McDonald’s plans turnaround, restructures
After a period of declining sales, the international food chain looks to restore growth once again.
McDonald's President and Chief Executive Officer Steve Easterbrook said, "Today we are announcing the initial steps to reset and turn around our business."
"As we look to shape McDonald's future as a modern, progressive burger company, our priorities are threefold - driving operational growth, returning excitement to our brand and unlocking financial value."
Starting July, McDonald’s will operate under a new organizational structure in its different market segments.
International lead markets like Australia, which operates within similar economic and competitive dynamics, offered similar growth opportunities to the company's main United States segment. Collectively with countries like Germany, France, Canada, and the United Kingdom, the segment represented about 40% of the company's 2014 operating income.
Easterbrook said, "The immediate priority for our business is restoring growth under a new organizational structure and ownership mix designed to provide greater focus on the customer, improve our operating fundamentals and drive a recommitment to running great restaurants.”
“As we turn around our business, we will look to create more excitement around the brand and ensure that we build on our rich heritage of positively impacting the communities we serve."
Easterbrook said, "The first critical step of our operational growth-led plan is to strengthen our effectiveness and efficiency to drive faster and more customer-led decisions. We will restructure our business into four new segments that combine markets with similar needs, challenges, and opportunities for growth."
