We'll email you when new articles are published on this topic. We have a responsibility not only to serve great food, but to make it responsibly and to enrich the communities in which we operate. The onion flavor gets sort of seared into the beef. Catherine also spent two years in Internal Audit working on international market audits. Mr. Kempczinski had barely warmed his chair in the job when the pandemic struck, closing restaurants around the world seemingly overnight. She leads key initiatives, including digital learning, that accelerate and elevate learner experiences throughout 14,000 US restaurants and restaurants located in 120 countries globally. As you hear feedback, you need to pivot and respond appropriately. We can think about our business beyond just the four walls of McDonaldsand perhaps even beyond what is McDonalds brandedbecause we have scale and a platform that we, and even others in our industry, could use to deliver important and sustained value to our customers. In our top markets, our drive-thru service times are now about 30 seconds faster than they were two years ago. Prior to that, he led the International Developmental Licensed Markets, where he was responsible for 46 developmental licensees (DLs) across more than 80 markets around the world, including Brazil, China, India and Philippines, which continue to represent the majority of McDonalds new restaurant growth globally. Theres a rich trove of best practices out there to learn from. Amys educational background includes a BA in Government and International Studies from the University of Notre Dame, a law degree from The John Marshall Law School, and an Executive MBA from Northwestern Universitys Kellogg School. Ian also spent time as Managing Director of McDonalds Ukraine. The adjustments were making are a series of small changes that add up to one big difference our customers really notice. McKinsey: Looking back on your tenure so far, is there anything you wish youd done differently? Vice President, Global Chief Diversity, Equity, & Inclusion Officer. Before joining McDonalds, Desiree spent more than three years as General Counsel and Corporate Secretary at Boston Scientific Corporation, where she provided global legal leadership across all of its businesses, regions and functions. We did recognize three or four years ago that delivery was going to be a huge opportunity for us. Everybody was willing to help you.What is something you learned early on that has carried with you into today? He began his career in brand management at Procter & Gamble, and also held senior positions at PepsiCo, and most recently at Kraft Foods where he was EVP, Growth Initiatives and President, International. Our franchisees were under significant financial stress; there was a lot of anxiety. In those 60 minutes, he reminded us all of the responsibility we have to deliver on McDonalds greater purpose., It was a belief in Mr. Kempczinski that led Heidi Capozzi, Chief People Officer, to join the company in April this year. Jo holds a Master ofScience in Applied Economics -EhsalBrussels,and is fluent in Dutch, French and English. Signup for our newsletter to get notified about our next ride. We have a few specific issues here and there. He also was an instructor and faculty administrator for the University of Phoenix for several years. Kempczinski, previously the president of the fast-food giant's US business, has big shoes . Six priorities for CEOs in turbulent times. In this role, he worked closely with our business leaders and franchisees to identify innovative new ideas and best practices to accelerate system growth. Previously, she worked at Nestl Waters North America and served as Education Director for Salish Sea Expeditions. Post earning a Bachelor of Science degree in Logistics and Distribution from Western Illinois University in Macomb, IL, Marion held distribution roles in sales and operations. How do you decide which issues youll address? McKinsey: Marketing has also played a big role in McDonalds recent financial outperformance. Finally, I went to Duke and Im a big Duke basketball fan. (201517), Kraft Heinz And yet the menu varies from culture to culture, place to place. If you would like information about this content we will be happy to work with you. In a recent interview with McKinseys Greg Kelly, Kempczinski discussed his tenure so far and what the next normal might look like for McDonalds. By Jonathan Maze on Nov. 07, 2019 Photograph courtesy of McDonald's Corp. They like to show me the latest thing that theyve got on the menu and Ill go with that. Data is a real-time snapshot *Data is delayed at least 15 minutes. His progression through the company has included responsibilities as Regional Financial Controller, Head of Business Strategy and Head of Commercial Finance. You also have to acknowledge there are things that we dont know. What are your values? In India, you have the tikka masala burger. In addition, Amy is licensed to practice law in Illinois. He began his career in PR and marketing for Compaq Computer Corporation, first on the agency side and then in-house. Also, we could have done a better job demonstrating and articulating what McDonalds was doing to support communities. Imagine if we could engage with all of those customers, or even just the majority of those customers, on our app. Regardless of the delivery channel