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Everything I Know About Business I Learned at McDonald's: The 7 Leadership Principles that Drive Break Out Success: The 7 Leadership Principles that…

by Paul Facella, Adina Genn

McGraw-Hill Companies,Inc. | October 7, 2008 | Hardcover

What is it about McDonald''s that has enabled it to produce more millionaires from within its ranks than any company in history?

What earns the undying respect and loyalty of its franchisees, vendors, and 47 million customers served daily, from Moscow to Evansville to Rio de Janeiro?

And how does it continue to expand its products, retool its image, and become more popular with each passing year?

Few authors are as qualified to answer those questions as company insider Paul Facella. Beginning behind the counter at age 16, Paul literally grew up at McDonald''s. From counter, to grill, to Regional Vice President, he has, over the course of his distinguished 34-year career, developed an intimate knowledge of the fast-food giant''s management practices and culture. He''s also forged personal ties to its legendary leaders, including founder Ray Kroc and CEOs Fred Turner, Mike Quinlan, Jack Greenberg, former President Ed Rensi, and current CEO Jim Skinner.

Everything I Know Ab out Business I Learned at McDonald''s delivers an up-close-and-personal look at a company where talent is cultivated and encouraged to thrive, from the individual restaurant to the corner office. With the help of in-depth interviews and "in their own words" commentaries from company executives, franchisees, and vendors, he explores McDonald''s result-driven culture, and reveals the core principles, first laid down by founder Ray Kroc in 1955, that have successfully guided the company for more than five decades.

Finally, Paul distills all that knowledge and experience into powerful lessons on teamwork, leadership, integrity, communication, and relationship building that you''ll use to achieve stellar results in your company-whether your goal is to build an international business empire of your own, or just the best darned shop in town.

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What the book is mainly trying to explain to you is that McDonald's was a successful company because they followed seven leadership principals. You had to have honesty and integrity, good relationships, standards; you must lead by example, courage, communication, and recognition. These seven principles are why McDonald's is so successful according to Paul Facella. Paul explains each of these principals very well throughout the book.
Honest and integrity has been a keystone to McDonald's growth. They like to think that they are so trustful and honest they like to use the "Hand Shake Agreement" when they do their business with suppliers and owners. McDonald's feels that if they can't trust us on a hand shake agreement then they don't want to do business with them because they don't have a good enough relationship. McDonald's has done million dollar units on nothing but a hand shake agreement, they don't like doing contracts. McDonald's is focused on lasting partnerships rather than a quick profit. McDonald's would terminate any relationship that even hinted that the person they are dealing with is being unethical, immoral, or illegal. McDonald's likes to be accountable, they follow through on their commitments and like to be transparent, and they want people to see that they have nothing to hide so people will want to work with them.
"At McDonald's, relationships run deep". From the crew all the way up to CEO, they know that they are all in it together. McDonald's likes to find partnerships that will achieve there companies goals, trust is essential in their relationships. McDonald's encourages its employees to learn about the people they are working with. Know their motives and talents so that you can take interest in the people whom you work.
McDonald's has a passion for excellence and is never just satisfied. Not only did they want high standards they wanted to be the best, even if it meant slashing energy costs to look more eco friendly. McDonald's pushes for excellence in all likelihood to improve profit margins and boost their reputations. McDonald's doesn't accept any standard except the very best. "Good enough" doesn't cut it for them, they keep their expectations high. If you see a problem fix it, your actions set the standards were you work, problems don't fix themselves.
Leading by example goes for every employee at McDonald's no task is too small even for the top executives. Even the top employees like to be in the field getting up close with the customers. Demonstrating model behaviors is key at McDonald's no job is to humble even for the boss. It is the leadership's actions that set the motion of behavior and values of the work place. Never under estimate your actions, turn every opportunity into a chance to coach the other employees. Explain to other employees everything that happens in the field when something goes wrong or right, this will help them understand what is working well and what needs to be improved. Help out your community, stakeholders and others will appreciate your efforts to making their world a better place and that you're trying to "give back".
Courage is a big role in McDonald's growth. Individuals should speak up and say what's on their mind and fight for what they believe in. Never just look the other way, you will be respected, and will be sure to win big with your employers. Always walk away from deals you know isn't good for your company no matter how much money they are offering. Don't be afraid to take risks you won't get anywhere by playing it safe all the time. Make educated, well-thought-out risks. Push for what you believe is right, even if you're upsetting other statuses. Take on other challenges don't pretend that they don't exist. Speak your mind others will appreciate you for saying what you think.
McDonald's uses communication to tell its own story, the story that helped win over stakeholders, customers, and shareholders. Communicate your company's goals, objectives, mission, and values with your co workers and customers. Structure your company to encourage communication with stakeholders and decision makers. Promote communication through dinners and gatherings of colleagues.
The McDonald's system has a built-in mechanism to recognize those who really deliver results. The company retains the best talent at the corporate, store, and vendor level. Make it a point to continually praise performance. Make even the smallest awards meaningful weather they are promotions, opportunities, or plaques. Make it a feeling of family by including spouses whenever being recognized. Ask your company to put aside a budget to have a program for events and activates for recognition. Rewards don't have to cost anything, a hand written note from the boss or a hand shake followed by "good job" will do just fine.

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