In: Operations Management
5.5 ANALYSIS OF ANNUAL REPORT OF McDONALD'S IN 2015 The annual report of Mcdonalds in 2015 is a well written report that has covered mostly all the aspects that needs to be framed while putting doen the collective data of the year.The report has covered topics relating to its business,distribution,financial statements,risk factors,legal proceedings,quantitative and qualitative disclosures about market risk.The report also shares the data of unresolved staff comments and relationships and related transactions. Headings are very important and they have used the headings quite frequently in the report.All the headings are relevant and concise and the data under the heading is in syncronization with the heading.So overall the report is a well structured annual report.The index has all the headings that are described in the report.So before going through the report ,one has an idea of what are the topics covered in the report. Reports also contains various charts,figures and graphics that has made the analysis easier and effective.Through charts and figures,one can actually see the results and compare it with the competitors and managers get an idea of where they lack and by what numbers.Mcdonald's has given a comparison of cumulative 5 year total return through a graph.They have also provided the chart of their financial sheets of years 2010,2011,2012,2013,2014 and 2015.This gives the clear comparison of the business done and profits of the company in these years.They have shared the details of comparable sales and guest account sales in a chart.They have also given the consolidated data of the financial statements. Based on all the data ,charts,graphs and graphics the report has concluded a result of each chart,graph and figure.So they have used the diagrams effectively and prepared results on the basis of the data mentioned.They have results stating that the company has the largest market segment in US. Overall the report is a well structured report with all the data use effectively 3 aspects that i would like to use : the way they have used charts,figures and graphics geographic analysis is well explained in the report they have nicely compared the financial statements of the years from 2010 to 2015 3 aspects that i would like to improve: provide more in house details like about the work culture that is also responsible for a good business management details not covered market segmentation is not mentioned.
WORK CULTURE=
People-Centricity. McDonald’s organizational culture prioritizes employees’ needs and development. The company’s Core Values and Standards of Business Conduct emphasize the importance of supporting people. This is understandable, considering that McDonald’s is a service business. To ensure support for people, the company’s organizational culture encourages employees to engage management to help improve processes and procedures.
Individual Learning. McDonald’s organizational culture highlights the importance of lifelong learning. The belief is that individual learning promotes productivity, quality, and business effectiveness. To facilitate individual learning, the company offers training and development opportunities through Hamburger University, internships, global mobility, and leadership development programs. These efforts ensure that McDonald’s maintains an organizational culture that motivates employees to keep learning.
Organizational Learning. McDonald’s organizational culture also supports organizational learning. The firm aims to use individual learning to develop organizational knowledge to push the business forward to new heights of performance. McDonald’s applies this feature of its organizational culture through policies, programs and meetings that encourage employee feedback and knowledge sharing.
Diversity and Inclusion. McDonald’s official human resource management policy states that diversity and inclusion are key factors in the firm’s organizational culture. McDonald’s recognizes the importance of diversity and inclusion in optimizing HR capabilities to deal with an increasingly diverse market. To ensure support for diversity and inclusion, McDonald’s organizational culture encourages employees, suppliers, franchisees, and customers to give their feedback and engage in meaningful conversations to improve the business.