deployed, though, we always focus on our customers experiences because customer satisfaction is critical to us. Catherine has also held roles as Sr. Director Global Planning and Analysis, Director Financial Management and Development for US McOpCo, Director of Financial Reporting and Director Corporate Analysis and Support. Given your franchise model, how do you ensure during COVID-19 that restaurants can survive the short term and be in a position of strength for the long term?We were lucky in that McDonalds franchisees came into the pandemic in a very strong position. As it turned out, the strong emphasis on our core values in early 2020 really hit home and helped us address the challenges we faced when COVID-19 came along. Mr. Hernandez was calling to ask if Mr. Kempczinski would take over the helm of McDonalds. So, we put about $1 billion of liquidity into the system. Pivot to lunch, I always get the fries. Chris Kempczinski: Yes, a couple of things come to mind. Chris joined McDonalds in 2015 as Executive Vice President, Strategy, Business Development and Innovation. Were looking to innovate and actually make sure that were doing it better than anybody else. There are social issues on which you havent hesitated to speak outfor example, you put out public statements after the killing of George Floyd and after the attack on the Capitol. I dont think we did enough to embrace how we are a part of culture. Chris Kempczinski Leadership Style. As part of McDonalds Global Impact leadership, Jenny McColloch leads the Global Sustainability & ESG team that is charged with designing and managing strategies and partnerships to drive positive impact and purposeful, resilient growth for the McDonalds brand. As Chief Communications Officer at McDonalds, Michael Gonda is responsible for driving integrated communications strategies that focus on protecting and advancing the reputation of the company globally. But what so impressed me about him was that he was firmly focused on the future, on moving forward. According to Fain, the innovative spirit of Royal Caribbean helps him attract executives who are passionate about the job. Throughout his tenure, Gonda has built and strengthened leadership platforms for the McDonalds executive team. What does that mean exactly and how will your customers see this come to life? And were definitely doubling down on those. Outside of McDonalds, she actively supports causes that care for the homeless, under-served children, Special Olympics and veterans having proudly served our country. Under Johns leadership, the marketing function is responsible for building equity in the brand, driving stronger connections with customersand elevating the companys brand valueand reputation. Weve seen our productivity and our restaurant-level margins improve. Evidence had emerged that McDonalds then-CEO, Steve Easterbrook, had violated company policy and undermined company values. Senior Vice President, Chief Learning and Development Officer, Catherine Hoovel So dine-in will still be important, but I think takeaway channels, like delivery, drive-thru, and order ahead with curbside pickup, will stay elevated for the foreseeable future. Not a day goes by that I dont have a small order of fries. I am energized by this challenge and look forward to guiding McDonalds continued success. Everybody recognizes the golden arches. This article was edited by Monica Toriello, an executive editor in the New York office. Looking at your recent marketing initiatives, featuring cultural icons like Travis Scott and J Balvin, and the recent launch of Spicy Chicken McNuggets, I have to wonder how a brand as established as McDonalds continually reimagines marketing? Have events or experiences of the last year in any way altered or broadened your perspective on leadership? I think everybody has recognized were going to a world thats going to be more contactless, thats going to have more dine-away as opposed to dine-in. new Date().getTime(),event:'gtm.js'});var f=d.getElementsByTagName(s)[0],
So, are there things we can do to speed up the Drive Thru? An award-winning team of journalists, designers, and videographers who tell brand stories through Fast Company's distinctive lens, The future of innovation and technology in government for the greater good, Fast Company's annual ranking of businesses that are making an outsize impact, Leaders who are shaping the future of business in creative ways, New workplaces, new food sources, new medicine--even an entirely new economic system, News broke last night that stunned the fast-food world. As the son of a former Belgian McDonalds Owner Operator, Manus first restaurant experience dates back to 1987, when he worked as a crew member at his parents restaurants. Emilee has also worked in management consulting with Accenture and Mercer, where she coached executives and consulted for organizations around the world focused on building a Human Capital Strategy and Change Management practice and implementing numerous large-scale organizational changes. Catherine was McDonalds Chief Accounting Officer from October 2016 to 2021. The onion flavor gets sort of seared into the beef. Since joining McDonalds in 2017, Morgan has been the driving force behind some of the Brands most inspired marketing campaigns. Reggie has worked in a variety of disciplines including supply chain, merchandising, international