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Group report analyse orientation and training program of mcdonald’s

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NATIONAL ECONOMIC UNIVERSITY
________***________

GROUP REPORT

Analyse orientation and training program of McDonald’s

Group 1

Members: Phạm Hoàng Khánh Linh, Nguyễn Minh Châu, Nguyễn
Phương Thảo, Nguyễn Hồng Vân, Trịnh Phương Thảo, Nguyễn Thị Ngọc
Mai
Major: Human resource management
Intake: 63
Class: Quality Management and Innovation - EMQI

TABLE CONTENT


I.

II.

A. INTRODUCTION

2

Company overview

2


1. Company profile

2

2. Company background

2

3. Service and product

2

4. Human resource strategy

3

The importance of orientation and training
B. ORIENTATION AND TRAINING PROGRAM

I.

II.

5
6

Orientation

6


1. Current practice

6

2. Analyse orientation

8

3. Recommendation

10

Training

11

1. Current practice

11

2. Analyse orientation

14

3. Recommendation

20

C. CONCLUSION


21

D. REFERENCE

22

A. INTRODUCTION
I.

Company overview
1. Company profile
McDonald's is present in more than one hundred countries with 36,900 restaurants

1


worldwide. In Vietnam, there are twenty-two restaurants present in big cities such as
Hanoi, Ho Chi Minh, Binh Duong, Khanh Hoa, Nha Trang and they are about to open
more branches in Hai Phong.
Vision: Provide customers with unique experiences only available at our McDonald's
restaurant chain.
Mission: Making delicious feel - good moment easy for everyone

2. Company background
In 1948, Richard and Maurice introduced the McDonald's Fast Food Service System in
New England, USA.
In 1955 Ray Kroc opened the first McDonald's restaurant in Illinois, USA, (after
acquiring the entire McDonald's chain for $2.7 million) and became the founder of the
brand McDonald's today.
McDonald's is not only well-known in the US but also popular in other countries around

the world such as France, Korea and including Vietnam. McDonald's has extraordinarily
rich human resources, sometimes up to 1.5 million people.

3. Service and product
Service:
Take-away: customers can buy hot and fresh food right away without parking.
Organizing birthday parties: McDonald's has a team of professional planners for parties,
from decorating, planning, preparing food to designing games, ect. This is where parents
often Gifts to kids to celebrate their birthdays.
Delivery service: McDonald's has launched a McDelivery service application that is
always available to customers 24 hours a day, this application is available on mobile

2


devices and the restaurant's website.

Product:
Main menu: Hamburger (Big Mac, Double Cheese), fried chicken, rice (with beef, pork,
chicken), baby food (Happy Meals), ect.
Breakfast: Muffins, desserts (ice cream, apple pie) and snacks.
Beverages: hot drinks, iced drinks, ice blended and milkshake.

4. Human resource strategy
As the global McDonald's was developed and aligned with a common concept so that all
facilities have the same quality, the company's strategy revolves around the need to
supply the best customer experience. This strategy revolves around the 5Ps (price,
product, place, people, and promotion) McDonald believes they can continuously
improve the customer experience. The company's human resource strategy includes
human resource preparation, selection, training, performance, compensation, and

employee retention.

McDonald's has developed an effective employment plan as part of its strategic goal to
use employees as its primary source for ensuring consumer satisfaction by improving
their experience. McDonald's has established an effective job planning approach as part
of its strategic goal to leverage workers as the key source to assure customer happiness
by improving their experience. The company aims to implement appropriate recruiting
plans by employing the proper crew members in terms of quantity and expertise. This
strategy helps to guarantee that the company has enough employees to provide not just
its products and services, but also its value to its customers.

3


McDonald also has multiple management departments that collaborate in order to
complete the task as effectively as possible:
Marketing Department: responsible for building the brand's image through
promotional activities, participating in social activities, and proposing new projects.
The sales department is the direct link between the company's products and services and
customers.
Finance department: checking the cash flow in and out, the finance department also has
other extremely important roles such as: Providing information to the managers which
include equity, cash flow, risk and tax.
The restaurant department has the function of managing the company's restaurant chain
system, for example: restaurant general manager, human resource manager, ect in order
to ensure service quality and to product quality to customers.
Supply Department: has five main functions which are purchasing, operation, logistics,
resource management, information workflow.

