1

1A8LL CI CCN1LN15

ltTR00uCTl0t.................................................................... 03

SC0PF 0F THF STu0Y...................................................................... 03

THF tFF0 F0R CRH lHPlFHFtTATl0t.......................................... 03

CRH lt McDonald`s.............................................................................. 04

vAluF CHAlt H00Fl lt McDonald`s.................................................. 05

CRH S0FTwARF lt McDonald`s........................................................... 09

C0tCluSl0t At0 RFC0HHFt0ATl0t............................................. 09

RFFFRFtCFS...................................................................................... 10







1lN1kOuuc1lON
CusLomer 8elaLlonshlp ManaaemenL ls a classlflcaLlon of manaaemenL whlch
came lnLo pracLlce ln Lhe laLe 1990's 1he maln reason whv Lhls sLvle of
manaaemenL became popular was LhaL lL promlsed a loL of beneflLs Lo Lhe
companles ln Lhe lona run lL ls deflned bv lrancls 8uLLle (p13008) as Lhe
core buslness sLraLeav LhaL lnLearaLes lnLernal process and funcLlons and
exLernal neLworks Lo creaLe and dellver value Lo LaraeLed cusLomer aL a proflL
lL ls arounded on hlah quallLv cusLomer relaLed daLa and enable bv lnformaLlon
Lechnoloav"
5CCL CI 1nL 51UD
1hls asslanmenL ls abouL Lhe lmplemenLaLlon of C8M lLs lmpllcaLlons and Lhe
sLraLeales for lLs lmplemenLaLlon 1he flrm Laken for Lhls ls Mc uonald's
Mcuonald's ls one of Lhe laraesL food chaln resLauranLs ln Lhe world lL serves
more Lhan forLv flve mllllon cusLomers evervdav across Lhe world lL have
ouLleLs ln nearlv 11 counLrles (8relLbarLcom 00901 8eLrleved 01008
1he purpose for selecLlna Lhls parLlcular companv (Mcuonalds) ls LhaL lL ls
has proved lLself Lo be one of Lhe successful enLrepreneurs of Lhe C8M
sLraLeales and lL ls sLlll malnLalnlna LhaL sLaLe
1nL NLLD ICk CkM IMLLMLN1A1ICN
ln Lodav's markeL cusLomer ls Lhe klnapln and hence no companles can survlve
Lhe markeL wlLhouL fullv saLlsfvlna Lhem and LhaL ls Lhe chlef reason whv
manaaemenL are Laklna Lhe concepL of servlna Lhe cusLomers so serlouslv 1he
flrms and lLs manaaemenL knows LhaL lf a parLlcular companv or flrm don'L
Lake care of Lhelr cusLomer Lhen someone else wlll do lL
1hls ls because CusLomer 8elaLlonshlp ManaaemenL ls noL abouL maklna proflL
alone lL ls done Lo
aln new cusLomers
8eLalns Lhe exlsLlna cusLomer
xLend Lhe level of exlsLlna cusLomers




1)alnlna new cusLomers or acqulslLlon of cusLomers lnvolves
aLLracLlna new cusLomers and Lhe lncreaslna Lhe arowLh ln Lhe
markeL lL lnvolves lnLroduclna aLLracLlve offers and dlscounLs Lo Lhe
consumers
) 8eLalnlna Lhe cusLomers lL lnvolves wlLhholdlna Lhe exlsLlna
cusLomers wlLh Lhem and maklna Lhem Lo buv Lhelr producL aaaln
and aaaln lL lnvolves alvlna excluslve promoLlonal offers Lo Lhe
exlsLlna cusLomers Lo boosL Lhelr sales
)xLend Lhe level of exlsLlna cusLomers lL lnvolves lnLroduclna new
producLs Lo Lhe exlsLlna cusLomers and maklna Lhem a cusLomer of
LhaL producL lL lnvolves creaLlna lnnovaLlve ldeas and also collecLlna
Lhe deLalls of Lhe cusLomers pasL daLa or buvlna hablLs ln order Lo
suaaesL fuLure producLs
Mcuonald have undersLood Lhe need of respondlna Lo cusLomer needs from
Lhelr survev ln 1980's when ma[orlLv of Lhe cusLomers voLed LhaL Lhev were
afrald Lo purchase a producL because Lhev don'L know whaL effecL Lhe wraps or
covers of Lhe producL would have on Lhem 1he Mcuonald Lhen lnLroduced eco
frlendlv brown paper baas 1hls was one of Lhe earlv lmplemenLaLlon of
saLlsfvlna cusLomers bv Mcuonald's

CkM IN ,nuono/ds
1he companv focus malnlv on lLs servlce for lmprovlna lLs relaLlonshlp wlLh
cusLomers lL achleves lLs ob[ecLlves wlLh proper Lralnlna of lLs cusLomers lL
even have lLs own unlverslLv Pamburaer unlverslLv whlch ls one of Lhe worlds
laraesL Lralnlna cenLre whlch helps ln provldlna Lhem a supporLlve work
envlronmenL
Mcuonald's are of Lhe oplnlon LhaL malnLalnlna a dlverse work force wlll help
ln sLrenaLhenlna Lhelr svsLem 1he dlverslflcaLlon ln work force makes Lhe
Mcuonald's unlque from oLhers