project management and multiple specialties within human resources. Given your particular focus on those factors, even before you became CEO, its almost as if you saw the pandemic coming. Kempczinski has an MBA from Harvard Business School. Reminding people: Here are the values that have defined McDonalds over the years and, based on those values, heres why were going to make these decisions. In 2019, Desiree was named one of the most powerful women in corporate America by Black Enterprise Magazine, and in 2020, she was named as one of the top innovative General Counsels around the world by the Financial Times. Amy joined McDonalds Corporation in 2011 where she leads McDonalds compliance strategy globally and is responsible for administering McDonalds compliance program, including anti-corruption initiatives, stakeholder engagement, due diligence and compliance investigations. What are we certain of? Corporate Senior Vice President, International Operated Markets. And I think were now at a place where weve caught up. Chris joined McDonald's in 2015 as Executive Vice President, Strategy, Business Development and Innovation. Ensuring a consistent brand voice is core to his role, working to advance McDonalds business strategy, communicate the companys purpose and drive greater trust amongst stakeholders. He has been with McDonald's Corporation since 2015 and is in his second year as president and CEO. First, we have the four pillars of what we call our Corporate Leadership Platform: supporting local farmers and local sourcing, protecting our planet, serving our communities in times of need, and providing jobs and opportunity. I graduated from college in 91right around the time Nelson Mandela had been released from prison, become President of the ANC, and started negotiations to end apartheid. Michael Grothaus is a novelist and author. We did recognize three or four years ago that delivery was going to be a huge opportunity for us. In following that example, Ive tried to not put a lot of corporate spin and polish on stuff, but to just speak in a pretty open, honest way about how I see things. We expect to roll out our loyalty program, called MyMcDonalds Rewards, in the US later this year and in all our major markets over the next couple of years. As Chief Financial Officer, Ian oversees McDonalds accounting, internal audit, treasury, tax, global franchising, global business services and investor relations functions, and as a member of McDonalds senior leadership team, he works to position McDonalds for long-term enduring success. This includes loyalty which is now in nearly 50 markets introducing new innovations like artificial intelligence and automated order taking, and modernizing data systems to move faster while improving the experience for customers and crew. To me, there is nothing further from the truth than that. She has also completed Columbia Universitys, Creating & Executing Breakthrough Strategies Executive Program and has obtained her Co-active Coaching Certification (CPCC). Following three years at Saatchi & Saatchi, she joined PepsiCo and led marketing and innovation for Gatorade. Youre going to love those grilled onions. Her team also coordinates McDonalds environmental, social and governance (ESG) engagement and reporting. In this role, Kevin identifies and focuses on areas where we can continue to evolve our Accelerating the Arches growth strategy long into the future, and provides active counsel as teams execute against the strategy. During his tenure, he was instrumental in converting the four Nordic countries (Denmark, Finland, Norway and Sweden) and Hungary into developmental licensee organizations. McKinsey_Website_Accessibility@mckinsey.com. John began his career with McDonalds in 2003 as Marketing Manager for Portugal. We have our core menu: hamburger, cheeseburger, Big Mac, Quarter Pounder. Vice President, Chief Diversity, Equity, & Inclusion Officer, Michael Gonda Our purpose is to feed and foster communities, now more than ever. When you took on the role, quickly establishing values as a central theme of your leadership, was there a sense that McDonalds needed its values updated? Brian earned his Bachelor of Science degree from Ferris State University. I had spent most of my career in packaged goods, so I had to learn a new industry. It goes back to credibility. John W. Rogers, Jr., the Chairman and Co-CEO of Ariel Investments, introduces award honoree Chris Kempczinski, the President and CEO of McDonalds Corporation October 26, 2022 07:00 PM ET Marc N. Casper, the Chairman, President and CEO of Thermo Fisher Scientific, accepts the CED Distinguished Leadership Award. She is passionate about accelerating growth through marketing with creative, future-led, consumer and data-driven insights. McKinsey: Youve had quite the baptism by fire. Maybe there is a lane for our loyal customers that allows them to go through in a faster way. Chris Kempczinski Leadership Style. During this time, he co-created the companys sustainability vision, PepsiCo Positive (pep+), an end-to-end transformation of how the company creates growth and shared value with sustainability and human capital at the center. Most recently at Boeing, Bethany was Vice President of Leadership, Learning and Organizational Capability (LLOC), where she was responsible for implementing the enterprise learning, culture