McDonald's

McDonald's Corporation is a U.S. based international fast-food restaurant chain, which operates and franchises restaurants worldwide, providing various kinds of burgers, fries, coffee, breakfast items, and beverages. Like all businesses, water is critical to the functioning of the firm, and the corporation's production chain is reliant on water sources. Water scarcity can have a significant impact on McDonald's restaurants, as well as the company's suppliers, particularly agricultural producers.

The corporation has evolved from generic commitments to water stewardship to taking a closer look at water stress in the company's value chain. Hence, the latest report, issued by McDonald's and related to water stewardship, outlines a risk assessment that the company conducted in 2025. The assessment covers some of the company's suppliers, as well as franchisees and company-owned restaurants, to evaluate water stress across the value chain. Understanding water risk is crucial to the business, as the majority of the company's water risks are associated with agricultural products, such as cattle, chicken, coffee, and other goods.

As per the report, all new restaurants are designed to limit water consumption by installing low-flow equipment since 2020. In addition, some McDonald's restaurants utilize greywater recycling systems, moisture recovery from air conditioning systems, water-efficient drought-resistant landscaping, and porous pavements. Apparently, the company is moving towards localized water stewardship solutions.

Local suppliers are also crucial to McDonald's sustainability strategy. The company collaborates with the World Resources Institute (WRI) and World Wildlife Fund (WWF) to provide advice to the suppliers on water stewardship initiatives and management practices. The report outlines examples of water stewardship in the Paraguay region, where local beef suppliers adopt rainwater harvesting techniques to provide water for the cattle and crops.

While the report states the number of gallons of water withdrawn by company-owned and operated restaurants around the world, it does not elaborate on the volume of water withdrawn. Also, the company does not provide reports on the water table, water intensity, water withdrawal in water-stressed regions, water reuse, water effluent, and the impact of their initiatives on water efficiency. The company's strategy is transparent, but it is challenging to verify the company's impact on water stewardship and sustainability.