Introduction
The video Business Processes gives an idea of the business processes involved in any large company. Among the examples of companies mentioned is McDonald’s, which understands the importance of efficient organization of these processes (Business processes, 2010, 00:02:30). KFC can be called a successful competitor of McDonald’s since they operate in the same fast-food industry and are aimed at the same target audience. Despite a significant competitive threat posed, McDonald’s remains more successful.
Business Processes at KFC
A company’s success directly depends on the efficiency of the organization of its business processes. The video mentions the importance of purchasing from a supplier, employee training, and transportation (Business processes, 2010, 00:01:00-00:02:00). In the case of KFC; all these processes work smoothly: all restaurants of the network are provided with fresh products that are delivered at the agreed time, employees are hired, trained, and motivated to serve customers. At the same time, despite the high coherence of business processes, the KFC fails to capture such a large representation in the local and global markets.
Business Processes at McDonald’s
McDonald’s remains a more profitable company with a broad and loyal customer base around the world. Most likely, this factor is not related to the mentioned logistics, the purchase of products, and the training of employees since these processes are similar for the two companies. Crucial in this case may be the effective marketing, which has popularized McDonald’s so much that it no longer needs advertising.
Conclusion
In conclusion, business processes are critical to the organization of an effective, world-class business structure. Among the important processes are logistics, product procurement, and employee training. McDonald’s and KFC have similar organizational systems in terms of basic business processes, but McDonald’s remains more profitable and successful. Most likely, this state of affairs is due to the timely and increased advertising spending that made McDonald’s a recognizable and beloved brand around the world.
Reference
W. P. Carey School. (2010). Module 9: Business processes [Video]. YouTube. Web.