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Human Resource Practices at

McDonalds

Group Members

Arsalan Ali Raja

Hamid Ullah
Zulfiqar Haider
Muhammad Ibrar

Introduction
Head Office: McDonalds Corporation,

2111 McDonalds Dr., Oak Brook, IL 60523,

United States.
Company begun in 1940, as a Barbecue restaurant
operated by Eponymous Richard and Maurice McDonald
in California.
Currently having 18,00,000 numbers of employees around
the globe.
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Introduction (Cont.)
McDonalds is the largest food service retailer

with more than 30,000 restaurants in 121

countries, and best known global food service.
Serving 68 millions customer on daily basis.
With earnings of $ 5.46 billions (approx.)
yearly.
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Vision
The worlds best quick service
restaurant experience.

Mission Statement
"Don't worry about making money
Love what you're doing and always put
the customer first...
And success will be yours!"

Top Management
Chart

Restaurant
Management Chart

Human Resource
According to HR Manager:
Human Resource means keeping a balance
between employer & employees because it is
our strong belief that it is people, not
machines, which make the difference.


HR Department Activities
Recruitment
Selection
Training and Development
Performance Appraisal
Compensation
Incentives
Health & Safety
Job Analysis
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Recruitment
Types of Recruitment

Internal
External
Sources in Internal Recruitment
Job Posting
Succession Planning
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Recruitment (Cont.)
Sources in External Recruitment
Advertisements in Print Media
Advertisements on website
Internship Programs
Walk-ins
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Selection Procedure
Screening of Applicants:
After building a pool of candidates applications, short
listing of selective applications is done by the HR
manager.

W-I-S:
This is the written test. The reason for the written test
is to assess that whether the recruits are able enough
to fulfill the general practical requirements of the job.
The HRD department designs and conducts the tests
as and when hiring needs arises.
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Selection Procedure (Cont.)

Initial Interview
The ONE to ONE interviews conducted by
Restaurant Manager.
Reference Checks
They look at the references that have been
provided by the candidate, they check if the
references are valid or not.
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Selection Procedure (Cont.)

Final Interview:

Candidates who have passed their TEST

are called for the final interview.
Interview is done by a panel of five or six
interviewers.

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Orientation
Provides new employees with basic background
information they need to perform their job
satisfactorily.
New employees get a handbook which includes:
Work hours.
Performance reviews.
Vacations.
Employee benefits.
Personnel policies.
Safety measures and procedures
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Reading Employee handbook

They celebrate reading employee handbook

day twice a year to keep update their employee
about their key rights, obligations, policies and
procedures.

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Training &
Development
According to training coordinator:
Training is an important part for our
employees McDonalds work experience and
starts as soon as he joins the McDonalds
team. Crew Trainers, Managers and other
employees will work shoulder to shoulder with
him.

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Training &
Development (Cont.)
Types of Training:
On the Job Training:
Every day, around the world, restaurant
members receive on-the-job training and
coaching in skills and procedures essential to
their work.

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Training &
Development (Cont.)

Classroom Training:
Classroom courses, developed and led by
training experts, prepare outstanding restaurant
employees for advancement.

Computer-Based Training:
A new computer-based training system is
bringing interactive learning experiences to crew
members and managers right in the restaurants.
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Levels of Training
Crew Members Training:
Crew members are trained extensively on all
food safe At McDonald's. Trainees work while
they learn the operational skills necessary and
food handling processes for running for
positions in restaurant - from front counter to
the grill area.

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Levels
of Training (Cont.)

