University | Murdoch university (MU) |
Subject | MBS568: Organisational Change Management and Consultancy |
MBS568: Organisational Change Management and Consultancy Assignment, MU, Singapore Alongside the announcement on the four pillars of change to McDonald’s overall strategies
BACKGROUND
Alongside the announcement on the four pillars of change to McDonald’s overall strategies, Steve Easterbrook, CEO has decided to restore growth under a new organizational structure. This means the company is departing from its current regional structure, where all chains in an area are headed at a few large offices. The company is focusing instead on field offices to improve communication between corporate and restaurant employees.
To support the new structure, the organization will streamline teams to arrive at fewer layers and lesser bureaucracy. As a result, the organization will reduce net annual G&A spending by $500 million, which is in line with the financial goal McDonald’s is hoping to achieve. The company is also predicting an $80 million to $90 million pre-tax charge following the restructuring, due to severance packages to employees and other costs associated with closing field offices.
OBJECTIVE
It is at this point that the internal communications team is given the task of launching a media release to the internal stakeholders of the organization via the company’s in-house portal. The communication program is to be developed and delivered by a team, led by you, the Senior Director of Global Executive & Internal Communications.
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