As Chief Communications Officer at McDonalds, Michael Gonda is responsible for driving integrated communications strategies that focus on protecting and advancing the reputation of the company globally. Food is such a local experience that you have to give people some latitude to adapt to local tastes. I think the important thing is dont try to stand out. Were looking to innovate and actually make sure that were doing it better than anybody else. 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. "The kinds of people who come to our company are those who try to surpass the last guy," he said. Weve seen our productivity and our restaurant-level margins improve. I think Nike does a great job of engaging customers and using pop culture to keep their brand relevant. You also have to acknowledge there are things that we dont know. Morgan earned her MBA from Harvard Business School and her bachelors degree from Dartmouth College. Kempczinski has an MBA from Harvard Business School. As Vice President, Strategic Alignment and Chief of Staff for the Office of the CEO, Mark works closely with McDonalds senior leaders to drive the brands most significant strategies and accelerate growth across 39,000 restaurants in more than 100 countries. We strive to provide individuals with disabilities equal access to our website. 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? Reminding people: Here are the values that have defined McDonalds over the years and, based on those values, heres why were going to make these decisions. Second, what if youre a loyal customer? Desiree is also a Founding Member of The New Commonwealth Racial Equity and Social Justice Fund in Massachusetts. . In this role, Morgan will lean into digital to continue elevating consumers love and trust for the McDonalds brand around the world. The adjustments were making are a series of small changes that add up to one big difference our customers really notice. But the flip side is that theres also greater authenticity. I think weve done a pretty good job over the years of striking that balance. We have a big advantage with 40,000 restaurants. Customers are seeking brands that reflect their values and the line between the corporate brand and the consumer-facing brand is blurring. Chief Marketing Officer and Corporate Vice President, International Operated Markets. Essentially, its a new cooking procedure in the restaurants that allows us to cook a hotter, juicier burger every time. AsChief Marketing Officer and CorporateVicePresident of International Operated Markets, John Alves leads the development and execution of marketing strategies for McDonalds sixlargest markets outside of theU.S.(China, UK, France, Germany, Canada and Australia). In this role she leads Corporate Employee Relations, Diversity, Equity, and Inclusion, Total Rewards, and Talent Management among other areas. Emilee has also worked in management consulting with Accenture and Mercer, where she coached executives and consulted for organizations around the world focused on building a Human Capital Strategy and Change Management practice and implementing numerous large-scale organizational changes. Paul has been a key member of the McDonalds team for 25 years and in that time has held a variety of leadership roles, always maintaining strong relationships with Franchisees and suppliers. Neither Great Men nor Great Helmsmen. What were your priorities in your first year as CEO? Ian has spent more than 25 years at McDonalds leading markets and functions globally. Emilee holds a bachelors degree from Fort Hays State University in Business Administration & Management, with focus in Leadership Studies and earned her masters in business administration from Kansas State University. 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. As McDonalds Executive Vice President and Global Chief People Officer, Heidi Capozzi oversees the companys human resources operations around the world. McDonald's U.S. leadership team draws from a proud history and set of values that made the company an icon of American business. His next novel, 'BEAUTIFUL SHINING PEOPLE', is coming in 2023, Fast Company & Inc 2023 Mansueto Ventures, LLC, Who is Chris Kempczinski, McDonalds new CEO? He also reimagined the Foundations global strategy towards advancing a more sustainable food system through new partnerships and investments to alleviate hunger, provide access to safe water, and drive economic empowerment. She returned to the McFamily in 2022 to accelerate the next phase of the IOM segments growth, elevating our marketing and creative excellence while enhancing our crew and customer experience to unlock new growth opportunities in the IOMs. fries? Its a great flavor improvement on our product. I have a rotation of lunch items. Within one year and one month of joining McDonalds, Kempczinski was promoted to president of McDonalds USA in October 2016. We just have an incredible footprint that lends itself to delivery. Chris Kempczinski: This is the fun part of the jobto imagine the what ifs. I think about it this way: in the markets that we serve, about 80 percent of the population will go to a McDonalds at least once a year. Chris Kempczinski: Its definitely been an unusual onboarding into this role. We did have a leader who didnt act in accordance with our values, and youve got to hold everybody to the same account. What are your values? She joined McDonalds in 1993, responsible for managing the supply of several national product categories. McKinsey: Youve had quite the baptism by fire. Speaking during the company's 2017 investor meeting, Kempczinski noted that customers were spending more money at renovated stores. Your investments in Drive Thru and digital in restaurants have proven to be fortuitous, even prescient, amid the pandemic. Were going to lead by example. Born in 1968 in Cincinnati, Ohio Ians team ensures the optimal allocation of resources, and at the same time, effectively manages risk through strong controls and fiscal discipline. Amys educational background includes a BA in Government and International Studies from the University of Notre Dame, a law degree from The John Marshall Law School, and an Executive MBA from Northwestern Universitys Kellogg School. And were definitely doubling down on those. 