MKT 4003 : RESEARCH IN MARKETING
TITLE : RESEARCH PROPOSAL
(MCDONALD’S BRENT CROSS BRANCH)
EXECUTIVE SUMMARY
McDonald’s Corporation is one of the most successful fast food businesses not only in its native country but in most parts of the world. The company has been successful in going international and reaching newer markets in different parts of the world. The company caters to people who need a place where they can get their food in the fastest time. One of McDonald’s UK restaurants is located at Brent Cross shopping centre in London. McDonald’s Brent Cross Branch was opened in 1988 and has been managed by McDonald’s until 2006 when it was leased out to a franchisee that operates 14 other McDonald’s restaurants. The branch has two floors each measuring approximately 12metres length x 10 metres width. The branch is located directly opposite Waitrose. McDonald’s Brent Cross Branch was last refurbished in 2004 and the next refurbishment is due in 2010. The branch has 75 employees most of whom are on flexible contracts. The branch recruits mostly students. Avril Clark is the Manager of McDonald’s Brent Cross Branch.
The research proposal aimed to provide information on the management decision problem of long service time at McDonald’s Brent Cross Branch. In particular, the research proposal analysed the customers and their social economic status, how often customers eat from the branch, what menus customers order, level of customer service provided at the branch and how customer friendly the environment is at the branch. In order to provide the information, the research team would use quantitative research method. This research method involves the use of structured questions where the response options have been predetermined and a large number of respondents are involved. Quantitative research generates data that can be converted into numerical data. Survey method would be used to collect data. The data capturing instrument would be a questionnaire and would be administered using interview surveys which involve face-to-face personal interviews. Finally, the in-store interview survey would be employed to interview the respondents. Our target population would be from 12 years to 19 years and 20 years to 30 years and the sample size would be 120. We would employ non probability sampling method and in particular judgement sampling. The data would be analysed using tables, charts and graphs. The task is expected to be completed in 11 weeks.
Background
MCDONALD’S CORPORATION
McDonald’s corporation started its business in 1940, with a restaurant that was opened by two brothers Dick and Mac McDonald’s in San Bernardino in California. They introduced a service called ‘’Speedee Service System’’ in 1948 which has now become the basis of the modern fast-food restaurants. In 1955, Ray Kroc opened the first franchised restaurant in Illinois. Kroc led a worldwide expansion of McDonald’s after buying the McDonald’s brothers equity in the company. McDonald’s today operates a chain of restaurants globally. The company has 31, 000 restaurants in 119 countries with a workforce of more than one million five hundred thousand (1.5 million) worldwide. (http://www.google.co.uk/search?hl=en&q=sampling+methods&meta=
McDonald’s corporation operates primarily in the US and the UK. The Headquarters is in Oak Brook, Illinois, USA. Its market include the under teens, teens and adults. The majority of McDonald’s restaurants are operated by franchisees. The corporation recorded revenues of US$21,586.40 million during the fiscal year ended December, 2006, an increase of 8.8 per cent over 2005. The operating profit was US$4,445 million during the fiscal year 2006, an increase of 11.3 per cent over 2005. The net profit was US$3,544.2 million during the fiscal year 2006, an increase of 36.2 per cent over 2005 (Datamonitor Business information centre, 2007)
McDonald’s corporation operates restaurants in the UK. One of its restaurants is located at Brent Cross shopping centre. This restaurant is our area of focus for our research and we shall call it McDonald’s Brent Cross Branch.
MCDONALD’S BRENT CROSS BRANCH
McDonald’s Brent Cross Branch was opened in 1988 and has been managed by McDonald’s until 2006 when it was leased out to a franchisee that operates 14 other McDonald’s restaurants. The Branch is located at Brent Cross shopping centre. It has two floors each measuring 12metres length x 10 metres width. The branch is located directly opposite Waitrose. McDonald’s Brent Cross Branch was last refurbished in 2004 and the next refurbishment is due in 2010. The branch has 75 employees most of whom are on flexible contracts. The branch recruits mostly students. The branch caters for all ages, the under teens, adolescents and adults. A lot of school children patronise the branch. Competition is not intense. The only direct competitor at Brent Cross shopping centre is Burger King. Other competitors are indirect such as coffee shops. The Branch’s sales last year (2007) increased by 3.5 per cent and this year sales are expected to rise by 7.5 per cent (Avril Clark – Manager McDonald’s Brent Cross Branch).
However, McDonald’s Brent Cross Branch has of late been receiving complaints from customers concerning delays in providing the service. The complaint has been that the branch takes long to execute the orders (long service time). The branch also faces a challenge of retaining its employees who opt to quit and joint the competitors. This is due to lower rate of pay. The rate of pay is determined by McDonald’s corporation for all the restaurants (Source: Avril Clark – Manager - McDonald’s Brent Cross Branch).
Management Decision Problem (MDP): ‘’Long service time’’. The branch is taking long to provide the service to customers.
Purpose of the Study
The purpose of this study is to examine the long service time McDonald’s Brent Cross Branch is taking to serve its customers. The study will focus on effectiveness of the service, customer satisfaction, service delivery level and the restaurant environment. The specific research questions are;
Market Research Questions/Objectives
1. How effective is McDonald’s customer service?
2. How satisfied are the customers with McDonald’s services?
3. How do customers rate McDonald’s customer service level?
4. How customer friendly is the restaurant environment at McDonald’s?
METHODOLOGY
Methodology describes the procedure used in conducting a research. It identities the methods and techniques that were employed in collecting data, the merits and demerits of using such methods and the shortcomings that were encountered in the process of conducting a research.
Research Design
We used descriptive research approach.
This research method involves gathering data that describes events, organises, tabulates, depicts and describes the data. The method focuses on the accurate description of the variables under consideration that are quantitative in nature.
Descriptive research approach normally uses Quantitative research method. This research method involves the use of structured questions where the response options have been predetermined and a large number of respondents are involved. Quantitative research generates data that can be converted into numerical data. We used quantitative research in order for us to reach a large number of respondents as our target sample was 120 respondents.
