C.
Company Profile
Name, Nature, and Background
McDonald's Corporation
McDonald's Corporation is a multinational fast-food restaurant chain headquartered in
Chicago, Illinois, USA. It operates as one of the world's largest and most well-known fast-food
brands, specializing in hamburgers, cheeseburgers, french fries, chicken products, soft drinks,
breakfast items, and desserts. The company functions primarily through a franchise model, with
most of its locations owned and operated by independent franchisees. McDonald's is recognized
for its standardization of food service, efficiency in operations, and brand consistency across its
global locations.
McDonald's was founded in 1940 by brothers Richard and Maurice McDonald in San
Bernardino, California. The original restaurant was a drive-in that focused on a simple menu and
quick service. In 1948, they introduced the “Speedee Service System,” which streamlined food
preparation, reduced costs, and significantly increased efficiency, laying the foundation for the
modern fast-food industry. In 1954, Ray Kroc, a Multimixer milkshake machine salesman,
discovered the McDonald brothers' restaurant and saw its potential for expansion. In 1955, Kroc
joined the business, opened the first McDonald’s franchise in Des Plaines, Illinois, and later
purchased the brand from the brothers in 1961. Under Kroc’s leadership, McDonald's rapidly
expanded across the United States and internationally, becoming a global fast-food giant. Today,
McDonald's operates in over 100 countries with more than 38,000 locations, serving
approximately 69 million customers daily. The company has adapted to evolving consumer
preferences by offering healthier options, digital ordering, and sustainability initiatives.
Additionally, McDonald's has engaged in corporate social responsibility through initiatives such
as Ronald McDonald House Charities (RMHC), which provides housing and support for families
with hospitalized children.
Mission Statement:
"To make delicious feel-good moments easy for everyone."
McDonald's mission emphasizes providing enjoyable food experiences that are accessible,
convenient, and satisfying for customers worldwide.
Vision Statement:
"To be the world’s best quick-service restaurant experience."
McDonald's vision reflects its commitment to delivering high-quality service, food, and
customer experiences while maintaining a global presence and leadership in the fast-food
industry.
Core Values:
McDonald's operates based on several key values that guide its business strategy and
company culture:
1. Serve – Putting customers and employees first.
2. Inclusion – Creating a welcoming and diverse environment.
3. Integrity – Conducting business ethically and responsibly.
4. Community – Supporting and giving back to local communities.
5. Family – Growing and improving together.
Organizational Structure and Key Departments
McDonald's organizational structure is a hierarchical setup that empowers efficient
management and decision-making. At the top of the pyramid is the President and CEO, Chris
Kempczinski, overseeing the entire company. Under him, three main divisions exist: Corporate,
Regional, and Functions.
The Corporate division comprises vital executives responsible for various global
functions. These include Morgan Flatley as Chief Marketing Officer, Manu Steijaert as Chief
Customer Officer, Heidi Capozzi as Executive VP and Global Chief People Officer, Jon Banner
as Executive VP and Global Chief Information Officer, Mario Gross as Executive VP and Global
Chief Supply Chain Officer, and other significant roles like Chief Legal Officer, Chief Financial
Officer, and Chief of Staff. Through this Corporate structure, strategic decisions, directives, and
instructions are passed down the chain of command from the CEO to the leaders of other
business groups, upper and middle managers within those groups, and eventually to both the
restaurant managers and personnel in company-owned restaurants and also to the operators of
franchises.
The Regional division is split into McDonald's USA and International Markets, each with
dedicated management teams overseeing operations in their respective regions.
The Functions division focuses on specific areas, including Learning and Development,
Chief Administrative Officer, Global Chief Diversity, Equity, and Inclusion Officer, Chief
Communications Officer, and Chief Sustainability Officer. Each functional group in the
McDonald’s org structure falls under the leadership of a corporate executive or senior manager.
These groups enable McDonald’s to better address essential business functions, such as the
management of human resources, the driving of sustainability initiatives, and the reinforcement
of McDonald’s Corporation’s organizational culture.
The departments are broken down into: corporate affairs, marketing, human resources,
national operations, regional managers, finance, information, and strategic planning. Other
functional departments within McDonald's are legal, customer services, franchising, safety,
security and licensing, property and construction, supply chain and restaurant services.
D. Objectives of the Performance Management Plan
The purpose of this Performance Management Plan (PMP) is to establish a structured
approach for evaluating, developing, and enhancing employee performance at McDonald's. The
plan aims to align individual and team contributions with the company’s strategic goals, ensuring
high-quality service, operational efficiency, and employee engagement. By implementing an
effective PMP, McDonald's can improve workforce productivity, strengthen customer
satisfaction, and maintain its leadership in the fast-food industry.
Short-Term Performance Goals
Enhance Customer Service Efficiency – Reduce customer wait times and improve
service speed through targeted training programs.
Improve Employee Productivity – Implement performance-based incentives to
encourage efficiency and teamwork.
Increase Order Accuracy – Reduce errors in food preparation and delivery through
better training and digital tools.
Strengthen Compliance with Food Safety Standards – Ensure employees adhere to
health and hygiene protocols through regular assessments.
Boost Employee Engagement and Retention – Foster a positive work environment
through recognition programs and career development opportunities.
Long-Term Performance Goals
Develop Future Leaders – Invest in leadership development programs to prepare
employees for management roles.
Achieve Operational Excellence – Continuously optimize restaurant operations,
leveraging technology and process improvements.
Expand Digital and Drive-Thru Performance – Enhance mobile ordering, self-service
kiosks, and drive-thru efficiency to increase sales.
Promote Sustainability and Corporate Social Responsibility – Implement
environmentally friendly practices in sourcing, packaging, and waste management.
Strengthen McDonald’s Brand Reputation – Maintain consistency in service quality,
customer satisfaction, and community engagement.
This PMP aligns with McDonald’s mission of delivering "delicious feel-good moments,
easy for everyone" by ensuring employees perform efficiently, provide high-quality service, and
contribute to business growth. It also supports McDonald’s vision of being "the world’s best
quick-service restaurant experience" by improving employee skills, operational excellence, and
customer satisfaction. Lastly, the core values—Serve, Inclusion, Integrity, Community, and
Family—are embedded in the PMP to foster a culture of accountability, teamwork, and
excellence within the organization.
By integrating these objectives into the performance management framework,
McDonald's can sustain its competitive edge, drive business success, and create a rewarding
workplace for employees.
REFERENCES
EdrawMind. (2025). McDonald's organizational chart | 2025 updated. Wondershare. Retrieved
March 28, 2025, from https://edrawmind.wondershare.com/org-chart/mcdonald-organizational-
structure.html
Encyclopaedia Britannica. (n.d.). McDonald's. Britannica. Retrieved March 28, 2025, from
https://www.britannica.com/money/McDonalds
McDonald's. (2018). What's the structure of McDonald's and how each department in the
organisation interacts / works together? McDonald's UK. https://www.mcdonalds.com/gb/en-
gb/help/faq/whats-the-structure-of-mcdonalds-and-how-each-department-in-the-organisation-
interacts-works-together.html
McDonald's Corporation. (n.d.). Our mission and values. McDonald's. Retrieved March 28,
2025, from https://corporate.mcdonalds.com/corpmcd/our-company/who-we-are/our-values.html