transformation and workforce development strategies in support of Boeings business imperatives for 150K employees in 65 countries. There he served in a similar capacity, responsible for the Communications function and the PepsiCo Foundation, and worked closely with the companys Sustainability and Government Affairs teams. A common thing that I will hear from people who are not in the industry is that retails a dead-end job. He has been the "heir apparent" to Easterbrook since joining the company. During his time as CFO, the company increased systemwide sales by over 25% to more than $100 billion, increased the number of restaurants worldwide by more than 10% to nearly 40,000 restaurants, and returned over $50 billion to shareholders through dividends and share repurchases. I didnt think that we had contemporized our approach to marketing. Additionally, weve been able to expand the number of restaurants offering delivery to more than 30,000. How a small drive-in restaurant in San Bernadino grew into an American icon. Integrity, and doing whats right, is at the core of who he is and how he thinks.. Do Not Sell or Share My Personal Information. McDonalds has navigated the challenges presented by COVID-19, emerging with higher brand trust scores, higher customer satisfaction scores, and higher restaurant margins than the company had going in. She returned to the McFamily in 2022 to accelerate the next phase of the IOM segments growth, elevating our marketing and creative excellence while enhancing our crew and customer experience to unlock new growth opportunities in the IOMs. Weve been in the Drive Thru business for decades, so I dont want to say that we had any foresight in that. When you look at the career progression that people can have in the retail industry and the career progression that people have at McDonalds, its quite remarkable. Chris Kempczinski: I admire how Amazon constantly talks about Day 1; I think thats a great orientation and mindset for us to have at McDonalds. Going forward, we expect that many delivery orders will be placed on our own MyMcDonalds platform, providing us with important data to understand our customers preferences and cravings. In his most recent position, CEO of McDonalds UK & Ireland, Paul led the business through a period of strong and sustainable growth, delivering successful customer-led plans including the launch of McDelivery and the evolution of the at home service. Manu has been part of the McDonalds System for more than 20 years, with extensive knowledge of the companys global customer base and deep understanding of the needs of McDonalds customers. Where do we have credibility to speak and stand behind our values and commitments? When I came to McDonalds, that was probably one of the biggest risks for me. CIO Fletcher Previn and his team compressed 10 years of strategy into 10 weeks of execution, reports Philip Delves Broughton. Im hoping its going to stick around. Chris Kempczinski: The single most important thing I have to do as CEO is ensure that our brand continues to be relevant. You are leaving McDonalds to visit a site not hosted by McDonalds. And what are things that are best left to othersgovernments, other companies, or nonprofits? In just four years, he had clearly made a mark. As for anything outside of those topics, we want to be helpful, but its important to recognize that were in the business of selling burgers and fries. As President and CEO of McDonalds, Chris leads the millions of dedicated McFamily members who help create delicious, feel-good moments for everyone. I did spend time up front providing a framework a list of five things to help guide those decisions: Were all in this together. He builds great teams. fries? In this role, he worked closely with our business leaders and franchisees to identify innovative new ideas and best practices to accelerate system growth. Hed come to McDonalds in 2015 after holding top management positions at Kraft Foods and PepsiCo. I wanted to make that set of expectations very clear at the beginning of my tenure so that this was not a moment to reconsider what we stood for. In early November, Brunswick Partner Jayne Rosefield, head of the firms Chicago office and Global Consumer Industries Practice, interviewed Mr. Kempczinski. By using this website, you accept the use of cookies. Chris Kempczinski: Prior to 2017, delivery was a $1 billion business for us, largely in Asia. Ray Kroc left a legacy. Prior to PepsiCo, Jon spent the majority of his career at Disney/ABC, traveling the world as the Executive Producer on some of the most influential news programs, including World News Tonight and This Week, winning numerous Emmy Awards for groundbreaking coverage. Ian has spent more than 25 years at McDonalds leading markets and functions globally. Chris joined McDonald's in 2015 as Executive Vice President, Strategy, Business Development and Innovation. As a member of the McOpCo Business Unit Leadership Team she was responsible for financial management, portfolio optimization, operational financial consulting and safety risk management. Every time you go to a new organization, you take a risk with that. Chris is responsible for driving McDonald's growth strategy, Accelerating the Arches, and ensuring that the company's values are embedded throughout the system as the filter through which all our business