Report on McDonald's HR Management
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McDonald's is the largest fast food retailer globally with over 30,000 locations across 121 countries. It aims to be the best quick service restaurant experience worldwide through strategies like being the best employer, delivering excellent customer service, and achieving profitable growth. McDonald's Pakistan operates 21 restaurants across major cities since opening its first location in 1998. It focuses on recruitment, training, performance reviews, incentives, and benefits to attract and develop employees according to its values of quality, service, cleanliness and value. Safety is also emphasized through various precautions and programs.
![Human Resource Management
Cash Based
Incentives
• Attendance Allowance
• Annual Allowance
• Medical Allowance
• Hard Soft Furnishing [HSF]:
Once in every year certain categories of employees can
furnish their houses with the carpet, furniture, curtains
etc at the McDonald’s expense.
• Leave Fair Assistance [LFA]:
Once in two year managerial level employees are
allowed to choose any area for tourism in Pakistan with
family for 10 days.](https://image.slidesharecdn.com/reportonmcdonaldhr-140516060838-phpapp02/85/Report-on-McDonald-s-HR-Management-32-320.jpg)
Report on McDonald's HR Management
- 2. Human Resource Management Introduction • McDonald’s is the largest and best known global food service retailer with more than 30,000 restaurants in 121 countries, and best known global food service. • McDonald’s serves less than one percent of the world’s population. • McDonald’s outstanding brand recognition, experienced management, high quality food, advanced operational systems and unique global infrastructure ensure a position that enables them to capitalize on global opportunities.
- 3. Human Resource Management Vision “The world’s best quick service restaurant experience.” World Wide Strategies 1. Be the best employer for people in each community around the world. 2. Deliver optional excellence to customers in each restaurant. 3. Achieve enduring profitable growth by expanding the brand and leveraging the strengths of McDonald’s system through innovation and technology. To achieve their vision they are focused on three world wide strategies:
- 4. Human Resource Management Welcome to McDonald's Pakistan • McDonald’s Pakistan is part of the Lakson Group of Companies, a leading business house in Pakistan. • McDonald’s first restaurant opened its doors to the people of Pakistan in September 1998 in Lahore. This launch was met with great enthusiasm from the citizens of Lahore, who are known for their liveliness, vigor and desire for quality food. • Karachi opened its first restaurant a week after Lahore.
- 5. Human Resource Management • There are now 21 restaurants in four major cities of Pakistan ( 9 in Karachi, 1 in Hyderabad, 8 in Lahore ,1 in Faisalabad,1 in Islamabad and 1 in rawl). • McDonald’s is firmly committed to give back to the community where it operates. They are happy to become involved because they recognize that organizations have a role to play in helping communities to work successfully. Welcome to McDonald's Pakistan
- 6. Human Resource Management GM Real Estate DOCEO Country HR Manager GM Finance Country Production Manager GM Operations GM Equipment GM Marketing Training Consultant HR M Karachi HR M Lahore HR Coordinator HR Coordinator Op. Manager Op. Manager 1st Asst 2nd Asst 2nd Asst FM FM FM FM Op. Consultant Op. Consultant Res. Manager Training Coordinator Asst. HR M
- 7. Human Resource Management Human Resource Country HR Manager says: “HR means keeping a balance between employer & employees because it is our strong belief that it is people, not machines, which make the difference.” Objective “To satisfy the internal customers because they are the window to the external customers.”
- 8. Human Resource Management HR Department Activities • Recruitment and Selection • Training and Development • Performance Appraisal • Employee Benefits • Incentives • Medical Cover • Welfare amenities • Health & Safety
- 9. Human Resource Management Designing of Job Mission Statement: "Don't worry about making money Love what you're doing and always put the customer first... And success will be yours!" Country HR Manger says: “We actually blended the business needs of our local business with the international guidelines, then create the job and accountability profile and define the scope of the work and responsibilities.”
- 10. Human Resource Management Job profile of a Restaurant Manager • A Restaurant Manager is responsible for running an independent restaurant. • Training, motivating and leading a team of 50-100 employees. • Independently managing the restaurant's operations in terms of sales, profitability and community relations. • Delivering 100% Total Customer Satisfaction to every customer - every time.
- 11. Human Resource Management Recruitment & Selection Mission Statement: “Some people wait for the future. Some push it along. We don't have waiters.” Core Values At McDonald’s, people are the most important factor. They seek only those people, who can think, feel, express themselves, learn, teach and hence grow. Their growth is the company’s growth.