II.


The importance of orientation and training
McDonald's has a pressing need to grow its market share, and to achieve this, the
company's focus is centered on enhancing the customer experience. Consequently, it is
imperative to provide employees with appropriate training and orientation, which will
enable them to perform at their optimal level while adhering to the company's guidelines
and delivering exceptional customer service.

4


When new employees join McDonald's, they are provided with an orientation session
that covers various aspects such as work processes, food hygiene and safety regulations,
required skills, working hours, compensation, benefits, and the importance of
maintaining a healthy work environment. During the orientation, the new employees can
ask questions and receive answers from the leaders based on the information presented in
the slides. The orientation also creates a platform for employees to collaborate, share
their expertise and knowledge, and get to know each other better, which helps in their
integration and improves their understanding of the work environment, leading to better
performance.

Along with the orientation process is the plan of training new employees. During the
training sessions, they are taught new skills by experienced crew trainers, which helps
them adjust to their new work responsibilities. Employees receive training not only for
their specific positions but also for other related tasks that they may need to perform in
the store during peak times. This flexibility ensures that the store is adequately staffed,
and that service quality and customer satisfaction are improved. Additionally, a welltrained staff helps the restaurant to operate efficiently and saves costs.
B. ORIENTATION AND TRAINING PROGRAM
I.


Orientation
1. Current practice
Orientation is a process that new employees must go through before working at
McDonald's. Employees are introduced to the company overview, history of formation
and development, tasks when working at McDonalds and the new working environment.
After gathering relevant information about McDonald's orientation program, we
developed a questionnaire and one-on-one interview with a restaurant employee to

5


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understand the reality of the program and the advancement opportunities there.

According to research, the duration of the orientation program of McDonald's can be
from 2 to 5 hours, however, the restaurant staff said that in reality, the orientation session
only takes place from 2 to 3 hours, depending on location and number of employees

involved. Furthermore, he also mentioned that if you attend the company orientation, you
will still get paid if it coincides with your work schedule. However, orientation is not
only scheduled for you but for many other members of the crew, so a suitable date must
be selected for all staff to attend. That orientation will not count towards payday if the
date is not on your schedule. After orientation, employees will be given a handbook
covering working hours, performance evaluation, employee benefits such as leave or
bonus, personnel policies, measures and procedures, safety rules that employees need to
know when working at McDonald's.

During the 3-hour orientation, the employees will be introduced to the history and
development of McDonald's and its top managers. In addition, the company also
impresses their crew members by offering a clear professional career progression path.

The highlight of the orientation session is that McDonald's workers received thorough
guidance on food hygiene and safety and the cleanliness of the lobby and workspace as it
is the primary priority of the restaurant. Due to several serious food safety problems in a
McDonald's branch that damaged the company's reputation. On January 7, 2015, the
branch of McDonald's fast food in Japan had to apologize to customers after a series of
food safety scandals at its chain stores such as: A boy was injured in the mouth after
eating ice cream containing plastic flakes. According to employees, it is mandatory to

6


follow strict hygiene protocols while working in McDonald’s restaurants. They must use
different types of disinfectants daily for specific cleaning requirements. This includes
disinfecting not only staff hands but also kitchen utensils and the entire restaurant
environment.

Even though McDonald's workers are supposed to receive a tour of the restaurant, they

often do not actually get to experience it. However, some employees have reported that
while moving from the lobby to the meeting room, they pass through many parts of the
restaurant, excluding only the pantry and kitchen. Although this might help to save time
during the orientation process, it implies that employees might not have a clear
understanding of specific restaurant areas before they start working.

After the interview regarding McDonald's orientation, we gained a comprehensive
understanding of the company's overview and the level of professionalism required when
given the opportunity to work at their stores. The orientation program not only imparts
knowledge about the company's background and promotes a market-oriented mindset,
but also provides a clear roadmap for the future work of new employees. Additionally,
the orientation session also has the role of establishing a serious working attitude and
building a professional image of the company by emphasizing the basics of the session.

2. Analyse orientation
a. Advantages
One of the major benefits of the orientation program at McDonald's is its brevity and
focus. The program provides employees with a comprehensive understanding of the
company's history, regulations, personnel policies, and performance evaluation measures.