IALUL CnAIN MCDLL IN ,nuono/ds
1he value Chaln Model was lnlLlallv developed bv Mlchael orLer (1983') ln hls
book competltlve AJvootooe lo tbot be foooJ oot cettolo octlvltles wblcb
wete commoo lo olmost oll tbe fltms
1he dlaarammaLlc lllusLraLlon of orLer's Model ls as follows
(wwwneLmbacom)



lL comprlses of some rlmarv acLlvlLles whlch lnclude
1)lnbound LoalsLlcs
)peraLlons
)uLbound loalsLlcs
)MarkeLlna Sales
3)Servlce

All Lhe above acLlvlLles are supporLed bv Lhe followlna
1)lnfrasLrucLure of Lhe flrms
)Puman resource manaaemenL
3

)uevelopmenL ln Lhe fleld of Lechnoloav
)rocuremenL of lLems

1)1he loboooJ loolstlcs lnclude Lransferrlna Lhe raw maLerlals and oLher
componenLs from varlous suppllers Lo Lhe manufacLurers lL also lnclude
sLorlna Lhem ln Lhe warehouse whlch ls known also known as
warehouslna

ln case of Mcuonald's Lhe flrm recelves Lhe raw maLerlals for lLs producLs
whlch lnclude beefs chlckens corns salad conLenLs eLc 8aw maLerlals are
senL Lo each resLauranLs on a weeklv basls lL ls LransporLed Lhrouah larae
conLalners Lo Lhe resLauranL All Lhe flrms aeL Lhelr supplles from Lhe parenL
companv
lL ls caLeaorlsed lnLo Lhree secLlons
lrozen food lLems
Chllled foods
loods whlch are amblenL ln naLure
(hLLp//wwwLheLlmes100couk/casesLudvmanaalnasLockLomeeL
cusLomerneeds8php)

) 1he petotloos secLlon lnclude all Lhe sLeps lnvolved ln Lhe processlna of
flnlshed producLs lnLo Lhe deslred ouLpuL
ln Mcuonalds Lhe peraLlon secLlon or Lhe Worklnproaress secLlon lncludes
processlna all Lhe raw maLerlals lnLo flnlshed producLs Some of Lhe food
maLerlals are processed lnLo flnlshed producLs onlv when cusLomer orders Lhe
producL

)1he otboooJ loolstlcs lnclude warehouslna Lhe flnlshed producLs and
properlv sLorlna Lhem And hence prevenLlna Lhem from anv source of
damaaes
ln case of Mcuonald's Lhe flnlshed aoods or Lhe food lLems are sLored ln Lhe
resLauranL lLself unLll Lhe cusLomers place Lhelr orders MosL of Lhe food lLems
are sLored onlv for a llmlLed perlod because of Lhe facLs LhaL lLs explrv daLe ls
verv shorL



)1he ,otketloo 5oles sectloo lncludes ldenLlfvlna Lhe needs of Lhe
cusLomers Lhelr wanLs and Lhelr deslre And laLer formlna an approprlaLe
markeLlna plan for LhaL purpose 1hls ls Lhe secLlon whlch plans all Lhe
sLraLeales for Lhe companv whlch lnclude lLs prlclna adverLlslna place of
producLlon eLc
Mcuonald's markeLlna sLraLeav ls based on 's compared Lo Lhe LradlLlonal
's 1he 's lnclude
roducL
lace
rlce
romoLlon
rocess
hvslcal vldence
eople
1he LradlLlonal 's lnclude flrsL four of Lhls
ln Lerms of boosLlna Lhe sales Lhe companv has lnLroduced manv plans llke
provldlna free Lovs Lo aLLracL small chlldren's provldlna Wlll faclllLv Lo make
a parLlcular cusLomer Lo sLav Lhere for more Llme

3)1he 5etvlce secLlon ln value Chaln model lncludes all Lhe helpful
acLlvlLles Laken bv a companv afLer Lhe sales have been made
Such acLlvlLles lnclude provldlna free home dellverv surprlse alfLs eLc

ln Mcuonald's Lhe cusLomers are provlded varlous faclllLles such as door
dellverv servlces and even free home dellverv ln some cases resL rooms free
Wlll faclllLv for lLs cusLomers drlve Lhrouah resLauranLs eLc n oLher faclllLles
whlch ls common ln some places ls LhaL lL provldes onlv breakfasL lLems ln Lhe
mornlna Llme






