Operations Management: Case Study PDF

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Activity:Case Details:You ordered a double cheeseburger, chicken with spaghetti, large Coke, and large fries at McDonald’s over the phone. It took almost 2 hours before your order was delivered. You tried to call the hotline again and found out that there was an issue with their system causing the d...

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Activity:

Case Details:

You ordered a double cheeseburger, chicken with spaghetti, large Coke, and large fries at McDonald’s over the phone. It took almost 2 hours before your order was delivered. You tried to call the hotline again and found out that there was an issue with their system causing the delay of the delivery. To add to your frustration, you found out that the cheese was missing in your burger, the fries were saggy and instead of the leg part, it was the wing part that was delivered. You called the hotline again to complain, the customer service representative called the branch and found out that there was a shortage of the leg part that’s why they replace it with wing part. The lady that you spoke with over the phone apologize for the unpleasant experience. You still excepted the order as it will be billed against the delivery guy.

Based on the case given, answer the following:

   

What are the challenges when it comes to quality control? Identify the factors that could have impacted the supply of the leg part of the fried chicken that was ordered and what could have been done to prevent it. What are the potential issues related to inventory management? Identify at least 5 reasons associated with the delayed delivery. What could have been done to prevent customer’s frustration?

Answer: 1. Quality control is very relevant to make sure your business is maintaining a reasonable level of quality you needed to satisfy your customers. Based on the situation given, McDonald’s is experiencing numerous problems that affected the quality of its products. Some issues that I noticed are system breakdown, poor employee performance, poor customer relationships, and poor delivery service. The root of the said problems is that the business was unable to inspect the actual doings during production, the process control. It is very evident that their employees have lack of training and preparation for their assigned job, they were not able to prepare the orders in good quality: lack of cheese, saggy fries and wrong part of the chicken. Next, I can attest that they have a poor customer relationship, the assigned worker didn’t mention that they were having some problems and that the food will arrive late, the worker shouldn’t have been said yes when the customer asked for a leg part and tell honestly that it wasn't available that time. 2. First of all, the worker should be knowledgeable about their inventory, what stocks are available to inform the customer beforehand if his chosen order is not available for him to decide whether to change his order or retain. The average supply consumption was a possible reason that affected the supply of the chicken. During the time that the customer asked for a leg part, no stocks are left due to the previous customers who consumed the supply for the said part on that day. Disease outbreak is also a possible reason why they had a shortage of chicken such as bird-flu, this can be prevented by having different suppliers that sell good quality raw materials to continuously produce the foods they are selling and maintain their business. Having your supplies delivered on time is also relevant in a business because delayed deliveries interrupt the whole business in serving customer’s orders. McDonald’s might have experienced delayed supply distribution, the reason why they weren’t able to comply. 3. It is very important to a business to comply to what the customer’s wants and that includes the changes in demand, leg part during that time is in demand and that is enough reason to increase their supplies. Next is poor inventory monitoring since the order taker wasn’t informed that the leg part of the chicken is not available in their inventory. McDonald’s is experiencing poor order management. The said business should sustain sound inventory management, preventing overselling of products will keep their inventory balance. Additionally, their previous data can be of help to do some forecasting of their inventory. 4. First possible reason is high volumes of orders, McDonald’s might be having numerous orders at that time that made them swamped and had the foods delivered late. The second will

be the natural causes, weather is really unpredictable, there could have been a storm or flood. The first two possible reasons can be prevented by not taking all orders or saying no immediately if you can’t deliver on time, take orders that you’re sure you can deliver on time because the customers are waiting. Third, there could have been a documentation mistake that made the location hard to find such as an incomplete or misspelled address, this can be prevented by asking the customers for landmarks or using road guide applications. Traffic is also a possible reason especially here in our country, the delivery time could have been a rush hour or there are numerous road activities, this can also be prevented by using road guide apps where you can have suggestions what route to take that has quicker delivery time. Next, the delivery man could have experienced a vehicle breakdown, it really takes time to fix this and continue his work. This can be prevented by making sure that your vehicle is good to go before anything else, this will also assure that you’ll be driving safe....