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. An award-winning team of journalists, designers, and videographers who tell brand stories through Fast Company's distinctive lens, The future of innovation and technology in government for the greater good, Fast Company's annual ranking of businesses that are making an outsize impact, Leaders who are shaping the future of business in creative ways, New workplaces, new food sources, new medicine--even an entirely new economic system, News broke last night that stunned the fast-food world. Some people feel that McDonalds ought to take a stance on other issues as well, such as fighting obesity and raising the minimum wage. Chris is responsible for driving McDonald's growth strategy, Accelerating the Arches, and ensuring that the Company's values are . That, for me, was incredibly gratifying. She is passionate about accelerating growth through marketing with creative, future-led, consumer and data-driven insights. 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. })(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. How does the brand remain so cohesive while catering to local tastes?We use the expressionIm sure other companies use it as welltheres freedom within the framework. You also have to acknowledge there are things that we dont know. HACER Scholarships for Hispanic Students, Do Not Sell or Share My Personal Information. Chris Kempczinski is CEO of McDonalds. Where do we have an opportunity and a responsibility to make a contribution? I wouldnt be a Duke fan if I didnt take some lessons from Coach K. His ability to forge a sense of comradery among his players holds lessons for any leader. Prior to joining McDonalds in 1997, he worked for 11 years in Ernst & Youngs audit and mergers & acquisitions practices. 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? In most major markets, they were at or near record cash flow, which essentially is how much money theyre able to take out of the business. As CFO, Ian sets financial direction and develops strategies designed to drive sustained, profitable growth for the company and enhance value for stakeholders. It wasnt obvious where that complexity was, but now that weve discovered it, were committed to keeping our business simple. 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 purposeto feed and foster communityto life. Chris Kempczinski. Home; Categories. This article was edited by Monica Toriello, an executive editor in the New York office. To manage that risk, though, you have to make sure your creative teams are nimble. Im also a pretty voracious reader, and Im constantly looking for things that could be helpful to me in my role at McDonalds. Executive Vice President and Chief Financial Officer. (201415), Senior vice president, US grocery She first joined McDonalds as Chief Marketing Officer for our UK business and Northern Europe. In our top markets, our drive-thru service times are now about 30 seconds faster than they were two years ago. Michael Grothaus is a novelist and author. . In her prior role as Vice President of Center HR & People Experience - Emilee led the Corporate Functions HR Business Partner team, HR Operations, Reputation & Engagement, Workplace Solutions, Safety, Security & Intelligence, Change Management, and Aviation. She has also served as the US Global Womens Leadership Network Co-Vice Chair. Jo started his McDonald's career as an intern in finance in Belgium in 1992. Were going to be transparent with people. Prior to that, he led the International Developmental Licensed Markets, where he was responsible for 46 developmental licensees (DLs) across more than 80 markets around the world, including Brazil, China, India and Philippines, which continue to represent the majority of McDonalds new restaurant growth globally. When I travel abroad, I embrace the hospitality of the franchisee that Im visiting. Before joining McDonald's,John spent six years as aFinancial Analyst and Brand Management Specialist in P&G Portugal and Switzerland, where he held various positions and was responsible for managinghigh-impactprojectsthroughout Europe. In India, you have the tikka masala burger. The whole world was in crisis mode, but Chriss calm demeanor and thoughtful approach ensured that as a team we could implement the swiftest operational transformation in our history to protect restaurant. McDonalds was also recognized in Fast Companys 2021 Brands That Matter and as one of the most relevant consumer brands. Here are a few questions, along with Kempczinskis answers (watch the video above for all 20 Questions):What is the biggest risk you have taken in your career? I focused on being a good listener to understand how people were feeling and what we could do to support them. Her team leverages the scale of $50 billion spend in food, packaging, logistics, toys, technology, equipment and other services while driving safety, quality and sustainability leadership in the industry. The onion flavor gets sort of seared into the beef. Executive Vice President and President, International Operated Markets. So I think our reticence to publicize those things early on was a missed opportunity. Chris Kempczinski McDonald's President and CEO Learn More In this role, he worked closely with our business leaders and franchisees to identify innovative new ideas and best practices to accelerate system growth. I dont think we did enough to embrace how we are a part of culture, Mr. Amid all else thats going on, you recently launched a purpose to feed and foster communities? My view is that in this day and age, you have no choiceif you want to control the message, you will be an inauthentic brand and you wont have any resonance. Working alongside our talented team, our Board, our franchisees and suppliers, I am committed to upholding our rich heritage of serving our