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Supply String Management of Mcdonalds in India

Keywords: mcdonalds supply chain management, mcdonalds scm, supply chain management mcdonalds

McDonalds opened its doorways in India in October 1996. Since then, us restaurants in Mumbai, Delhi, Pune, Ahmedabad, Vadodara, Ludhiana, Jaipur, Noida Faridabad, Doraha, Manesar and Gurgaon have proceeded to demonstrate, much to the pleasure of most our customers, the actual McDonald's experience is focused on.

Our first restaurant opened on 15th April 1955 in Des Plaines, Illinois, U. S. A. Almost 50 years down the road, we are the world's largest food service system with more than 30, 000 restaurants in 100 countries, serving more than 46 million customers every day. Click here to find out more on the history of McDonald's.

Locally Owned

McDonald's in India is a 50-50 joint venture relationship between McDonald's Company [USA] and two Indian businessmen. Amit Jatia's company Hardcastle Restaurants Pvt. Ltd. owns and performs McDonald's restaurants in Western India. While Connaught Plaza Restaurants Pvt. Ltd going by Vikram Bakshi has and manages the Northern operations.

Amit Jatia and Vikram Bakshi are like-minded visionaries who talk about McDonald's complete commitment to Quality, Service, Cleanliness and Value (QSC&V). Having authorized their joint-venture contracts with McDonald's in April 1995, they trained thoroughly, along with their Indian management team, in McDonald's restaurants in Indonesia and the U. S. A. before beginning the first McDonald's restaurant in India.

Respect for local culture

McDonald's India has developed a special menu with vegetarian choices to suit Indian preferences and tastes. McDonald's does not offer any meat or pork items in India. Only the freshest poultry, fish and veg products find their way into our Indian restaurants.

In addition, we've re-formulated some of our products using spices favoured by Indians. Among these are McVeggie burger, McAloo Tikki burger, Veg. Pizza McPuff and Fowl McGrill burger. We've also created eggless sandwich sauces for our vegetarian customers. Even our soft acts and McShakes are egg-less, offering a larger variety to our vegetarian consumers.

International Standards

McDonald's India's local suppliers provide us with the highest quality, freshest elements. Complete adherence to the Indian Federal laws on food, health and hygiene is made certain, while maintaining our own recognized international expectations. Fast, friendly service - the hallmark of McDonald's restaurants around the world is the mantra we follow.

Stringent cleaning benchmarks ensure that all tables, seats, highchairs and trays are sanitised many times each hour. Such meticulous attention to cleanliness stretches beyond the lobby and kitchen to even the pavement and immediate areas beyond your restaurant.

Supply string management at McDonald's (India)

Did you understand that every yr, Rs. 50, 000 crore worthy of of food produce is wasted in India? That is mainly as a result of insufficient proper infrastructure for safe-keeping and travelling under managed conditions. McDonald's is focused on providing quality products while promoting other Indian businesses. And so, we spent a few years setting up a distinctive Supply String, even before we opened up our first restaurant in India.

A Supply String is a network of facilities including - material flow from suppliers and their "upstream" suppliers in any way levels, change of materials into semi-finished and done products, and circulation of products to customers and their "downstream" customers at all levels. So, organic material flows as follows: supplier - producer - distributor - merchant - consumer. Information and money flows in the opposite direction. The balance between these 3 flows is what a Supply Chain is all about.

When there's a balance in the done product purchasing, the Supply Chain works at its best. Any major fluctuation in the merchandise ordering pattern triggers excess / fluctuating inventories, shortages / stock outs, longer lead times, higher transportation and developing costs, and mistrust between source chain partners. This is called the Bullwhip Impact.

Depending on the situation, the Supply Chain may include major product elements, various suppliers, geographically dispersed activities, and both upstream and downstream activities. It is critical to go beyond one's immediate suppliers and customers to encompass the whole chain, since covered value often emerges once the entire chain is visualized. For instance, a diesel engine unit manufacturer may be able to integrate a Gps navigation locator system into its engine motor control system. Its immediate customer, much truck manufacturer, may see no dependence on this functionality. However, the downstream customer, a trucking company with a big fleet, may be very considering a locator system. Understanding the worthiness to the downstream customer is area of the supply chain management process.

Big Mac's supply chain success

The seed of McDonald's success was sown in 1990 - six years before it started out its actual functions. Sanjeev Bhar traces its supply chain management that played out a essential role in its expansion.

About two decades back, the QSR wouldn't have meant much to the Indian F&B section. Today, the acronym has been seamlessly absorbed on the market lingo. McDonald's, probably, one of the first brands that remaining a solid imprint on the Indian QSR background, has much regarding this. And its own success is credited to its well-established resource management chain.

