LEADERSHIP STYLE OF MCDONALD'S FOUNDER RAY KROC

Having been in sales in my younger years, I observed that top salesmen are not usually good leaders. 

Ray Kroc

The case is different though with Ray Kroc, founder of McDonald's, the world’s largest chain of restaurants.  He’s both a good salesman and a good leader.

I will not dwell so much here about his achievements as a salesman or a sales leader ( For over 30 years, he was both a good salesman and sales manager, outstanding even) but rather on his style of leadership that propelled a tiny hamburger parlor in San Bernardino, California during the 50’s into the world’s largest fast food chain that it is today.

Starting in 1954 when he paid a visit to the McDonald Brothers and sold them the idea of putting up a chain of McDonald’s all over America, Ray exhibited and utilized certain leadership skills that helped him propel the company, and made him extremely wealthy in the process.

Here's what I found to be his set of leadership skills from his book bio, Grinding It Out,The Making of McDonald's.

Visionary

While he was convincing the McDonald brothers of his plan, his mind began to visualize the thousands of McDonald stores in every city all over America.  At first, he was excited by the idea of these stores having his multi-mixers in each of them.  He was then in the business of selling those machines that turn out milk-shakes.

Like any good leader, Ray held by his vision and persuaded others to embrace that vision.

Committed

During his days as a paper cup salesman, Ray was committed to following rules and principles that made him a good salesman and later, as sales leader.  The first order of the day before he made his daily rounds was to make sure that he looked and felt good.  Tailored suits, shiny shoes, well-combed hair and pleasing appearance were standards that must be followed starting with himself, day in day out.   

This values served him well when he started McDonalds.  His fastidious adherence to operating processes and procedures became standards in restaurant operations worldwide.  He firmly believed that the quality of a leader is reflected in the standards he set for himself.

Motivator  

What set Ray apart from his contemporaries was his ability to make people do willingly what he wanted them to do,   although he is the type of a leader who would  not ask anyone to do things that he himself is not willing or able to do.  He’s known to have mopped floors and clean toilets for franchisees during store openings in the early days of McDonalds. 

Enthusiasm

A key to Ray’s overall success is his infectious enthusiasm that attracted people to him.  Whether they are potential franchisees, employees, suppliers or investors, he had a certain way of making people like him and to accept his ideas.  Apparently, this ability helped him sell millions of paper cups to hard-nosed Italian and Polish restaurant owners in the streets of Chicago during his days as a salesman. He was considered a great storyteller, socializer, and had a way with words.

Mentor and Coach

Ray never finished high school but to me he is a great teacher.  He liked and originated the idea of the “Hamburger University” that systematized the teaching of the ins and outs not only of preparing burgers and fries but running fast foods restaurants.  Even before the concept of operations analysis became a buzzword in business circles and taught in the universities, it was already part of the curriculum in the training programs at McDonald's.  

Optimist

Ray never wavered despite obstacles that come his way.  For instance, when he was having a hard time perfecting the process of preparing potatoes - a big problem in the cold and damp weather of Des Plaines, Illinois but not in sunny San Bernardino, California - instead of being discouraged, he embarked on a series of fact finding and research, until he found the solution.   

This he did in many other situations he encountered in the early days of McDonalds.  One of my favorites is the story of how he knew how many hamburgers his competitor across the street exactly sold each day.   He "researched" by checking on the competitor's garbage cans in the dead of night, the night before!

Great Communicator

A salesman that he is, communication is one skill he does naturally and well.  This is how he gets across his ideas, his vision and anything he wanted to tell people.  And he does it with style, like having President Kennedy present in the inauguration of a store or by grabbing a microphone in the stadium when he wanted his San Diego Padres to play better!

The golden arches, which Ray adopted and became a de facto symbol of the American Dream, is one example of how he made use of communications as a powerful means of persuasion. He believed in it and made use of it to the fullest.  

Then and now, when people see this symbol, an important entrepreneurial undertaking is taking place in any of the 18,710 restaurants anywhere in the world, 24 hours a day, seven days a week.  

For the consumer, it says “hey drop by for some delicious and satisfying meals”! For the franchisee, more profits from the cash register.