Last weekend I watched “The Founder” – the story of how Ray Kroc built Mcdonald’s into the powerhouse that it is – for the second time after telling my dad about how crazy the story was.
As with most things, I saw things a little differently the second time around. Not that I swing either way in the relationship between Kroc and Brother’s McDonald, but just that I thought differently about the story and what made it so impactful.
In the beginning, there’s a scene where Ray Kroc takes the brothers out to dinner to hear their story. When describing how they started McDonald’s, I started jotting down notes (not kidding) because I thought the journey was so compelling.
Here are three things I took away from their “Startup Story”, and will keep in the back pocket for projects down the line. Hope you find it interesting too.
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1) Attention To Detail
The brothers paid attention. They observed how their customers operated. The industry norm was a drive-in, but this led to teens hanging around and didn’t make for a family-friendly environment. So, they got rid of it – and let customers order at the window, and eat elsewhere. (More on this later)
More importantly, they looked at their sales. 87% of their sales came from 3 menu items.
Burgers. Fries. Soda. But they also sold barbeque, chili, peanut butter & jelly!
So they minimized the menu, focusing only on the three money makers.
What did this do?
Limited customer decisions – speed up the ordering process.
Minimized waste/excess – only buying limited ingredients and reducing cost.
Streamlined operations – employees focus on making the best of 3 items, not 10+.
By paying attention to the customer, what they were doing, and they were ordering, McDonald’s changed their operations – and made them different from their competitors.
2) Make it a Show
This is my favorite part. The brothers said they always wanted to be in show business. They had a theater background. They were showmen.
Well, I’ve never worked in a restaurant but I know the kitchen ain’t glamorous. I’d look at it more indie-movie than Hollywood.
But they revamped the kitchen layout in order to make the process a show. In the movie, they recount the process of getting all of their employees to a tennis court, writing with chalk on the floor, and conducting recital after recital.
Didn’t work? Stage left. Change it. Didn’t work, again? Stage left. Over and over.
They orchestrated every movement, and every step of food-construction. It was a well-planned, seamless number. Workers moving in tandem with, opposite of, and adjacent to each other.
The food industry had never had this theatrical approach taken to it before. This was so interesting to me. The brother’s took their background in another industry, applied it here, and revolutionized the process to the tune of 99+ billion served.
Simply put, they made the kitchen operation a show.
3) Customer Education
Ah, the end all be all. The all-knowing customer. As Henry Ford once said “If I asked the customer what they wanted, they would’ve said a faster horse.”
Sometimes, you can’t sit back and let the masses dictate how you operate – you have to tell them.
The brothers revolutionized the food service industry. But, the customer was still conditioned to wait for carhops to take their order like at a standard drive in.
Again, the showmen in them stepped up. They created a “grand re-opening” and made it a party. Big lights, music, performers, whatever you could think of. This brought a level of excitement and education to the restaurant, and bam, off to the races.
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So to wrap it all up, they:
Paid attention. Minimized excess and doubled down on what they were good at.
Made it a show. Applied their background and perspective to a different industry, allowing for a new solution to an old problem.
Educated the Customer. The customer didn’t know what they wanted, so the brother’s made it a point to tell them.
So damn cool.
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