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5/04/2015 10:01 am  #1


McDonald's to simplify structure, focus on customers

McDonald's to simplify structure, focus on customers

http://www.armstrongmywire.com/news/read/category/Business/article/the_associated_press-mcdonalds_to_detail_latest_turnaround_plans-ap

NEW YORK (AP) — McDonald's CEO Steve Easterbrook says he's stripping away layers of bureaucracy and increasing accountability so the company can move more nimbly to keep up with changing tastes.During a 23-minute video message posted online Monday, Easterbrook said the company's structure is too "cumbersome" and that it can no longer afford its "legacy structure.""The reality is our recent performance has been poor. The numbers don't lie," said Easterbrook, who took charge of the world's biggest hamburger chain on March 1.To foster quicker movement, McDonald's is restructuring its units into four groups based on the maturity of its presence in the market: the flagship U.S. market, established international markets such as Australia and the United Kingdom, high-growth markets such as China and Russia, and the rest of the world.

Last edited by Common Sense (5/04/2015 10:02 am)


 “We hold these truths to be self-evident,”  former vice president Biden said during a campaign event in Texas on Monday. "All men and women created by — you know, you know, the thing.”

 
 

5/04/2015 10:04 am  #2


Re: McDonald's to simplify structure, focus on customers

Focus on customers ?  What a novel idea. Wonder who ever was so forward thinking to come up with that ? 
 


"Do not confuse motion and progress, A rocking horse keeps moving but does not make any progress"
 
 

5/04/2015 10:41 am  #3


Re: McDonald's to simplify structure, focus on customers

The first thing McDonalds (and all restaurants/fast food outlets) ought to do is strive for truth in advertising. I have yet to be served a sandwich or meal in reality that bears any resemblance to the one shown in their commercials.

Do you think it's because they know the actual meal/sandwich served in one of their outlets looks about as appetizing as roadkill?

 

5/04/2015 10:45 am  #4


Re: McDonald's to simplify structure, focus on customers

Simplfication is what they need to do. We've seen the fast food/casual food market become very splintered over the past few years. If you want a good hamburger, you go to Five Guys. All they do is make burgers. If you want good mexican, you go to Chipotle. All they do is make a couple of items.

McDonald's has tried to be all things to all people. And I think it ends up cheapening their brand. 

Just go back to making the best Quarter Pounder you can and customers will come back. They can get their salads, and fanc chicken sandwiches elsewhere.


I think you're going to see a lot of different United States of America over the next three, four, or eight years. - President Donald J. Trump
 

5/04/2015 10:56 am  #5


Re: McDonald's to simplify structure, focus on customers

TheLagerLad wrote:

Simplfication is what they need to do. We've seen the fast food/casual food market become very splintered over the past few years. If you want a good hamburger, you go to Five Guys. All they do is make burgers. If you want good mexican, you go to Chipotle. All they do is make a couple of items.

McDonald's has tried to be all things to all people. And I think it ends up cheapening their brand. 

Just go back to making the best Quarter Pounder you can and customers will come back. They can get their salads, and fanc chicken sandwiches elsewhere.

I don't think that their problems are their diversity of menu (I actually think some of their new salads are fine). Their food will never be gourmet food for sure, but overall is OK. Where they tend to fall down IMHO is in the training of the employee. A good owner of the stores (where they are locally owned) shows (as well as a bad owner that does not take an active interest). But then, that is true of most businesses. A good chain of command usually results in good training for their employees and in turn creates a satisfied customer. I realize that a lot of people think that training in a McDonalds is a joke, but it is no different than anywhere else. Doing a good job and satisfying the customer does take training and a manager that follows through. Yes, the training is not rocket science, but if not done well becomes a reason a lot of people will not come back to an establishment. 







 


"Do not confuse motion and progress, A rocking horse keeps moving but does not make any progress"
 
 

5/04/2015 11:13 am  #6


Re: McDonald's to simplify structure, focus on customers

At one time McDonald's was the 'only show in town' when it came to the fast food business.  But now, many others have jumped on the fast food bandwagon.  I tend to agree with Lager on this one.

The other thing to consider is Americans are becoming more and more concerned about the nutrition value of the stuff they eat and the caloric intake of their food choices.

Does anybody remember that experiment that was done in which a Big Mac (or some other McDonald's burger) was simply sat on shelf to see what would happen?  Turns out after several weeks, other than dehydration, the thing didn't decompose.  Made some question whether or not it was food if micro- organisms wouldn't mess with it.

 

5/04/2015 11:23 am  #7


Re: McDonald's to simplify structure, focus on customers

Good points all, esp Lager and Fred.
McDonalds is getting squeezed. They aren't very fast, very good or very cheap anymore.
And they are trying to be all things.
The casual upscale market is gone, in my opinion. Go back to being a breakfast and burger joint.
Oh, and ditch the clown, too.


We live in a time in which decent and otherwise sensible people are surrendering too easily to the hectoring of morons or extremists. 
 

5/04/2015 11:36 am  #8


Re: McDonald's to simplify structure, focus on customers

Here is the picture of a McDonald's lunch and dinner menu in 1974. Pretty simple. This is the direction the need to get back to....


I think you're going to see a lot of different United States of America over the next three, four, or eight years. - President Donald J. Trump
 

5/04/2015 12:10 pm  #9


Re: McDonald's to simplify structure, focus on customers

I see that the new CEO is pursuring moving just about all the the McDonalds to a franchise status. I believe that most today are (I believe about 80%), but sounds like he wants to make all of them franchises. 

Other thing of note, is that McDonalds (like a lot of companies that have an International presence) has taken a beating on the foreign side because of exchange rates (as well as many of the International areas are still in a slow recovery). 

I agree that there are WAY MORE competitors in the game at this point. Many of them DO specialize. That can be a plus or negative. I remember people complaining that places like McDonalds did not have any healthy choices, so I guess it works both ways. BTW, McDonalds (and others) have at least gotton on the bandwagon with now showing calories, etc which in many cases are printed on the backs of their tray liners. 



 

Last edited by tennyson (5/04/2015 12:12 pm)


"Do not confuse motion and progress, A rocking horse keeps moving but does not make any progress"
 
 

5/04/2015 12:43 pm  #10


Re: McDonald's to simplify structure, focus on customers

I have to go with Rongone with truth in advertising.  Looking at the orderboards above the counters I have never received a burger that even closely resembled the one on that order board and I never will, considering how McDonald's cooks its food.  I ate my last burger/fries/anything from McDonald's about four years ago and Steve Easterbrook can implement all the changes he wants to and nothing will ever get me back into a McDonald's.  It took me many years to grasp what very unhealthy food they serve and I now avoid McDonald's and nearly all fast food chains at all cost.

 

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