customers and driving value for our shareholders and other stakeholders. When you travel abroad, do you have any favorite international menu items? Early on, I wanted to put my fingerprints on what was already a very strong set of values and make clear that we are absolutely committed to them. That new CEO is Chris Kempczinski, and here are five facts you need to know about him: In the press release announcing his promotion to CEO, Kempczinski said: Im thrilled to be leading this incredible company. Vice President, Chief Compliance Officer, Jenny McColloch He lives in Chicago, IL, with his wife and two kids. There he served in a similar capacity, responsible for the Communications function and the PepsiCo Foundation, and worked closely with the companys Sustainability and Government Affairs teams. Outside of McDonalds, Chris serves on the Board of Directors for Procter & Gamble. Subscribed to {PRACTICE_NAME} email alerts. The circumstances were unusual. Catherine was McDonalds Chief Accounting Officer from October 2016 to 2021. I didnt think that we had contemporized our approach to marketing. The MyMcDonalds platform is essentially an ecosystem of all the things that you can do via digital touchpoints with McDonaldsthink mobile ordering, payments, delivery, rewards, or deals. Senior Vice President and Chief People Officer, IOM. Manu is fluent in Dutch, English, French and German. My guiding light has been to make sure were keeping the long-term in mind and to ensure were as transparent and authentic with people as possible. . So, for example, if you are a customer using the app, maybe you have a dedicated drive-thru lane. Executive Vice President and President, International Operated Markets, John Alves 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. Whether youre the CEO or youre working a fry station, if you fail to live up to the values, then you cant stay in the system. Manu has been part of the McDonalds System for more than 20 years, with extensive knowledge of the companys global customer base and deep understanding of the needs of McDonalds customers. Ive taken different lessons from all the leaders Ive worked for and admired. Heres how we think about it. Touring the world with friends one mile and pub at a time; is heavenly gondola open today. Thats why in China, you find things like bubble tea, which has little tapioca droplets in it. She serves as Vice Chair on the board of Ronald McDonald House Charities of Chicagoland & Northwest Indiana and is an Executive Committee member. Theres nothing more important to my job than making sure McDonalds is as relevant 10 years from now as it is today. McDonalds is not responsible for the content provided by third-party sites. Michael Hsu, Mr. Kempczinskis former boss at Kraft Foods, now Chairman and CEO of Kimberly-Clark, saw the way in which these character traits, coupled with his deep understanding of consumer behavior, drove strong business performance. So, credit to the team for getting on that one early. Voice recognition could be one area to do that. We have a few specific issues here and there. Today, McDonalds looks like its on track for a rapid recovery and even, perhaps later this year, robust growth in some of its biggest markets. We had too many instances where a country or market was almost making up the playbook as they went along, and its because we werent as good as we could have been in sharing best practices. According to Fain, the innovative spirit of Royal Caribbean helps him attract executives who are passionate about the job. Mark joined McDonalds in 2012 and most recently held the role of Vice President, Corporate Strategy & Global Delivery. Chris joined McDonald's in 2015 as Executive Vice President, Strategy, Business Development and Innovation. (It also says Kempczinski joined the Crown-led task force.) She has also been recognized with Adweeks most prestigious honor, Brand Genius, and she was named Advertising Woman of the Year by the Chicago Advertising Federation. Beyond our leadership platform, we have our five company values, one of which is inclusion. If you have the golden arches outside your door, youre serving the core menu. Reggie began his career at McDonalds in November 2020. If you would like information about this content we will be happy to work with you. Please email us at: More than 30,000 McDonalds locations around the world now offer delivery. But those are areas of uncertainty. How do you decide which issues youll address? As McDonalds Executive Vice President and Chief Customer Officer, Manu Steijaert leads the Customer Experience team focused on transforming how customers engage with the McDonalds Brand. How does the brand remain so cohesive while catering to local tastes? And yet the menu varies from culture to culture, place to place. Chris Kempczinski Chris Kempczinski is an Influencer. During his tenure, the China and Hong Kong markets were converted to developmental licenses in the largest re-franchising transaction completed in McDonalds history. Mr. Kempczinski had barely warmed his chair in the job when the pandemic struck, closing restaurants around the world seemingly overnight. Have events or experiences of the last year in any way altered or broadened your perspective on leadership? One of our values is that we open our doors to everyone. Chris Kempczinski: Yes, a couple of things come to mind. 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 also need to be operating in the social-media space much more dynamically. Under Johns leadership, the marketing function is responsible for building equity in the brand, driving stronger connections with customersand elevating the companys brand valueand reputation. 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. If we further build out a hybrid delivery model, do we let others, perhaps, ride on our delivery platform? As President and CEO of McDonalds, Chris leads the millions of dedicated McFamily members who help create delicious, feel-good moments for everyone. 