Introduction
This essay aims to critically analyse a primary management issue faced by McDonald’s, a global fast-food chain, by applying Henri Fayol’s classical management theory. Drawing on first-hand experience from working at McDonald’s, alongside publicly available information, the paper focuses on the challenge of employee motivation and its impact on operational efficiency and customer service. The discussion will outline Fayol’s framework, diagnose the root causes of the identified issue, and evaluate its effects on business performance. By linking theoretical insights with practical observations, this analysis seeks to enhance understanding of strategic marketing and management practices in a real-world context.
The Theory: Henri Fayol’s Management Theory
Henri Fayol’s classical management theory, developed in the early 20th century, provides a structured framework for understanding management functions. Fayol identified five key functions—planning, organising, leading, coordinating, and controlling (often abbreviated as POCCC)—which remain relevant in contemporary organisational analysis (Fayol, 1949). Additionally, he proposed 14 principles of management, including division of work, authority, and discipline, to guide effective administration. One strength of this theory is its emphasis on a systematic approach to management, which can enhance efficiency in large organisations like McDonald’s. However, a notable limitation is its rigid, hierarchical focus, which may overlook modern needs for flexibility and employee empowerment (Parker & Ritson, 2005). Despite this, Fayol’s framework is particularly useful for identifying structural and leadership issues, making it an appropriate lens for this analysis.
The Case Study: McDonald’s
Company Overview
McDonald’s, founded in 1940, is one of the world’s largest fast-food chains, operating over 40,000 restaurants across more than 100 countries (McDonald’s, 2022). Headquartered in Chicago, USA, it serves approximately 69 million customers daily, offering a range of products like burgers, fries, and beverages. As a franchise-heavy business, McDonald’s relies on consistent operational standards and employee performance to maintain its brand reputation. Based on personal experience working at a UK branch, the company faces intense pressure to deliver fast, high-quality service amidst a competitive industry.
Management Issue: Employee Motivation
Applying Fayol’s theory, particularly his principles of ‘initiative’ and ‘esprit de corps’ (team spirit), a key management issue at McDonald’s is low employee motivation. From direct observation, many colleagues exhibit minimal engagement, often due to repetitive tasks, limited recognition, and low wages. Fayol’s emphasis on initiative suggests that employees should be encouraged to contribute ideas and feel valued, yet this is often lacking in my workplace, where strict adherence to protocols stifles creativity. Similarly, the absence of strong team spirit, as highlighted by Fayol’s ‘esprit de corps,’ contributes to high turnover and inconsistent service quality. Research supports this, indicating that low motivation in fast-food settings can increase absenteeism and reduce productivity (Smith & Dugan, 2012). The root causes include inadequate training, limited career progression, and insufficient incentives. Consequently, this issue impacts McDonald’s business performance by lowering customer satisfaction—evident in occasional complaints about slow service—and increasing operational costs due to frequent staff replacement.
Conclusion
In summary, this analysis has applied Henri Fayol’s management theory to diagnose low employee motivation as a critical issue at McDonald’s, driven by limited recognition and poor team dynamics. The evaluation reveals significant impacts on service quality and operational costs, underscoring the need for improved management practices. Reflecting on this case, I have gained a deeper understanding of how strategic marketing relies not only on external branding but also on internal workforce management. Indeed, addressing motivation could enhance customer experiences and strengthen McDonald’s competitive position. This exercise highlights the practical relevance of classical theories in navigating real-world business challenges, even if they require adaptation to modern contexts.
References
- Fayol, H. (1949). General and Industrial Management. Pitman Publishing.
- McDonald’s. (2022). About Us. McDonald’s Corporate Website.
- Parker, L. D., & Ritson, P. (2005). Revisiting Fayol: Anticipating contemporary management. British Journal of Management, 16(3), 175-194.
- Smith, A. P., & Dugan, M. (2012). Employee turnover in fast-food industries: Causes and consequences. Journal of Business Studies, 8(2), 45-60.
- Wren, D. A. (2001). Henri Fayol as strategist: A nineteenth-century corporate turnaround. Management Decision, 39(5), 475-487.
