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Ask HN: How would you aim to improve a big brand company as a CEO?
KEY (suggestion):
<COMPANY NAME>; "!" <PROBLEMS>; ">" <YOUR SOLUTION AS A CEO>
Example:
McDonald's;
! Negative balance sheet
! Wasteful (unrealistic preparation and holding times, non-necessary packaging).
! Stressful work environment (too many expectations on the employee).
! Unrealistic preparation and holding times.
! Bad employee treatment and pay.
> Offer discount on non-fresh food items that are still good to eat.
> Invest in automation for doing inventories and statistics (customer count) via deep learning.
> Increase prices (esp. for animal-based products) to make up for operating expenses.
> Aim for a positive balance sheet (more cash/assets than liabilities).
> Reduce dividends or don't increase them, if needed.
> As a last resort, impose short working hours or lay offs (as bitter medicine).
> Look out for: indoor farming (e.g. "tomato/lettuce growing indoors where customers see them").
> Add reasonable buffer times (preparation) and automate where appropriate (visual cues, let AI recommend where an empoyee fits best: cash register vs. kitchen).
> Impose ban on overwork and aim to strive for an employee's well-being.
> Ensure adequate health-insurance for all employees (including dental care, since employees need to be "presentable".)
> Have backup plans (peak customer flow).
> Cut on advertising, if needed. "Go the Primark or Ferarri way".
> Go the "Apple way" (self-reliant): establish country-wide indoor/vertical farms (sell overflows to other markets), look out for other "passive" revenue sources (cloud computing, software licensing), machine engineering (build the required cooking machines/tools yourself. For example via 3D printing.).
- Tabular-Iceberg 4y agoI have a hunch that there are a lot of perverse incentives in the way a software company is modelled financially that encourages the accumulation of bloat and tech debt, so I’d look for someone exceptionally gifted in economics to hire to look into that. Most companies would probably benefit from an aggressive downsizing of their product portfolios without downsizing the engineering staff, but that would look terrible in the books.
- snowwrestler 4y agoNice try, Chris Kempczinski.
- carnagestorm 4y agoThe goal here is to share your creativity. That, I find, interesting and perhaps others do find it too. McDonald's is an example I chose, because I once worked there. I mainly suggested 3D printing, avoid negative balance sheet, AI, vertical/indoor farming, cut bloat, cut advertising (akin to Primark, Ferrari) & invest in R&D. If enough cash, then, diversify product line & generate another source of income (akin to Pepsi or Apple). So, the company can also be Amazon. For example, fraudulent listings on Amazon (thus less customer satisfaction). Have a scam report button and impose quality control on listings.
- Tabular-Iceberg 4y agoHow do you know that any of these things would actually benefit either McDonalds or Amazon shareholders? Remember that as CEO you have fiduciary duties, you can’t just do what you feel like. It seems to me that McDonalds has a pretty solid market fit already, I’m not sure that it would be wise to go on an upmarket wild goose chase. For an exercise like this it would be more interesting to hear what steps you would take as a CEO to discover what you need to do. Going in with nothing but preconceived notions is a recipe for disaster.
- salmonlogs 4y agoThis feel like someone outsourcing their homework assignment
- carnagestorm 4y agoI see. I assure you, this is not my or someone else's homework assignment. Neither am I doing it on someone else's behalf. Perhaps I was a little vague declaring my intentions. The rationale behind this submission is "going backwards; make it fail, so you see the weak spots more clearly". This, if I am not mistaking, is a company evaluation strategy. I worked at McDonald's during my university years as a simple assistance. That was years ago. Then, I glossed over the financials and how they currently operate. I am not confident that McDonald's will survive 1-2 decades from now. They have debt, and they improve marginally, if at all. The business model is old-fashioned. In retrospect, I do agree, however, that my presentation and formatting, failed. Or maybe, this is just not a good submission at all. I am sorry for that.
- juanani 4y ago