Author Archives: Mohamed Hossein

Case Study

The most demotivating part of Harper’s job is too much work she is doing after Joe left (Professor Buckler, n.d.). Although they had a good connection with Joe, Harper loves her work, but the addition of responsibilities is overwhelming her. Since the company has not yet replaced Joe after he left, Harper is doing most of the roles he was taking; hence she is doing much overwhelming work, even having difficulty balancing work and life. Therefore, the most demotivating part of Harper’s job is the lack of company not replacing Joe and not recognizing the amount of work she is doing after Joe left.

            If I were an HR manager, I would advise David to create time and listen to Harper’s grievances. I will tell him the importance of Harper in the company; hence it is significant to re-engage her to ensure she does leave the company. I will advise David to use the fourth retention strategy where he should create a culture of open communication. Open communication will help Harper air her grievances regarding the need to replace Joe as soon as possible because most of the roles he left are overburdening her (Scalco, 2017). I will also advise David to look for ways to distribute tasks among the team to ensure no overburdening of one employee.

            Losing Harper as an employee will be costly because she has been instrumental in carrying out several tasks for the company. The downside of losing Harper is that her role will be vacant together with Joe’s role; hence, most tasks will stop. The company will be forced to be quick to respond to hiring, which might end up employing the wrong people due to hurry. Therefore, the company should try to retain Harper and replace Joe to ease Harper’s burden.

Scalco, D. (2017, June 19). 8 effective employee retention strategies. Zippia For Employers. https://www.zippia.com/employer/8-effective-employee-retention-strategies/

The Founder

The primary difference between Kroc and the McDonald brothers is their entrepreneurial focus. The brother primarily focused on the quality of their product and consumer satisfaction. While they wanted to grow eventually, they wanted to develop at a pace they could control because they had a well-run business. In contrast, Kroc was more concerned about exponential business growth and profits. He realized that the burger joint was a gold mine and pushed the brothers to grow beyond their comfort before he freed himself from the initial contract by creating new franchises under which the brothers had no stake.

I strongly believe that selling out to Ray was wrong. Getting $2.7 million seemed good at the time, but it was counterproductive. The initial deal highlighted a $950 franchise fee with a 1.9% service fee and 0.5% to the brothers and the remaining to Ray Kroc. However, the joints were bringing in substantial revenues annually on franchising McDonald’s. While their amount wasn’t small, their 0.5% would have been giving them extensive profits if they had not sold out to Kroc. The McDonald’s brother’s royalties would have amounted to a couple hundred million by today’s standards. Conversely, I understand their hesitance to deal with a power-hungry individual who would have dragged them through the mud with legal issues and led them to abandon their principles governed by offering quality products and customer satisfaction.

The franchisees made money depending on their stores’ success. They made money from the revenue from offering services and the overall sales. Generally, they made money from the remaining amount they were left with after clearing overhead costs from the profits. The overhead costs in ‘The Founder’ included paying for equipment, supplies, staffing, and the location of the franchise. When franchisors collected the fixed and percent fees, the remaining amount was the profit they took home or further invested in McDonald’s.

Kroc made money through the real estate business. Upon inception of the Realty Corporation, Kroc and Sonnerbon would locate sites, buy them on a contractual basis for a while and show the landowner the vision they represented, after which the landowner would lower the interest to fit a building loan. He would then obtain bank loans to finance the store for franchise owners, lease the buildings to them at a fee over the total, and the percentage rent would kick in at a percentage of sales over a previously determined base. This method proved useful to Kroc since the initial agreement benefited the brothers and the franchise owners and left Kroc to fend for himself as he bore the costs. Therefore, unlike franchisees who made money from the remaining money after deductions, Kroc made money through his real estate method.

After watching the film, I do want to say that yes, it somewhat changed my perspective on McDonald’s. Kroc represents the business values depicted by most multi-national companies and monopolies where capitalism is the purest virtue, and any other factors and casualties are irrelevant. His self-help texts resemble unfounded clerical texts, bold while also cynical. Despite his blatant opportunism, he assumes he’s the model of idealism. Since Kroc built his success on the sweat of the McDonald’s brothers and stole their ideas and their name in the name of “persistence,” it creates a negative perception about the ethical principles and standards that govern the franchise, much like trying to understand the tech monopoly across the globe. Still, while the movie left a bad taste in my mouth, I will find myself ordering a quarter pounder and a shake.

References

Hancock, J. L. (2017). The Founder. Written by Robert Siegel.

Ethics

McDonald’s is the company I interact with daily. McDonald’s is a restaurant that deals with fast food. It is one of the most popular restaurants in America, and it is an established company (Zhang et al., 2020). McDonald’s Corporation was established in the year 1940. The company is controlled by Maurice and Richard in the United States. McDonald’s mainly serves its customers hamburgers, French fries, and chicken products. McDonald’s is ranked as the biggest restaurant firm in the world. However, McDonald’s has social responsibilities and ethical principles like other companies. When considering the moral duties of McDonald’s, you have to consider the following the following factors such as philanthropy, energy conservation, sustainable supply chains, reducing carbon footprints, fair trade, and community services.

