After all, the company rationalized that new menu items had always been a part of McDonald's innovative image, and keeping on the cutting edge of restaurant trends, as had been the case with the introduction of its innovative breakfast sandwich items like the Egg McMuffin in 1976 and Chicken McNuggets in 1980 ("McDonald's Case Study,"2008).
Effectiveness of the Decision-Making Process
One problem with initiating changes like the "Made for You" campaign in the fast food industry is that customers are not always cognizant that the changes have occurred, as they are not usually connoisseurs of the food, only apprehending vaguely a decline or improvement in quality. "It seems a little bit better," observed one consumer when prompted by a reporter, noting "the bacon looks like it's just been cooked." Another frequent McDonald's patron was more complementary: "it seems like the Quarter Pounder is juicier," declared Rosemary Frigo, a nurse from Downers Grove, Ill., as she devoured an Extra Value Meal at the McDonald's in nearby Darien. 'The Quarter Pounder used to be thrown in the microwave sometimes and they would overcook the meat,' she added" (Canedy 1998). Still, there was the embarrassment of the similarity to Burger King's famous slogan that customers could 'have it their way,' a problem not apparently anticipated in McDonald's harmonious decision-making process (most of the top level management had agreed to undertake the change without much debate). Upon the "Made for You" campaign launch, Burger King crowed "that in letting customers choose their trimmings," McDonald's has essentially adopted the approach that it has long touted under its slogan, "Have it your way" and Burger King spokespersons openly forecasted that the new campaign would generate unintended publicity for Burger King, not cause customers to return to McDonald's (Canedy 1998).
Yet McDonald's brand proved more durable than Burger King would like to have believed. Food cost savings came even swifter than expected -- at one Manhattan McDonald's, food wastage costs "declined by about $100 a month" while sales increased 7% in the year that the outlet has been using the new system. Less successful in the new campaign were the new menu items based upon the competition. The lesson learned was this: customers did not notice or care that the new delivery and assembly model was inspired by Burger King. However, they did care if the new menu items seemed like imitations of Burger King originals like the Whopper and did not 'bite' at the new offerings, wisely thinking that they would go to the original source, rather than sample McDonald's knock-off. Unlike the truly innovative Egg McMuffin, which brought hot breakfasts to a once breakfast-phobic, cereal eating nation, the Whopper imitation fell flat. There was nothing new about the Big Extra's taste or presentation, fundamentally, unlike the earlier introduction of Chicken McNuggets. Interestingly, when Burger King created a burger with mayonnaise to challenge the Big Mac's ascendency on the front of 'special sauce' or mayo-laded burgers, it was also ignored by Burger King and McDonald's loyalists alike (Canady 1998).
Reflect on your own decision-making process
The lessons of McDonald's may seem to be contradictory -- McDonald's gained a huge payoff and competitive advantage, instituted substantial savings, and experienced less difficulties than anticipated with a 'pull' generated system of hamburger assembling, driven by demand, rather than its usual push system which anticipated demand and held the burgers for too long. Yet its other imitated decision, inspired by Burger King, to introduce new menu offerings similar to that of its rival did little to rehabilitate the company's fortunes. Why? McDonald's had to remain true to itself, to its expected offerings and to its image of offering good-tasting, fast food Learning from Burger King's supply chain did not impinge upon McDonald's brand integrity, shamelessly copying the Whopper did.
These core competencies are the focus of the recommendations given to McDonald's for the resolution of the described problems. By striving to improve their core competencies, McDonald's will be able to improve the customer service they offer to customers considerably as well as to satisfy their customers better Hammer & Stanton, 1999() Improving production consistency The big secret behind the success of McDonald's is that the company has long strived to
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