- 12. Human Resource Management Fresh People: McDonald’s provides thorough In-house training to fresh people relatively inexperience people. Hiring people having no previous work experience also helps them greatly in adjusting to the distinct culture of the organization. Justified Selection: The selection is entirely based on merit which conforms the selection criteria without any bias towards gender, religion, race, color, nationality, age. Core Values
- 13. Human Resource Management Role of HR Department • Develop guidelines and procedures. • Provide recruiting services and staff support. • Council Restaurant Manager to make final employments decision. • Provide basic training to newly hired employees.
- 14. Human Resource Management Techniques for Forecasting Two models: 1) TCPMH Transaction Count per Man Hour 2) SPMH Sales per Man Hour
- 15. Human Resource Management Types of Recruitment • Internal • External Sources in Internal Recruitment • Job Posting
- 16. Human Resource Management • Advertisements in Print Media • Advertisements on website • Internship Programs • Walk-ins Sources in External Recruitment McDonald’s advertise depending on the vacancies as the need arises.
- 17. Human Resource Management Selection Procedure 1. Screening of Applicants After building a pool of candidate’s applications, short listing of selective applications is done by the HR manager. 2. W-I-S This is the written test. The reason for the written test is to assess that whether the recruits are able enough to fulfill the general practical requirements of the job. The HRD department designs and conducts the tests as and when hiring needs arises. 3. Initial Interview The ONE to ONE interviews conducted by Restaurant Manager.
- 18. Human Resource Management Selection Procedure 4. Reference Checks They look at the references that have been provided by the candidate, they check if the references are valid or not. 5. Final Interview Candidates who have passed their TEST are called for the final interview. Interview is done by a panel of five or six interviewers.
- 19. Human Resource Management Mission Statement: “Values that last a lifetime” Orientation • Provides new employees with basic background information they need to perform their job satisfactorily. • New employees get a handbook:- - Working hours - Performance reviews - Vacations - Employee benefits - Personnel policies - Safety measures and regulations The orientation is performed by the HRD Manager and the employees are introduced to their supervisors.
- 20. Human Resource Management Mission Statement: “We value you, your growth and your contributions.” McDonald's People Promise
- 21. Human Resource Management Training & Development Mission Statement: "Learn while you earn" According to training coordinator Mr. Khalid: “Training is an important part for our employee’s McDonald’s work experience and starts as soon as he joins the McDonald’s team. Crew Trainers, Managers and other employees will work shoulder to shoulder with him”
- 22. Human Resource Management Types of Training 1) On the Job Training: Every day, around the world, restaurant members receive on-the-job training and coaching in skills and procedures essential to their work. 2) Classroom Training: Classroom courses, developed and led by training experts, prepare outstanding restaurant employees for advancement.
- 23. Human Resource Management Types of Training 3) Computer-Based Training: A new computer-based training system is bringing interactive learning experiences to crew members and managers right in the restaurants.
- 24. Human Resource Management Levels of Training 1) Crew Member’s Training: . Crew members are trained extensively on all food safetAt McDonald's, training never. Trainees work while they learn the operational skills necessastopsy and food handling processesry for running each of the 25 positions in restaurant - from front counter to the grill area.
- 25. Human Resource Management 2) Manager’s Training: McDonald's is dedicated to professional training and development. The average McDonald's restaurant manager spends more than 2,000 hours over four years in training of one kind or another. This is about the same amount of time that a typical four-year college student spends in the classroom. Levels of Training
- 26. Human Resource Management Conclusion about the Training "." Part of training focus ensures that every one of our employees, from regional managers to crew members, understands Ray Kroc's prescription of Q, S, C and V - quality, service, cleanliness and value," says Mr. Khalid, "That's what brings people into our restaurants day-in and day-out. Our training also shows them how to serve one burger to one person at a time, thousands of times a day
- 27. Human Resource Management Specific Training Courses 1. Floor Management Course (FMC) 2. Management Development Program (MDP) 3. Operations Consultant Course (OCC) 4. Training Consultant Course (TCC)
- 28. Human Resource Management Performance Appraisal Mission Statement: "None of us is as good as all of us." According to Country HR Manager: “To embed our values, we give our people 360-degree evaluation, with inputs from superiors, peers, and subordinates. These are the roughest evaluation we get, because people hear things about themselves they’ve never heard before.”
- 29. Human Resource Management Performance Review is a formal process in McDonald’s twice a year where each employee is evaluated in order to determine how he or she is performing. The appraisal process in McDonald’s includes PA forms for every particular job which involves: -International McDonald‘s standards. - Assessing the employees’ actual performance relative to these standards. - Providing feedback to the employees. Performance Appraisal Process
- 30. Human Resource Management Out Standing Excellent Good Need Improvement Levels of Performance Appraisal After giving the total grade to the employee the appraiser writes down about the strength and the areas needing improvement of the employee.
