I found this post quite interesting. Hmm! So after having exported this uniquely US phenomenon ‘Around the World’ both in the literal and actual physical sense; McD’s as it is known in the US is going to ‘outsource the jobs to India’. So why not anywhere else in the ‘English’ speaking world because they are outsourcing only the ‘Accounting’ jobs. Well, this is where the Indian ingenuity comes in. Indian firms like Cognizant, TCS, HCL, Infosys, WIPRO and others of their ilk can get the same job done for cents on the $. This means that if McD’s is spending $1 in the US, it can get the same thing done for $0.75 or less. But, why now; when the banks and others had started this way back in the early 2000’s.
I think McD’s is seeing the writing on the wall and if it has to be competitive and sell $1.00 burgers to keep up with Burger King and Jack In The Box the saving has to come from somewhere. It is only paying minimum wages to its store employees who take orders, flip burgers, and are the face of the Company. That wage is creeping up steadily. So, Hooray, India! Now if only someone other than the Cognizants, TCS etc. were to get McD’s contract and put some of the third tier Indian people with basic Bachelor’s in Accounting to work. Nothing against CPAs and CAs (I am one myself); but the work that McD is sending doesn’t need you. Don’t send an engineer to fix the light bulb, get it?
Oh! If you are reading this blog (rave, rant, etc) you came to it from my company’s website- www.colabus.com. So use it for 30 days for free and let me know if you were actually able to collaborate. I know you can.
PPS. McDonald- why not use our software for free for 30 days to collaborate on your Outsourcing project. And, we will throw in 100 hours of Consulting hours to boot. No obligations.
By Lisa Fickenscher June 16, 2016 | 11:10pm
McDonald’s is slimming down.
The fast food giant is shedding jobs as part of a $500 million cost reduction spearheaded by Chief Executive Steve Easterbrook.
McDonald’s also is moving some functions to India in what could be a larger controversial push toward outsourcing, according to sources familiar with the company’s plans.
A regional office in Columbus, Ohio is among the first casualties of the cost-cutting. McDonald’s described the facility’s closing as part of “plans to permanently restructure its operations and eliminate a number of roles,” in a May 13 letter the company sent to city officials. The layoffs will begin in July and end by December.
The 70 workers at that facility provide support services to restaurants, including accounting functions, which may be moving to an Indian firm, say the sources.
“As part of our announced efforts to deliver $500 million in savings by the end of 2017, we are restructuring many aspects of our business, including an accounting function,” said spokeswoman Terri Hickey.
As McDonald’s growth has stalled, and it has sold more of its company- owned stores to franchisees, it has been shutting down regional offices across the country, of which there are now about 25, down from 40.
“There has been talk about McDonald’s moving [some operations] to India for years,” said Richard Adams, of Franchise Equity Group.
McDonald’s laid off more than 400 employees in 2015.