The group used survey research method to collect data. This is because survey research methods allow the collection of substantial amounts of data in an economical and efficient manner and they allow for large sample sizes. This data collection method is ideal for our research because we need to interview up to 120 respondents. This large sample size cannot be easily handled in a qualitative research as it is too costly and time consuming to achieve a sample size of 120 respondents. The advantages of using surveys is that respondents react to identically worded questions that are normally presented in the same order and with the same response options for each question. This ensures that answers across the population or sample surveyed are compared. Under this research method, the recording instrument we used is the questionnaire. An appropriate questionnaire was designed and self-administered by respondents. Our questionnaires were distributed in the following places;
1. Brent Cross shopping Centre 35 copies
2. Hendon centre 25 copies
3. Edgware 20 copies
4. Platt halls 25 copies
5. Usher halls 15 copies
Data Collection Method
To attain information the researcher has two major options one is primary data collection another is secondary data collection. Primary data will be the responses of the participants. The researcher intends to make use of questionnaires and interviews to obtain information. However, in the event of non-response, the researcher is faced with three options; one is to send reminders to those who have not responded, paying particular attention to anonymity and confidentiality, another is to test the response rate, estimate the expected drop-out rate and take a larger sample than the required sample to compensate for expected non-response rate, and the third option will be to ignore the non-respondents and proceed to the rest of the sample if the response rate is relatively high; however the previous two options are preferred. The primary data frequently gives the detailed definitions of terms and statistical units used in the survey. These are usually broken down into finer classifications. The secondary data will come from the academic materials and research publications that are significant to the research. The secondary source of data will come from research through the internet; books, journals, related studies and other sources of information. Acquiring secondary data are more convenient to use because they are already condensed and organized. Moreover, analysis and interpretation are done more easily. Questionnaires will be used to collect the primary data that will be used in the research. Accordingly, the selection of questionnaire is stimulated by the research questions and objectives. In making a questionnaire, one should consider the wording of individual questions prior to order in which they appear, and the order and flow of questions should be rational to the participants. The respondents will be given ample time to provide answers to the different questions.
Data preparation process
After the group had finished distributing and collecting questionnaires back, a meeting was called to check for acceptable questionnaires. In this procedure the questionnaires was checked for the researchers to know whether the participants will appreciate and understand the questions.
Checking Questionnaires
All questionnaires were checked for completeness and completion quality.
Editing:
Questionnaires were reviewed with the objective of increasing accuracy and precision. It involved screening questionnaires to identify illegible, incomplete, inconsistent and ambiguous responses.
Data coding
This is the identification of codes that pertain to the possible responses for each question on the questionnaire. (Burns and Bush - 2005). As a first step in data coding, questionnaires were numbered from 1 to 120. Questions were assigned codes such as nominal, ordinal and interval.
Transcribing
This is keying data from the collected questionnaires into the computer. After data preparation process the group entered data into the University’s Statistical Package for Social Sciences (SPSS).
Data Cleaning
Consistency checks were conducted. Checks at this stage are more thorough and extensive as they are done with the help of a computer.
Our target population included;
1. 12 – 15 years (permission was sought from parents)
2. 16 – 20 years
3. 21 – 25 years
4. 26 – 30 years
5. 30 years and above
SAMPLE SIZE
Our target sample size was 120 respondents. Our sample was dominated by the age from 21 – 25 years with 41 respondents and 26 – 30 years had 43 respondents. More males totalling 73 were interviewed while 47 females participated in the interviews.
SAMPLING METHOD
The sampling method is used to determine what will be the concentration of the study. It uses various techniques to determine the population that the study will be based on. We used non-probability sampling method and in particular judgement sampling. Judgement sampling is where the researcher selects the sample based on his/her judgement. Group members used their judgement to select the respondents.
Validation of the Instrument
To validate the instrument used, the researcher pre-tested a sample of the set survey questionnaires. This was done by conducting an initial survey to at least five participants from the different employee’s. After the respondents have given their answers to the questionnaire, they were asked to cite the parts of the questionnaire that needs amendment or change. Afterwards, the content of the survey questions will be reanalyzed by the researcher to find out the reliability of the survey and to determine unnecessary questions that have to be removed, as well as to identify words that would be regarded as difficult by the respondents. This process helps in easing the troubles the participants have in solving the questionnaire as well as giving them additional assurance that the use of their time will not be going into waste in answering questions that they have difficulty to understand. After the initial survey the questionnaire will be evaluated and then validated. Validation can only be complete if the questionnaire will be accepted and pass the expectations of the participants. When the questionnaire is validated, there is a bigger chance for the information coming from it to be reliable. Reliability means that the information will come from valid sources and sources that cannot be easily contradicted.
Ethical Issues
Informed Consent
.Any person asked to participate in a certain research should be given enough information on why the research is important and how the information acquired for the research will be used. It will give them assurance that the information will be used in accordance with proper respect. It will also assure them that the information that they divulge will not be used against them. The research will ensure that proper information about the need, objectives and future implications for the research will be given to them.
Issues on Confidentiality
Confidentiality is an important aspect of qualitative research because it can help in making sure that participants will have the trust and confidence to indulge in research undertakings in the future. If confidentiality is violated, participants may not want to share information that can be valuable to future research. The research will not disclose personal information of the respondents; there will be a cover letter to explain the research and this will be included in the questionnaire. This will result in lesser ethical problems. It is necessary for the researchers to explain to the respondents that the information collected will be used solely for assessment. The researchers will inform the participants that the study will allow them access to the designed results.
Data Analysis
1. In our analysis, we first considered service delivery level. The table below shows 49 customers are satisfied with service delivery level while 35 are not satisfied and 46 are neither satisfied nor dissatisfied with the level of service.
