What are your 2021 priorities for staying ahead and nimble? I didnt think that we had contemporized our approach to marketing. But then you do have the flexibility locally to add items that you think appeal to local tastes. Please review the third-partys privacy policy, accessibility policy, and terms. Im very proud of having put our values front and center. The road to affordable autonomous mobility, What matters most? Passionate about people, Paul has overseen moves on both pay and contracts for restaurant teams, and actively championed a focus on Diversity, Equity and Inclusion, striving to create a truly inclusive culture throughout the business. Customers are seeking brands that reflect their values and the line between the corporate brand and the consumer-facing brand is blurring.. 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. Joining as VP, Global Strategy, Business Development and Innovation, it took him only a year and a half to earn promotion to President of McDonalds USA, where he was responsible for the operations of about 14,000 restaurants. During his tenure, he was instrumental in converting the four Nordic countries (Denmark, Finland, Norway and Sweden) and Hungary into developmental licensee organizations. We have resolved to cultivating a firm where everyone is valued for who they are and what they bring. As for digital, I think everybody, not just in our industry, recognizes that digital is transforming how consumers are interacting with brands, how theyre experiencing things. Its been helpful for us just to keep people in the loop, informed, focused forward. Brunswick is committed to being the most diverse, equitable and inclusive advisory firm in the world. Postpandemic, I dont think dine-in will come back to where it was. So, credit to the team for getting on that one early. That also opens up a whole bunch of other opportunities for us. Executive Vice President and Chief Customer Officer, Executive Vice President and Global Chief People Officer, Executive Vice President and Global Chief Impact Officer, Executive Vice President and Global Chief Supply Chain Officer, Vice President, Strategic Alignment and Chief of Staff, Office of the CEO, Senior Executive Vice President, Strategic Initiatives, Ian Borden To manage that risk, though, you have to make sure your creative teams are nimble. We strive to provide individuals with disabilities equal access to our website. In July, in response to the killing of George Floyd, McDonalds posted a video titled, They were one of us. How do you view the responsibility of brands such as McDonalds to take a stand on social issues? . Throughout his McDonalds career, he has achieved exceptional results by resetting the fundamentals of the business, focusing on operational excellence and ensuring strong collaboration and engagement with franchisees and DL partners. In early November, Brunswick Partner Jayne Rosefield, head of the firms Chicago office and Global Consumer Industries Practice, interviewed Mr. Kempczinski. Desiree is also a Founding Member of The New Commonwealth Racial Equity and Social Justice Fund in Massachusetts. Please email us at: More than 30,000 McDonalds locations around the world now offer delivery. So, for example, with Drive Thru, the classic frustration for the customer is: How long is it going to take? Manu is fluent in Dutch, English, French and German. When youve built your business model on diversity and providing opportunities for everyone, and suddenly a human rights issue comes into the public discussion, it would have been a huge miss for us to not put our voice out there. In a recent interview with McKinseys Greg Kelly, Kempczinski discussed his tenure so far and what the next normal might look like for McDonalds. 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. Chris joined McDonalds in 2015 as Executive Vice President, Strategy, Business Development and Innovation. In this role she leads Corporate Employee Relations, Diversity, Equity, and Inclusion, Total Rewards, and Talent Management among other areas. He began his career in PR and marketing for Compaq Computer Corporation, first on the agency side and then in-house. 'https://www.googletagmanager.com/gtm.js?id='+i+dl;f.parentNode.insertBefore(j,f); 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. We did recognize three or four years ago that delivery was going to be a huge opportunity for us. This article was edited by Monica Toriello, an executive editor in the New York office. Amid all else thats going on, you recently launched a purpose to feed and foster communities? Touring the world with friends one mile and pub at a time; is heavenly gondola open today. At Boeing, Heidi led initiatives for 160,000 employees across a $76 billion global enterprise and oversaw the companys leadership and learning, talent planning, employee and labor relations, total rewards, and diversity and inclusion initiatives. McKinsey: Might there come a time when your business is more than just selling burgers and "Change also brings opportunities for discussion, introspection