Corporate Social Responsibility At McDonald’s: A Critical Evaluation

Major components of McDonald’s sustainability report

Discuss about the Corporate Social Responsibility and Code of Conduct for McDonald.

Corporate social responsibility involves the set of ethical responsibilities and duties associated with each firm and the extent to which the firms follow a pattern of development and growth while catering to the sustainability issues it is involved with (Anaf et al. 2017). Business ethics forms a very important in the building and maintenance of long term customer and stakeholder relations. The firms need to undertake a set of self regulatory rules in order to cater to the requirements of the corporate social responsibility. The firms that cater to the needs of the community where they operate in some way whether directly or indirectly, help in living up to the corporate responsibilities. In the subsequent parts of the essay the corporate social responsibility performed by McDonald’s is critically evaluated and discussed with respect to one of its sustainability reports (Ross, Pandey, and Ross, 2015).

There are various parts to the sustainability report produced by McDonald’s. The company working in the food industry has to cater to the responsibilities of many aspects of sustainability. The major components of the sustainability report include nutrition and well being, employee development, sustainable supply chain development, environmental responsibility and responsibility in terms of community well being as a whole (corporate.mcdonalds.com. 2018). The report brings to light the fact that maintaining sustainability and well being of the clients as well as the employees is a heritage implicitly present within the organization and borne by the organization as a part of the heritage. The various aspects of the corporate social responsibility fulfilled by McDonald’s are discussed in detail in the subsequent parts of the essay. That the process is completely tangible is ensured by the organization working in different parts of the world using the stakeholder, customer and employee relations. In other words, McDonald’s is one of the few organizations that inevitably bring about good to the society and the community in which they operate by following the values of honesty, integrity and fairness ardently and strongly.

In the context of providing services that cater to the needs of nutrition and health the firm has reported to only increase the amount of fruits and vegetables used in almost all the happy meals options and their salad content in the meals has also increased as a part of the extra meals that they serve. Besides these among other initiatives taken by the firm to promote sustainability in terms of health and nutrition the firm has added the options of offering yoghurt in Canada and a few their countries of late. In other countries food items included in the menu include corn cups and carrot sticks (corporate.mcdonalds.com. 2018). To make it easier and feasible for children, McDonald’s has also introduced options of meals specialized and customized for children.

Sustainability in nutrition and well-being

In the context o Supply Chain Management, the firm has taken steps to ensure that the packaging and sourcing of all the raw food materials and other equipments are done in a process that is environmentally viable and do not have any detrimental effects. It also takes care of the fact that the packaging should be done in such a way that the fiber and other materials used for packaging also mean no harm to the environment. In addition, to all these activities being carried the viability of these as well as all other processes are carried out using the monitoring by a Environmental Scorecard so that the extent to which such activities and environmentally viable can be calculated and the base level can be maintained (corporate.mcdonalds.com. 2018). The measures taken by the firm to ensure that none of the supply chains carry our practices that are unsustainable are setting an example to the industry as a whole and ensuring that the industry limit of all the food organizations is getting extended as a whole. For example, McDonald’s has taken up the initiative of ensuring sustainable fish supply by ensuring that they are able to identify and use some other species that are healthy and are of the quality and taste standard that McDonald’s as a food outlet ensures.

Next comes the context of environmental responsibility in which McDonald’s as a firm helps in reducing the extent to which the firm consumes energy in its different outlets and restaurants across the world. The firm has in fact undertaken a program that helps all the different outlets to measure the amount of energy conservation and energy consumption and cater to levels of energy that should ideally be used. The energy related activities are also regulated and maintained by this program (corporate.mcdonalds.com. 2018). Various changes have also been incorporated into the system ranging from the replacement of LED lights and solar window films by the installation of energy management panels. The restaurants operated by McDonald’s have been reported to have been reducing energy costs by around 20% in the last few years. Along with these attempts the firm has also installed enough energy efficient equipments across all its branches in different parts of the world. In fact, the firm has also started the initiative of imparting knowledge regarding energy consumption to its employees through workshops and other interactive video sessions.

The next context of sustainability ensured by this firm in relation to the factor of employee experience and increased opportunities for them. The firm in the last few years has taken up initiatives to provide extensive training and development of its workforce and also ensure that the number and extent of opportunities that they are exposed to is increasing (corporate.mcdonalds.com. 2018). The various programs help them to impart education and knowledge to the employees and also helps them to apply the same in their personal and professional lives. The firm programs in the form of apprenticeships and diplomas which help them climb up in the corporate field either within the same field or in other fields as well in certain cases. Sometimes programs are specifically provided to managers to better their skill sets and knowledge about the operations of the firm which further propel their career growth.  This is done in the form of vocational trainings. All these efforts by the firm have jointly helped in increasing the extent of employability of the workers of McDonald’s as a whole. The firm has also received numerous awards for being a very important driver of growth in the field of women’s career development and their growth. Sometimes the firm even provides opportunities that help the employees to secure positions in public or private schools so that they learn and earn at the very same time.