- 31. Human Resource Management Incentives Mission Statement: “The best results come when you combine profit sharing with greater worker involvement and give employees information about the Company’s financial performance.” 1. Cash Based 2. Non Cash Based Types of Incentives
- 32. Human Resource Management Cash Based Incentives • Attendance Allowance • Annual Allowance • Medical Allowance • Hard Soft Furnishing [HSF]: Once in every year certain categories of employees can furnish their houses with the carpet, furniture, curtains etc at the McDonald’s expense. • Leave Fair Assistance [LFA]: Once in two year managerial level employees are allowed to choose any area for tourism in Pakistan with family for 10 days.
- 33. Human Resource Management • Crew of the Year • Crew of the Month • Branch of the Year • Access to gift certificates • Merchandise • Free food Non Cash Based Incentives
- 34. Human Resource Management Benefits When employee joins the McDonald's management team, he will receive the following: Profit Sharing: Fully funded by McDonald's. Share in the profits of the most successful quick service restaurant in the world. Vacation: Increased vacation time per years of service. Mission Statement: “We know we can’t afford everything for every one but neither do we deny to any one.”
- 35. Human Resource Management Benefits Leaves: McDonald's employees can also apply and obtain a leave of up to two months for personal reasons or to study for examinations or school projects. Company Car: Restaurant managers are eligible for a company vehicle after only three years of service. Educational Assistance: McDonald's offers an educational assistance program for its employees.
- 36. Human Resource Management Benefits Social Activities: Enjoy a variety of activities with his team which could include an annual Convention, summer picnic or outing, Eid Party etc. Uniform: All the employees accept those working in the offices are given uniforms Flexible hours: The restaurant opens for business 18 hours a day and that means work at McDonald's can fit into anyone's schedule. Schoolwork, family or personal activities can be scheduled around working hours.
- 37. Human Resource Management Workplace Safety “McDonald's restaurants have workplace safety programs in place to ensure that McDonald's high safety standards and procedures are clearly communicated and reinforced day-to-day. As an important member of McDonald's team, Employee will be taught to identify and report any potential hazards and encouraged to suggest ways that health and safety can be continually improved.”
- 38. Human Resource Management Special Precautions • Use gloves • Apron • Hand Cleansing Gel (HCG): After every 30 minutes, there is a call from the floor Manager to all the employees on the floor to apply HCG on their hands to kill the bacteria. • Hand Washing: After every 1 hour, there is call from the floor manager to all employees on the floor to wash their hands. • Tender Loving Care (TLC) • Fire prevention program
- 39. Human Resource Management Separation:- Reasons: 1)Disciplinary: Violation Stealing Confrontation 2) Performance: Poor Performance
- 40. Human Resource Management Country HR Manager Mian Tahir Javed’s Message “People are hired on the basis of their personality traits (i.e. education, family, social class, style, experience, etc), but are fired due to character traits (i.e. dishonest, cheater, untruthful, corrupt, etc.)”
- 41. • No doubt McDonald's is a huge giant size organization but it also has some weaknesses. • Provision for part time employees. • One Female manager must be in every branch. • McDonald's must start its services for customers as well as product. • Recruitment must be conducted for higher posts. Human Resource Management SUGGESTION AND RECOMENDATION
- 42. • Selection process should be clear as transparent. • There should be proper and flexible arrangements for training of managerial level employees. • Job enlargement and job enrichment should be applied for retention of employees. • There should be more than one feed back session for improvement of performance of employees. Human Resource Management SUGGESTION AND RECOMENDATION
- 43. Human Resource Management McDonald’s on Web McDonald’s International http://www.mcdonalds.com McDonald’s Pakistan http://www.mcdonalds.com.pk BIBLIOGRAPHY
- 44. Human Resource Management References URL: http://www.mcdonalds.com.pk Other sources: Notes provided by the Country HR Manager,
- 45. • Interview • Questionnaire • Observation • Portals of Company • Catalogs • Annual Report Human Resource Management Data Collection Methods
- 46. Human Resource Management Interview Questions How many workers working in your organizations? What is the current situation of your organizations? From where you recruit your employees? What is your recruitment process? On which media you generally advertise? Do you recruit through any agency? Do you recruit on internet? Do you recruit according to seasons? Do you use new technologies to predict personnel requirement?
- 47. • Do you follow merit policy or some reference? • What are your communication systems? • Do you give any break to your employees during working time? • Is smoking prohibited or allowed in your organization? • Have you equal opportunity to managers and clerical staff? • What is your policy for employees vacations and leaves? • Do you have any orientation program? Human Resource Management Interview Questions
- 48. • What is your training process? • How do you predict personnel requirement? • Do you have any morality program in your organization? • Do you give any diploma to employees who complete their trainings? • How you access that current employee need training? • Is there reward for the person, who do something for organization? Human Resource Management Interview Questions
- 50. This presentation has been downloaded from My Perception