RAVEEN KUMAR ANPARAKAN DF1016325 9TH July 2018

ASSIGNMENT - OPERATION MANAGEMENT

Question 1

Sit in a fast-food restaurant such as Kentucky Fried Chicken (KFC), Pizza Hut
/ Domino’s or McDonald’s, Subway, Burger King and etc. Observe their
business operations. Write a report for the chosen business to represent the
following areas:

1. State its business nature and location (outlet address).

Selected fast-food restaurant : McDonald’s

Business Nature : Food services

Location (Outlet Address) : McDonald’s Seksyen 14 – 4A, 4B, Jalan 14/14,

Seksyen 14, 46100 Petaling Jaya, Selangor

2. Clock-in your time and observation duration: (Suggest for peak hours).

Clock-In Time : 1.30 p.m.

Observation Duration : Two Hours

3. State the 5 basic operation performance objectives and explicit it to this

business.

Speed - Speed refers to the ability to produce something or to perform a service at

an acceptable rate of time (TheFreeDictionary.com). When it comes to McDonald,
the operations process is so well designed that every customer who comes is served
quickly. The company has set a preparation time for burgers and other menu items
which will ensure customers to receive the orders within 3-4 minutes, even during
the busy hours.

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Flexibility - Flexibility points out to versatility of the procedures and change in the assortment of
product or service rolling out operations to be more adaptable to improvements in customer
requirements. As customer tastes change, McDonald's need to expand the scope of new meals that
it offers. McDonalds offers a great flexibility to meet customers' first choices. It offers an adjusted
accumulation of culturally significant menu in the markets, for both adults and kids and is
increasing the choices. McDonalds has many prepared staff keeping in mind the end goal to be
flexible. It keeps up movement-based arrangement of work among the team individuals permitting
them to be sufficiently flexible in the work they do.

Cost - Cost refers to minimizing the expense of the procedure, prompting a less expensive service.
The most ideal method to cut down the expenses is to concentrate on the customer requirements
i.e. satisfying the quality goal in both product design and operation, as a method of removing
eliminating rework and waste. McDonalds have a very much arranged expense control system. It
has a well-established low-cost supply chain. They endorsed Just-In-time process that minimizes
the expense of irrelevant storage and waste. Therefore, food can be sold at a lower cost in light of
the fact that the cost does not retain the expenses of unsold food. Eventually this implies lower
expenses for McDonald's (Barbra Dozier's Blog 2015).

Dependability - Dependability as the quality of being able to be counted on or relied upon is very
essential to develop a good reputation of respecting promises to deliver on time. McDonald's has
a more dependable process for the customers by offering the orders on time. They have qualified
staffs that make sure that customers will get their orders in a specific time.

Quality - Each organization has the willing to provide product with zero defect. This will
contribute to gain an advantage over it competitor as customers are always looking for high
constant quality. In addition, quality target drives to certain policies and procedures in operations
in order to provide a service that the customer requires. At McDonald's the representatives are
prepared to plan and present suppers as indicated by certain methodology that are entirely upheld,
particularly in the planning and treatment of crude and cooked items.

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4.Report its overall process flow of the business operation.

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5. Conclude your viewpoint of its Operation Management.

Operation management function exists in each organization. It is focusing on

accomplishing the process conversion of raw materials into a completed item. Also,
viable operation management enhances performance in the process. McDonald's
Corporation is a standout among the most recognized organizations worldwide. By
implementing, operational management process, the organization has the objectives
to reduce expenses, enhance product quality, punctual delivery of their product to
customers and constant performance of every single operational activity.