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Integrating Mcdonald's Business, Hr, and Staffing Strategies

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Integrating Mcdonald's Business, Hr, and Staffing Strategies
Integrating McDonald 's Business, Human Resource, and Staffing Strategies
HRC 7561, Week #2, Strategic Staffing Exercise 2, Option 1, Jimmy A. Rios

September 1, 2010

Abstract

In this case study I will describe McDonald 's business strategy and how it differentiates itself from the competition and describe the roots that make the foundations of its competitive advantage. I will uncover how they have aligned their business, human resources and staffing strategies and been successful through a recession. Finally I will discuss some possible talent-related threats that could eat away at McDonald 's competitive advantage and answer the question about a high turnover rate in a tight labor market being a problem. I will offer a recommendation based on my research for McDonald 's to maintain their competitive edge in the marketplace for the next five years.

Integrating McDonald 's Business, Human Resource, and Staffing Strategies

How does a multinational company like McDonald 's actually become even stronger and increase sales through one of the worst recessions in history? McDonald’s is built on a foundation that gives it a competitive advantage and a business strategy that is consistent, flexible, and specialized. McDonald 's business strategy is the specialization strategy. According to Phillips & Gully (2009), “Businesses pursuing a specialization strategy focus on a narrow market segment or niche- a single product, a particular end use, or buyers with special needs-and pursue either a differentiation or cost-leadership strategy within that market segment. Successful businesses following a specialist strategy know their market segment very well, and often enjoy a high degree of customer loyalty” ( pg. 29, para 5.) McDonald 's niche market is people, how do people and their needs and wants become the roots of a company 's competitive advantage? Kiran Chetry at CNN had a discussion with the Vice president of strategy and menu at



References: Adamy, Janet (2009). McDonald 's Seeks Way To Keep Sizzling. The WallStreet Journal.Digital Network, March 10, 2009. Retrieved from             http://online.wsj.com/article/NA_WSJ_PUB:SB123664077802177333.html Phillips, J. & Gully, S. (2009). Strategic staffing. New Jersey: Pearson Prentice Hall Chetry, Kiran (2009). Food for thought: Why is McDonald 's thriving? CNN.COM, March 18, 2009. Retrieved from http://articles.cnn.com/2009-03-18/us/wells.qanda_1_mcdonald-kiran-chetry-prices? _s=PM:US

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