1he supporLlna facLors of Mcuonalds lnclude Lhe followlna
1)llrm lnfrasLrucLure 1he lnfrasLrucLure of Lhe companv ls Lells abouL lLs
slze locaLlon faclllLles for cusLomers and so on
1he companv have larae bulldlnas lL ls aenerallv locaLed ln convenlenL
places where Lhe cusLomers can reach verv easllv Also Lhe resLauranLs
have enouah parklna spaces Lo accommodaLe lLs cusLomers lLs locaLlons
lnclude alrporLs shopplna malls eLc 1he counLers are deslaned ln such a
wav LhaL Lhe cusLomer aeLs Lhelr orders aL a much fasLer raLe
)Puman 8esource ManaaemenL 1he Puman 8esource ManaaemenL ls
conLrols and oraanlses all Lhe acLlvlLles of Lhe buslness lL ls an lmporLanL
parL of Lhe CusLomer 8elaLlonshlp ManaaemenL lL ls LhaL dlvlslon of
manaaemenL whlch decldes on Lhe relaLlonshlp beLween emplovees and
Lhelr commlLmenL Lo work and so on
Mcuonald have a verv sLrona and acLlve Puman 8esource ManaaemenL
whlch conducLs a loL of research works and developmenL ln Lhe fleld of
cusLomer saLlsfacLlon and also on how Lo reLaln Lhe cusLomers lL has a
sLrona and dedlcaLed Leam for lLs beLLer servlce 1he human resource
deparLmenL alves lmporLance Lo cusLomer servlce ablllLv Lo solve a
problem and proper communlcaLlon lL also plans for beLLer cosL
effecLlve Lechnoloales and seL ups
)1echnoloav 1echnoloav plavs an lmporLanL role ln CusLomer
8elaLlonshlp ManaaemenL lL helps Lhe manaaemenL ln aeLLlna Lhe
deLalls of lLs cusLomer daLabase wlLh an ease
Mcuonald's have lnLroduced varlous Lechnoloav drlven facLors for lLs
lmprovlna lLs cusLomer saLlsfacLlon such as lnLroduclna onllne web
porLal call cenLres Lo lnLeracL wlLh Lhelr represenLaLlves lL ls also
provldes free Wlll for lLs cusLomers ln order Lo reLaln Lhe exlsLlna
cusLomers as well as Lo aLLracL new people
)rocuremenL lL means Lo acqulre new buslness and enLerprlses
Mcuonald's flrm Lle up wlLh Lhe varlous Leams who are experLs ln a
parLlcular fleld Lo lmprove Lhelr sLandard When Lhev Lle up wlLh such flrms
Lhe companv doesn'L have Lo worrv abouL speclallslna ln LhaL parLlcular
producL

8


%CkM 5CI1WAkL IN McDona|d'
1he C8M sofLware used ln Mcuonald's ls was based on Lhe plaL form of
MlcrosofL and Lhe Lechnoloav was used bv l8M lL uses Lhls sofLware for lLs
buslness lL ls verv user frlendlv and have areaL performance and lL provldes a
areaL soluLlon for lLs resLauranLs lL have also sLarLed a wlreless orderlna
svsLem Lhrouah whlch Lhe cusLomer can aeL a rellef from Lhe lona queues and
order Lhelr producLs ln a much smarLer and efflclenL manner 1hls parLlcular
sofLware uses cerLaln buslness sofLware's Lo flnd lnformaLlon relaLed Lo sales
of Lhe producL All Lhe daLa ls Lhen Lransferred Lo an racle daLabase and Lhen
Lhev are analvsed properlv 1he recenL svsLem whlch ls lmplemenLed ls called
8laze neL whlch provldes Lhe cusLomers Lo buv rlnaLones browse lnLerneL and
also make pavmenL
lL uses anoLher Lechnoloav called chelon's Lechnoloav whlch alves helps Lo
manaae enerav use bv provldlna lnformaLlon on Lhe klLchen equlpmenL lL
reduces Lhe labour cosL slanlflcanLlv bv aaLherlna as well as collecLlna daLa and
reduclna poLenLlal errors
CCNCLU5ICN5
Anv larae flrms whlch wanL Lo lmprove lLs buslness would have Lo alve areaL
lmporLance Lo lLs relaLlonshlp wlLh lLs cusLomers 1hls ls because for all
buslness Lo survlve ln Lhe markeL Lhev need cusLomers
WlLh Lhe lmplemenLaLlon of value Chaln Model ln Mcuonald's lL was able Lo
make areaL lmprovemenLs ln Lhelr LoLal ouLcomes lL was able Lo found anv
flaws ln lLs LransporLaLlon le Lhe flaws ln lLs lnbound loalsLlcs 1he flrm was
able Lo make recLlfv lLs operaLlonal cosL also lL lnLroduced some new
Lechnoloales llke onllne web porLal call cenLres wlreless producL orderlna
svsLem eLc
All Lhese proved Lo be effecLlve ln Lhelr lmplemenLaLlon




9

kLILkLNCL5
1)8relLbarLcom 00901 8eLrleved 01008
)lrancls 8uLLle costomet kelotloosblp ,ooooemeot (p13008)
)hLLp//wwwLheLlmes100couk/casesLudvmanaalnasLockLomeeL
cusLomerneeds8php
) hLLp//wwwneLmbacom/sLraLeav/valuechaln/