INTRODUCTION:
The ability of every company to make profit and maintain in this competitive world revolves around its competency to execute its operations effectively. Hence although the term Operations Management appears to be recently evolved. It has focused with the commercial revolution itsef. In a very lay man's language, operations management is the effective and effective running of the many resources in a organization. The task below looks at the various theoretical concepts of businesses management and exactly how they are applied in the sensible from in the various industries. It appears the interrelation between procedures management and strategic objectives of organisation. It could be rightly said that if these two concepts have to merge appropriately for a business to make it through and make income.
OPERATIONS MANAGEMENT:
Operations management can be described as providing the best possible service at the cheapest possible prices. This goal can only be achieved if every single operation within the organisation is maintained optimally. The many operations in a organisation that needs to be maintained are financial procedures, capital management and individual source of information management. The reliable and appropriate management of the valuable resources results in successful operations management according to Stevenson 1993, Functions Management serves as a follows " management of systems and operations that induce good fine sand/or provide services"( as cited in J. Bicheno and B. Elliot, 1977, p9). A far more detailed explanation of operations management is distributed by J. Bicheno and B. Elliot 1997, " a field research that targets the effective planning, scheduling, use and control of a manufacturing or service company through the analysis of ideas from design executive, industrial anatomist, management information systems, quality management, creation management, accounting and other functions as they impact the functions". (J. Bicheno and B. Elliot, 1977, p9). Corresponding to Mahadevan, "Operations Management is a systematic approach to address all the issues pertaining to the change process that turns some inputs into outcome that are of help and could fetch revenue for the organisation". (B. Mahadevan, 2007, p5). Thus a detailed study of both definitions expresses that Procedures management is concerned with the accurate management of the many operation within any type of organisation to be able to maximise results by lowest use of resources. Thus for any organisation to perform efficiently, it is essential to strictly screen the smooth functioning of the various operations within the organisation. Thus in brief the role of functions management is to convert the insight into outcome in an efficiently manner.
Pursuing are a few of the advantages of effective procedures management:
Improves the production of the organization.
Minimizes the price tag on the organizations.
Assists with forecasting the many trends within the market.
Avoids duplication of work.
Assists with wise use of resources.
Manuals the business to provide excellent services and products.
Assists with developing alternatives for the various problems encountered by the business. (B. Mahadevan, 2007, p6, 7) (C. Vidler, 2001, p7).
INTRODUCTION TO MCDONALD'S
Every organisation that exists on the market has a goal set that should be attained by it within a given frame of energy. These are goals can also be called as proper objectives. Each company before entering the competitive market models its strategic objectives and also advances a strategy to achieve the same. The organisation that has been studied is a famous chain of Fast Food Restaurants, McDonald's Organization US. It's an company that started in 1940's by two brothers Dick and Mac McDonald. They stared a small restaurant in California in 1940's. Another personality that completely evolved the fate of this company is Ray Kroc's. A combined effort of most these three business owners resulted in an organisation which is one of the leading fast food restaurants. (web-1). A number of the aims of McDonald's Restaurant is
To accommodate good quality food to the clients within an environment that is benevolent and exciting.
To keep their shareholders happy by giving good comes back to them regularly.
Their goal is to provide food at a faster rate which has affordability and impeccable preference and quality.
They are also aim in perform their corporate and business social obligations in a highly effective manner.
They are also doing their duties when you are an eco friendly organization.
A take a look at the various tactical objectives it can be concluded that McDonald's has setup a defined set of objectives. They also have developed various strategies to achieve these goals. The three features that the company concentrates on are quality, velocity and gratifying customers. The restaurant has completed many training programmes for the crew members to be able to achieve the best customer support. They also focus on the atmosphere of the restaurant and put a lot of effort to keep up it. There is also special kids section in some restaurants so the children and parents can have an excellent time at one place. Sanitation isn't just preserved within the restaurant areas round the restaurant also cleaned up on a regular basis. They also perform corporate sociable responsibilities judiciously. They support a charity which helps the old people. McDonald's has also stopped using clear plastic bags and helps bring about the utilization of paper luggage. They also propagate the thought of recycling.