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. I came in and I was very much the outsider. During his tenure, he was instrumental in converting the four Nordic countries (Denmark, Finland, Norway and Sweden) and Hungary into developmental licensee organizations. 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 2015, he stepped into the Chief Financial Officer role for McDonalds High Growth Markets. 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. In the retail space, I have a lot of respect for how Walmart has engaged with their associates to address questions about their corporate brand. 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. The biggest decision that I was most proud of, that was also most critical, was not trying to make all the decisions here at headquarters, but pushing those decisions out into the markets, while giving our leaders in the restaurants who were closest to the situation the flexibility to make the decisions. 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. You cant ever coast. Given your particular focus on those factors, even before you became CEO, its almost as if you saw the pandemic coming. By Jonathan Maze on Nov. 07, 2019 Photograph courtesy of McDonald's Corp. What are we uncertain about? 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. President and Chief Executive Officer at McDonald's Corporation 1y . As it turned out, the strong emphasis on our core values in early 2020 really hit home and helped us address the challenges we faced when COVID-19 came along. McDonalds announced that its CEO, Steve Easterbrook, was being removed from his position due to breaking company guidelines regarding relationships with employees. What defines McDonald's leadership is the knowledge that from a McDonald's executive to a McDonald's franchisee, corporate leadership strategy matters. We think we have an obligation to speak out on those topics. Marion was recognized by the National Diversity Council for being one of Illinois 2012 Most Powerful and Influential Women and has been recognized by Black Enterprise as one of the 50 most powerful women in corporate America, 2015, Most Powerful Women in Business, 2017, 300 Most Powerful Executives in Corporate America, 2018, one of the Most Powerful Woman in Corporate America in 2019, a 2019 CNN Risk Taker and a 2019 Chicago United Business Leader of Color. When something in the public discourse is relevant to who we are as McDonalds, and frankly where we would be expected to say something, we should lend our voice. As you hear feedback, you need to pivot and respond appropriately. McKinsey: Are there companies or thinkers that you look to for inspiration? Prior to Boston Scientific Corporation, Desiree served as General Counsel and Corporate Secretary at Boehringer Ingelheim USA, Inc., and General Counsel of the Consumer Group at Johnson & Johnson. Prior to joining McDonalds, Brian led enterprise technology teams at well-known brands and global businesses, including Kellogg Company, Mars, General Motors and Cardinal Health. There are social issues on which you havent hesitated to speak outfor example, you put out public statements after the killing of George Floyd and after the attack on the Capitol. McKinsey_Website_Accessibility@mckinsey.com. Following three years at Saatchi & Saatchi, she joined PepsiCo and led marketing and innovation for Gatorade. 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. How much consumer demand do you expect to shift back to dine-in when COVID-19 subsides? Manu began his career at McDonalds in 2001 as a Field Service Consultant in Belgium. In this role, Kevin identifies and focuses on areas where we can continue to evolve our Accelerating the Arches growth strategy long into the future, and provides active counsel as teams execute against the strategy. Emilee has also served as Vice President, People Strategy with responsibility for People Data & Insights, Strategic Planning & PMO, Enterprise Change Management, Communication, and People Technology Alignment. What are we certain of? From here, he moved to roles of increasing scope and responsibility, before assuming the role of Managing Director for the Belgium market in 2001, and Managing Director for the Netherlands in 2005. To lead, you have to be out there talking a lot and, in some cases, saying the same message over and over and over. [3] In a Jenny earned her BS/MS in Earth Systems from Stanford University and her MBA from the Yale School of Management. 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. Its not about you. new Date().getTime(),event:'gtm.js'});var f=d.getElementsByTagName(s)[0], We also put the onions actually on the grill as opposed to putting the onions on at the dressing table. Greg Kelly, a senior partner in McKinseys Atlanta office, conducted this interview. Catherine also spent two years in Internal Audit working on international market audits. Through trying that product, you get a sense of how the kitchens running. We have resolved to cultivating a firm where everyone is valued for who they are and what they bring. Regardless of the delivery channel deployed, though, we always focus on our customers experiences because customer satisfaction is critical to us. She leads key initiatives, including digital learning, that accelerate and elevate learner experiences throughout 14,000 US restaurants and restaurants located in 120 countries globally. He previously served as Vice President of Weber Shandwick, a leading global public relations firm, where he supported some of the worlds largest brands with issues management and corporate communications. The following are edited excerpts of their conversation. Brunswick is committed to being the most diverse, equitable and inclusive advisory firm in the world. During his time as CFO, the company increased systemwide sales by over 25% to more than $100 billion, increased the number of restaurants worldwide by more than 10% to nearly 40,000 restaurants, and returned over $50 billion to shareholders through dividends and share repurchases. 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