Starbucks to cut some support staff - Maze
When a company can't grow locations and sales fast enough to please shareholders, it has to squeeze operating costs until it hurts.
79 Wahlburgers to close at grocery chain Hy-Vee
Out of 109 existing restaurants.
There's a long list of celebrities failing in the restaurant business gong back to Johnny Carson's attempts to compete with Denny's.
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26 comments:
Starbucks has it tough. They only have the croporate side to cut back on. McDonald's has the Owners to take money from and they can still live as corporate fat-cats as the Owners compalin but do nothing.
The owners do nothing because they are fearful of intimidation, harassment and retribution by corporate. And the NFLA and OPNAD are filled with cowards who only represent themselves and go along with everything corporate dictates to curry favor and get more stores. Feckless reps. The only entity that even tries fighting for the owners and the owners equity is the NOA. It astounds me that more owners arent members of NOA. But those nonmembers are also intimidated by corp. I have a friend who is a registered applicant that said that a McD officer actually told him not to join NOA.
How many McDs have closed in WalMarts???
McDonalds has cut so much support/field staff that its a joke to even call it support. Probably why the company changed the name from "service fee" to "Royalty".
Wasnt CosMcs supposed to be a threat to challenge Starbucks?? ROFLMAO
We need an Operator on the BOD. But it will NEVER happen. That idea died when Casper sold out and left.
Actually, that idea died in 1965 when McDonald's became a publicly held company. But it pops up here about once a year.
There are probably many legal reasons a franchisee on a BOD would be a conflict, but that's immaterial. If a McDonald's Owner/Operator existed who could stand up to the responsibility and pressure of representing the Operator community on the BOD why isn't that person heading up the NFLA? Legal issues aside, where are they?
President Trump has promised to release the confidential files concerning the 1963 assassination of President Kennedy. A topic that comes up in discussions about the assassination is the myth about a bullet that defined all laws of physics and changed direction several times after entering Kennedy's limousine. It's referred to as the "Magic Bullet." This bullet has never been found.
I submit some in the McDonald's Operatror community are hoping to find the "Magic Operator." Someone who could stay in compliance in their stores while standing up to the CEO, the rest of the BOD, and their legal team. The past 70 years have proven that to be an impossible task. A search in vain.
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But if a bunch of Owner/Operators were determined to find a "Magic Operator" they'd have to form an independent group of Operators that didn't report to corporate and where there was safety in numbers. Something like ... the NOA.
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AMEN
That scenario is active right now and should be supported! The chairman of the NOA personally met with Chris K and Joe E a few months ago and presented a bevy of concerns that operators had to them. And Chris listened and took action on many of them! It works! Join now. Protect your equity and your future. NOA = Your seat at the table!
The National Owners Association (NOA) is an INDEPENDENT, self-funded advocacy group of “Owners-Serving-Owners” on the most crucial issues – Financial, Franchising, and Relationship. The NOA will positively impact the McDonald’s system by safeguarding our franchise model, the 3-Legged Stool, growing restaurant and Supplier cash flow, Owner equity, and advancing the McDonald’s Brand that our founders envisioned and entrusted to us. Through our focused efforts in Advocacy, Legislative Engagement, Leadership Development, NextGen Preparedness and Registered Applicant Support, the NOA will be stewards of the McFamily and provide a voice for every Owner/Franchisee to ensure long- term financial viability of all stakeholders.The NOA has a relentless commitment to our values and the actions that are defined by them.
To the poster above:
If anyone from Corporate or elsewhere suggested I not attend or join the NOA, my first response would be: Why wouldn’t I want to be part of a group representing nearly 75% of U.S. franchisees? Attending and joining allows me to understand what they’re advocating for on my behalf as a franchisee and gives me the opportunity to provide direct feedback.
I may not agree with everything the NOA, the NFLA, or even McDonald’s Corporate meetings propose, but avoiding engagement altogether means forfeiting my voice. Joining discussions and participating in these groups ensures I remain informed and actively involved in shaping the future of our system.
Frankly, any Corporate person advising against participation seems naive. I'd also ask them to consider why almost every former McDonald’s employee who has transitioned to becoming a franchisee chooses to join the NOA. Their membership speaks volumes about the value this organization provides.
Good discussion, but maybe a little argumentative. Years ago, when an independent Owner/Operator group was being discussed, I have it on good authority that a corporate VP asked an Owner/Operator, "Why would you join such a group"?The Operator replied, "I want to know everything there is to know about my business". The corporate VP had no response.
