¶ … leadership requirements 3.2 plan development future situations requiring leadership 4.1 plan development leadership skills a specific requirement 4.2 report usefulness methods plan development leadership skills assessing McDonald.
Leadership at McDonald's
McDonald's has often been blamed for the negative impact its foods products have upon the population. And in the context in which more and more people suffer from nutrition related illnesses, McDonald's is becoming the emblem of fast food to be avoided (Kaufmann, 2010).
Still, the demand for its products continues to increase and this is explained by a wide array of social and economic changes. For instance, women's emancipation and the choice to work outside the home leave them with little time to cook (Parasecoli, 2004). Then, the experience of dining out has changed dramatically throughout the past recent years and it is exacerbated by the economic crisis, which decreases the population's access to traditional restaurants and drives them towards fast food products which are cheap and convenient (Wilk, 2006).
Within this dually complex environment, McDonald's continues to thrive. Its success is due to a wide array of elements, among which a strong marketing program, the advantages of the scale economies it had created or the quality of its leadership act. The current project as such sets out to assess the leadership features at McDonald's from four distinct angles -- the leadership requirements, future situations requiring leadership, the development of leadership skills and the usefulness of the methods used. Finally, several alternatives to strategic leadership would be formulated.
2. Current leadership requirements
McDonald's is one of the largest corporations of the world, in terms of all size, global expansion and volume of sales and revenues. This position presents it with various opportunities, but also with numerous challenges. At this stage, it is necessary to present some of the more important challenges to leadership faced by the fast food monolith. The method used to identify these challenges is that of the systematic review, which revolves around the systematic identification of valuable sources of information and issues, and then summarizes those which are most pertinent and relevant for the specific topic studied (The Community Guide, 2011). In this order of ideas, the implementation of the systematic review method has lead to the following findings: the company is challenged by globalization, by its business model and by changes in the socio-cultural environment. These issues are addressed below.
One important leadership challenge faced by McDonald's is represented by the international context of globalization. In this setting, the organization has to manage people, resources, legislations and customers in various global regions, but do so in a manner in which the company's image and objectives are enhanced. McDonald's leadership approach in this sense is still to be developed, but lessons could be drawn from the marketing approach in the meaning that the fast food giant has adapted its marketing strategies to appeal to various customers across the globe (Armstrong, Harker and Brennan, 2009). Such lessons could also be implemented regarding the leadership style.
Another leadership challenge is pegged to the fact that McDonald's franchises across the globe. This virtually means that its stores are run by local managers, who use the corporate resources and image to develop their stores. The leadership challenges faced at this stage are multiple and include the loss of control by McDonald's, the demise of organizational standards, the possibility of lower profitability or lack of trust and even conflicts between franchisee and franchisor (Alon, Alpeza and Erceg).
Finally, the last leadership challenge is represented by the changing features in the socio-cultural environment, represented mainly by the new nutritional concerns which stand to decrease the demand in the company's products. The company has already moved in this direction by increasing the presence of healthier foods on its menus, but it continues to face the challenge of raising nutritional concerns (Werther and Chandler, 2006).
3. Future situations requiring leadership
The challenges previously mentioned are but a few of the potential threats which could face McDonald's. Some examples of other challenges could include the continually changing international context, the high rates of employee turnover or the various situations in the relationships with the business partners. In these future situations requiring leadership, the developments of the company would be intricate, yet crucial in determining future success. Here are some suggestions as to how to plan for the development of future situations requiring leadership:
Constantly assessing the market and the industry in order to identify new changes
Constantly assessing the trends in the market, the industry and in legislations
Identifying new needs and situations even before these become trends and satisfying the needs...
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