decisions are made, bringing its corporate purpose-to feed and foster community-to life. And I did feel like wed gotten a little complacentthat we were stuck in a traditional mode, where we were more just broadcasting, as opposed to really engaging our customers in areas that theyre passionate about. As McDonalds EVP, Chief Legal Officer and Corporate Secretary, Desiree Ralls-Morrison oversees the companys global legal operations, responsible for supporting the companys strategies, anticipating and managing risk, and advancing McDonalds brand and values. feel-good moments for everyone. Prior to, at Kellogg, Brian established the companys global Digital Marketing foundation, which allowed Kellogg to build relationships with consumers in a targeted and personalized way, including the creation of its loyalty program Kellogg Family Rewards. The whole world was in crisis mode, but Chriss calm demeanor and thoughtful approach ensured that as a team we could implement the swiftest operational transformation in our history to protect restaurant crew and customers, while providing financial support to franchisees to ensure they could focus on running their restaurants rather than worrying about what the future might hold.. As the leader of McDonald's USA, Kempczinski participated in a lot of the decisions that fueled the company's turnaround. Prior to McDonalds, Jon spent 10 years at PepsiCo, one of the worlds largest food and beverage companies. "Change also brings opportunities for discussion, introspection and, ultimately, renewal,". The Global Impact team which fully integrates our Sustainability & ESG, Government Relations and Public Policy, Communications and International Corporate Relations functions, as well as Ronald McDonald House Charities is working to deliver on a refreshed purpose to feed and foster communities. In July 2015, he was appointed Chief Marketing Officer for the High Growth MarketsSegment, comprisingninemarkets across Asia and Europe. My view is that in this day and age, you have no choiceif you want to control the message, you will be an inauthentic brand and you wont have any resonance. All Rights Reserved. The Wall Street Journal reported Sunday that under Kempczinski's predecessor,. Manu Steijaert And were going to stay true to our purpose in supporting communities. Customers are seeking brands that reflect their values and the line between the corporate brand and the consumer-facing brand is blurring.. Jon holds a Bachelor of Arts in Communication and Media Studies from Boston University. Mr. Kempczinski had barely warmed his chair in the job when the pandemic struck, closing restaurants around the world seemingly overnight. As you navigated a global pandemic and the rise of extreme social unrest during your first year as CEO of McDonalds, did any particular principle or philosophy guide you? Today, McDonalds looks like its on track for a rapid recovery and even, perhaps later this year, robust growth in some of its biggest markets. Are there particular mentors or heroes whose words or examples have helped guide you this past year? Paul has been a key member of the McDonalds team for 25 years and in that time has held a variety of leadership roles, always maintaining strong relationships with Franchisees and suppliers. You cant ever coast. Chief Marketing Officer and Corporate Vice President, International Operated Markets. She joined McDonalds in 1993, responsible for managing the supply of several national product categories. As for drive-thru, we offer it in 95 percent of our US restaurants and nearly 65 percent globally. Put simply, he is a leader who at his core "cares a lot." That praise encouraged co-workers to come up with similar innovations, such as ice-skating and rollerblading. Chris joined McDonald's in 2015 as Executive Vice President, Strategy, Business Development and Innovation. President and CEO Most recently, Manu led McDonalds International Operated Markets (IOM) Business Unit, where he drove a customer-led and growth-focused approach to supporting the country leadership teams in 12 markets. In Europe, dine-in was 65 percent of our business in some markets; it might be less postpandemic. In this role, he worked closely with our business leaders and franchisees to identify innovative new ideas and best practices to accelerate system growth. If we have that level of consumer engagement on our app, could we do even more for them? Where do we have an opportunity and a responsibility to make a contribution? Desiree serves on the Board of Directors for DICKS Sporting Goods, Inc. and as a Director for The Partnership, Inc., whose mission is to ensure the economic competitiveness of the Boston area by attracting, retaining and convening professionals of color. Every time you go to a new industry were making are a part of culture career... Also have to acknowledge there are things that we had any foresight in that contemporized. Had barely warmed his chair in the Drive Thru Business for us experiences! Demonstrating and articulating what McDonalds was doing to support communities the tikka masala.! Time you go to a new organization, you have the tikka masala burger edited by Monica Toriello, chris kempczinski leadership style. Calling to ask if mr. Kempczinski I will hear from people who are not in the job when pandemic! 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