Note:
1. The answer for subjective question must be in own words.
2. Find the attached articles.
1. Operations managers are challenged to honor stakeholders' commitments through their 10 strategic decisions. Based on the articles attached, identify any 3 areas for each organizations where this challenge is successfully addressed.
- Design of goods and services
- Managing quality
- Process and capital design
- Layout strategy
- Location strategy
- Human resource and job design
- Supply chain management
- Invertory management
- schedulling
- maintenance
The following are McDonald's main stakeholder groups, arranged according to significance:
• Employees
• Customers
• Investors
• Communities
Employees. McDonald's prioritizes employees as its top stakeholder group. The interests of these stakeholders include career development and fair compensation. McDonald's addresses these interests through a number of training and development programs. For example, the company maintains Hamburger University, which is a training facility for its personnel. McDonald's also has a global mobility policy that supports leadership development. However, the company pays low wages that are almost down to the level of the legal minimum wage, even when employees keep demanding for higher wages. Thus, McDonald's corporate social responsibility efforts only partially satisfy the interests of employees as a stakeholder group.
Customers. McDonald's Corporation views its customers as its second-priority stakeholder group. The interests of these stakeholders include affordable and healthful food choices. McDonald's corporate social responsibility initiatives ensure affordability of products through standardization and supply chain streamlining. However, the company is widely criticized for the health effects of its foods. In this regard, McDonald's corporate social responsibility efforts only partially satisfy the interests of customers as a major stakeholder group.
Investors. McDonald's strives to fulfill the demands of investors as a major stakeholder group in the business. The interests of these stakeholders include profitability and growing revenues. McDonald's addresses these concerns through stable business operations. The company currently has a low but stable growth rate. The introduction of new products, such as through McCafé, also helps address such interests. Thus, McDonald's corporate social responsibility efforts effectively satisfy the interests of investors as a major stakeholder group.
Communities. McDonald's supports communities as one of its main stakeholder groups. The interests of these stakeholders include community development support and environmental programs. McDonald's has sustainability and support programs for this stakeholder group. The Ronald McDonald House Charities provides financial support for families in need. The firm's sourcing (supplying) policy prioritizes sustainable production, such as in farms. Also, the McDonald's Global Best of Green recognizes and rewards innovative environmental ideas and contributions. Thus, the company has a wide variety of corporate social responsibility programs to support these stakeholders. McDonald's effectively satisfies the interests of communities as a stakeholder group.
The following are Tesla's stakeholders, arranged according to the company's CSR prioritization:
• Communities
• Customers
• Employees
• Investors/Shareholders
Communities. Tesla Motors, Inc. is an automotive business that directly satisfies the concerns of communities as significant stakeholders that determine brand image. One of the interests of this stakeholder group is to ensure that the natural environment is conserved or protected. Tesla's electric automobile products address such interest. For example, communities are satisfied with the fact that these products are environmentally friendly because of zero emissions. Tesla also satisfies communities in terms of this stakeholder group's interest in benefiting from advanced technologies. For example, in 2014, CEO Elon Musk announced that the company would allow other individuals and organizations to use its patents. This corporate social responsibility strategy directly benefits communities interested in using or developing technologies, emphasizing Tesla's mission and vision statements.
Customers. Customers affect Tesla's revenues, and are interested in product quality and reasonable pricing. Given such significant impact, the company gives high priority to these stakeholders in its corporate social responsibility programs. To address such interests, the firm continues to seek new ways of minimizing battery costs. For example, instead of continuing to buy batteries from Panasonic, Tesla plans to manufacture its own batteries to make its electric automobiles more affordable. Also, Tesla continues to expand its network of charging stations. This approach improves customer experience and convenience. These corporate social responsibility efforts ensure that Tesla satisfies the interests of customers as a stakeholder group.
Employees. In designing its corporate social responsibility strategy, Tesla Motors, Inc. believes that employees are a critical success factor in its automotive business. As stakeholders, employees influence business productivity and performance. Their interests include high compensation and significant career opportunities. Tesla satisfies these interests through a competitive compensation strategy, as well as HR programs designed to enhance skills development and leadership development. Moreover, the company's corporate social responsibility strategy offers learning experiences through collaborative programs with partner firms, thereby satisfying the interests of employees as stakeholders.
Investors/Shareholders. Tesla's early years depended on a series of funding from investors. These stakeholders are important in influencing the capitalization of the company. Investors and shareholders have interests in the profitability and growth of the business. Tesla's corporate social responsibility strategy addresses these interests through long-term strategies that aim to transform the automotive market. For example, the company's decision to allow other firms and individuals to use its technology patents is expected to increase market demand for electric vehicles, thereby creating growth opportunities for Tesla automobile sales. The sustainability and environmental friendliness products of the company are also in line with current sociocultural trends, thereby supporting business growth. Considering its profitability in recent years, Tesla's corporate social responsibility strategy satisfies the interests of investors/shareholders as stakeholders of the business.