There a wide range of procedures within the organisations. The main procedures within McDonald's are
· Procurement of recycleables and machinery
· Production and Quality Maintenance
· Pricing
· Advertising and Marketing
· Customer Service
· Corporate Friendly Responsibilities
Procurement of recycleables and equipment:
The main strategies used by McDonald have to maintain the inventory is JIT, Just with time. Regarding to Modem, "JIT can be defined as a creation system to produce a kind of unit needed, at that time needed and in the volumes needed" (W. Jedlicka, 2009). The theory behind this is to lessen the price tag on inventory management. This also helps in providing fresh food to the customers. This stragey is prosperous since the mangers in the restaurants execute a daily stock matter by the end of your day to keep a track of the avaiable things and things that contain to be purchased. This also really helps to check the sales that are performed by the restaurant. Another strategy that is used by the restaurant is the First in First out (FIFO). According to this startegy the make it a point to market product that contain arrived before first and then the latter ones. The complete stock management process is designed in that manner that this basic principle of Just with time and First in First Out is purely followed.
Production and Quality Maintenance:
In this period the raw materials used are changed into finished products that are provided to the clients. This is an essential step. Your kitchen staff is trained to produce the products by carrying out a standard process. Every product that is created in the McDonald's kitchen must follow the protocol in order to keep up with the standard and quality of the merchandise. Handling the production bin is an essential job. Every item that is produced has a certain shelf life and it is announced to be unfit for intake. Hence the food items are produced sloley based on demands. During the busy hours there's always a manger on the development bin who handles the bin. It is merely during this period that food is established a little excessively based on the expected audience of customers. That is a strategy utilized by the restaurant to avoid long ques also to provide fresh food at a faster speed. Another solution that is taken by the company is the utilization of brands. Every element with your kitchen has a label onto it. This label suggests the time that the product should be used and when the product should be discarded. Such something helps in maintain the quality of the food served. The company also has the program of Unknown Shopper. In this program an associate from the company's head office visit's the individual restaurants as a regular customer to check the various aspects. This visit not only bank checks the quality of the meals, it also checks the service provided to the customers, sanitation within the restaurant and the overall experience in the restaurant. Thus we can easily see that effort is done by the individual restaurant and the company as well to keep up high standards in conditions of quality of food.
Pricing:
The reality McDonald's was making a good profit even before recession is a specific reflection to the fact that they have a well toned costing strategy. They are really mostly of the restaurants that have a very more developed 1 menu as well. This pound menu not only includes only one item it has a variety of all products that can be bought. Thus it isn't only cheap but also provides variety for the customers to choose from. Even the regular dishes are charged rightly. Hence the customers do not wait. Thus in short you can surely say that eating out at McDonald's is not a good experience that's not too heavy on the pouches.
Advertising and Marketing:
McDonald's uses many programs of advertising like printing media, bill planks, television advertising and also sponsorship. Any new product that enters the menu is well publicized and sold by the business. They create a great amount of awareness of the product that is being launched. Thus attracting the customers to their shops. Vouchers are also provided to the customers. It's been pointed out that this startegy of providing vouchers is one of the major appeal for the clients. There is also promotional activities. Some of the promotional activities that are done by the restaurant are providing Coca-Coal eyeglasses with every purchase of a sizable meal. They also play the overall game of monopoly in this every product that comes to the customer has a sticker which might either be a part of the monopoly game or will be a coupon for a free product from their menu. Another online marketing strategy that can be used by the company is the utilization of loyalty cards. This can help in engaging their customers to come back to the same place. They also use the strategy of technology. In this there will able a particular range of services that will be available for stipulated time frame. Once this time around period is over they have a new product that needs it place. Hence there is something new each time a customer strolls- in. This helps in retaining the customers.
Customer Service:
This operation forms the bottom of the organisation. The purpose of the company is to help make the experience at the restaurant a unique one. This is merely possible by providing excellent customer service. The business trains the newly recruited employees for providing excellent customer service. The crew people are asked to be sensitive to the needs of the clients. Although they have a standard protocol to treat the clients the employees receive the liberty to do something according to the need of the situation. Especially regarding senior employees and mothers. The company strongly feels that only if a customer is comfortable at the restaurant will they keep coming back. Hence all solution is used by the store employees to be sure that the clients are completely satisfied when they leave. They also have crew training programmes on a regular basis to up grade the service and develop new skills. Regular meetings are conducted to deal with any conditions that are experienced by the employees. The company also helps bring about the crew members to be a part of the various programmes that are conducted by the business. Thus motivating the employees. The company does total annual appraisal in terms of salary as well as position predicated on the employee's performance.