and, ultimately, renewal,". I dont think we did enough to embrace how we are a part of culture, Mr. Kempczinski said in explaining the launch of the Travis Scott Meal, a wildly successful venture between McDonalds and the celebrated rapper. In this role, he worked closely with our business leaders and franchisees to identify innovative new ideas and best practices to accelerate system growth. Her oversight includes strategies and cross-functional programs relating to food and planet impacts - climate action, nature-based solutions, nutrition, restaurant sustainability, packaging and circularity; and community and people impacts - human rights, corporate philanthropy, youth opportunity and volunteerism. Chris Kempczinski: We have many options, including multiple global delivery partners, local delivery companies, and self-delivery. The McDonalds brand is well known around the world. McDonalds announced that its CEO, Steve Easterbrook, was being removed from his position due to breaking company guidelines regarding relationships with employees. With a loyalty program, do we welcome other people to ride on the same loyalty chassis? Signup for our newsletter to get notified about our next ride. j=d.createElement(s),dl=l!='dataLayer'? Theres the promise of potentially what youre going to learn but theres also the risk of starting all over. Chris is a proud alumnus of both Duke University and Harvard Business School. Were making sure that were continuing to offer a better experience on these than anybody else. As President of IDL Markets, Jo is responsible for the more than 80 markets in which McDonalds has licensed its franchising rights to strategic partners. She joined McDonalds in 1993, responsible for managing the supply of several national product categories. Theres nothing more important to my job than making sure McDonalds is as relevant 10 years from now as it is today. During his tenure, he oversaw the rapid deployment ofMcDeliverynationwide, as well as launching high-potential platforms including McCaf and a highly innovative program of restaurant development in market. Prior to joining McDonalds in 1997, he worked for 11 years in Ernst & Youngs audit and mergers & acquisitions practices. fries? As Senior Executive Vice President of Strategic Initiatives, Kevin leads McDonalds Strategy team. Previously, Kevin served as McDonalds Chief Financial Officer for more than 7 years, overseeing accounting, internal audit, treasury, tax, global business services and investor relations functions. [Many] decisions were left to the field and I think ultimately that proved to be quite successful for us.What is one misconception about retail that you would love to debunk for everyone? Heidi is a member of the Board of Directors for the Midtown Educational Foundation, Skills for Chicagolands Future, and the Human Resources Policy Association. If I could go back and do it again, I would be more overt in telling our story. Essentially, its a new cooking procedure in the restaurants that allows us to cook a hotter, juicier burger every time. As a working dad, Paul has consistently led conversations within the business and industry on the challenges of balancing a demanding work life with being a good husband, father, and friend. Mr. Hernandez was calling to ask if Mr. Kempczinski would take over the helm of McDonalds. Chris Kempczinski had been at McDonald's less than five years when he was named president and CEO, in November 2019, rising to the top job after his predecessor was fired for violating company policy on personal conduct. When Ray Kroc structured McDonalds as a franchise business, the founding idea was to have a franchisee who lives in the community and who is going to be way better at managing the restaurant than some corporate stiff, thousands of miles away. Additionally, weve been able to expand the number of restaurants offering delivery to more than 30,000. Partnering with stakeholders across the business and beyond, Jennys team serves as stewards of McDonalds global ESG commitments, which leverage the brands scale and presence in over 39,000 local communities worldwide to foster meaningful change at scale, while addressing some of the most pressing social and environmental challenges facing the world and the company today. Im hoping its going to stick around. Vice President, Chief Diversity, Equity, & Inclusion Officer, Michael Gonda Mark joined McDonalds in 2012 and most recently held the role of Vice President, Corporate Strategy & Global Delivery. Im excited about all the opportunities for us there. In 2020, as U.S. Chief Marketing & Digital Customer Experience Officer, she led her team to unleash world-class creative and harness the power of social media with bold, forward-thinking ideas. Outside of McDonalds, Jon is a member of the Board of Directors for World Food Program USA, a non-profit that supports the mission of the UN World Food Programme to advance the global movement to end hunger. He describes Mr. Kempczinski as a business savant, someone who is able to translate insight into action into results. He also was struck by Mr. Kempczinskis genuine commitment to personal growth and development, as well as his focus on building meaningful connections. Plenty of things. Everybody has a clear sense of it. 