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Does it take a rocket scientist to realize the correlation between sales decreases and the increased promo thru mobile app usage with absurd discounting?
The biggest problem with our absurd, out of control discounting, forced on us by the JV team currently running McD at the senior level, is what it does to the customer perception of our products. With extreme discounting, you cheapen the brand and products perceived value in the mind of the consumer. This leads the consumer to believe that products offered at regular menu prices are over priced and not worth it. The spiral continues downward due to poor marketing.
Stated properly. Attorneys should also be involved as the lack of service from the corporation breaches common services that were provided in the past. Just because McD SLT changed a name does not change the Service Fee written in the Franchise Agreement. Have legal challenge their billing to reflect the agreements.
Communications…Is not open or transparent (honest). Is autocratic and condescending. Regional staff think I work for them. The company is always right and allows for zero feedback or input. People who challenge the facts or the decision process are ostracized or punished. Financial...The modernization and improvements plan was a great strategy that has gone bad. There is too much waste, too many unnecessary expenses and no accountability for mistakes. Execution has been poor at best. There are minimal or no returns on the investments. After spending $4 billion we should have more to show than a -3.5% loss in transactions. Our equity is slowing being eroded. Legacy…What made us great is gone. Our people and our heritage are dismissed as an embarrassment. If they don't agree with us then they need to go. The stock price is valued more than our people. There needs to be a balance. The attitude of “what have you done for me lately” prevails. There is a reason that we are that much better than our competition. Our legacy proves that. I have never been so concerned about our collective future.
I am tired of being treated like an Employee. I want the Flexibility back on my Pricing. The Auto bundling is good for One discount, but not when we have these many discounts. Virtually everything is on sale. I need an Operating system that I can be successful with. The current system will not allow us to meet minimum time standards. I am not interested in doing things that have not been field tested. I want to be Represented by Professionals not Operators that can be talked into doing the Company's bidding.
McDonald's wants to control everything from opnad, seating and decor, technology etc. Etc. and when things don't work out they want you to pay for the mistakes that they got us to sign up for. Many more issues, never seen leadership this bad for the Owner Operators.
I am concerned the company no longer values the relationship between operators and the company. We do not seem to be working with each other for shared solutions. The corporation does not seem to be aligning with operator leadership on the goals we should be working on. We are now measured only on numbers on a matrix. No one seems to be interested in coming into the restaurants and working side-by-side with operators and managers, just grading, grading, and more grading. SET no longer seems to be working for the operators, protecting our interests and cash flow.
Very concerned about the future of our business. I feel McDonald’s is out of control and we have no plan
FBP's are starting to blame us for the negative results of the marketing plan and that's not fair. We're in debt up to our eyeballs and then they are giving us pressure on service times and achieving results we cannot achieve under operational standards that are impossible for anyone to achieve consistently in today's market and with today's menu! This is NOT a good time to be in McDonald’s!
WE SHOULD NOT BE SELLING ANY FOOD ITEM AT A LOSS. Customers are NOT eating off the floor in our restaurants. They couldn't give a "rat's behind" if the floor tile is 12x12 or 24x12. This is money that was WASTED, which could have been put into improvements in our D/T service model, or our operating platform. There are TOO MANY blockages in the way we produce our food.
Great comments above. Spot on! Heres the problems I see. The “strong arm” tactics used by McD corp. Their “divide & conquer” leadership style. Their “take it” or “sell it” attitude. Their propensity of passing their P&L costs onto ours. Building high end buildings then offering a low end discount menu. Menu complexity. Inefficient kitchen layouts and equipment reliability. We need equipment innovation and more efficient layouts, allowing us to increase our TPCH/ SPMH and lowering our labor costs. We should be given the right of refusal to buy the land our restaurants are built on. Currently nobody is holding McD corp accountable for technology quality, the sub par McD software we are forced to use, ever increasing technology costs w/o explanation or reasoning, terrible equipment reliability, construction costs & quality of work. NFLA is not helping this
We have no voice. Our current owner leadership has been coopted and should be sacked.
Although I have many concerns regarding the current state of our business and the relationship between McDonald’s corporate leadership and the Owner/Operators I believe our most pressing issue should be the support of an independent Owner/ Operator organization (the NOA) which is funded by the Operator community and utilizes the counsel and advice of outside professionals ,such as legal and financial, when appropriate, to advise the Operator community at large on the merits, or lack of, to any initiative the company proposes. The first duty of any elected Operator to this independent organization should be to represent the interests of the Owner/Operator community and protect the rights we have as defined in our franchise agreement to independently operate our restaurants.
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