Service delivery
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
very dissatisfied
22
18.3
18.3
18.3
dissatisfied
13
10.8
10.8
29.2
neutral
46
38.3
38.3
67.5
satisfied
30
25.0
25.0
92.5
very satisfied
9
7.5
7.5
100.0
Total
120
100.0
100.0
1. The second consideration was customer satisfaction. The table below shows 23 customers are satisfied while 49 are dissatisfied. The 48 respondents are neither satisfied nor dissatisfied.
Customer satisfaction
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
strongly agree
6
5.0
5.0
5.0
agree
17
14.2
14.2
19.2
neutral
48
40.0
40.0
59.2
disagree
32
26.7
26.7
85.8
very disagree
17
14.2
14.2
100.0
Total
120
100.0
100.0
2. The third item was customer service rating. The table below shows 34 respondents rate McDonald’s positively while 35 rates the restaurant negatively and 51 perceive the restaurant as being fair.
Customer service rating
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
very poor
11
9.2
9.2
9.2
poor
24
20.0
20.0
29.2
fair
51
42.5
42.5
71.7
good
30
25.0
25.0
96.7
excellent
4
3.3
3.3
100.0
Total
120
100.0
100.0
3. The fourth item for consideration was friendly environment. Data shows that 55 respondents said the environment is friendly, 25 said the environment is unfriendly and 48 were not decided.
Friendly environment
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
less friendly
8
6.7
6.7
6.7
friendly
17
14.2
14.2
20.8
neutral
40
33.3
33.3
54.2
friendly
48
40.0
40.0
94.2
very friendly
7
5.8
5.8
100.0
Total
120
100.0
100.0
Our first research objective is ‘’How effective is McDonald’s customer service level?
Statistics
delivery
level
expectations
recommend
N
Valid
120
120
120
120
Missing
0
0
0
0
Mean
2.93
3.58
3.31
3.39
Median
3.00
4.00
3.00
3.00
Std. Deviation
1.182
.875
1.044
.792
Minimum
1
1
1
1
Maximum
5
5
5
5
Frequency Table
Service delivery
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
very dissatisfied
22
18.3
18.3
18.3
dissatisfied
13
10.8
10.8
29.2
neutral
46
38.3
38.3
67.5
satisfied
30
25.0
25.0
92.5
very satisfied
9
7.5
7.5
100.0
Total
120
100.0
100.0
Service level
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
Strongly agree
2
1.7
1.7
1.7
agree
7
5.8
5.8
7.5
neutral
48
40.0
40.0
47.5
disagree
45
37.5
37.5
85.0
strongly disagree
18
15.0
15.0
100.0
Total
120
100.0
100.0
expectations
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
strongly agree
6
5.0
5.0
5.0
agree
17
14.2
14.2
19.2
neutral
48
40.0
40.0
59.2
disagree
32
26.7
26.7
85.8
very disagree
17
14.2
14.2
100.0
Total
120
100.0
100.0
recommend
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
very unlikely
2
1.7
1.7
1.7
unlikely
9
7.5
7.5
9.2
fair
57
47.5
47.5
56.7
likely
44
36.7
36.7
93.3
very likely
8
6.7
6.7
100.0
Total
120
100.0
100.0
Mean satisfaction is high
More customers are satisfied with McDonald’s customer service level.
Median is high (above 50%). This means customers are satisfied with the service.
The second research objective is ‘’ How satisfied are customers with McDonald’s level of service?
Statistics
taste
quality
price
N
Valid
120
120
120
Missing
0
0
0
Mean
2.68
3.19
3.44
Median
3.00
3.00
3.00
Std. Deviation
.963
1.056
.977
Minimum
1
1
1
Maximum
5
5
5
taste
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
very poor
13
10.8
10.8
10.8
poor
39
32.5
32.5
43.3
fair
45
37.5
37.5
80.8
good
20
16.7
16.7
97.5
excelent
3
2.5
2.5
100.0
Total
120
100.0
100.0
quality
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
very poor
12
10.0
10.0
10.0
poor
14
11.7
11.7
21.7
fair
40
33.3
33.3
55.0
good
47
39.2
39.2
94.2
excellent
7
5.8
5.8
100.0
Total
120
100.0
100.0
price
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
very unattractive
4
3.3
3.3
3.3
unattractive
12
10.0
10.0
13.3
neutral
49
40.8
40.8
54.2
attractive
37
30.8
30.8
85.0
very attractive
18
15.0
15.0
100.0
Total
120
100.0
100.0
The mean satisfaction is high. Most customers are satisfied with McDonald’s level of service. The median is above 50%, so satisfaction with the services level is high.
Third research objective, ‘’How do customers rate McDonald’s service?
Statistics
rate
often
much spend
N
Valid
120
120
120
Missing
0
0
0
Mean
2.93
3.66
2.59
Median
3.00
4.00
3.00
Std. Deviation
.976
1.141
.966
Minimum
1
1
1
Maximum
5
5
4
rate
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
very poor
11
9.2
9.2
9.2
poor
24
20.0
20.0
29.2
fair
51
42.5
42.5
71.7
good
30
25.0
25.0
96.7
excellent
4
3.3
3.3
100.0
Total
120
100.0
100.0
often
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
not at all
6
5.0
5.0
5.0
once per month
14
11.7
11.7
16.7
twice per month
27
22.5
22.5
39.2
three times per month
41
34.2
34.2
73.3
more than three times per month
32
26.7
26.7
100.0
Total
120
100.0
100.0
much spend
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
less than £10
19
15.8
15.8
15.8
£10-£19
33
27.5
27.5
43.3
£20-£30
46
38.3
38.3
81.7
more than £30
22
18.3
18.3
100.0
Total
120
100.0
100.0
Mean rating is high. Most customers rate McDonald’s highly.
Median is more than 50%, meaning the rating level is high.
Fourth research objective, ‘’How customer friendly is McDonald’s restaurant environment?