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. This is who we are. Breakfast? Chris is responsible for driving McDonalds growth strategy, Accelerating the Arches, and ensuring that the Companys 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. McKinsey: McDonalds has fared better than many other restaurant chains during the pandemic, thanks to your investments in what you call the 3 Ds: delivery, drive-thru, and digital. The prior CEO stepped down last year over a compromise of company values, and this year the company has faced accusations of racial discrimination and sexual harassment. McKinsey: Thats interesting. became President and Chief Executive Officer of McDonalds, the worlds largest restaurant company. Customers are seeking brands that reflect their values and the line between the corporate brand and the consumer-facing brand is blurring. The things you just referenced there are about us getting more aggressive, getting more out of our investment and then embracing our role in culture. What are your values? Chris has more than 25 years of experience working in premier global consumer companies. Chris Kempczinski is one of the dynamic leaders on The List of People Shaping Retails Future 2022 who will be celebrated at the NRF Foundation Honors. I think Nike does a great job of engaging customers and using pop culture to keep their brand relevant. That praise encouraged co-workers to come up with similar innovations, such as ice-skating and rollerblading. Are there particular mentors or heroes whose words or examples have helped guide you this past year?Theres not one person. Mr. Ozan reflected on his CEOs approach: From the outset of this pandemic, Chriss priority has been clear-protecting restaurant crew and customers above all else. Vice President, Global Chief Diversity, Equity, & Inclusion Officer. In India, you have the tikka masala burger. My first mentor at P&G was a guy who defined what it means to be honest and upfront. In a press release, McDonalds said Easterbrook, who had been CEO since 2015, violated company policy and demonstrated poor judgment involving a recent consensual relationship with an employee.. Previously, Marion served as Senior Vice President and Chief Supply Chain Officer, North America, where she was responsible for executing the strategic direction of McDonalds Supply Chain, including the oversight of nearly $14 billion in food and beverage, equipment, packaging and premiums, and distribution for more than 15,000 restaurants across the U.S. and Canada. Weve seen our customer service scores go up across the globe. Corporate Senior Vice President, International Operated Markets. McDonalds was also recognized in Fast Companys 2021 Brands That Matter and as one of the most relevant consumer brands. Mr. Kempczinski wasnt new to the company but unlike previous chief executives, he hadnt joined the restaurant giant decades earlier, either. })(window,document,'script','dataLayer','GTM-MFNGH2P'); Brunswicks Digital Investor Survey is a comprehensive review that explores how institutional investors gain information and the impact those insights have on their investment decisions. Mr. Kempczinski had barely warmed his chair in the job when the pandemic struck, closing restaurants around the world seemingly overnight. When you had a leader that acted in a way that was incongruous with those values, it raised a question: Are we as good as we say we are? 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?Its been important to me that were always connecting the decisions that we make back to what we stand for as a company. Off of that founding idea of serving communities, we know we can make a difference around jobs and opportunity. And we were constantly pulse-checking our organization. So what do you do? The CED discussion series, Leadership in Challenging Times, interviews business leaders about the unprecedented . And at the time of Mr. Kempczinskis one-year anniversary in early November, McDonalds stock had spiked even above the year-earlier price when he took over as CEO. In his first town hall as CEO, Chris was clear with his expectation that everyone personify the values of the company, recalls Kevin Ozan, CFO at McDonalds. Some delivery orders are, as you said, initiated directly on the sites of our delivery partners. Chris has more than 25 years of experience working in premier global consumer companies. I dont think we did enough to embrace how we are a part of culture. Were looking to innovate and actually make sure that were doing it better than anybody else. What do we know? In July 2015, he was appointed Chief Marketing Officer for the High Growth MarketsSegment, comprisingninemarkets across Asia and Europe. And yet the menu varies from culture to culture, place to place. Every time you go to a new organization, you take a risk with that. In this role, he worked closely with our business leaders and franchisees to identify innovative new ideas and best practices to accelerate system growth. 