Managers Training:
McDonald's is dedicated to professional
training and development. The average
McDonald's restaurant manager spends more
than 2,000 hours over four years in training of
one kind or another. This is about the same
amount of time that a typical four-year college
student spends in the classroom.
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Specific Training Courses

Floor Management Course (FMC)
Management Development Program (MDP)
Operations Consultant Course (OCC)
Training Consultant Course (TCC)
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Performance Appraisal
According to HR Manager:
To embed our values, we give our people 360degree evaluation, with inputs from superiors,
peers, and subordinates. These are the
roughest evaluation we get, because people
hear things about themselves theyve never
heard before.
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Performance
Appraisal Process
Performance Review is a formal process in
McDonalds where each employee is evaluated in
order to determine how he or she is performing.
The appraisal process in McDonalds includes PA
forms for every particular job which involves:
International McDonalds standards.
Assessing the employees actual performance relative to these
standards.
Providing feedback to the employees.
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Levels of
Performance Appraisal
Out Standing
Excellent
Good
Need Improvement

After giving the total grades to the employee the

appraiser writes down about the strength and the
areas needing improvement of the employee.
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Compensation
According to HR Manager:
The best results come when you combine
profit sharing with greater worker involvement
and give employees information about the
Companys financial performance.
Types of Incentives
Cash Based
Non Cash Based
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Cash Based Incentives

Arise of 10% in salary.

20% bonus.
Medical Allowance.
Hard Soft Furnishing [HSF]:

Once in every year certain categories of employees can

furnish their houses with the carpet, furniture, curtains
etc. at the McDonalds expense.

Leave Fair Assistance [LFA]:

Once in two year managerial level employees are allowed
to choose any area for tourism with family for 10 days.

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Non Cash Based

Incentives
Crew of the Year Award.
Crew of the Month Award.
Branch of the Year Award.
Access to gift certificates.
Merchandise of company.
Free food for a specific timeline.

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Benefits
When employee joins the McDonald's management
team, he/she will receive the following:
Profit Sharing:
Fully funded by McDonald's, share in the profits of
the most successful quick service restaurant in the
world.
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Benefits (Cont.)
Leaves:
McDonald's employees can also apply and
obtain a leave of up to two months for personal
reasons or to study for examinations or school
projects.
Company Car:
Restaurant managers are eligible for a company
vehicle after only three years of service.
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Benefits (Cont.)
Educational Assistance:
McDonald's offers an educational assistance
program for its employees.

Social Activities:
Enjoy a variety of activities with his team which
could include an annual Convention, summer picnic
or outing, Eid Party etc.

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Benefits (Cont.)
Uniform:
All the employees, except those working in the
offices, are given uniforms.
Flexible hours:
The restaurant opens for business 18 hours a day
and that means work at McDonald's can fit into
anyone's schedule. Schoolwork, family or
personal activities can be scheduled around
working hours.
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Health & Safety

According to HR Manager:
McDonald's restaurants have workplace safety
programs in place to ensure that McDonald's high
safety standards and procedures are clearly
communicated and reinforced day-to-day. As an
important member of McDonald's team, Employee
will be taught to identify and report any potential
hazards and encouraged to suggest ways that health
and safety can be continually improved.
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Health & Safety Guidelines

Use gloves.
Use Apron.
Hand Cleansing Gel (HCG):
After every 30 minutes, there is a call from the floor
manager to all the employees on the floor to apply HCG on
their hands to kill the bacteria.
Hand Washing:
After every 1 hour, there is call from the floor manager to all
employees on the floor to wash their hands.
Keep yourself updated about Fire prevention program.

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Disciplinary Actions
Reasons for taking Disciplinary actions:
Disciplinary:
For Rules Violation
For Stealing
For Confrontation

Performance:
For Poor Performance
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Job Analysis
In McDonalds job analysis done in order to
employee new people every year.
Helps the management to have a better understanding
of the jobs.
In McDonalds they have predetermined standards,
on which employees are awarded on the basis of their
skills, knowledge and experience.
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Job Description
There are three main elements of Job Description
at McDonalds:
Customer Service
Food Preparation
Cleanliness & Hygiene
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Job Specification
There are different Job Specification for Upper &
Restaurant position at McDonalds; few are as follow:
Minimum Bachelor degree for the position of Upper
management.
To recruit people who have a positive attitude
towards customers, themselves and other employees.
who are capable of delivering the highest standards
of quality, service and cleanliness to customers.
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