Question

Information Systems at McDonald’s McDonald’s Corporation (McDonald’s), a US-based global hamburger and fast food restaurant chain, had installed several Information Systems to for the operational convenience of its employees and to help them in their decision making. It had implemented these information systems to store and leverage customer information, provide quick service to the customers, impart training to its employees, etc. These systems were used to make it more convenient for customers to buy food through electronic payments. Also, an effective customer relationship management strategy was implemented to retain customers. In 1948 the brothers became disaffected by this style of restaurant, the pressures of a full menu, and the hassle of managing staff, and so decided to scale down the operation. They developed the idea of an 'assembly line' whereby a reduced menu (consisting only of hamburgers, cheeseburgers, French fries and drinks) could be cooked cheaper and quicker, which would hopefully lead to a higher turnover of customers. And so, it was, on 12 December, 1948, that the new revamped McDonald's Restaurant opened, and Richard McDonald cooked the first McDonald's hamburger. As of 2017, McDonald’s was one of the world’s largest restaurant chains. The company had its roots in a small fast food joint started by two brothers named Richard James McDonald and Maurice James McDonald in San Bernardino, California in 1940. A businessman Ray Croc was associated with the rapid growth of the fast food retail chain in the US and globally in the subsequent years. It took 33 years for McDonald’s to open its first 10,000 restaurants. While it touched the 20,000-restaurant mark in mid-1996, the total surpassed 23,000 by the end of 1997. McDonald’s celebrated its 50th anniversary on April 15, 2005... McDonald’s controlled many of its self-operated and franchised restaurants globally, managing the marketing, restaurant operations, HR, real estate development training, as well as quality control. As a consequence, the network was huge and the amount of information was massive. The company encountered many challenges in developing and preserving the information needed for effective decision making. To solve this problem, McDonald’s developed Information Systems to maintain and leverage the customers’ information across the globe. Decision support system is used to model data and make quality decision based on the data, making the right decision is usually based on the quality of the data and one's ability to analyze the data, Decision Support Systems are usually computer applications with a human component. They can sift through large amounts of data and pick between the many choices and supports the non – routine decision" McDonalds implemented the use of wireless internet in their restaurant in order to gather information about certain categories such as customer practice, length of stay and sales’ levels that are then later studied and analyzed with the help of the Decision Support System to come up with a decision that could help in the betterment of the restaurant. Analysts felt that erratic electric power supply would pose a challenge to the functioning of the McDonald’s restaurants as the total information systems relied on power supply. Another challenge was the staff lacking technical knowledge in case of information system failure. McDonald’s used Information Systems to increase efficiency and deliver quality food to its customers with advanced technology so that the food would be fresher, tastier, and hotter each time they delivered it. The Information System was also leveraged to decrease the effort, cost, and time involved in the procedures. Answer the Following Question. 1. Draw a SWOT analysis matrix including 2 points for each factor. Identify what strategic role IS will play for McDonald. 2. Discuss and debate the importance of information systems for an organization like McDonald’s and what strategies did they apply to have solutions. 3. Besides putting a new system, what else McDonald do to improve its decision-making process and their staff lacking technical knowledge. 4. Which factor/s in the IT acceptance would be the most important for employees to accept and use the new system?

Answer 1

ANSWER 1

SWOT analysis matrix :

McDonald's Corporation (McDonald's), a US-based worldwide burger and drive-thru eatery chain, had introduced a few Information Systems to for the operational comfort of its workers and to help them in their dynamic. It had executed these data frameworks to store and influence client data, offer fast assistance to the clients, give preparing to its representatives, and so forth. These frameworks were utilized to make it increasingly helpful for clients to purchase nourishment through electronic installments. Likewise, a powerful client relationship the executives technique was actualized to hold customers.

Starting at 2017, McDonald's was one of the world's biggest eatery networks. The organization had its underlying foundations in a little inexpensive food joint began by two siblings named Richard James McDonald and Maurice James McDonald in San Bernardino, California in 1940. A businessperson Ray Croc was related with the quick development of the cheap food retail chain in the US and universally in the resulting years. It took 33 years for McDonald's to open its initial 10,000 cafés. While it contacted the 20,000-eatery mark in mid-1996, the absolute outperformed 23,000 before the finish of 1997. McDonald's commended its 50th commemoration on April 15, 2005.

ANSWER 2

Importance of information systems for an organization like McDonald’s :

McDonald's controlled a large number of its self-worked and diversified cafés comprehensively, dealing with the advertising, eatery tasks, HR, land improvement preparing, just as quality control. As an outcome, the system was colossal and the measure of data was huge. The organization experienced numerous difficulties in creating and saving the data required for powerful dynamic. To tackle this issue, McDonald's created Information Systems to keep up and influence the clients' data over the globe.

Difficulties :

Investigators felt that inconsistent electric force supply would represent a test to the working of the McDonald's eateries as the absolute data frameworks depended on power supply. Another test was the staff lacking specialized information if there should be an occurrence of data framework disappointment.

McDonald's pre-owned Information Systems to expand effectiveness and convey quality nourishment to its clients with cutting edge innovation so the nourishment would be fresher, more delicious, and more sultry each time they conveyed it. The Information System was likewise utilized to diminish the exertion, cost, and time associated with the methods.

ANSWER 3 :

McDonald do to improve its decision-making process :

It was actually an essential stage for McDonald's to actualize these progressions and defeating the obstruction by representatives and clients. The board realized that their arrangement would possibly be fruitful on the off chance that they would have the option to deal with this obstruction effectively as they realized that accomplishing their authoritative objectives totally relies on the manner in which any protection from it is overseen. They needed to get the solid help in supporting the accomplishment as bringing the change is something that must be a persistent procedure that needs similarly significant post usage consideration also. Anyway understanding the entire situation, McDonald's attempted its best to defeat the opposition by embracing following strategies:

• Including everybody during the time spent change .

For McDonald's, the most significant point to begin with tackling the obstruction was to include everybody in the change procedure so everyone ought to experience some learning encounters so as to comprehend and welcome the targets of that change. The board gave them complete data to let them comprehend the goals in rolling out this improvement with the goal that they should acknowledge and value the significance of doing this and furthermore let the workers feel that they are significant in rolling out this improvement fruitful. This helped McDonald's in picking up the help from the staff and defeating their opposition.

ANSWER4 :

Factor/s in the IT acceptance would be the most important for employees to accept and use the new system:

Not many organizations will at any point draw close to the size of activity McDonald's has accomplished. In any case, the exercises the organization grandstands are in plain view to be learned by business people endeavoring to make their organization as well as can be expected be. The achievement of McDonald's can be credited to a lot more factors that have been talked about in this article, however these are some that have contributed vigorously to it. The takeaways:

• Creating solid, productive procedures and systems and staying steady on them consider organizations to create purchaser trust in the brand.
• Having the establishment of steady procedures permits organizations the adaptability to advance and adjust to customers' interests, and improve the brand with insignificant disturbance.
• Issues and personal times will occur in business. Having a set up compatibility with purchasers can assist organizations with being flexible when challenges emerge.
• Tune in. Clients realize what they need. The fundamental capacity of a business is to find these needs and take into account them. At the point when clients are mentioning to you what their wants are, it's a greeting for development and extending bonds for what's to come.