Statistics
friendly
attractive
eat out
convenient
N
Valid
120
120
120
120
Missing
0
0
0
0
Mean
3.24
3.38
3.03
2.79
Median
3.00
3.00
3.00
3.00
Std. Deviation
.996
.945
.884
1.084
Minimum
1
1
1
1
Maximum
5
5
4
5
friendly
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
less friendly
8
6.7
6.7
6.7
friendly
17
14.2
14.2
20.8
neutral
40
33.3
33.3
54.2
friendly
48
40.0
40.0
94.2
very friendly
7
5.8
5.8
100.0
Total
120
100.0
100.0
attractive
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
very poor
2
1.7
1.7
1.7
poor
17
14.2
14.2
15.8
fair
50
41.7
41.7
57.5
good
35
29.2
29.2
86.7
excellent
16
13.3
13.3
100.0
Total
120
100.0
100.0
eat out
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
once per month
9
7.5
7.5
7.5
twice per month
18
15.0
15.0
22.5
three times per month
54
45.0
45.0
67.5
more than three times per month
39
32.5
32.5
100.0
Total
120
100.0
100.0
convenient
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
strongly disagree
20
16.7
16.7
16.7
disagree
19
15.8
15.8
32.5
neutral
53
44.2
44.2
76.7
agree
22
18.3
18.3
95.0
strongly disagree
6
5.0
5.0
100.0
Total
120
100.0
100.0
Mean customer friendliness is high. This means most customers perceive McDonald’s restaurant environment as being friendly.
The median is above 50%. This means the environment is friendly.
First, we will use data display: This means presenting data in tables, charts or graphs so that it is possible for readers to see the total distribution on a single variable or to observe the pattern of relationships between two or more variables.
Secondly, data summary: summarising data employs statistical methods such as calculating an average on a single variable, or measures of association or correlation on two or more variables to reduce the data to a few key summary measures.
Information to Management of McDonald’s Brent Cross Branch will be presented in tables, charts and graphs (Kent, R., - Marketing research, approaches, methods and applications in Europe, (2007), pp 297, Thomson Learning, Publishers)
The management of McDonald’s Brent Cross Branch
The participants’ responses are vital and much needed to achieve the objectives of the study. To achieve the objectives is to get the necessary and reliable information regarding how McDonald manages it’s Brent Cross branch. The participant’s responses after being put in an organized conclusion will give the necessary information to find a logical solution for the study’s problem; it can also assist in providing a reachable recommendation and course of action. Such responses will be represented by figures or graph to make it clear and to achieve greater understanding. Lastly these graphs helps in making the study more visual oriented for greater appreciation by the reader.
McDonald’s motivation to employees
This figure shows that 75% of the respondents agree that McDonald’s Brent Cross branch makes sure that they motivate the personnel. 18.97% are undecided on such statement. While a slim percentage of 6.03% are undecided on this statement. The respondents believe that the management tries the best it can to motivate their personnel. The respondents believe that even though the pay is not that good, there are other things that can improve the outlook of the personnel.
Motivation is important for a good workplace relationship
This figure shows that 76.23% of the respondents agree that employee motivation is important so that the company and its employees will have a good relationship. 21.31% of the respondents disagree with such statement. A little group of respondents, particularly 2.46% are undecided with the statement. This shows that the respondents believe employee motivation may not be the single factor for business success but it is an important factor that can make a business successful. The respondents think that the use of motivation will lead to a better relationship through less un needed complains from the employees. When employees are motivated they will not complain about small unimportant things.
Motivation through positive feedbacks
This figure shows that 62.9% of the respondents agree that employee motivation can be acquired by giving employees positive feedbacks. Some 33.87% of the respondents disagreed with this statement. A mere 3.23% were undecided on the statement. This shows that the respondents believe that a form of motivation for the employees is giving employees positive feedbacks. With more positive feedback, employees are encouraged to perform their work better. It also inches the company’s way to reach its goal. Positive feedbacks can be in the form of personal commendation, bulletin board postings or the use of technologies such as email.
Motivation through giving abrupt punishment to offenders
This figure shows that 83.04% of the respondents are undecided on the statement that employee motivation can be acquired through giving abrupt punishments to offenders. 10.71% of the respondents agree with the statement. While 6.25% disagree with the statement. The respondents are not sure if punishment to offenders can truly motivate employees. The respondents are unsure if punishment can really motivate the personnel. When a company punishes its personnel, there is no assurance that this will lead for them to perform better. The punishment to employees who do certain derogatory acts should be minimized, it may instil what they did wrong but it will not motivate them to perform better. The abrupt punishment towards offenders may result in rebellion from the personnel.
Motivation has disadvantages
The ninth figure showed that 51% of the respondents don’t believe that employee motivation has disadvantages to both McDonald’s Brent Cross branch and their employees. 34% of respondents strongly disagreed with the idea. Another group of respondents agreed with the statement they were 9% of the total number of respondents. 6% of respondents were undecided with the idea. The respondents don’t think that employee motivation causes problems to a company. They foresee motivation as something that will not bring more problems to McDonald’s Brent Cross Branch; rather they see it as a saviour to the company. Motivation aims to bring out the best in the employee so that he/she will perform better and it does not want to create a harmful effect to the personnel.
The organization clearly communicating its goal and strategies
The figure shows that 54.95% of the respondents agree that McDonald’s Brent Cross branch makes sure that they clearly communicated to the employees its goal and strategies. 35.14% of the respondents disagree with the idea. The smallest group of respondents, particularly 9.91% of the respondents is undecided on such matter. This shows that the respondents have an idea of what they should do so that the company can reach its goals McDonald’s Brent Cross branch make sure that they communicate their goals and strategies to the employees so that the employees will know what they must do for the company to achieve its goals. It reduces the relationship problems between the company and their personnel.