Supply chain management

Finally the firm provides the best services to the community and society where they sell their products and services. The firm helps in providing greater outreach and well being towards the community by extending volunteering and financial support to the needy (corporate.mcdonalds.com. 2018). To proved a greater extent of help and impact the lives of children and families in a bigger way, the firm leverages local and global resources. In this context, the firm also ensures the safety and security of the employees and the staff along with their families. The firm also donates in many ways and amounts to various associations that help in disaster risk mitigation and aversion.

In fact according to (corporate.mcdonalds.com 2018), the annual reports produced by the firm also suggest that the firm also undertakes measures to ensure that the financial proceedings and methods implied by the firm are also sustainable and ensure equal benefits for the current as well as the future generations. As a matter of fact, to ensure this, the firm reinvests portions of the revenue generated to ensure developing and improving standards of operations and marketing. Further the storage, handling and preparation of products using the latest means of technology and smart products. In an attempt to reduce costs and ensure sustainability the firm has recently taken up activities of partnering with firms that supply various raw materials or services that help to manufacture processed equipments for the firm. The firms also compete in the market using sustainable concepts of improving their standard and quality while also increasing the choices and varieties available to the huge existing customer base across different parts of the world. The firm also carries out and encourages widespread activities in the field of research and development in the continents of Asia, United States and Europe. The report also asserts that even though the returns in terms of returns from investment in customer experience including investments in technology are not anticipated to be high, the firm still carries out extensive investments in these fields as it will help in propelling long run growth and also steer long run trust and relationship building.

Thus, to conclude it can be asserted that the firm adheres and caters to all its responsibilities in the field of corporate social responsibility. The firm makes sure that it looks into the aspects of health and nutrition, sustainable supply chain management, employee engagement and capability development and also the context of developing means to provide the best level of well being an improvement in the community that they operate in. McDonald’s is thus a step ahead of most other rivals and competitors in the long run business building and development.

Environmental responsibility

In almost all organizations operating in the corporate field the managers as well as the employees operating under the managers are expected to maintain and adhere to a few rules and regulations that form and define a legal and ethical code of conduct (Banks et al. 2016). Adhering and catering to these codes and ethics allow the company as a whole to improve its public image and increase its rank in terms of the target customer base or the market (Honig et al. 2014). The major aspects or pillars of the code of ethics that should be followed are honesty, accountability, integrity, respect and flexibility. These codes of conduct help in improving scenario revolving g around fairness and equality in the organizations and also in shaping the corporate personalities and attitudes of that section of employees that completely follow the foot-steps of their managers (Garegnani, Merlotti and Russo 2015).  This part of the essay brings to light the dual responsibility that mangers have in employing and monitoring the habits and professional features of the workers who are employed under them.

As a manager I find it absolutely important and necessary to focus on the various responsibilities and address the same in a strategic manner. It is very important to stay positive everyday and also be motivated in the face of challenges instead of becoming easily agitated and irritated because of the existing turbulent situations (Formentini and Taticchi, 2016). For me it is important to carry out proper distribution of responsibilities and look after the ethical codes of conduct being followed at every level of hierarchy. As a manager it is also very important to promote wider engagement of the employees and ensure their well being and safety. The entire organization should work in terms of honesty, equality of every aspect of working, respect and accountability. Aware of the situation of employees prone to copy my gait, my behavior and my personality, I try to ensure that I behave in a way that speaks of respect and honor that each employee working at a hierarchy above or below me deserve. It is also internally controlled and maintained that there is gender equality all throughout the organization. I also try to set an example of accountability by ensuring that I fulfill all my responsibilities and commitments with full accuracy and on time. As a manger it is also very important to set an example as a leader. This means that it becomes very important for me to handle a portion of assertiveness and a portion of compassionateness together at the same time and simultaneously (Mittal and Dhar 2015). It becomes very important for me to play and abide by the same rules as that of the employees working under me. In fact the roles and responsibilities of a manager especially in the context of setting an example cannot be pointed out or stated in the form of a set of rules. The personality and blend of different roles will help the managers to provide appropriate and good examples at work (Hill, Jones and Schilling 2014). It is very important as a leader to portray the challenges and the ways of dealing with those challenges in case the same challenges or problems arise when the employees are promoted to the post of a manager. The role of managers in the context of decision making and interpersonal goal achieving is actually complex and calls for the managers to be patient and deal with unproductive and inefficient workers in a way that encourages and motivates them. However, setting an example and monitoring based on my own example is not enough and building a code of conduct for the employees working under me is important and as a manager if I would have to develop a code of ethics then I would prescribe a framework of codes which is described in detail in the subsequent parts of the essay. Leadership is the process in which one is expected to set an example in terms of decision making skill development, interpersonal skill development and informational skill development. I feel that following and monitoring the codes prescribed below will help in the overall leadership sill development of all employees not only in my organization but in any organization as a matter of fact.

