Eleven years after opening three restaurants in Malta, McDonald's is bullish about the current local business operating environment and reports a better start to the year than last year.

Melo Hili, managing director of McDonald's Malta operating company First Foods Franchises Limited of Floriana, told The Sunday Times last week that in the first seven months of this year there was an increase of 8.6 per cent in the number of customers visiting the seven McDonald's restaurants in Malta and one in Gozo.

With 500 full- and part-time employees, going up to 750 in summer, McDonald's currently serves 14,200 customers a day on average - some 5.2 million customers a year.

The view of the Malta operation is not only looked on positively locally. Michael Fernández, country co-ordinator of small markets for McDonald's southern Europe, based in Madrid, Spain, said: "The Malta franchise this year looks very promising. It has already exceeded its sales plans and also exceeded the European average for sales growth.

"We are very pleased with these results, which are above average. Moreover, these trends began a year ago."

Mr Fernández said the reason for this success is two-fold: a good marketing plan and a solid level of operations. "Malta is market leader in both these areas," he said.

Elaborating on the local operation, he said the success could be attributed to excellence in food quality, quick and friendly service and a clean restaurant. "In fact, we recommend other McDonald's European countries visit McDonald's in Malta to witness this excellent market," he said.

Mr Hili went even further. To the strict adherence to the business principles and quality, service and cleanliness, he added a fourth: affordability. "We focus on achieving 100 per cent total customer satisfaction, supported by a programme of training and investment in all our employees," he said.

"More recently, Food Innovation and Choice have given the Maltese and Gozitan public more reason to visit our restaurants."

Elaborating, Mr Hili said McDonald's recently launched Salad Plus, "offering a wider variety of fresh, tasty products, recognising customers' changing lifestyles and eating habits."

The Salad Plus range has a lower energy density than McDonald's core products, he pointed out, and contributes to the World Health Organisation (WHO) target that people should eat five portions of fruit and vegetables a day. "Our Salad Plus products contain a variety of vitamins, minerals and antioxidants.

"McDonald's Malta was one of the first in the catering industry to provide customers with nutritional information about the products listed on our menu boards," he added. "During the past four years we have provided factual information to our customers."

This is displayed on the back of McDonald's tray liners and through a nutritional brochure, which also contains information on the quality of its food. The company has recently taken a proactive approach on how this information is to be provided.

"This new system is based on guideline daily amounts (GDA)," Mr Hili said, "which are the guidelines for average consumers for the approximate amount of macronutrients, such as fat, protein, total carbohydrates and total sugars, and salt required for a balanced diet.

"By giving this information, we want to help consumers make informed choices when they visit us. The new information will shortly be provided on our packaging using an iconographic bar chart system and through in-store materials, including tray liners and leaflets."

According to Mr Fernández, Malta has highly professional, skilled and talented top management, who oversee the overall successful running of the business. "This team covers the areas of finance, marketing, operations, maintenance/purchasing and information technology.

"Other functions incorporated within these roles include human resources, environment, nutrition, health and safety, and training. Malta has very skilled managers in all the restaurants, who are trained well in upholding the high standards and procedures required by McDonald's Corporation."

The challenge, according to Mr Fernández, is to find and retain quality employees who are, he pointed out, "the heart and soul of our business". In Malta, he pointed out, "Melo Hili (managing director) and John Correia have managed to do this. There is an abundant source of highly motivated people in the restaurants.

"My understanding is that in Malta young people choose McDonald's as their first place in which to work. McDonald's Malta is a good example of outstanding people practices. They regularly send its head office staff, as well as restaurant staff, to the McDonald's European Training Headquarters in London."

McDonald's Malta places great emphasis on staff training. Mr Correia, who has 26 years of McDonald's experience explained that this includes all aspects of operating a McDonald's restaurant. "The restaurant managers are responsible for all aspects of the business, including food safety and hygiene, quality control, accounting, marketing, human resources, financial management and customer satisfaction.

"The average income of our restaurant managers is Lm10,000 per annum. Salaries are reviewed on a regular basis with increases related to performance."

Apart from overseas training, Mr Correia said every crew member is trained by the same methods used to train management personnel. "All prospective employees are offered a comprehensive training course, which, combined with on-the-job experience and coaching, lays a strong foundation for subsequent promotions to management positions," he said.

"Our restaurant managers have been employed with the company, on average, for nine years. This shows that the organisation provides job stability, security and that there are opportunities to improve in one's career and income.

"McDonald's Malta is very committed to providing a workplace where everyone feels valued and having a reputation of being an employer that transmits skills and values that will serve a lifetime."

It also proves "real opportunities for personal growth and development and we work hard to give our staff real job satisfaction. In a recent employee survey 94.7 per cent of our employees replied that they were proud to work for McDonald's Malta," Mr Correia said.

"Our crew member base consists of people ranging from young adults to university students, mums, dads and people with disabilities, acquiring skills that will be of great benefit to them in their future careers, whether at McDonald's or elsewhere."

Turning to McDonald's contribution in the community, Mr Hili said: "McDonald's has always had a strong social commitment, born from the philosophy instilled by Ray Kroc, our founder, to share McDonald's success with the communities in which we do business.

"McDonald's Malta is also a firm believer in giving back to the community in which we operate. Over the past 11 years of operation, we have ensured that, as a company, we go beyond the dimensions of being a place to have a meal and have explored the broader role our business plays in the local community."

Among the initiatives currently undertaken are:

¤ supporter and sponsor of Clean Up the World and Clean Up the Seas campaigns, organised by the Government;

¤ World Children's Day (a portion of sales and fundraising activities are donated to the children of the Eden Foundation), normally held on November 20. There are also a number of smaller charitable institutions which McDonald's supports consistently throughout the year;

¤ Christmas charity events for local crèches/orphanages;

¤ Ronald McDonald, who is the balanced lifestyle ambassador for children; and

¤ a firm supporter of local sporting events, such as the Kerygma Volleyball Marathon, Malta Cup and the Olympic Day Run, held in collaboration with the Malta Olympic Committee.

McDonald's Malta has concentrated on organic growth which, according to Mr Hili, has made it "a way of life for the Maltese and Gozitan population". A high level of loyal customers has been achieved, with customers of all ages coming from all walks of life.

Because of the company's success, it is currently looking at a "selective number of opportunities for growth, making the McDonald's experience more convenient to the consumer. With every new store opening, the company employs on average 80 employees."

Mr Fernández, who has been responsible for Malta for the past seven and a half years, overseeing operations and developments in the market, was more effusive. "During this time I have seen the business grow and develop both in terms of market share and expansion," he said.

"Today consumers want more for their money: greater quality, service and convenience. Consumers also expect the food service to match their lifestyle. The Maltese management team, which is highly professional, understands these issues and will meet the challenges of the future.

"As with other European markets, new store openings will come from restaurants that are suited and integrated in the communities, perhaps smaller in size, thus capturing other segments of the population. I strongly believe that we have the opportunity to expand to an additional two to three restaurants within the next three years."