Current developments pertaining to the job
This figure shows that 76.23% of the respondents agree that McDonald’s Brent Cross branch keeps abreast of current developments pertaining to the job. 21.31% of the respondents disagree with such statement. A little group of respondents, particularly 2.46% are undecided with the statement. This shows that the respondents believe that the company has concern over the job and the different developments in it. The developments can be in the form of newer job titles and newer qualifications for the job. The developments can be in the form of newer job descriptions and newer pay systems for a job. The respondents believe that McDonald’s Brent Cross branch knows the improvements in a certain job and are willing to apply such improvement in their company.
Mc Donald’s provide information to employees about changes in policy
This figure shows that 83.93% of the respondents stated that the organization communicates the employee provisions on the company policies.10.71% strongly agreed with the idea. The smallest group that was undecided and it includes 5.36% of the respondents. This means that the company was responsible enough to provide information to employees about changes in the policy. Policies affects the way the personnel work, it affects the relationship of a company and their personnel. The change in policy affects the overall operations of Mc Donald and its Brent Cross branch. To prevent any issue with the personnel, Mc Donald’s Brent Cross branch makes sure that the employees know if there are changes in a policy.
Full information on job profile and job responsibilities
This figure shows that 75% of the respondents agree that during the induction week they were given full information about the job profile and the responsibilities associated to the job. 18.97% are undecided on such statement. While a slim percentage of 6.03% disagreed with the statement. This shows that the employees were given an idea of what is expected of them and what might be the cause of their problems in the company. During the first few days of the personnel in the office he/she was given some pointers on the different expectations of them. The employees were also informed on what will be the things that will be included in their task.
Company keeps abreast of current developments pertaining to the job
This figure shows that 76.23% of the respondents agree that the company keeps abreast of current developments pertaining to the job. 21.31% of the respondents disagree with such statement. A little group of respondents, particularly 2.46% are undecided with the statement. This shows that the respondents believe that the company has concern over the job and the different developments in it. The respondents believe that Mc Donald’s Brent Cross branch make sure that it keeps abreast of current developments pertaining to the job. The company tries to check for advancements that will help the job be performed better with less cost for the company.
Fair and honest performance evaluations
This figure shows that 62.9% of the respondents agree that Mc Donald’s Brent Cross branch give fair and honest performance evaluations. Some 33.87% of the respondents disagreed with this statement. A mere 3.23% were undecided on the statement. This shows that the company wants to make sure that equality and fairness is evident in the company and that all employees will be treated/evaluated in a fair way. This will prevent any unrest and problems in the company and will motivate the employees to perform well. The respondents believe that Mc Donald’s Brent Cross branch are fair in giving performance evaluations, the company tries to make sure that no issue would come out after any performance evaluations.
Appraisal is an effective way of determining performance
This figure shows that 68% of the respondents believe that appraisal is an effective way of determining the performance.17% of the respondents strongly agrees to this idea. 15% of the respondents are undecided on this idea. This shows that the respondents think that appraisal can be a big help in determining what kind of performance the employee has. Appraisals can be in the form of onsite inspection or it can be done with the help of a superior of a certain personnel. It is a process that requires a lot of patience from the one that instituted the appraisal and the one that is undergoes appraisal. If not used properly, the appraisal can cause problems for the firm. For the respondents appraisal is not a way for Mc Donald’s Brent Cross branch to humiliate its personnel, it is also not a way to cause some problems between the management and the personnel.
Figure 17
Appraisals and the relationship between the supervisor and employee
The figure showed that 51% of the respondents don’t believe that the relationship between the supervisor and the employee affects the process of appraisal. 34% of the respondents strongly disagreed with the idea. 9% of the respondents agreed with the statement. 6% of the respondents were undecided with the idea. This shows that the respondents believe that whatever relationship the employee and supervisor has, it must not be affect the way an appraisal is made. Their relationship must not change the things that will be mentioned or included in the appraisal. The respondents think that appraisals in Mc Donald’s Brent Cross branch should create a better performance for the personnel and not cause the ruined relationship between the management and the personnel.
Figure 21
Appraising performance contributes to the organizational goals
This figure shows that 67.92% of the respondents agree that appraising performance contributes to the organizational goals.25.47% disagree with the statement. 3.77% strongly agrees with the statement. The smallest group of respondents particularly 2.83% of the respondents strongly disagrees with the statement. This shows that when Mc Donald’s Brent Cross branch appraises the performance of the employees, it helps the company in getting close to achieving its goals and objectives.
Positive outcome from the appraisal
The respondents were asked to choose which outcome do they think contributed a lot to the benefit of Mc Donald’s Brent Cross branch.27.12% of the respondents stated that recognition is the positive outcome from the appraisal. 24.29% of the respondents believed that pay increase is the positive outcome. 20.24% of the respondents believed that promotion is the positive outcome of the appraisal. 16.38% of the respondents believe that personal growth is the positive outcome. 11.86% believed that training and development was the positive outcome. This shows that the respondents believe in appraisals. The respondents also believe that it can do something to change their standing in the company. The respondents think that appraisals do something good for the Mc Donald’s Brent Cross branch and their effects are mostly positive.
Negative outcome from the appraisal
The respondents were asked on some outcomes that did not contribute to the success of the company. 50. 34% of the respondents believed that the negative outcome from the appraisal is poor feedback. 25.17% of the respondents believed that the negative outcome is criticism. 12.93% of the respondents stated that confrontation is the negative outcome. 8.16% of the respondents stated that the negative outcome is fault finding. 3.40% of the respondents believe that there are other negative outcomes of the appraisal.
Negative appraisal results to better performance
In this part the respondents were asked on how a negative appraisal results to make the personnel perform better. The figure shows that 54.95% of the respondents agree that negative appraisal on employees’ results to better performance. 35.14% of the respondents disagree with the idea. The smallest group of respondents, particularly 9.91% of the respondents is undecided on such matter. This shows that the respondents see the importance of appraisal on the way they perform and do their responsibilities. The negative appraisal boosted the personnel’s desire to perform better. It assisted in forcing the personnel to focus on what was their mistakes and make sure that they will perform better next time.
