The paper “ Change Management as a Vital Process in McDonald's Organization Lifecycle” is an affecting example of a case study on management. McDonald's was started in 1954 and by the end of the 1960s, it had more than 1000 franchises across the USA. The organization's first multinational venture was a franchise in British Columbia in 1967. The fast-food chain has expanded globally and has more than 30,000 locations in more than 118 countries (Gilbert, 2011). The fast-food chain has an estimated 58 million customers daily globally. The organization has worked hard to make sure that their fast food menu is healthy due to the current trend of healthy eating.
McDonald’ s organization structure is headed by the chairman. I once worked for McDonald's in the marketing division and evidenced the change management process in the organization. I worked under the marketing manager in the organization. During this period, I noticed a decline in customer satisfaction and also loss in the branch. The organization structure is as follows (Gilbert, 2011). Fig. 1 McDonalds’ organization structure (Gilbert, 2011)Diagnosis of the problemBeing a fast-food giant, McDonald's has a complex organizational structure.
This makes it hard to respond to customer preferences. The complex organization structure was a major contributor to the service problems. The customers could find irrelevant menus. The leaders lacked autonomy in making local menus as well as contributing to making market decisions. McDonald’ s structure is not optimized to fit customer needs. Fast food is in a rapidly changing market, hence an organization in the market is required to be organized in consumer tastes and preferences which keeps on changing. Symptoms reflecting the need for changeChange in McDonald’ s organization structure is needed due to recent complaints by the customers as well as the profit decline in some areas of operations such as the US whose loss was at was at 4.1% this year.
The current structure has led to the creation of too many layers and led to redundancy being experienced in planning as well as communication. There exists competing priorities, a hindrance to effective decision making and lack of communication between organization and customers. Approach to be usedAs a change agent, I would ensure that local operations have the final say in rolling out products that are suitable for the local population.
There is a need to realize that the fast-food chain areas of operations have become more diverse. This requires the organization structure to ensure that decision making is placed near the customers. There is a need for restructuring to ensure that the management is closer to the customers. Though McDonald's have been having a good reputation, it is important to note that the current population has to change nutritional attitude. This requires the organization to be closer to the consumer in determining the menu.
I will ensure that there is a new integrated communication plan that will involve all stakeholders in the organization. The employees have to be informed of the new changes and the reasons for taking it (Gazendam, Jorna & Cijsouw, 2003). Planned change process/ creating readiness and interventionsBefore implementing change, there is a need to ensure that the staff is motivated to carry out the process (Kotter, 1996). If the change process does not impress anyone, the likelihood of failure is high. All the key players should be involved when implementing change.
If all the key players who have an influence on change decisions are involved, it becomes easier to implement it. This can be done by calling a meeting and discussing the need for change. The staff should be involved in seminars later after meeting where change will be discussed. The key players should be given a role in restructuring the organization. This is a change that will lead to job losses as the structure changes hence there is need to make sure that all involved understands.
The change process will involve three steps; initiation, implementation, and continuation. The initiation is the process that will lead to the change needed. In the implementation process, the first experience of change is felt. The change becomes embedded in the continuation phase. The change process requires stakeholders’ analysis. This is through looking at what the rest of colleagues would stand for and the approach to take which will ensure that there is support (Gazendam, Jorna & Cijsouw, 2003). I would be needed to carry out force analysis by determining the driving forces and the restraining forces.