7


The program is designed to be concise, making it easier for employees to retain the
essential information.
Additionally, McDonald's orientation program does an excellent job of educating
employees about the importance of food hygiene and safety. This is vital for the
restaurant's reputation and directly impacts on the satisfaction of customers. If employees
are not properly explained about this, it can lead to mistakes that affect the quality of
service.

Furthermore, McDonald's provides a clear career path for employees, allowing them to
understand the different positions in the restaurant and giving them direction if they
aspire to move up to the RGM position.
b. Disadvantages
- Data interview
Tran D.D.A., a McDonald's employee shared that his orientation provided quite a lot of
information about his new job.

Orientation Day at McDonald's focused mainly on providing information about
employees' tasks, but it fails to address the equally important purpose of helping them
adjust to the new environment. This became evident from the feedback given by
McDonald's employees about the welcome they receive from the RGM. Mr. Tran.
D.D.A. stated that he did not experience the welcome from the RGM or management,
which he was supposed to receive as per the theoretical orientation. The orientation
process at McDonald's does not make it easy for new employees to be welcomed by the
RGM, which is crucial for making them feel comfortable and less stressed in their new
working environment. Making new employees feel welcome and at ease is essential for
their learning and working effectively. This is not only a shortcoming of this McDonald's

8


Orientation, but it also reflects the fact that not every McDonald's Orientation will take
place as the information they provide to people.

- Competitor
McDonald's has a comprehensive orientation process, but it falls short when compared to
KFC's orientation program:

About an indirect orientation, KFC uses videos to convey information effectively and

engage new employees, which is more interesting than reading a thick packet of papers
from McDonald's.

Additionally, KFC's slogan "Welcome to the KFC Family" creates a sense of
companionship and value among new employees, which fosters loyalty.
As per our evaluation of KFC regarding the treatment of new employees, the company
gives significant importance to the quality of orientation provided to them. The duration
of the orientation may vary based on the location of the restaurant, with those in larger
cities or busy regions requiring longer periods to ensure that new employees are
adequately equipped to handle the job's demands. In contrast, McDonald's offers a vast
amount of information during a 2-3 hour orientation, regardless of whether the staff can
absorb it. This practice leads to employees having insufficient knowledge about the
company, making it challenging to establish loyalty. According to "22 McDonald's
Statistics [2023]: Restaurant Counts, Facts, And Trends" by Abby McCain, the annual
turnover rate at McDonald's is over 130%.

3. Recommendation

9


The Orientation program at McDonald's should cover more aspects of the company, such
as information on employee performance evaluation and transfer request procedures.
This practical knowledge can help employees in their future work and motivate them to
perform better.

To create a sense of belonging, the welcoming of new employees is crucial during the
Orientation program. The manager, as both the team representative and immediate
superior, should greet new employees and create a positive impression, making them feel
like part of the family. Managers can also provide helpful tips and information, such as

wifi passwords and work-related advice. Moreover, the emotions and working attitudes
of employees are significantly impacted by their colleagues, which is why it is essential
for them to maintain a positive demeanor while interacting with new people. This
includes being open to answering any questions that newcomers may have, especially
about things that the new one may not yet understand.

The Orientation session of McDonald's-KFC's competitor highlights the importance of
being creative and sophisticated in providing information and communicating with
employees, particularly during the Orientation. This is because the Orientation is the
initial opportunity for employees to engage with and evaluate the company they will be
working for, and therefore, innovation in this area is crucial. This is one of the things
McDonald's should change in their orientation program.

II.

Training
1. Current practice
Investing in human resource training has become a significant problem for many

10


businesses. However, it will be difficult for a business to develop if its human resources
are not trained and improved every year according to the rapidly evolving trend of the
fast food market. To gain the current position in the international market, McDonald's has
always come up with effective human resource development strategies timely. One of
these strategies is that Mc Donald's has applied the ADDIE method in designing the
training process for new employees. To clarify:

The ADDIE method for training is a five-step process to developing iterative learning

and training activities. It stands for Analysis, Design, Development, Implementation, and
Evaluation.

Firstly, A is the first step of ADDIE, standing for analysis. There are two aspects in this
step: Task analysis and Performance analysis. With analyzing tasks, the instructor will
observe new employees perform on each station (lobby, service and kitchen) and contain
teachable tasks such as dropping baskets of fries or salting fires. Performance analysis
just focuses on correction changes or behavior changes.

