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THE COHESION CASE 29

Internal Issues
Organizational Structure
MCD’s top leadership has seen some turnover recently. The position of controller stands vacant,
and the McDonald’s USA group currently includes new executives to head its East and West
Divisions. Exhibit 3 provides a list of MCD’s top leadership as well as the firm’s organizational
chart.
Note that MCD’s operations are organized into a geographical structure with four key segments.
These four segments are (1) McDonald’s—USA, (2) McDonald’s—Europe, (3) McDonald’s—
APMEA (Asia/Pacific, Middle East, and Africa), and (4) McDonald’s—Other Countries and
Corporate.
Finances
In addition to the steady growth in the number of restaurants, MCD exhibited strong financial per-
formance by geographic segment between 2008 and 2009, even as the worldwide economic crisis
negatively impacted MCD’s key competitors. As shown in Exhibit 4, revenues and operating mar-
gins in the three key segments (United States, Europe, and APMEA) rose steadily in 2006 through
2008, offsetting declines in the “Other and Corporate” segment.
MCD delivers consistently good performance, making it a darling for investors. In April 2009,
major industry analysts rated MCD as a “buy,” suggesting low levels of risk for investors. MCD’s

EXHIBIT 3 McDonald’s Corporation: Executive Officers and Organizational Chart

James A. Skinner,
Vice Chairman and
Chief Executive
Officer

Jeffrey P. Gloria Santona, Richard Ralph Alvarez, Peter J. Bensen, Mary N. Dillon,
Stratton, Corporate Floersch, President and Executive Vice Corporate
Executive Vice Executive Executive Vice Chief President and Executive Vice
President– Vice President, President and Operating Chief Financial President &
Chief General Chief Human Officer Officer Global Chief
Restaurant Counsel, and Resources Marketing
Officer Secretary Officer Officer

Jose Armario, Timothy J. Fenton, Janice Fields, Denis Hennequin,
Group President- President, Executive Vice President of
McDonalds Canada McDonald’s President and Chief McDonald’s Europe
and Latin America Asia/Pacific, Middle Operating Officer,
East and Africa McDonald’s USA

Jim Johanessen, Karen King, Steve Plotkin, Donald Thompson,
President, East Division for West Division for President of
Central Division McDonald’s McDonald’s USA McDonald’s USA
for McDonald’s USA
USA

Source: http:/www.aboutmcdonalds.com/mcd/our_company/bios.html