McDonald's

Presentation Group:

History
History

The business began in 1940, with a restaurant opened by brothers Dick and Mac McDonald in San Bernardino, California. Their introduction of the "Speedee Service System" in 1948 established the principles of the modern fast-food restaurant. The original mascot of McDonald's was a man with a chef's hat on top of a hamburger shaped head whose name was "Speedee." Speedee was eventually replaced with Ronald McDonald in 1963.

The McDonald's History - 1954 to 1955 Raymond

Albert Kroc 1902-1984, A Salesman

Ray Kroc mortgaged his home and invested his entire life savings to become the exclusive distributor of a five-spindled milk shake maker called the Multimixer. Hearing about the McDonald's hamburger stand in California running eight Multimixers at a time, he packed up his car and headed West. It was 1954. He was 52 years old.

corporate overiew:
McDonald's Corporation is the world's largest chain of fast food restaurants, serving nearly 58 million customers daily.[3] McDonald's primarily sells hamburgers, cheeseburgers, chicken products, French fries, breakfast items, soft drinks, milkshakes and desserts. More recently, it has begun to offer salads, wraps and fruit. Many McDonald's restaurants have included a playground for children and advertising geared toward children, and some have been redesigned in a more 'natural' style, with a particular emphasis on comfort: introducing lounge areas and fireplaces, and eliminating hard plastic chairs and tables.

Redesign & playgrounds

The "R Gym" features the Toddler Zone, an active play environment with age appropriate games that develop physical coordination and social skills; the Active Zone, designed for children aged 4 to 8 that promotes physical fitness through fun play; the Sports Zone which features a series of sport oriented activities to promote aerobic exercise for children aged 9-to11; the Parent Zone which features seating and provides a monitoring area for their children; and the Dining Area which allows families to eat.

Business model

 McDonald's Corporation earns revenue as an investor in properties, a franchiser of restaurants, and an operator of restaurants. Approximately 15% of McDonald's restaurants are owned and operated by McDonald's Corporation directly. The remainder are operated by others through a variety of franchise agreements and joint ventures.

Environmental record

McDonald's has been recycling vegetable grease by converting it to fuel for their diesel trucks.

Advertising
Television, radio, and newspaper. Sponsors sporting events Olympic orange drink with their logo available for local events of all kinds

Products
McDonald's predominantly sells hamburgers, various types of chicken sandwiches and products, French fries, soft drinks, breakfast items, and desserts. In most markets, McDonald's offers salads and vegetarian items, wraps and etc.

Hamburger University
Hamburger University McDonalds Center of Training Excellence Since its inception, training at Hamburger University has emphasized consistent restaurant operations procedures, service, quality and cleanliness. It has become the companys global center of excellence for McDonalds operations training and leadership development. In 1961, Fred Turner, McDonalds former senior chairman and Ray Krocs first grillman, founded Hamburger University in the basement of a McDonalds restaurant in Elk Grove Village, Illinois. February 24, 1961, Hamburger University's first class of 14 students graduated Today, more than 5,000 students attend HAMBURGER UNIVERSITY each year Since 1961, more than 80,000 restaurant managers, mid-managers and owner/operators have graduated from this facility

McDonald's Career Business Functions

Administrative Accounting Air Travel Architecture/Construction Communications Corporate Tax Customer Satisfaction Distribution/Logistics Engineering Environmental Affairs Facilities Systems Franchising Government Relations Human Resources Information Services Insurance Legal Marketing Media Relations Product Development Purchasing Quality Assurance Real Estate Restaurant Operations Treasury

McDonald's Careers Employee Benefits

For McDonald's Corporation U.S. employees at corporate, division and region offices, our many benefits are organized into four categories:

Your Health and Protection - our health and insurance benefits - Medical - Dental - Flexible spending accounts - Short and long term disability - Employee and dependent life insurance - Accidental death & dismemberment (AD&D) - Travel and business travel accident insurance

Your Pay and Rewards - our compensation, reward and recognition programs - Base pay - Incentive pay - Company car program - Recognition programs

Investing in Your Future - our savings, investment and financial management programs - Profit Sharing and Savings Plan - MCDirect Shares - Mc$ave - Credit union - Financial planning services

Helping Balance Your Work and Life - our work/life benefits - Vacation - Holidays - Anniversary Splash - Sabbatical program - Short Fridays - Leave of absence - Alternative Work Approach - Adoption assistance - Child care discount - Educational assistance - Matching gifts program - Employee Resource Connection - Auto and home insurance program - International Fitness Club Network - BeyondWork Internet discount program - Disney discounts

Your Pay and Rewards

Incentive pay - Incentive pay provides our employees with the opportunity to earn competitive total compensation when performance meets and exceeds goals. Long term incentives - Long term incentives are granted to eligible employees to both reward and retain key employees who have shown sustained performance and can impact longterm value creation at McDonald's.

 Recognition programs - Our recognition programs are designed to reward and recognize strong performers. For our corporate, division and region offices, these include the Presidents' Award (given to the top 1% of individual performers worldwide) and Excellence Award. Company car program - Our company car program provides eligible employees with a company car for both business and personal use.

