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  • Impact of Corporate Social Responsibility (CSR) practices in UK hospitability industry_ A case study of McDonald (GC01405)
Impact of Corporate Social Responsibility (CSR) practices in UK hospitability industry_ A case study of McDonald

Impact of Corporate Social Responsibility (CSR) practices in UK hospitability industry_ A case study of McDonald (GC01405)

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Executive Summary

The aim of this project is to critically evaluate the impact of CSR activities in the UK hospitability industry including McDonald’s. Then, the study will recommend the UK hospitability industry including McDonald on how they can maintain their corporate social responsibility (CSR) to improve business performance.

The study found that McDonald’s has developed the 2020 Aspiration Goals planned that includes involves initiatives for a continuous supply of foods and packaging, and ability to do balanced selection by the customer, building and running environmentally effective restaurants and aiding regional communities to be established by the company. Within the the2020 Aspiration Goals McDonald’s targets to escalate the recycling amount to 50% and reduce wastage. McDonald’s conducts several CSR activities through Ronald McDonald House Charities (RMHC) and other organizations they work for developing the children and families life who are in need. McDonald’s helps disadvantaged people mainly by giving education and physical activity.

A study in 2014disclosed that 83% of the managers believe McDonald’s is a remarkable place as a workplace. McDonald’s Hamburger University trains the Franchisees, managers and employees of McDonald’s.  McDonald’s has bought 132,186 pieces of energy-efficient amenities that can 142 Giga-watt hours worth $14.2 million. McDonald’s which is US-based uses LED to save about 7% energy of usage each year. Under this code of conduct, Mcdonald’s takes initiatives related to business integrity, workplace environment, management of the environment, health and safety, labor rights, and human rights. McDonald’s also ensures equality and diversity, and concerns about all kinds of discriminations including gender equality and minorities, race-related issues. For example, women hold 25% of shop managers and 25% of positions in senior management in Mcdonald’s. Within the the2020 Aspirational Goals McDonald’s targets to escalate the recycling amount to 50% and reduce the wastage. In a word, McDonald’s maintain a close partnership with several stakeholders to maintain its CSR activities

In a word, McDonald’s CSR activities are effective and efficient that support it a lot to meet its organizational goals and objectives.

 

Table of Contents

1.0        Introduction and Background.

1.1 Background to the company and its industry.

1.2 Research Rationale.

1.3 Research scope.

1.4 Research question.

1.5 Research Aims.

1.6 Research objectives:

1.7        Theoretical contexts and analytical framework to be used.

1.8        Theories and frameworks that are used/suitable in this study.

2.0 Current situation in terms of McDonald’s and its functional areas.

2.1 SWOT Analysis.

2.2 PESTLE Analysis.

2.3 Stakeholder Analysis.

3.0 Evaluation and Analysis.

3.1 Corporate Social Responsibility (CSR) and its practices in business?.

3.2 Two CSR Models and their application in the case of Mcdonald’s.

4.0 Conclusion.

5.0 Recommendation.

Individual Reflection.

What roles I played in this project

Why I played these roles.

What I learned from these roles.

References.

1.0   Introduction and Background

As Aaronson (2013) notes, to satisfy the stakeholders of the business and gain the organization’s target, one of the important issues of the modern business world is corporate social responsibility (CSR). In the sustainable management of trade companies, corporate social responsibility (CSR) is a very critical matter. To help and give services to the community and protect the environment from the damaging actions, the responsibilities and the actions done by the business is called corporate social responsibility (CSR). According to Carroll (2013) notes, corporate social responsibility (CSR) is the authorized, virtuous and monetary actions expected by the regional community from the trade organizations. According to Aaronson’s (2013) statement, authorized necessity, dignity for the public, virtue, communities and environment is included by the corporate social responsibility (CSR).

1.1 Background to the company and its industry

In the industry of restaurant and hospitability, McDonald’s is one of the prosperous organizations. It has been doing its business successfully in native and foreign marketplaces and the main prosper is generated from the advanced economies involving UK, EU, USA, Canada and Australia. With the support of over 1.5 million loyal and committed workers, internationally it has more than 33,000 branches providing services to millions of customers every day. The main products of McDonald’s are breakfast items, three types of burgers, chicken burgers, hamburgers, and cheeseburgers, chicken items, beverages like tea and coffee, soft drinks, French fries, desserts etc.  McDonald’s established its first single restaurant in 1954 and only within 60 years it overtook its present position achieving great success worldwide. Now McDonald’s is available everywhere where a mass of people can be found. According to McDonald’s Corporation (2014), the secret behind McDonald’s success is they provide the food item in their healthy and fresh condition. In the journey of McDonald’s, it had to face many challenges and competitions from its opponents and rival companies. The four basic opponents of McDonald’s are Star Bug, and Burger King, Prett Manager, as well as Greggs Plc in the UK market. According to research, where the seven main opponents of McDonald’s have a total of 47% market share, McDonald’s oneself has about 13% of the market share in the UK market. As to a study conducted by McDonald’s Corporation (2014), due to its speedy service and better quality of food items, it domineers the market by putting stress on the opponents.

1.2 Research Rationale

The organization’s expectation to show their corporate social responsibility has become an essential portion of the contemporary corporate world. Mullins (2016) disclosed that the concentration on the alternation in climate change, workers welfare, using to natural assets, chains of virtuous valuation with the elusive international economy has put great stress to take accountability for the stakeholders as well as to assure sustainable industries. According to the study conducted by CIPD (2015), the main miscreant behind the financial catastrophe as well as many natural and ethical crises is the conventional shareholder approach. The entrance for a higher profit of the stakeholders and broader society has been opened by the criticism of the approach. According to Torrington et al. (2015) statement, Corporate Social Responsibility remains in the center of the presentation where clear and sustainable trading systems are becoming deliberate preferences for the organizations. Moreover, according to Eccles et al (2015), the research has a clear theory that, rising of competition and revenue advancement may occur by a better exercise of Corporate Social Responsibility. For that initiatives and activities in Corporate Social Responsibility are getting higher day by day.

Corporate Social Responsibility has been included as one of the principal parts of the business affairs by McDonald’s. By this, McDonald’s has established efficient strategies, authority, framework and methods to develop the condition of its corporate social responsibility. To generate CSR works and being a socially accountable company in the regional community an efficient committee has been built by McDonald’s. McDonald’s main CSR activities are regional community growth, international environment protection, the security of products, workplace security, workers training and growth, equal opportunity and variety, and its supply chain administration and stakeholder administration.

Even though CSR has been implied by McDonald’s like a portion of their agreement, it is clear about the effectiveness of the process in the business affair. Actually, many companies in the industry of hospitability, which have outstanding and exclusively facilitated HR departments, have been unsuccessful to keep up the standard and wind up in doing destructive mistakes.

1.3 Research scope

The scope of the research manifest evaluation of the role of Corporate Social Responsibility practices in the hospitability industry in the UK including McDonald’s. The research further manifests comparative data analysis extracted from the prior researches in the field in order to compare and contrast the practical impact of CSR within the UK hospitability industry including McDonald’s.

1.4 Research question

How can organizations in UK hospitability industry including McDonald maintain their corporate social responsibility (CSR) to improve business performance?

1.5 Research Aims

This paper aims to critically evaluate the impact of CSR activities in the UK hospitability industry including McDonald’s. Then, the study will recommend the UK hospitability industry including McDonald on how they can maintain their corporate social responsibility (CSR) to improve business performance…………………………….

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