Employee development

The company referred to in this case is a Healthcare firm by the name of Mercy and all the measures and values mentioned in the Code of Conduct aim at achieving company growth along with adherence to the fact that the patients are benefitted the most and that their needs are placed ahead of anything else. The Code of Conduct that should essentially be followed by the employees employed especially at the leadership level is one that caters to the vision, mission and the values mentioned below:

Vision: The vision of the firm is to cater to the needs of the patients and provide them with extended benefits while catering to the needs of growth and development

Mission: The mission of the firm will be to extend their services extensively in the healthcare sector and reach out to a larger section of patients than the

Values	Roles
Honesty	The employees of the firm should understand their roles and positions and also the set of rules and regulations governing the position at which they are employed. The employees should also be fully aware of the vision and mission of the firm and make sure that their actions do not breach any of those values. Dishonesty of various forms are often punishable and even if not punishable harms the firm and causes a range of issues that are completely not called for.
Accountability	As a manager it is also important for me to monitor the productivities and the quality of work for the employees and so the employees should be responsible and accountable for their actions and performance. This will carve them into individuals that can set a good example as a manager later on.
Respect	The employees should be motivated and energetic and have respect for the work that they do, for the organization and also for the employees working with them. They are not expected to work like robots or like machines who are scared of being their real self but are expected to maintain certain manners and personality traits that define their thought process and professional and responsible nature and set an example for the fellow employees and other co-workers as well as for the clients in certain cases.  In other words, the employees should behave in a way that they would expect others to behave in with them.
Flexibility	In most of the cases it is noticed that managers do not entertain or help out the employees that are not able to perform in the way or at the level where they are expected to perform or generate productivity along with quality level. However, for me it is very important to ensure that managers and workers working at the subordinate levels are compassionate and patient with the teams or employees working under them. This will ensure that the employees are able to push their own limits in terms of capabilities, efficiencies and capacity and also develop their level of stress management. In this particular aspect of codes of conduct, the training and development activities conducted within the firm also become very important. To help enhance and promote the ability of workers to improve their skills and work in a flexible way, workshops and training sessions should be exclusively conducted. Additional initiatives should be taken by employees at the leadership levels to monitor the performance of the employees and suggest them ways and methods and sometimes even counseling which will help them to propel their performance to higher levels and help in achieving greater growth levels.
Integrity	The workers should be able to supervise and lead their own work as well the team’s projects while maintaining a high and esteemed level of integrity. This may sound easy but is one of the most difficult codes of conduct to adhere to. This is so because the managers and other leadership employees find it difficult to make informed decision making and adhere to the values of the firm at the same time. The goals and objectives of the firm are also to be framed in such a way that the values and the integrity of the firm is maintained and not tampered with.

The employees should follow the above prescribed rules and codes of conduct in order to avoid any unforeseen circumstances or issues that may affect the company in a harmful way and cause it to take steps that may be severe and cause loss to them.

References:

Anaf, J., Baum, F.E., Fisher, M., Harris, E. and Friel, S., 2017. Assessing the health impact of transnational corporations: a case study on McDonald’s Australia. Globalization and health, 13(1), p.7.

Banks, G.C., O’Boyle Jr, E.H., Pollack, J.M., White, C.D., Batchelor, J.H., Whelpley, C.E., Abston, K.A., Bennett, A.A. and Adkins, C.L., 2016. Questions about questionable research practices in the field of management: A guest commentary.

corporate.mcdonalds.com. (2018). Available online at: https://corporate.mcdonalds.com/corpmcd.html

corporate.mcdonalds.com. (2018). Available online at: https://corporate.mcdonalds.com/corpmcd.html/mcd/investors

Formentini, M. and Taticchi, P., 2016. Corporate sustainability approaches and governance mechanisms in sustainable supply chain management. Journal of Cleaner Production, 112, pp.1920-1933.

Garegnani, G.M., Merlotti, E.P. and Russo, A., 2015. Scoring firms’ codes of ethics: An explorative study of quality drivers. Journal of Business Ethics, 126(4), pp.541-557.

Hill, C.W., Jones, G.R. and Schilling, M.A., 2014. Strategic management: theory: an integrated approach. Cengage Learning.

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Mittal, S. and Dhar, R.L., 2015. Transformational leadership and employee creativity: mediating role of creative self-efficacy and moderating role of knowledge sharing. Management Decision, 53(5), pp.894-910.

Ross, R.B., Pandey, V. and Ross, K.L., 2015. Sustainability and strategy in US agri-food firms: An assessment of current practices. International Food and Agribusiness Management Review, 18(1), pp.17-48.