In a pull system, immediate customer demand pulls or drives production goals. The greater the customization demanded by customers; the more fragile the product may be, and the more quickly demand is likely to fluctuate and elude forecasting data of the past, the more a pull system, despite its potential for being slower, is attractive. Even a diner must use a pull system when making eggs, for example, because it cannot 'hold' eggs for very long. A customized dress maker cannot predict what type of garment his or her customers will desire, and customization is part of the service the high-end are paying for, when they ask for a garment. A push system is best when demand is predictable, and when the products take a long time to produce. A Christmas tree farmer must use the data of the past, as trees cannot be grown within a few months, and demand is more predictable and less likely to seasonally shift than other goods.
How does McDonald's current process design give it a competitive advantage? How is a firm's process design important to the overall...
Once criticized for its limited, high-fat offerings, now McDonald's can offer more healthy and diversified menu selections, and also draw in many new consumers. People who would refuse to take their children for a burger because they did not want to eat anything on the menu can now have sandwiches made with white chicken meat. This shows the importance of process design in generating new customers, replying to critics of other organizational aspects such as the nutritional quality of the menu, as well as learning from its rivals. Now McDonald's can make it 'your way' -- hold the onions please.
Works Cited
McGinn, Dan. (1 May 2001). "McDonald's Case Study: Burger Time."
The Jungle Magazine.
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