your production personnel, office workers, individuals, and all the other users of your organization’s property. (http://www.maintenanceresources.com/ReferenceLibrary/MaintenanceManagement/The_Battle_of_Maintenance.htm) In McDonalds, there are lots of equipments that are used for the preparation of food.

Therefore it is very important to maintain and assistance those instruments so as to conserve the quality in the product, security of the workers and to avoid further costs of restoring machines. Another things that has to have maintenance happen to be hygiene, costs, quality etc . CONCLUSION: Therefore we deduce that operations management is important for any organisations as they possess a romance with the total strategy of the organisation. Functions management plays a role in the approach and therefore helps the business to gain competitive advantage. As an example, process planning can help the organisation reduce cost and gain expense advantages and thus gain competitive advantage.

Which means organisations must effectively deal with the businesses of the organization as it includes a massive effect on the approach of the organisation Bibilgraphy Run after, R., Jacobs, F., Aquilano, N. Operations Management intended for Competitive Benefits (10th Edition). McGraw-Hill Irwin; Boston; 2004. Howard, Mack. “Suppliers. ” June 19, 2003. Seen online upon November almost 8, 2004 by:.

Kerin, Ur., Berkowitz, E., Hartley, S., Rudelius, W. Marketing (7th Edition). McGraw- Hill Irwin; Boston; 2003. Lessnau, Ronald, Current McDonald’s Owner.

Personal Interview “McDonald’s Worldwide Corporate and business Responsibility Report 2004. ” Accessed on the web on Oct Phillips, Eddie, Prior McDonald’s Manager, Personal Interview, Phillips, Kenny, Current McDonald’s Manager. Personal Interview, October 27, 2010 “Restaurant Management. ” McDonald’s Restaurant Management Careers. Accessed on the web Zuber, Amy. “Big Macintosh, Big Value: McD to reduce Prices; ” Accessed on-line at http://www.findarticles.com/p/articles /mi_m3190/is_50_35/ai_80748686.