APPLICATION OF THE THEORY OF CONSTRAINTS IN THE SERVICE SECTOR

Innovations involve changes to strengthen the company’s position in hugely competitive markets. McDonald’s food chain has always sought to implement the Theory of Constraints (ToC), detecting global weak points to work on. This innovative approach comprises facilitating and cost reduction of production processes or expanding business services. In the article, we evaluate the impact of these innovations using the linear regression method in the McDonald's food chain in Czechia between 2007 and 2020. Our results show that the McCafé and McDelivery services are the most profitable businesses for the expansion of business activities, services and distribution channels. By following successful business models, the food chain reacts intelligently to new market trends in this global competition. Our findings agree with the further pursuit of ventures for expanding business activities.

Authors

Publication Details

Journal
AD ALTA Journal of Interdisciplinary Research
Published
2024-12-31
DOI
https://doi.org/10.33543/j.1402.171177
Primary Topic
Operations Management Techniques
Type
article
Field-Weighted Citation Impact
0.00
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article

APPLICATION OF THE THEORY OF CONSTRAINTS IN THE SERVICE SECTOR

Ekaterina Chytilová, Daniel Chamrada
AD ALTA Journal of Interdisciplinary Research
Operations Management Techniques
article

APPLICATION OF THE THEORY OF CONSTRAINTS IN THE SERVICE SECTOR

Ekaterina Chytilová, Daniel Chamrada
article en

Abstract

Innovations involve changes to strengthen the company’s position in hugely competitive markets. McDonald’s food chain has always sought to implement the Theory of Constraints (ToC), detecting global weak points to work on. This innovative approach comprises facilitating and cost reduction of production processes or expanding business services. In the article, we evaluate the impact of these innovations using the linear regression method in the McDonald's food chain in Czechia between 2007 and 2020. Our results show that the McCafé and McDelivery services are the most profitable businesses for the expansion of business activities, services and distribution channels. By following successful business models, the food chain reacts intelligently to new market trends in this global competition. Our findings agree with the further pursuit of ventures for expanding business activities.

AD ALTA Journal of Interdisciplinary ResearchVol. 14(2)
Openalex Percentile: Top 69%
Operations Management Techniques
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