Positive appraisal results to a motivated employee and good performance
In this part the effect of positive appraisal is checked. This figure demonstrates that 53% of the respondents believe that positive appraisal results to a motivated employee that has good performance. 36% of the respondents disagreed with the idea. 11% of the respondents belong to those who are neutral regarding the statement. Positive appraisal can be in the form of commendation, awards, cash prices or the like. The participants believe that a good appraisal will motivate them and make them perform better. The result shows that when something good is being said about a person, the probable result is a good performance that enables Mc Donald’s Brent Cross branch to reach its goals.
Analysis
The respondents believe that the management tries the best it can to motivate their personnel. The respondents believe that even though the pay is not that good, there are other things that can improve the outlook of the personnel. McDonald’s Brent Cross branch makes sure that they clearly communicated to the employees its goal and strategies. The respondents have an idea of what they should do so that the company can reach its goals McDonald’s Brent Cross branch make sure that they communicate their goals and strategies to the employees so that the employees will know what they must do for the company to achieve its goals. It reduces the relationship problems between the company and their personnel. The respondents believe that McDonald’s Brent Cross branch knows the improvements in a certain job and are willing to apply such improvement in their company. The respondents believe that the company was responsible enough to provide information to employees about changes in the policy. To prevent any issue with the personnel, Mc Donald’s Brent Cross branch makes sure that the employees know if there are changes in a policy. The company wants to make sure that equality and fairness is evident in the company and that all employees will be treated/evaluated in a fair way. This will prevent any unrest and problems in the company and will motivate the employees to perform well. The respondents believe that Mc Donald’s Brent Cross branch are fair in giving performance evaluations, the company tries to make sure that no issue would come out after any performance evaluations.
The respondents think that appraisal can be a big help in determining what kind of performance the employee has. For the respondents appraisal is not a way for Mc Donald’s Brent Cross branch to humiliate its personnel. The respondents believe that whatever relationship the employee and supervisor has, it must not be affect the way an appraisal is made. The respondents think that appraisals in Mc Donald’s Brent Cross branch should create a better performance for the personnel and not cause the ruined relationship between the management and the personnel. The respondents believe that positive appraisal results to a motivated employee that has good performance. The participants believe that a good appraisal will motivate them and make them perform better. The result shows that when something good is being said about a person, the probable result is a good performance that enables Mc Donald’s Brent Cross branch to reach its goals
Conclusion
Interpersonal skill is one of a number of broadly similar terms that are sometimes used interchangeably. Other such terms include interactive skills, people skills, face-to-face skills, social skills and social competence. Groups provide an important context for work activity. Boards of directors, management committees, planning groups, project teams, task forces, quality circles, safety committees and autonomous work groups are but a few of the many different kinds of group within which organizational members have to work (Hayes 2004). The way people interpret situations and perceive others will influence how they will behave towards the people they encounter. It will also influence how they expect others to behave towards them (Hayes 2004).For example, the way a new employee behaves towards somebody he/she meets for the first time will depend upon whether this other person is perceived to be a boss, colleague or subordinate. The other’s role will also influence how he/she expects them to behave in return. Perhaps the new employee expects a subordinate to pay more attention to what he/she says than either a boss or a colleague (Hayes 2004).To have better interpersonal skill and good working relationships within the company, employees have to be motivated so that they become more than willing to participate in group activities the company engages in. With better relationships the company can create more products and provide better services thus the end result is success for the company. The area of work life that most strongly differentiates professional and craft work is the pace of work. Professional employees, along with workers under bureaucratic and supervisory control, work at a faster pace than do craft workers. Professional employees experience the most pressured work life of any group. Craft workers, in contrast, are able to control their pace of work and to keep it at a more humane level. One of the few characteristics of work that is not differentiated between workplaces with and without employee participation is the pace of work. The pace of work shows no clear pattern in relation to worker participation (Hodson 2001). Many workplaces demand a rapid pace of work and, on average, team-based production systems do not appear to be significantly different from other settings in this regard. Management may have succeeded in getting a fast pace of work from assembly workers, but effective production requires more than grudging adherence to requirements. In the modern economy with its increasingly sophisticated production systems, efficiency also requires significant initiative on the part of employees. Opportunities for worker initiative are largely squandered in highly rationalized forms of assembly work (Hodson 2001). The speed of work depends on how the company is able to motivate and give appropriate appraisal to the employees. With better motivation and appraisal to employees means the faster they work. Employees who are motivated well tends not to do other things not related to his/her work thus more products can be made and better services can be given to clients. This leads to success for the company.
Productivity generally involves economic efficiency. When relating this to the business world it basically refers to generating output whether it be gross revenue or value added through the efficient utilization of resource inputs. Productivity can be estimated as a total measure incorporating all the input classes in the production process or partial productivity, which relates output separately to each major class of inputs (Diwan, R, Diwan, S & Mcginn, 2002). Technological change can account for increases in productivity as just described. It generally can be considered a measure of the shift in a production function, which can be the result of embodied or disembodied technological change. Disembodied change is evident if, independent of any changes in the factor inputs, the iso quant contours of a production function shift inward toward the origin as time progresses. In other words, a greater amount of output can be produced with the same or lesser amount of input factors. This increased productivity over time can be attributed to such factors as learning curve effects, which may involve improvements in techniques or organizational methodologies (Diwan, R, Diwan, S & Mcginn, 2002).Embodied technological change generally refers to enhancements in techniques that increase productivity resulting from the introduction of factor inputs such as new skills, materials, or capital (Diwan, R, Diwan, S & Mcginn, 2002). Technological change is built into or embodied in new capital equipment, or trained labor. This means that the new inputs are more efficient than the old ones because of technological advances. a firm may operate more efficiently or productively, but this does not necessarily imply enhanced profitability. Increased competition as a result of globalization and more readily accessible markets through such mediums as the Internet can restrict a firm's ability to raise prices, therefore mitigating supra normal returns (Diwan, R, Diwan, S & Mcginn, 2002). Motivation and better appraisal from an organization helps in creating productive members of the organization. With proper motivation and appraisal from the organization, the employees tend to work better thus they can server more people and create more products that will help the company reach its goal and be successful.