The letter D, standing for Design, is the second step in the training programme. One of
the specialties in Mcdonalds training process is on-the-job training, to be more detailed,
on-the-job training gives the new employees the opportunity to work shoulder-toshoulder with a trainee, which builds on-the-job practical restaurant skills and shows
how the concepts work in working environment.

The next D, which is Development, has three main tasks: Constant changes through
innovation with technology; “Test” new programs prior to national roll out; and feedback

11


about training.

Next is about I, representing Implementation. Once training tools are finalized, they are
rolled out. If these tools have been approved as a standard, then it will be formalized all
in training. Training tools are systematic, interesting and understandable. They enable
consistent and updated messages to be delivered. Beside this, Mc Donald’s have some
programs for new employees such as New Employees Handouts and Pocket Quality
Reference Guides.

Finally, Evaluation is the most important step in conducting ADDIE training. Managers

in Mc Donald’s have a quote “When we shortcut training, we see it as a lack of
performance of products and people '', that's a guideline for trainees when guiding new
employees. At the end of the training program, the managers will collect feedback on
employees’ first hand experience, or mentors evaluate employees through quizzes, onthe-job observations.

When it comes to the reality of training for new employees in McDonalds, there are two
levels of training: for members and for managers. Crew members are trained extensively
on all food safety at McDonald's. Trainees work while they learn the operational skills
necessary for topsy and food handling processes for running each of the positions in a
restaurant - from front counter to the grill area. Theoretically, there are four steps in
training a new employee at McDonald's: prepare, present, try out, and follow up. These
steps are usually done over a period of 4–6 shifts. Prepare means the crew trainer gets
himself and the station ready for training. Present means showing the trainee how to
work the station. Try out means letting the trainee work the station while coaching them.

12


Finally, the crew trainer followed up with the trainee about what they did wrong and
what they did well. It is obvious that McDonald's has applied on-the-job training and
rotational training methods. Rotational training is a development strategy where
employees rotate through different departments and job functions. The goal is to help
them increase their experience, knowledge and understanding of the company. For
example, McDonald's restaurants are divided into 3 stations with 25 positions, and crew
members are rotated through a number of different roles to reduce monotony in the
process.

For training managers, McDonald's is dedicated to professional training and
development. The average McDonald's restaurant manager spends more than 2,000 hours
over four years in training for all members in Mc Donald’s. This can be compared with

the amount of time that a typical four-year college student spends in the classroom. There
are many courses for management development listed there: employee relation training,
time management, community images, staff retention and discipline, personal leadership
and effective coaching, employee communication, learning to manage shifts, managing
staff development, optimizing restaurant food cost, and Accounting and Financial
procedures. Being a manager in a big brand like Mc Donald’s, they must be a person who
possesses true leadership skills, excellent communication skills, a knack for hospitality,
organizing, planning, and executing, and most importantly if they are confident in their
ability to manage a large crew and multitask with ease.

2. Analyse training
a. Advantage
The training program offered by McDonald's has a number of advantages, starting with

13


its comprehensive approach that includes on-the-job, off-the-job, and rotational training
methods. As we have explained in the previous part, McDonald's restaurants are divided
into three stations with twenty-five positions therefore, the demand for flexibility is
extremely high. This program is designed to address the needs of both the restaurant and
its crew members, who are often young people seeking work that is engaging and
challenging. By rotating crew members through various roles, McDonald's can reduce
monotony while providing valuable training and development opportunities. Overall, this
flexible training program has proven to be a successful strategy that benefits both
employees and the restaurant itself.

Second, McDonald's utilizes the on-the-job training approach, which is considered ideal
for the requirements of a fast-food restaurant. By using the on-the job training method, it
does not require much time or money to set up because the training is done on-site and

usually by staff members who already work there. In McDonald’s there is a position
called Crew Trainer who will support the new employees during their training period.
New employees also receive guidance and advice from their co-workers. Nguyen Tri C.,
a former McDonald's employee in Hanoi stated that he believes that this method of
learning is the quickest and most effective way. It also makes him feel more comfortable,
and he improves thanks to suggestions from his colleagues.

