Operations Management McDonalds Supply Chain - 737 Words

McDonalds Supply Chain McDonalds is a global fast food chain which is known to exercise a great deal of control over the supply chain. The firm relies in a large number of different inputs which are principally products that are sold. The process is diverse, but highly controlled with a limited number of suppliers and the effective use of outsourcing to specialized firms. The process is all supported by complex information technology which makes demand forecasts of up to three months, to ensure that there are sufficient goods in the supply chain, without waste created through the over supply of perishable goods. The supply chain may be broken down into different layers. At the start of the supply chain there the initial sources of the input goods, for example, this will include arable and dairy farmers. These are referred to as tier 2 suppliers. In order to ensure that the supply meets the required criteria McDonald will often work with the tier 2 suppliers to improve output. This he lps to ensure quality and increased efficiency will help to ensure costs are controlled. In some cases the company may make loans or even take equity in upstream suppliers. A good example of supply chain collaboration was seen when the firm started operations in India. There were no local suppliers growing iceberg lettuces, the company worked with some supplier to create a year round supply, aiding with seeds, equipment and relevant agricultural knowledge. The tier 2 suppliers originateShow MoreRelatedMcdonalds Operations Management Essay1145 Words   |  5 Pagesand time in the operation management department of the business. This report will focus on the business, McDonald’s and what practices they have put in place to ensure that they are producing their products efficiently and sustainably. The business will also be compared and contrasted alongside the American fast-food restaurant chain famous for its fried chicken, providing recommendations on how McDonald’s co uld further improve their business in the area of waste and time management.  Business BackgroundRead MoreA Research Project On Mcdonalds Canada1513 Words   |  7 Pagesand value for every customer, every time†. (McDonald’s Canada, 2015). For McDonalds to achieve their mission statement they will have to create some internal strategies to help push for perfection. Strong training is one strategy that McDonald’s uses for overall success. McDonald’s has one of the Worlds best training with hands on skills development, teaching employees time management, teamwork, and customer service/ communication skills. 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Their runner products would be, chips, big mac, hamburger etc. the person behind shoot is taught in a very specific way so that they can produce X number of burgersRead More McDonalds in India Essay examples1083 Words   |  5 Pages McDonald’s Corporation, established in 1955, owns one of the world’s most well-known and valuable brands and holds a leading share in the global branded quick service restaurant segment. The Corporation has more than 30,000 restaurants in 119 countries serving 47 million customers each day. McDonald’s entered India in 1996 through joint ventures with two Indian entities, Hardcastle Restaurants Pvt. Ltd. and Connaught Plaza Restaurants Ltd .Hardcastle Restaurants Pvt. Ltd. owns and operates McDonald’sRead MoreThe Logistics Of Mcdonald s Supply Chain983 Words   |  4 Pagesinfluence on the amount of supply required from suppliers. Increase in demand results in increase of supplies to meet the required inventory. In addition, a decrease in demand will also require the inventory to be reduced. Hence, demand has a one way direction effect on the supply chain. The logistics of McDonald’s is divided into three phases just like in most other companies. Inbound logistics phase involves the activities that take place between the delivery of supplies and their storage. The nextRead MoreMarketing Plan For Mcdonalds Company1101 Words   |  5 PagesOffering more products or offering more complex products makes operations management more difficult in multiple ways. One way an operations manager’s job gets more difficult with complex product offerings is inventory becomes more difficult to manage. The more items you offer in your product line, the more suppliers you will need to supply you with the materials to produce the offerings. 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