Corporate Social Tasks:
According to P. Kotler and N. Lee, "Corporate sociable responsibility is a commitment to boost community well-being through discretionary business tactics and contributions of corporate resources" (P. Kotler and N. Lee, 2005). Thus it could be seen that CSR must be a way of functioning of each business that exists. This function should be implemented atlanta divorce attorneys activity within the business enterprise. McDonald's officially assimilated this function to their operation in 2007; it was at this time that they developed a Sustainable Supply Steering Committee (SSSC). this committee was dependable to keep a check on the supply string activities within the company. The company implemented the 3 E's to their supply chain. They are Ethical Responsibility, Environmental Responsibility and Economic Responsibility. The idea behind adopting these were to make sure that the operation completed within the organisation follow a moral routine (Blogging platforms 2). The business in addition has developed a worldwide Advisory Council (GAC) in 2004 offering advice as to how build a menu that delivers healthy nourishment and a balanced-diet to the customers. (Web-3)
Thus we see that every operation within the company from the procurement of raw materials to the disposition of corporate and business social responsibilities is performed diligently by the organisation. A soft co -ordination between this function is the trick to the success of the organisation. This individual operation needs to be controlled in a powerful manner for the entire secure performance of the organisation.
QUALITY, Reference AND TOOLS MANGEMENT:
The expression quality has different meanings predicated on individual perceptions. For a few quality of product or service means. The nourishment value or standard of the product or service for a few others quality is the fact that the product or service should meet their requirements satisfactorily. In a few other instances quality means value for the money that has been spent. Hence there is no definite way in which quality can be described. However an public classification of Quality has been distributed by International Business for Standardization ISO 2000, "the level to which several intrinsic features (physical, sensorial, behavioural, temporal, ergonomic desk, functional, etc) satisfies the requirements, where need means need or expectation which might be explicit, generally implicit or binding. " (A. Illy and R. Viani, 2005). Another pragmatic definition of quality is distributed by Harrington 1990, "Meeting or exceeding customer goals at a price that signifies value to them". (A. Illy and R. Viani, 2005). In any company quality of the merchandise and service is based on resources, tools and systems utilized by the company. McDonald's serves meat patties, these patties are produced from cows that are corn -feed in the U. S and some of these are also brought in from Australia and New -Zealand. These patties are instantly frozen to keep up the freshness and quality. This process of freezing is known as Person Quick Freezing produced by Herb Lotman. Natural herb Lotman is the creator of the Keystones Company, which is one of the major suppliers of McDonald's. The French fries are grilled in Canola Olive oil which provide 0 gram of Trans Fatty acids. Salads that are served at the restaurant are newly ready in the restaurant as per the need of the customer. No preservatives are used in the salads that are dished up in the restaurant. Most of the fountain drinks that are dished up at the restaurant are regularly watched to maintain ideal quality. All milk based beverages are well pasteurised and maintain high specifications and quality. McDonald's caffeine which is very famous is extracted from Brazil, Gutaemala and Costa Rica. The equipment that is used in the McDonald's Kitchen is Grills, Microwave, Shake Machines and many more. The grills are standardised to prepare food a particular beef, so they automatically arranged the time for cooking the beef. These grills are cleansed frequently at the end of the day with strong solvents to ensure its sanitation. The tremble machines and the fountain refreshments machines are regularly washed to ensure quality of the refreshments. The fries are cooked properly in the frying vat at high temperature. The grade of the engine oil is inspected regularly to maintain the quality of the meals.
TOTAL QUALITY MANAGEMENT A REMEDY TO ALL OR ANY QUALITY ISSUES:
The perfect way to imbibe quality as part of the organisational culture is by adopting the concepts of Total Quality Management. Corresponding into a. Rawlins, "Total Quality Management is a way of managing to improve effectiveness, versatility and competitiveness of your organisation as a whole". (R. A. Rawlins, 2008 p19). This idea of TQM proposes that quality is not a term that should be confined to the end service or product. Quality has to turn into a part and parcel of each procedure within the company, thus making it an obligatory to keep the same at every step. Regarding to G. K. Kanji and M. Asher TQM may become an integral part of the organisation if its concepts and principles are applied effectively. They may have given four ideas of TQM and eight key ideas for TQM.
Principles Central Concepts
I. Delight the client: Customer Satisfaction, Internal Customers are real
II. Management by Fact: All work is process, Measurement
III. People-based Management: Team work, People make quality
IV. Continuous Improvement: Continuous improvement cycle, Avoidance.
If all the areas brought up in these diagram are well maintained this will direct result excellent working of the company. Where quality is taken care of at every step hence there will not be any quality related concern. (G. K. Kanji and M. Asher, 1996, p1).
Advantages of Total Quality Management:
1) Helps the organization to focus of the market trends.
2) Inculcate a culture of quality in every aspect of the organization from top to bottom.
3) Regularly examine all the procedure within the business to eliminate obsolete processes.
4) To continuously develop new strategies for the company to attain the changing strategic targets of the organization.
5) To are a team and have problem solving frame of mind.