In addition, the method allows for targeted learning and skill development as training
focuses on specific tasks such as fried cooking skills or direct practice with automated
ordering devices. As a result, McDonald's staff know exactly what they need to perform
and will adapt easily to different positions in the restaurant.

14


On-the-job training also gives employees the opportunity to instantly apply the skills
they learned in a real-life setting, allowing them to practice and improve. Employees will
be trained in skills based on what they actually experience. In addition, they will also
receive direct feedback from managers and customers to improve their capabilities. The
ability to apply the skills they learned in a real-life also meets the human resource needs
of each different position in the McDonald's restaurants because crews will be allocated
to begin training at one of three stations: lobby, service, or kitchen, based on the real
condition of the restaurant and personal abilities. Nguyen Tri C. stated, "When the crews
enter the restaurant, they will be transferred to a position that is still short of staff and
will be trained continuously; McDonald's aims for an all-round employee rather than a
master at one specific position."

Furthermore, this training method also supports the improvement of employee
performance. Many McDonald's crews in Hanoi say that on-the-job training allows them
to memorize the task better than having theory lessons. Furthermore, when they study on

their own, they feel more comfortable, and since they are not under any pressure, their
performance will be improved. This is also a strategy in McDonald's human resource
management: happy crew, happy service.

In contrast to KFC, which solely relies on on-the-job training, McDonald's employs a
range of training methods that include both on-the-job, off-the-job, and rotational
training. This diverse approach enhances employees' fundamental understanding and
expertise. Employees at McDonald's attend courses about the company's culture, the
importance of teamwork spirit, occupational safety policies, etc. McDonald’s crew
members also receive thorough instruction in food safety, hospitality and they develop

15


their flexibility by are rotated through a number of different positions in the restaurant.

Another advantage of McDonald’s training program is that the superiors determine the
crew’ training needs. They will review and evaluate what further training the training
requirements of the employees of the employees, in which position, and for how long. As
a result, the training process at McDonald's restaurants is flexible while still ensuring
regularity and consistency.

In addition to training for new crew members, McDonald's also builds training and career
development programs for employees to advance to higher positions. However,
McDonald's has a highly tight selection procedure for manager positions, requiring
employees to go through many management training programs. Therefore, in terms of
operating the restaurant and improving the service quality, McDonald's managers
performed an excellent job. Consequently, both customer satisfaction and the volume of
consumers coming to McDonald's restaurants in Vietnam are significantly greater than
those of their competitors.


b. Disadvantages
Despite the many benefits of on-the-job training, there are also some disadvantages to
consider. One of the most prevalent drawbacks is that new employees may feel uncertain
and unsure of their responsibilities during their initial weeks on the job, leading to
confusion about whether they are performing their tasks correctly. McDonald's managed
this by establishing a Crew Trainer role to guide and support new employees. However,
when we interviewed an employee who used to work at a McDonald's in Hanoi, he
revealed that the Crew Trainers will guide you through the first steps, but they will not

16


monitor and comment on whether you did well or not. They just show how to do it step
by step.

The second disadvantage is that this method of training may have an impact on the
restaurant's workflow, which requires the coordination of different departments: taking
orders, paying, cooking, arranging food according to orders, and serving dishes to
customers. If there is a delay or an error in any step, it will have a domino effect on the
entire process.

Besides, McDonald's training programs are effective but not diverse and lack novelty.
Compared to KFC, which launched a virtual reality game “The Hard Way” in 2017 to
help employees familiarize themselves with making fried chicken, McDonald's needs
more innovative and creative ways to support employees during work.

Finally, the manager's attitude and inconsistencies in their way of working create
confusion among employees. A crew member at a McDonald’s restaurant in Hanoi stated
that when he was preparing for the GEO position, the most difficult challenge for him

was that each manager had separate ways of working. For example, what was deemed
appropriate by one manager, was considered inappropriate by another supervisor on the
following day.

c. Evaluation
Based on the above analysis of the advantages and disadvantages of McDonald's training
program, we have made several evaluations based on the following criteria: customer
satisfaction and improvement in service quality, employee satisfaction and employee

17


turnover rate.

