The document analyzes 4 cases: case 1 calculates ROI and its components for two segments, case 2 calculates ROI and residual income for a division before and after an acquisition, case 3 calculates throughput time, manufacturing cycle efficiency, and delivery time for two products, and case 4 discusses McDonald's objectives, critical success factors, and a non-financial performance indicator of customer satisfaction index.
The document analyzes 4 cases: case 1 calculates ROI and its components for two segments, case 2 calculates ROI and residual income for a division before and after an acquisition, case 3 calculates throughput time, manufacturing cycle efficiency, and delivery time for two products, and case 4 discusses McDonald's objectives, critical success factors, and a non-financial performance indicator of customer satisfaction index.
The document analyzes 4 cases: case 1 calculates ROI and its components for two segments, case 2 calculates ROI and residual income for a division before and after an acquisition, case 3 calculates throughput time, manufacturing cycle efficiency, and delivery time for two products, and case 4 discusses McDonald's objectives, critical success factors, and a non-financial performance indicator of customer satisfaction index.
The document analyzes 4 cases: case 1 calculates ROI and its components for two segments, case 2 calculates ROI and residual income for a division before and after an acquisition, case 3 calculates throughput time, manufacturing cycle efficiency, and delivery time for two products, and case 4 discusses McDonald's objectives, critical success factors, and a non-financial performance indicator of customer satisfaction index.
Case 2 1. ROI of the division (before and after the acquisition) Before Acquisition After Acquisition Operating Income 30,000 35,000 Average Operating Assets 120,000 160,000 ROI 25% 21.875%
30,000 ROI= x 100=25 % 120,000 35,000 ROI= x 100=21.875 % 160,000
Before acquisition John’s bonus = P30,000 x 1% = P300
Operating income after acquisition = P30,000 + P5,000 = P35,000 Average operating assets after acquisition = P120,000 + P40,000 = P160,000
Since the ROI percentage is decreased from 25% to 21.875% John is not receive any bonus after acquisition. 2. Compute for Residual income of the division (before and after the acquisition) Before Acquisition After Acquisition Operating Income 30,000 35,000 Less: Bonus (300) - Residual Income 29,700 35,000
Before acquisition John’s bonus = P30,000 x 1% = P300
Operating income after acquisition = P30,000 + P5,000 = P35,000
Case 3 1. Throughput time Product A Throughput Time=3+ 1+1+2=7
Product B Throughput Time=2+ 0.5+ 0.5+3=6
2. Manufacturing Cycle Efficiency (MCE)
Product A 3 MCE= =0.428 7
Product B 2 MCE= =0.33 6
3. Delivery Time Product A Delivery Time=10+7=17
Product B Delivery Time=7+ 6=13
Case 4 McDonald’s McDonald's is the premier worldwide foodservice retailer with further than 32,000 regional restaurants. Serving more extra than 58 million forms in 118 nations every day.
Organizational objectives To produce excellent value, differentiation, and core strength areas for a business that has cleared missions, purposes, and objectives that are essential and important to the strategic formulation of a business.
Critical success factors of McDonald's
1. Management of employees - McDonald's believe staff comes first and recognized that proud employees provided greater service, which can make an incredible impression that will have an impact on a customer's loyalty. The company provides a set of benefits for their internal staff, such as: Employees are allowed to eat for free Employees have a month of paid holidays Employees have access to private health care Employees have discount cards 2. Developing brand image - McDonald's has gained fame for serving suppers effectively quickly. In contrast with other comparative inexpensive food contenders.
Non-financial performance indicator
Customer Satisfaction Index - it shows a measure of an organization's prosperity at addressing clients' necessities. The cheap food chain acquired the least score in consumer loyalty among restricted service, as indicated by a new report by the American Customer Satisfaction Index. McDonald's fulfillment rating is right now at 71%.
Teacher’s Comment: PM B. 0.40 AU A. 10.00 Case 3: Keypoint: Segment A is more efficient
