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Rich FLOERSCH. Executive Vice President and Chief Human Resources Officer. The History of McDonald’s. RONALD MCDONALD. HOUSE CHARITIES. 1970s Standardized Business. U.S. Focus Common Operating Platform and Menu Leverage Franchisee Ideas Creation of Ronald McDonald House.

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Rich FLOERSCH


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rich floersch

RichFLOERSCH

Executive Vice President and Chief Human Resources Officer

the history of mcdonald s
The History of McDonald’s

RONALD MCDONALD

HOUSE CHARITIES

1970s Standardized Business

  • U.S. Focus
  • Common Operating Platform and Menu
  • Leverage Franchisee Ideas
  • Creation of Ronald McDonald House
  • Late 1950s -1960s - The Beginning
  • Ray Kroc buys McDonald’s business
  • Franchising Opportunities Abound & HU Introduced
  • IPO 1965 - 13 Stock Splits Since 1966

1970

1955

1960

the history of mcdonald s1
The History of McDonald’s

2002 & 2003 Sweeping Organizational Changes

1990s Business Environment Changed;

McDonald’s Stalled

  • Took Our Eyes Off Our Fries
  • Opened Too Many Restaurants
  • Distracted By Other Brands (Chipotle, Boston Market, etc.)
  • Cover of BusinessWeek
  • “Hamburger Hell”
  • Staff Reductions
  • Stock Price Drops to $12.38 (high $47)
  • CEO Change
  • Call to Action Plan to Win
  • 1980s & 1990s Explosive Growth
  • International Expansion/118 markets
  • Darling of Wall Street

1980

1990

2000

mcdonald s today
McDonald’s Today
  • 2003-2010 McDonald’s Revitalization
  • 29 consecutive quarters of positive comp sales
  • Stock price reaches all-time high of $76
  • CEO tragedies
  • 2009 Chief Executive Magazine CEO of the Year
  • Food and beverage focus

2010

2003

slide5

32,000 Restaurants

14,000 U.S. Restaurants

117 Countries

80% Franchised

revitalization recipe
Revitalization Recipe
  • Plan to Win and Alignment
  • Customer Focus and Brand Contemporization
  • Family-Based and High Performance Culture
  • Innovation and Execution
  • Talent Management and Leadership Development