Customer satisfaction and Improvement in service quality
According to a survey on customer satisfaction about McDonald’s by a group of students
at the College of Foreign Trade, up to 49.5% of surveyed customers have positive
experiences with McDonald's Vietnam service, while 39.8% are extremely satisfied. This
demonstrates the effectiveness of McDonald's employee training strategy since
customers are provided food quickly, of excellent quality. According to the survey,
McDonald's crew members are professional, helpful, and know how to take care of
customers on any occasion. As a result, it is clear that McDonald's on the job, off the job
and rotational training methods are doing excellently.

Employee satisfaction and employee turnover rate.
Employees at McDonald's highly appraise the restaurant's training program, which they
believe is the quickest and most effective way to start their job. However, they are
dissatisfied with the guidance and behavior of the managers. They get confused when
they do not know if they have done their job appropriately because, as previously
analyzed, McDonald's managers lack consistency in the way they work. That led to the

high turnover rate at McDonald's, reaching 130%. Although McDonald's has a decently
structured training system, it is imperative to revise and standardise the way employees
are evaluated and there must be an unity in the working method of the managers.

3. Recommendation
Mc Donald’s company has already done a great job on training employees. However, at

18


its franchise store in Hanoi, there are some training approaches needed to improve. The
following suggestions are what we recommend after critically evaluating the store
training policies and staff feedback.

Mc Donald’s is applying Job rotation well, but new staff still feel uncertain about their
positions. => The training program should be tailored to enhance each individual's
specialised knowledge. The supervisor needs to ensure whether employees can do it or
not before skipping them to other areas. There should be encouraged to communicate
face-to face more with learners.

After a long-term of working, there is a response that little presence of a superior
accompanied with her/his unethusiastic attitude, putting a negative impact on staff mood.
The company needs to train more thoroughly on the trainer, specify their missions
including the periodic check. Having personnel who are well-trained & well-attitude is
key for McDonald's to provide excellent service to its customers

A survey for employees is offered at the end of two- month in the first year working to
ask what they want or challenges they faced . Manager can know from staff’s aspect and
harnessed the talent individual, therefore utilised for the advantages of the firm


Even learning from co working is a great method but it takes quite a lot of time to ensure
staff actually understand the whole operational process. McDonlad’s should apply Elearning through gamification at the Hanoi store, it is a combination between studying
and learning. That will optimise training time and increase job efficiency &
effectiveness.

19


C. CONCLUSION
Programs for orientation and training are crucial steps in creating a motivated, adaptable,
high-potential workforce and integrating new hires into the workplace.
Orientation is providing a newcomer with basic company information, and it not only
boosts their ability to do the job but also helps them feel part of the organisation. The HR
department has played an important role, generally orients newcomers to broad
organisational issues and fringe benefits.

McDonalds' training is based on delivering quality services, cleanliness, and customer
satisfaction toward both well-trained crew members and managers. Some on-going
training methods applied are the rotation, on-the-job,etc. McDonald’s policy provides
future career opportunities for employees as well as the boost for higher positions that
allows them to improve and develop full potential.

In Hanoi(Vietnam), we interviewed employees in several Mc Donald's restaurants and
found out that a few procedures did not follow the general policy like a tour for
newcomers or the positive attitude of trainers. Some trainees still don't have enough
information about what they are doing. Mc Donald's in Hanoi should fix these
shortcomings to keep and utilise the talent trainees. Mc Donald's can also apply AI to
innovative their orientation & training, optimising the benefit of the organisation.

D. REFERENCE

1. corporate.mcdonalds.com.

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Mission

and

Values”.

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20


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Available at: />3. Ipl.org

,

“Disadvantages

Of

Orientation


Training”.

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at:

/>fbclid=IwAR1FYx-SFIy8RwBUUnQCwgFJVbK93kxhaekAffmekQMuiqjaimJbWitSwY.
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tập


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21


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at:


/>
Kakade/publication/333904097_COMPARATIVE_ANALYSIS_OF_TRAINING_AN
D_DEVELOPMENT_PRACTICES_IN_FAST_FOOD_SEGMENT_MCDONALDS_AND_KFC/links/5d0bb8f392851cfcc627ff31/COMPARATIVEANALYSIS-OF-TRAINING-AND-DEVELOPMENT-PRACTICES-IN-FASTFOOD-SEGMENT-MCDONALDS-AND-KFC.pdf.

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