A customer may defect to a competitor even if satisfied with the current provider because the competitor may be offering a value bundle with the perceived potential for a higher degree of satisfaction for that customer. Therefore, firms have to strive to achieve higher levels of satisfaction than their competition by providing superior customer value. This is the essence of achieving a sustainable competitive advantage. Technology alone will not provide a competitive advantage (John 2003). The combination of superior technology and superior employees with a service orientation will contribute to achieving sustainable competitive advantage. It also quickly becomes evident that they need suppliers as well as distributors and agents who have a similar and compatible culture. Thus, there are two strong themes in any discussion of creating superior customer value at a sustainable profit and this includes a customer-focus imperative and a service orientation (John 2003). If all aspects of the firm and how the firm creates and delivers value to the customer are focused on the customer, the firm can provide a superior level of customer value. Such a firm is well positioned for a sustainable competitive advantage. A customer focus necessitates a deep understanding of customers and their activities, interests, and opinions around the particular value or solution that the firm is providing. It should be an attitude that is pervasive and that permeates throughout the firm such that it becomes ingrained as a culture. Once this focus becomes a given, then the firm will find itself in the mode of serving the customer while ensuring a reasonable profit (John 2003). Every firm in any industry provides some customer value. The firm that provides superior customer value is the one that has a sustainable competitive advantage. Firms compete with each other on differentiable aspects of the total solution. If organizations can conceptualize that every product has parts that are commodities and parts that differentiate it from others, superior value is in the augmented product, not in the conceptual core (John 2003). As firms focus on customer needs and become service oriented to deliver satisfaction, there are favourable ripple effects throughout the firm. Consistent delivery of customer satisfaction persuades customers to be loyal because perceived risk in buying a product from that firm is substantially reduced. By way of their continued patronage, they become more valuable to the firm. When customers are loyal to the provider by choice, it is also in their best interest to support the provider because the prosperity and longevity of the provider is beneficial to the customer (John 2003).
Similarly, with regard to employees, research has shown that when employee satisfaction is high employees are more likely to be loyal to the company. When employee loyalty is high, employees are likely to be more productive and to be providing quality products and does for the customer and everything associated with it (John 2003). Without motivation to the employees the company cannot gain competitive advantage since the employees will not work for better products and strive to provide better services. Before competitive advantage can be acquired companies must have competitiveness as the foundation of achieving advantage. Relative to a company's trading partners, the maintenance of international competitiveness involves a range of factors ranging from increasing productivity and advancement of research and development (R&D) initiatives to obtaining high trade surpluses, advancement in high-technology products, and maintaining a highly trained labor force. These parameters suggest that a company's competitiveness status is a situation that could be achieved, retained, or lost, over time. And the ability to achieve and retain competitiveness would depend on the ability to affect the required and appropriate measures and implement the needed policy actions (Ezeala-Harrison 1999). The activities involved in the competitive market include both the production and marketing of the goods and services; marketing covers both domestic and export venues and is important because it involves the transportation, insurance, storage, advertisement, distribution, and financial transaction costs of marketing the products. In fact, these aspects of the firm's business activity are very crucial in shaping its state of competitiveness. The overriding objective of firms involved in business activities is to maximize profits and remain profitable in all business endeavours (Ezeala-Harrison 1999). This is assumed always to be an immediate objective of the firm, within an overall long-term policy of sustaining productivity and all other operations at the level that would ensure a steady-state growth rate of the firm's desired profit level. The scenario can be represented as a model of a typical firm operating for ongoing profitability: it needs to market its products widely enough to attract greater market share to raise revenue. The world is increasingly becoming a global trading village due to massive technological advancements that have given rise to rapid pace of communication and transportation mechanisms (Ezeala-Harrison 1999).Economic globalization has set off a wave of global struggle whereby all countries find themselves facing fierce competition from not only their traditional competitors but also emerging new ones. In this struggle to capture a larger market share for its products, a country's most important watchword is competitiveness. Therefore, attainment and maintenance of international competitiveness has become a very crucial concern facing any modern society that wishes to achieve and sustain positive rate of economic growth (Ezeala-Harrison 1999).
The extent and pace of economic growth and development in every country has come to be dictated by the extent and pace of the country's ability to maintain relative competitiveness in all facets of its economic transactions with the rest of the world. It is apparent that the relationship between the international competitiveness and economic growth of a firm could be likened to that between the chicken and egg. There can be no clear line of causality between these. Their relationship is that of a cross-causality. Cross-causality indicates a constant interplay of cause and effect relationships between two or more entities (Ezeala-Harrison 1999). With proper motivation employees are encouraged to contribute for the company to be competitive not only in the local scene but in the global area. Competitiveness means producing products that no other company can equal and imitate. It also means that the service of the company will be something that clients will always look for. With higher levels of competitiveness the company has a clearer path for success. Organizational conflict arises because people who have different personal and professional interests must work together to achieve the organization's goals. Because these people have different interests and may actually be in opposition to each other, they often become concerned that others may block them from meeting their needs. Over the past ten to fifteen years, the situation has improved in that more organizations accept that conflict is natural and not something to be ashamed of. Frontline and managerial employees are more and more often identifying conflict resolution skills as necessary tools for dealing with co-workers, managers, and customers. Perhaps this greater openness reflects the fact that the amount of conflict in organizations is unavoidable and is increasing (Landau, B, Landau, D & Landau, S 2001). Organizations are made up of people who have different and quite often opposing values, goals, beliefs, perspectives, interests, personalities, and communication styles. These differences arise from a variety of sources, some personal and some organizational. Conflicting responsibilities may be inherent in the nature of organizations, but management sometimes creates additional conflict by being unclear about responsibilities. Even when people have jobs that are quite distinct, overlaps may occur in areas on the margins. In addition to these individual differences there are differences that flow from the professional or functional areas we work in. Marketing people tend to see the world differently from financial people. Human resources specialists often have different values and perspectives than do accountants (Landau, B, Landau, D & Landau, S 2001).