 Vacation, holidays - McDonald's offers paid vacation for corporate, region and division office employees as well as Restaurant Management employees.
Short Fridays - From mid-May through mid-September, McDonald's corporate, division and region offices' work hours begin a half hour early in order to end early (1:00) on Fridays.

 Child care - McDonald's has agreements with three national child care providers - Childtime Learning Center, Knowledge Learning Corporation and La Petite Academy - for a 10% discount on tuition for employees. (They do not offer discounted rates for children under age 2.) Educational assistance - Our educational assistance program helps support eligible employees in their efforts to further their education. Employees can get reimbursed for 90% of eligible expenses, up to a maximum of $5,250 a year ($2,000 a year for part-time employees), for grades "C" and above. Etc.

McDonald's Corporate Governance

The basis for our entire business is that we are ethical, truthful and dependable. It takes time to build a reputation. We are not promoters. We are business people with a solid, permanent, constructive ethical program that will be in style years from now even more than it is today. Ray Kroc, 1958

McDonalds Corporation Corporate Governance

Principles

McDonalds Corporations Board of Directors is entrusted with, and responsible for, the oversight of the assets and business affairs of McDonalds Corporation in an honest, fair, diligent and ethical manner.

Roles and Responsibilities

Role of the Board

Overseeing the conduct of the Company's business so that it is effectively managed in the long-term interest of shareholders; Selecting, evaluating and compensating the Chief Executive Officer (CEO) and planning for CEO succession, as well as monitoring managements succession planning for other key executives; Overseeing and reviewing the Companys strategic direction and objectives; Monitoring the Companys accounting and financial reporting practices and reviewing the Companys financial and other controls; Overseeing the Companys compliance with applicable laws and regulations

Role of the Chairman

The principal duty of the Companys Chairman is to lead and oversee the Board of Directors. The Chairman should facilitate an open flow of information between management and the Board, and should lead a critical evaluation of Company management, practices and adherence to the Companys strategic plan and objectives. In accordance with the Companys By-laws, the Chairman shall preside at all meetings of the Board and the shareholders. The Chairman, in consultation with the CEO, shall also establish an agenda for each meeting of the Board.

Role of the CEO and Management

The Company's business is conducted by its employees, managers and officers, under the direction of senior management and led by the CEO. In carrying out the Companys business, the CEO and senior management are accountable to the Board and ultimately to shareholders. Managements primary responsibilities include the day-to-day operation of the Companys business, strategic planning, budgeting, financial reporting and risk management; and in fulfilling those responsibilities, management must balance the unique relationships between and among the McDonalds System of employees, franchisees, suppliers and customers.

Composition of the Board

Size of the Board

The Board itself determines its size within the range of 11 to 24 members required by the Companys Certificate of Incorporation. The Board believes that, at this time, the desirable number of Directors is between 11 and 15. In the event of a vacancy on the Board, the Directors may either fill the vacancy or decrease the size of the Board, in accordance with the terms of the Company's Certificate of Incorporation.

Responsibilities and Conduct of Directors

Responsibilities of Directors
Directors must devote sufficient time and attention, and meet as frequently as necessary, to discharge their responsibilities. In discharging their responsibilities, Directors must exercise their business judgment and act in a manner that they believe in good faith is in the long-term best interests of the Company and its shareholders

Other Board Service by management Directors

The CEO shall not serve on the boards of more than two for-profit companies, in addition to the McDonalds Board. The President shall not serve on the board of more than one for-profit company, in addition to the McDonald's Board. Each management Director shall obtain the approval of the Board before accepting an invitation to serve on the board of another forprofit company.

Functioning of the Board

The Board of Directors meets at least six times a year. Additional meetings are scheduled as necessary or appropriate in light of prevailing circumstances. The Chairman chairs all meetings of the Board of Directors. The Chairman, in consultation with the CEO, establishes an agenda for each meeting.

Executive Sessions
The Board of Directors refers to meetings of the independent Directors as executive sessions. The Presiding Director chairs executive sessions; however, he or she may choose to defer to a Committee Chair when the subject matter of the meeting falls within the purview of a Board Committee.

Site Visits
Directors are expected to visit Company facilities throughout the year. Periodically, the Board will meet away from the Companys headquarters in order to visit certain of the Companys operations and provide the Directors the opportunity to meet with local management.

Communications
Access to Management and Information In order to fulfill their oversight responsibilities, Directors shall have free access to Company management and employees. The Board encourages the Chairman to invite members of management to make presentations at Board meetings in order to provide particular insights into aspects of the Company's business or to provide individuals with exposure to the Board for purposes of management development. Management shall be responsive to all requests for information from Board members.

 In situations where public comments from the Board may be appropriate, they should come only from the Chairman. Public Communications with the Board The Board of Directors shall provide a means by which persons, including shareholders and employees, may communicate directly with Directors with regard to matters relating to the Companys corporate governance and performance.

McDonald's Corporation Political Contributions Policy

Generally, the Company does not make contributions to political parties, candidates for public office or political organizations. However, because public policy issues have the potential to impact the Companys business, its employees, franchisees and the communities in which McDonalds restaurants operate, the Companys management believes that in certain cases it may be appropriate and in the Companys best interests to use its resources to make political contributions.