6) To keep the goal and successes of the business well talk d at every level.
7) To always require in a persists development programmed.
(R. A. Rawlins, 2008, p20, 21).
SCOPE OF IMPROVEMENT:
No organisation a be sated as perfect since there is room for improvement. An organisation that always posts or modified itself in line with the need of the marketplace is obviously successful. Following a SWOT examination is the best possible way to identify the weak links within an organisation. There is a great deal of speculation on the company's role in providing healthy food. As overweight is one of the major medical issues in today's scenario. The business will have to reinforce concerning that they are adding to the society by providing food of the very best most quality. It's been noticed that McDonald's faces the challenge of high rates of attrition. This is a serious hazard for the company as it is based on customer service. The reason why this becomes a significant issue is basically because it become an additional cost. As well the can also affect the business's sales and overall image. An unpleasant experience in the restaurant can be a major disaster. This may result in bad or negative marketing for the company. Another issue that is encountered by the business is the health issue.
The aftereffect of this high turnover proportion on the company is as employs:
1) High financial cost in conditions of training the worker every time.
2) Insufficient trained employees can cause downfall of the organization.
3) Reduced productivity and interruptions in the workflow
4) Lack of expert pros.
5) Decrease of work at home opportunities as the company is overwhelmed by the inner issues.
6) Administrative issues within the business.
7) Loss of job satisfaction of the other employees and insecurities among the list of employees.
(P. P. Phillips, 2002)
RECOMMENDATIONS:
The major issue in McDonald's as mentioned earlier is the higher rate of attrition. Here are a few of the points that would help in keeping the employees. Another problem that is confronted by the organisation is a ailment.
Peers Reviews is one of the strongest methods you can use for staff retention.
Fostering trust and esteem and reducing management employee issues by regular meetings. (J. A. Carsen, 2002).
Doing timely performance appraisals.
Continuous inspiration to be done- by rewarding at accomplishments.
Reputation given to good work.
Regular conferences to solve any grievances.
Training the employees accurately.
Job rotation should be used avidly so as to increase worker knowledge and enrich his experience.
Many a times there have been situations were the organisation has been blamed to be responsible for medical issues like obesity. Although the organisation makes use of healthy food ingredients there are such speculations. The best way to deal with this is to market the right plus more explicit information on their products. This not only allows the clients to truly have a clear picture but make healthy selections while ordering. They are able to also get their food authorized by regulators in the health and food section. This attempt will only help clarify these phony allegations. Last but not the least a customer survey should be achieved to recognize their view and produce changes within the organisation in a way which is effective to the business and the clients. Such an effort for the company will fortify their relation with the customers.
CONCLUSION:
Quality can be explained as anything that has value for the money and energy spent on it. It isn't a onetime attempt to setup a good system doing his thing and then never bother about it. Every company should maintain steadily its quality standards not for good sale and income, but must develop quality as a culture within the company. This culture of quality has to be passed down into every process within the organisation. It is only a company will never face failures in reaching its goals and goals.
REFRENCES:
1) Web 1: http://www. aboutmcdonalds. com/mcd/our_company/mcd_history. html
2) Web2: http://www. aboutmcdonalds. com/mcd/csr/about/sustainable_supply. html
3) Web3: http://www. aboutmcdonalds. com/mcd/csr/about/nutrition___wellbeing. html
4) J. Bicheno and B. Elliot (1997), Operations Management: a dynamic learning methodology, Blackwell Web publishers Ltd, UK, p9
5) B. Mahadevan(2007), Operations Management Theory and Practice, Dorling Kindersley(India) Pvt Ltd, India, p5
6) C. Vidler(2001), Operations Management, Heinemann Educational Publishers, Oxford.
7) W. Jedlicka(2009), Packaging Sustainability, John Wiley & Sons Inc, USA, p303
8) P. Kotler and N. Lee(2005), Corporate Public Responsibility, John Wiley & Sons Inc, USA, p3
9) A. Illy & R. Viani(2005), Espresso Espresso: The Science Of Quality( 2nd edn), Elsevier Academic Press, UK, p2
10)Web4: http://www. mcdonalds. com/us/en/food/food_quality/see_what_we_are_made_of/your_questions_answered/fresh_produce. html
11) P. P Philips(2002), Retaining YOUR VERY BEST Employees, American World For Training
and Development, USA, p2
12) J. A. Carsen(2002), HR How exactly to Employee Retention, CCH Knowledge Point, USA.
13) G. K. Kanji and M. Asher(1998), 100 OPTIONS FOR Total Quality Management, Sage Publication Ltd, London, p1-2