This diversity frequently arises because different kinds of people are drawn to different fields of work. It is compounded by the influence that the profession has on the people in it. Conflict in organizations is natural and inevitable. It is also increasing. If conflict is not resolved, the result can be a poisoned environment in which people are afraid to raise important issues because they might be contentious and every issue that does surface becomes a divisive dispute. Effective organization is one in which conflict is expected, surfaced, and managed promptly and well (Landau, B, Landau, D & Landau, S 2001). Lack of motivation to employees leads to conflicts between management and the employees and the personnel resort to protests and rallies to give their sentiments about the company. This results to stoppage of work operations and the company being unable to reach for their goal. An important organizational outcome factor is employee turnover. Dysfunctional turnover, that is, losing high-quality employees a company would rather retain, is costly for an organization. The determinants of turnover are multi fold; for example, involuntary turnover due to layoffs or job performance factors, and voluntary turnover from job dissatisfaction, current economic conditions, and the likelihood of finding another job. Whatever the reason, and whatever the type, the consequence of high levels of turnover are troublesome for an organization. Employee perceptions of managing change were associated with the important organizational outcomes of client satisfaction and employee turnover (Cooper & Murphy 2000). Discussions of turnover were often explicit about the relationship between turnover and unrest. In modern parlance, they treated exit as an alternative to voice. As one economist put it, trade unions voice their protest against bad conditions by sending a committee to see the firm. The unorganized voice their protest by asking for their time. Another economist observed that turnover rates were higher in unorganized industries. Early supporters of personnel management noted that the same conditions that gave rise to quits and low morale in the present might lead to strikes or worse in the future (Jacoby 2004).
If the conditions could be identified and remedied, they reasoned, morale would improve, quits would fall, and the possibility of industrial revolt would be greatly lessened. High turnover rates were frequently attributed to the impersonal atmosphere of the large corporation. An early book on turnover recommended that each member of the organization be made to feel that he is really a member of the organization instead of being an appendage to a machine with only a number tag as a designation. Turnover was also attributed to the deadening effects of modern factory labor and particularly to scientific management, which had made work highly repetitive and intolerably tedious (Jacoby 2004). Low turnover came to be regarded as a desideratum for the well-managed, strike-free firm, an indication that the company was sensitive to the problems of its workers and that it provided them with outlets for voicing dissatisfaction. Moreover, a low turnover rate helped to stabilize worker effort and gave management time to build a corps of loyal employees. Although turnover costs were neither large nor rising, advocates of personnel management gave much emphasis to them, in order to legitimize reforms principally, the restriction of the foreman's discharge prerogatives and the provision of employment security which they regarded as necessary for other reasons (Jacoby 2004). To understand the need for this strategy, one must appreciate that, within most firms, there were two opposing views about the desirability of reform. For most employers, the net economic benefits of career-type employment relationships remain positive. Employee loyalty and commitment still matter, especially in the burgeoning service sector, where it is often difficult to directly supervise employees. Also, new workers have to be trained, which makes employee turnover costly (Jacoby 2004). Many things can be used to prevent any problems in the organization. One strategy is give satisfaction to employees. Through job satisfaction employee turnover maybe prevented. Job satisfaction makes sure that employees will have no second thoughts in staying with the company. Turnover may lead to additional costs for the company in replacements for those who left. Turnover may also cost the company employees who can create the best products and best service. With more cases of turnover means lesser chances for the company to be successful.
Timescale
We are going to demonstrate our timescale as follow:
Week 1: 08/05/2008 meeting with McDonald’s Brent Cross Management
Week 2: 12 – 16/05/08 Questionnaire design and approval by the lecturer
Week 3: 19 – 23/05/08 Data collection (10 Questionnaires to be completed)
Data analysis
Week 4: 26 – 30/05/08 Data collection (more questionnaires completed)
Data analysis
Week 5: 2 – 6/06/08 Data collection (last questionnaires completed)
Data analysis
Week 6: 9 – 13/06/08 Data analysis
Week 7: 16 – 20/06/08 Data analysis
Week 8: 23 – 27/06/08 Data analysis
Week 9: 30 – 4/07/08 Data analysis and pre-testing
Week 10: 7 – 11/07/08 Report writing
Week 11: 14 – 18/07/08 presentation
References
1. Avril Clark: Manager - McDonald’s Brent Cross Branch.
2. Cooper, CL & Murphy, LR 2000, Healthy and productive work: an international perspective, Taylor & Francis, London
3. Diwan, R, Diwan, S & Mcginn, D 2002, Information technology, corporate productivity and the new economy, Quorum Books, Westport, CT
4. Ezeala-Harrison, F 1999, Theory and policy of international competitiveness, Praeger Publishers, Westport, CT.
5. Hayes, J 2004, Interpersonal skills at work, Routledge, New York.
6. Hodson, R 2001, Dignity at work, Cambridge University Press, Cambridge, England.
7. Jacoby, SM 2004, Employing bureaucracy: managers, unions, and the transformation of work in the 20th Century, Lawrence Erlbaum Associates, Mahwah, NJ.
8. John, J 2003, Fundamentals of customer-focused management: competing through service, Praeger, Westport, CT.
9. Kent, R 2007, Marketing research, approaches, methods and applications in Europe, Thomson Learning.
10. Landau, B, Landau, D, & Landau, S 2001, From conflict to creativity: how resolving workplace disagreements can inspire innovation and productivity, Jossey-Bass, San Francisco.
11. McDonald’s website (www.mcdonald’s.com).
12. Marketline (www.marketline.com), (Datamonitor, Business centre, 2007)
13. http://www.google.co.uk/search?hl=en&q=sampling+methods&meta=
14. http://www.statpac.com/surveys/sampling.htm.
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