Top US Head Rolls at McDonald's
When a company hits a bump, heads often roll. And McDonald's is replacing its head of US operations…When a company hits a bump, heads often roll. And McDonald's is replacing its head of US operations after the world's biggest hamburger chain reported its first monthly sales decline in nearly a decade -- but isnt laying any blame.
The company, based in Oak Brook, Illinois, said its global chief restaurant officer, Jeff Stratton, will succeed Jan Fields as president of McDonald's USA effective Dec. 1. But Heidi Barker, a McDonald's spokeswoman, said that a number of business factors played a role in the decision, and that recent sales figures were not among them.
"When you look at the size and scope of McDonald's, there are numerous factors go into a decision like this," Barker said. "It's difficult to isolate factors." Fields, 57, who was named president of McDonald's USA in 2010, was behind major menu innovations, such as fruit-flavored "chillers" and gourmet coffees that are said to have helped sales.
Still, after years of outperforming its rivals, McDonald's has struggled recently amid intensifying competition at home and a persistently weak economy abroad. In October, the company reported its first monthly sales decline since 2003. In a recent conference call with analysts, CEO Don Thompson said the fast-food company would return its focus on its Dollar Menu after efforts to shift customers to a slightly more expensive "Extra Value Menu" fell flat.
That emphasis on value is in contrast to competitors such as Wendy's and Burger King, which have been introducing more premium offerings. Taco Bell, known for affordable Mexican-style fare, also introduced its higher-end Cantina Bell bowls earlier this year. The moves are widely seen as a reaction to the growing popularity of chains such as Chipotle Mexican Grill and Panera Bread, which offer better quality food for slightly higher prices.
