In the year 2021, McDonalds was acknowledged as the biggest fast-food chain globally. It served 69 million customers in over 100 countries, according to statistics. The role of the human resources department at McDonalds was crucial to that success.
It is said by commentators that the success of McDonalds can be attributed to various factors. This consists of its creative business approach, emphasis on customer happiness, and potential for expansion. Nevertheless, an essential aspect of McDonald’s achievements is its employees; therefore, it is crucial to analyze the human resources strategies of McDonald’s.
A Glassdoor review revealed that McDonald’s human resources practices received a rating of 3.5 stars out of 5. Moreover, 60% of employees indicated that they would recommend McDonalds as an employer. These numbers suggest that McDonald’s employees are content in their positions. Maybe one of the key elements playing a role in McDonald’s tremendous achievement.
Overview
McDonalds’ HR department plans, executes, and formulates strategies for recruiting, training, evaluating, and compensating staff members. The main goal is to give the company a competitive advantage.
McDonald’s human resources department is highly respected within the company’s sector. Its role is to make sure that the correct individuals are placed in appropriate positions based on their capabilities. It also entails matching the appropriate individuals with the proper roles at the appropriate time and expense.
McDonald’s worldwide operations are designed and coordinated in accordance with its plan-to-win operational strategy. McDonalds’ HR department also plays a role in supporting this overall strategy. The main focus of this strategy is the necessity to provide an exceptional customer experience.
The strategy for success centers on products, individuals, location, cost, and advertising (5Ps). By incorporating these 5Ps, McDonalds is confident that it can reach its goal of consistently enhancing the customer experience. McDonald’s strategy for managing its employees includes training, hiring, teaching, evaluating, compensating, and retaining staff.
The Role of Human Resources in McDonald’s Framework
McDonald’s corporate strategy is in harmony with its human resources management. This is in line with the flexible and ever-changing setup of the organization, particularly the significance of human resources in the McDonald’s framework. McDonalds’ organizational structure is based on functions and concentrates on various business components and operations to establish relationships and reporting lines within these separate components.
Below is a section of McDonald’s executive team organizational chart, illustrating the responsibilities of the human resources department.
Heidi Capozzi holds the position of Executive Vice President and Global Chief People Officer at McDonald’s, where she oversees the company’s worldwide human resources functions. Based on a recent HR reporting structure analysis, 13% of HR directors in various organizations directly report to the CEO. This applies to McDonald’s human resources. The results likely indicate the level of importance that employers place on human resources in the modern, high-speed work environment.
At McDonalds, there is a greater emphasis and importance placed on human resources practices. Research has shown that when the CEO oversees HR, they appreciate the value of HR’s role in the company and recognize it as a strategic component. Consequently, HR could become more prominent and indispensable in the organization.
McDonalds Philosophy on Human Resource Management
At McDonald’s, we’re not only about selling burgers to customers; we’re about serving people with burgers.
McDonald’s approach to human resources focuses on creating a positive workplace, valuing employee happiness, and providing competitive compensation and perks. The company’s human resources strategy plays a crucial role in ensuring a happy workforce that produces high-quality work efficiently. McDonald’s goal for human resources is to become the top employer in every community globally. Achieving excellence includes chances, skill enhancement, contentment, incentives, and acknowledgment.
“We’re not only about selling burgers to customers; we’re about serving people with burgers” – McDonald’s
The company has consistently emphasized to its employees that it prioritizes their health and safety. A typical pledge made by McDonald’s is to let all current and prospective employees know that they are dedicated. Your growth, contributions, and value to us are highly appreciated.
McDonald’s HRM practitioners have employed various solutions at operational and strategic levels to deal with internal and external variables. These encompass recruitment and onboarding methods, staff engagement initiatives, implementing HR processes online, ethical sourcing guidelines, and worldwide HR tactics.
The HR technology trends of the company involve engaging employees and fostering connectivity through mobile apps and social platforms, as well as utilizing digital tools such as VR and analytics for training and assessment.
Programs for Learning and Development
McDonald’s offers various training and development chances. These efforts focus on enhancing staff members’ skills and knowledge while aiding in their career growth and the company’s prosperity. McDonald’s HR uses a combination of learning techniques to implement training programs. The following techniques are comprised as follows:
- McTalent Development Program allows externally hired talents to quickly advance to the Store Management Team. It offers customized training for individuals to quickly advance to the roles of restaurant general managers and mid-managers.
- The Star Competition is a renowned employee event that combines training, learning, and enjoyment. It serves as a stage for individuals to demonstrate their ongoing training progress and camaraderie as a team, offering incentives and acknowledgment for those who excel.
- Classroom training involves interactive activities and clearly defined learning goals. The training takes place either inside or outside of the restaurant and is led by skilled trainers to ensure effective transfer of knowledge. The activities consist of webinar broadcasting, completing a capstone course, dining at a restaurant, analyzing a case study, going on visits and tours, taking an online assessment, and more.