            McDonald’s Corporation takes part in community activities. Apart from serving the community with its services, it also gives hands back to the community. McDonald’s helps in fundraising and volunteers that help the society. They have formed an organization known as Ronald McDonald House Charities; this program and McDonald’s National scholarships give funds to society through programs that support ethical principles (Nee et al.,2018). McDonald’s supports these events financially through sports and community events with global inspiration

            The concern of energy conservation is a priority in the company of McDonald since the fast-food uses energy to be prepared. Energy conservation affects the profit of a product sold to the consumer. Therefore, McDonald’s acknowledges that kitchen equipment’s responsible for saving energy. However, to cut half the power used to cook each meal on the menu requires an upgrade in the kitchen equipment (Raj et al., 2021). McDonald’s has been making plans with its kitchen equipment suppliers to work on the energy efficiency of its products. McDonald’s finds a solution of using low energy by using small oil volume fryers. Also, McDonald’s restaurants are well ventilated to reduce heating. McDonald’s is one of the most channeled corporation businesses globally (Heymann, 2020). The company has extended its restaurants in many countries. All McDonald’s restaurants work greatly, meaning the management does a very good job. McDonald’s products’ top priorities include chicken, chips, beef, coffee, and palm oil. McDonald’s always gets challenged by its customers since their expectations keep evolving. To be ready to cope with the consumers, McDonald’s works with global reliable suppliers and farmers worldwide that provide them with quality products.

            Many industries today have resulted in global warming. Companies that deal with the production of goods through energy are expected to observe their carbon footprint to take care of the environment. McDonald as a corporation, respect nature and take action to reduce the amount of carbon dioxide let into the atmosphere. McDonald’s believes that climate change can impact and affect communities globally. However, McDonald’s has laid a carbon footprint reduction strategy (Schramade, 2019). McDonald’s was the first restaurant in 2018 to open a science base purposely to help reduce greenhouse gas. McDonald’s achieved to ensure all their products come from sustainable, verified sources. McDonald’s also greatly supports other traders who sell them products. McDonald’s buys whitefish in large amounts. Therefore, they boost the trade between them and the fishermen (Heymann, 2020). McDonald’s is a world supporter of coffee and the company campaigns for the sustainability of coffee sources.

            During a crisis, you will find McDonald delivering food to communities to help. McDonald’s has launched various programs to keep families together close to care facilities. McDonald’s and the Franchisees, major owners of McDonald’s restaurants, offer sponsorship and resources to local communities globally (Zhang et al., 2020). Worldwide, McDonald’s staff members have a culture of volunteering their time to focus on supporting the community. McDonald’s is a source of employment for society, and therefore, I would like McDonald’s to teach life skills to its labor force. McDonald’s is an established cooperation channel of restaurants. In the past years, it has gained more customers and managed to penetrate the world of consumers. McDonald’s has gained the trust of consumers globally. Every day they earn customers by serving them safe food and respecting both customers and staff members.

Reference

Heymann, L. A. (2020). The Meaning of McDonald’s. Jotwell: J. Things We Like, 1.

http://library.wou.edu.my/vertical/vf2018-17.pdf

https://francis-press.com/uploads/papers/9V0GPeS7XUGX4DSZ6SR4oJ2UdPD3Yvusj6qjOzYW.pdf

https://kkgpublications.com/wp-content/uploads/2020/12/ijhss6.20004-6.pdf

https://scholarship.law.wm.edu/cgi/viewcontent.cgi?article=1531&context=popular_media

https://sif.overcastcdn.com/documents/McDonalds.pdf

Nee, L. G., & Arumugam, P. V (2018). Environmental Corporate Social Responsibility Management, ECSRM, and Strategy to Reshaping Consumer Behaviour.

Raj, S. K., & Singh, N. K. (2021). Strategizing fast food industries using a balanced scorecard approach: A case study of Mcdonald’s Corporation. Raj, SK & Singh, NK (2020). Strategizing fast food industries using a balanced scorecard approach: A case study of McDonald’s Corporation. International Journal of Humanities, Arts and Social Sciences, 6(6), 258-273.

Schramade, W. (2019). McDonald’s: a sustainable finance case study. Erasmus Platform for Sustainable Value Creation.

Zhang, R., Wu, C., Yin, J., Liu, L., Cheng, L., & Xin, X. (2020). Corporate Social Responsibility (CSR) Survey—KFC, McDonald’s. Academic Journal of Business & Management, 2(8).

Mohamed Hossein

Hello all! My name is Mohamed Hossein and I attend Brooklyn College. I decided to apply for an e-permit and take this course as I intend on graduating this semester considering the fact that some times, not all courses are offered at your college. My major is business finance and I hope we can all get to know each other better and hope this semester goes by smoothly! I love to drive, travel, and spend time with family and friends. Here’s my BMCC email: mohamed.hossein001@stu.bmcc.cuny.edu

Mohamed Hossein

Hello all! My name is Mohamed Hossein and I am a business finance major. I am a senior who attends school at Brooklyn College taking 6 classes! I love to drive, travel, and take pictures. I hope we all can become friends and hopefully, have an amazing semester together! Here’s my BMCC email: mohamed.hossein001@stu.bmcc.cuny.edu