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The Founder - CaeeStudy

The document discusses the significance of efficient operations management as illustrated by the McDonald brothers' 'Speedee Service System' in 'The Founder,' which optimized food preparation and improved customer satisfaction. It highlights Ray Kroc's expansion strategies that maintained consistency and quality across franchises through standardization, ensuring a uniform customer experience. The importance of standardization in operations management is emphasized as crucial for maintaining brand integrity and reducing variability in service across multiple locations.

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altheaoco4
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27 views4 pages

The Founder - CaeeStudy

The document discusses the significance of efficient operations management as illustrated by the McDonald brothers' 'Speedee Service System' in 'The Founder,' which optimized food preparation and improved customer satisfaction. It highlights Ray Kroc's expansion strategies that maintained consistency and quality across franchises through standardization, ensuring a uniform customer experience. The importance of standardization in operations management is emphasized as crucial for maintaining brand integrity and reducing variability in service across multiple locations.

Uploaded by

altheaoco4
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Lyceum of the Philippines University – Manila

Muralla Street, Intramuros, Manila

A Case Study
of
THE FOUNDER

In compliance with

Operations Management (with TQM)

Written by:

OCO, Althea Marie O.

ABLM A316

August 28, 2024


1. How does the McDonald brothers’ streamlined “Speedee Service System” in "The
Founder" illustrate the signiPicance of efPicient operations management in reducing costs
and improving customer satisfaction?

The Founder tells the story of how Richard and Maurice McDonald shook up the fast food industry
with their aptly named "Speedee Service System." This system emerged as the precursor version
of modern operations management techniques and highlighted optimization, cost reduction &
customer-related interests.

McDonald's original system streamlined meticulous food preparation by separating each step of
the process into simple, routine tasks requiring little skill but minimal time to perform. This
dramatically decreases preparation and how much time it took to serve food, which would
otherwise lead in need of additional labor hours support staff ridding on waste. It's a system
engineered for speed and efficiency at every step in the process. This emphasis of focus on yield
means the McDonald brothers ended up serving a large number people in very little time which
was the main reason they could also offer food in low prices without compromising quality. This
allowed for food to be made and served faster, which improved customer satisfaction as well as
repeat patronage.

This is such an important idea in operations management. It is the depiction of a successfully


executed operational process that produced cost savings and improved customer experience.
Business owners of the present day can learn from this and they should sweat on adapting their
processes to cut inefficiency, cost and improve customer satisfaction.
2. In what ways can modern businesses learn from Ray Kroc's expansion strategies to scale
operations without compromising the consistency and quality of their products or
services?

The Founder: Michael Keaton stars as Ray Kroc, the man who took McDonald's from a single
restaurant to an international franchise. Kroc saw the massive opportunity for growth if he could
re-create in far-flung places what there was at the San Bernardino chain: that streamlined system
developed by McDonald brothers. His antics have a single goal to serve and offer modern
businesses a valuable lesson. — This is how you scale efficiently without trading off uniformity
or quality.

Kroc quickly expanded but did so methodically. He knew that in order for the brand to go far,
every franchise location had to deliver the same customers experience. Kroc called this the
"definition of a clean place," which Kroc felt would be enforced if operators adhered to the
standardized operational procedures established by McDonald brothers. He made it certain that
each franchisee received complete training in the Speedee Service System and operated according
to uniform standards for food preparation, quality control, and customer service.

In addition to creating a system of tight control, Kroc implemented checks and balances through
ongoing evaluations from the central core. This helped McDonald's to preserve consistency in its
various outlets and thereby provide the highest quality of food or services regardless of where
they were.

One of the best takes on ‘scaling sales processes' is to take a cue from how Kroc scaled his
operations. The more a company grows and expands, the harder it gets to keep up with quality of
their products or services. To scale of the biosphere, businesses require standardized procedures
and strict compliance across all locations to avoid such dilution.
3. How important is the role of standardization in operations management, as seen in "The
Founder," when it comes to maintaining brand integrity across multiple locations in a
franchise model?

One of the lessons that stuck out to me in ‘The Founder’ was how standardization can play a key
role for an operations management, especially with regards to continuous building through
franchise. Ray Kroc knew that one of the things McDonald's was most proud of and had managed
best was the quality and consistency in all its restaurants. Specifics and the level of
standardization was to be high in every process within the business.

Standardization means all franchise locations have the same processes, procedures and
guidelines to follow. This included everything from the size and composition of burgers to kitchen
layout, staff training. With standardization of all these components, McDonald's could guarantee
that every customer would receive an identical product and service with each purchase no matter
the location.

This is crucial for a brand that has been as successful globally. Standardization helped McDonald's
in developing a highly consistent and uniform brand that consumer know, love. It led to a
reduction in training time for new staff and simplifies growing the store footprint since all stores
could operate under one similar procedure.

Fast-forward to today and brands rule, with standardization the driving force behind brand
power in a franchise model. Without it, there is a bigger chance of variability and causing
customer dissatisfaction while attesting the brand. Businesses who invest in standard processes
can protect the brand and continue to deliver their product or service with a high level of
consistency across numerous locations.

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