Human Resource Management at McDonald's Essay Example | Topics and Well Written Essays - 2500 words

Human Resource Management at McDonald's - Essay Example Much of the time, employees are motivated by their working environment and thus some of these employees rise to top positions with in the company. Fairhurst claims that about 80% of service crews advance to store managerial positions, serving the company for 10 years on the average ("HR challenges... I'm lovin' It, 2005"). It is a fact that McDonald's is one of the top fastfood chains in the world, serving 50 million people daily in their 30,000 restaurants spread in over 119 countries worldwide. McDonald's actually started small by a certain Czech-American entrepreneur from the town of Plzen named Raymond Albert Kroc. Kroc was originally a salesman who sold five-spindled milk shakers called "Multi-mixers". His interest in providing fastfood to people was aroused when he heard of a hamburger stand in California that operates 8 Multi-mixers at a time in 1954 ("Mc Donald's History, n.d.") Kroc then met the McDonald brothers Dick and Mac, to which he immediately proposed the concept of a chain of fastfood restaurants named after themselves. Through the Kroc and the McDonald's brother's collaboration, the first McDonald's restaurant opened in Des Plaines in Illinois ("Fascinating Mc Facts, 2005"). Kroc then propagated the McDonald's chain through franchising, in which he is considered as one of the proponents of the system. Currently, 73% of McDonald's restaurants are owned by about 5,400 independent franchisees all over the world. McDonald's is also considered as a pioneer of specific menus and systems that cater to their specific clients ("Mc Donald's Corporate Responsibility Report"). One good thing about the franchise system allows the franchisees to handle restaurant operations and the workforce under them if they are trained and guided well. At present, McDonald's has a 1.6 million strong workforce, with only 398,000 people hired directly by the company. While each restaurant is responsible for individual policies they may have on bringing in, compensating and rewarding their employees, franchisees or independent owners, are required to promote a general set of "people practices" espoused by the company. This is checked through regular assessment of restaurant operations and recommendations by corporate specialists on training and research ("Mc Donald's Corporate Responsibility Report 2004 (Supplement)") 60% of McDonald's employees (or "crew" as they are commonly called) is 16-21 years old. The average crew member handles such tasks as cleaning the floors, waiting tables, cooking etc., garnering free meals and other benefits while earning by the hour. For most of the crew, employment at McDonald's is their first step into the "real world" and although some may leave the company for another job some stay in the company at an average of 1.6 years ("Tootelian, n.d.") This employee loyalty is attributed to the company's excellent Human Resources training and policies which specifically targets the development of basic workplace skills and attitudes among its employees. As the crew gains experience, they are given opportunities to be assimilated into the company to handle leadership and management roles while some may move on to other companies. Company personalities such as Mc