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. Do you see your delivery model changing in the near future? Chris Kempczinski McDonald's President and CEO Learn More She has also served as the US Global Womens Leadership Network Co-Vice Chair. Heidi also previously served as Boeings Vice President of Talent & Leadership, director of Human Resources for the Airplane Programs division of Boeing Commercial Airplanes, and director of Human Resources for the Surveillance and Engagement division of Boeing Military Aircraft. Given your particular focus on those factors, even before you became CEO, its almost as if you saw the pandemic coming. By using this website, you accept the use of cookies. Previously, she worked at Nestl Waters North America and served as Education Director for Salish Sea Expeditions. Chris Kempczinski: Its true; we get asked to speak out on almost any topic. She is a Henry Crown Fellow of the Aspen Institute. Prior to becoming CEO, Chris served as President of McDonald's USA, leading the business operations of approximately 14,000 McDonald's restaurants throughout the United States. I focused on being a good listener to understand how people were feeling and what we could do to support them. I didnt think we were getting enough out of that investment. Pop cultures a great way to do that; our campaigns featuring [rapper] Travis Scott and [singer] J Balvin have paid off in a big way. Joe Erlinger is President of McDonalds USA, where he is responsible for the business operations of more than 14,000 McDonalds restaurants in the United States. 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?I think its precisely because McDonalds had a very strong core set of values that the issue with my predecessor was as traumatic for the company as it was. He joined McDonalds from VF Corporation, where he served as Vice President, Global Inclusion and Diversity, building the companys first I&D strategy and turning it into an award-winning program. Its got to be about the company and the organization. Pauls life outside of work is centred around his family, spending as much time as possible with his two young boys. Morgan developed her passion for global brands early in her career. Brian is committed to building upon McDonalds accelerated growth through technology investments that will deliver the best experience for both customers and employees. 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. That was the direction that I gave to the system. He lives in Chicago, IL, with his wife and two kids. As Chief Marketing Officer for the Global Nutrition portfolio, she oversaw brand positioning and innovation for Quaker, Tropicana, Gatorade and Naked. Morgan was named to the Forbes Worlds Most Influential CMOs list for two consecutive years, rising to #6 worldwide in 2021. Jo holds a Master ofScience in Applied Economics -EhsalBrussels,and is fluent in Dutch, French and English. A former security chief for McDonald's is filing a racial discrimination lawsuit against the company and CEO Chris Kempczinski, claiming he was fired for speaking out in a meeting. Catherine was McDonalds Chief Accounting Officer from October 2016 to 2021. As a brand, you want people to discover you. We think we have an obligation to speak out on those topics. Im a Filet-O-Fish-no-tartar-double-ketchup guy. Then, all of a sudden, here comes COVID-19, and it significantly disrupts our business. Marion oversees McDonalds Global Supply Chain and is responsible for developing and executing sustainable sourcing strategies across the companys supply chain footprint. 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. During his tenure as president of McDonald's U.S. footprint, Kempczinski oversaw the business operations of around 14,000 stores. 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?I get asked sometimes, What exactly do you do as CEO of McDonalds? It can seem as though the system runs itself. In this role, Morgan will lean into digital to continue elevating consumers love and trust for the McDonalds brand around the world. 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? Outside of McDonalds, Chris serves on the Board of Directors for Procter & Gamble. Customers want to see that the McDonalds they visit locally matches how we act globally. Executive Vice President and President, International Operated Markets, John Alves Any franchisee reading this is going to make sure they suggest a new item because they dont want to be calibrated. During his tenure as president of McDonalds U.S. footprint, Kempczinski oversaw the business operations of around 14,000 stores. As Executive Vice President and Global Chief Impact Officer, Jon is leading the effort to harness the unmatched scale and reach of McDonalds to affect purposeful change around the world. Where do we have credibility to speak and stand behind our values and commitments? Six priorities for CEOs in turbulent times. So what do you do?
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