MTS and MTO Utilization
The use of methods such as MTS and MTO is a crucial component of McDonald’s operations. For example, according to Viddler (n. d.), “the McDonalds’s system that has been so successful was designed to produce just a few types of sandwiches” (p. 00.00.15). Therefore, the company should decide on the most appropriate strategy that incorporates the benefits of both MTS and MTO.
By implementing the MTS process for its primary menu selections, McDonald’s can leverage economies of scale, enhance production efficiency, and reduce customer wait times during peak periods. Although MTS simplifies operations for standard menu items, it can pose challenges in maintaining inventory levels and reducing food waste, particularly when demand fluctuates or new menu items are introduced. Therefore, it is essential to highlight the benefits of both MTS and MTO for McDonald’s, including its business performance and customer relationships.
Orders Personalization
McDonald’s employs the MTO process to address customers’ desire for customization and variety, notably through its “Create Your Taste” and “Made for You” initiatives. These programs empower patrons to personalize their orders by choosing specific ingredients, toppings, and condiments for burgers, sandwiches, and salads. By embracing the MTO strategy for customizable menu selections, McDonald’s elevates customer satisfaction by providing a more tailored dining experience and accommodating various tastes and dietary preferences. Rather than undergoing a full transition from MTS (Make to Stock) to MTO (Make to Order), or vice versa, McDonald’s strategically integrates both methodologies in its operations. Traditionally, the company has relied on the MTS process for staple menu items such as burgers, fries, and drinks, which are pre-prepared and stored to ensure prompt service and uniformity across its global chain of restaurants.
Reference
Viddler (n. d.).