- Coaching while working and online learning. The strategy allows individuals to start their own learning path and develop essential operational skills and standards autonomously, while also giving them the opportunity to collaborate closely with a coach. This helps develop useful skills for restaurants and shows how the concepts operate in a real-world setting.
- Hamburger University is an essential part of McDonald’s training and development initiative. It provides guidance on restaurant management for promising restaurant managers, mid-managers, and owner-operators. Hamburger University students enroll in classes on restaurant operations, leadership skills, customer service, operations, and procedures. The knowledge acquired at university is a valuable asset for workers throughout their lives.
The core of the McDonald’s training program is offering training at the right time and location. Team members at McDonald’s can achieve mastery and a strong dedication to the specific processes and protocols of the system through hands-on training. Some employees will remain working at the restaurant as key team members, while others might opt for a management role. Regardless of starting role or professional journey, McDonald’s training provides valuable life skills that can be used in diverse situations.
McDonalds Recruitment and Selection
McDonalds follows a particular hiring procedure at the majority of its establishments. Some locations could have a distinct hiring procedure of their own. Typically, the hiring and choosing process at McDonalds follows the procedure detailed in this section, which is taken from the McDonalds website.
Basic eligibility requirements apply to most positions. Requirements include being a minimum of 15 years old, possessing multitasking skills, strong communication abilities, attentiveness, and a willingness to work collaboratively.
However, the specific requirements may vary depending on the position, so it is important to carefully read and understand the job description before applying. Typically lasting around an hour, the application process involves submitting availability, work experience, and contact details. An assessment of personality traits is also administered to assess qualities required for the role.
Review of an application
After being submitted, the applications are reviewed by hiring managers. This evaluation involves a review of the responses to the personality assessment. Applicants whose skills and characteristics match the company’s requirements will be scheduled for an interview, which can be conducted online, over the phone, or in person.
Interviews conducted via video or over the phone
Regardless of how the interview is conducted, thorough preparation is essential. Tips for video interviews are helpful for individuals preparing for online interviews. On the other hand, preparing for a phone interview is very similar to preparing for a video interview, except that there is no need for a webcam setup.
Visit at the location
Candidates requested for face-to-face interviews should come on time and ready, carrying necessary papers like ID and social security cards, in addition to a resume. Even if certain documents are not required in the interview, having them shows efficient organization and fast decision-making.
Screening process before being hired for a job
McDonald’s verifies the criminal history and educational background of job applicants through standard procedures. While not standard practice, the company has the authority to conduct pre-employment drug and alcohol tests in certain situations, like when there is a suspicion of impairment, which could result in disciplinary measures.
Message alert
McDonalds offers jobs to individuals who successfully finish the interview process and pre-employment screening. In the first phone call, conversations take place regarding when the person is available and arranging a set date for reporting officially. Training may be required in the first few weeks, depending on the candidate’s level of experience.
Attractive Salary and Benefits
To attract and retain skilled workers, McDonalds provides competitive compensation tailored to the job position of each employee. The company analyzes competitive salary information and industry patterns to set appropriate salary ranges and ensure adherence to all applicable wage and hour laws.
Glassdoor reports that McDonald’s offers a comprehensive benefits package, which includes insurance, health coverage, vacation time, and financial and retirement benefits. In general, American employees on Glassdoor gave the pay and benefits a 3-star rating.
- Competitive compensation packages are created to lure, involve, and incentivize employees by aligning with the market value of a role. McDonalds regularly evaluates the competitiveness of its pay rates by comparing them to similar peer organizations of the same size, scale, performance requirements, and talent pool.
- Employees at the company are fairly compensated based on their job, duties, influence, location, experience, expertise, abilities, and achievements, regardless of gender, race, ethnicity, or other protected personal traits. This is supported by the company’s Diversity, Equity, and Inclusion (DEI) policy.
McDonalds’ approach to compensation extends beyond just salary. It is created to spark outstanding performance, recognize accomplishments, and influence behaviors that reflect company values.
McDonalds values clear communication in order to transparently explain pay programs with regular updates and a focus on simplicity. This makes sure that all employees comprehend the connection between their hard work and the benefits they receive. Moreover, the company works with the highest level of honesty, following all applicable laws and regulations to establish confidence and encourage a conscientious workplace.
Tools to accomplish the task
McDonald’s enables its staff to stand out by providing them with the necessary tools and support to succeed. McDonald’s human resources department promotes a work environment that values productivity and well-being through providing well-equipped kitchens, training programs, and flexible work schedules. This formula for achievement guarantees content employees and, in the end, pleased customers.
McDonald’s crew success is driven by human resources providing abundant resources: restaurants strategically staffed, kitchens well-equipped, training comprehensive, and scheduling flexible. This confident team of employees confidently handles each order, creating uniform meals and spreading positive energy, leading to happy customers and a flourishing atmosphere.
Final thoughts
It can be said that McDonald’s HR has put in place various initiatives to enhance employee performance, organizational culture, and employee engagement with the company. It is important to learn from the McDonalds HR framework in order to enhance organizational results.