According to Vikram Bakshi, controlling director and jv partner of McDonald's India (North & East), the business spent about Rs 400 crore even before its first restaurant commenced businesses in October 1996. "We'd to ensure that we got the back-end connected up to the farm level for delivery dedication. "

The company also deployed the latest state-of-the-art food control technology for having a sensible supply string. The transition to the latest technology, which has been subsequently noticed in other QSRs as well, improved the Indian fast food scenario to complement international requirements.

Tracing its success path

McDonald's have been working critically on its source chain part. Considering, a global brand trying to make inroads in to the Indian awareness, its Indian provider partners were developed in such a manner that made them stay with the company right from the start. Bakshi clarifies, "The success of McDonald's India is a result of its determination to sourcing virtually all its products from within the country. For this purpose, it is rolling out local Indian businesses, which can source them the best quality products required for their Indian operations. " As per today's standings, McDonald's India works with as many as 38 Indian suppliers on the long-term basis, besides several others standalone restaurants working with it, for various requirements.

In the source chain management for a QSR, the syndication centres maintain special place for getting food to the wall socket counters. For McDonald's India, the distribution centers emerged in the next order: Noida and Kalamboli (Mumbai) in 1996, Bangalore in 2004, and the latest one in Kolkata (2007).

McDonald's came into its first circulation partnership contract with Radha Krishna Foodland, a part of the Radha Krishna Group employed in food-related service businesses. The association dates back to July 1993, when it researched the nuances of McDonald's operations and requirements for the Indian market. Recalling the connection, Bakshi remarks, "Better facilities and infrastructures were created along with new systems by them to gratify McDonald's high demands, which finally culminated into an agreement with McDonald's India, for Radha Krishna Foodland to provide as distribution centers for our restaurants in Delhi and Mumbai. " As circulation centers, the company was in charge of procurement, the quality inspection programme, storage area, inventory management, deliveries to the restaurants and data collection, recording and reporting. Value-added services like shredding of lettuce, re-packing of promotional items extended since then at the centers participating in a essential role in retaining the integrity of the products throughout the whole 'cold chain'. The functions and accounting is totally transparent which is subject to regular audits.

"McDonald's had proved helpful aggressively to achieve the right suppliers and systems that made certain that 90 per cent of yield was indigenous prior to the doors were opened to consumers. Really the only products that people used to import were petrol and fries, that we have possessed made plans to create the oil in India. We ensured that the products developed locally abide by global McDonald's requirements, " informs Bakshi.

Over the last 10 years, the company has gained experience and adopted types of procedures that helped in preserving a continuous availability of food products regardless of the climatic conditions. Bakshi proclaims, "Our logistics and warehousing system is sturdy that prepares us to deliver products at the same temp throughout, without a single period of time in the wintry chain. "

McDonald's suppliers in India

Amrit Foods: Amrit Foods, a section of Amrit Banaspati, has been associated with McDonald's India as a company of Dairy Mixes, Soft Help Mix and Dairy Shake Combine for over a decade now

Cremica Market sectors: Cremica Business was were only available in 1980 as small ice-cream product run by Mrs Bector out of her garden in Ludhiana. However following its preliminary success Cremica added buns and biscuits to its products and in 1996 McDonald's selected Cremica to be its provider for buns, liquid condiments, batter and breading in collaboration using its international partners

Dynamix Dairies: McDonald's India has approved Dynamix Dairies, Baramati (Maharashtra) for way to obtain cheese to its restaurants. Dynamix has today's automated vegetable that is totally computer controlled

Trikaya Agriculture: Trikaya Agriculture is McDonald's company of fresh iceberg lettuce. The farms at Talegaon, Maharashtra produce the crop throughout the year

Strengthening the backbone

Suppliers are proclaimed to be the backbone of any good business because they are the individual products that build source chain. On them depends the health of the overall business cycle. Highlighting McDonald's role in growing its supply string network, Bakshi says, "Cremica Market sectors (which provide liquid condiments, batter and breading), for example, worked with another McDonald's supplier from Europe to develop technology and skills that allowed the company to expand it business from cooking to providing breading and batters to McDonald's India and others as well. "

Another profit in the business's favour was its expertise in the areas of agriculture, which allowed it, along with its suppliers, to utilize farmers in Ooty, Pune, Dehradun and other areas to cultivate high quality iceberg lettuce. Bakshi says, "There's been a substantial work on sharing advanced agricultural technology and expertise with farmers/suppliers like usage of drip irrigation systems (for less normal water consumption), better seed products and agricultural management techniques for greater produces. "

Another area of concern is the sensitive price indexes of the food materials that McDonald's uses and to deal with price fluctuations, the business goes with yearly rate contracts with suppliers. McDonald's required special care in figuring out the positives of the suppliers and added their competence to improve on the existing standard. Trikaya Agriculture, a significant provider of iceberg lettuce to McDonald's India, is one such enterprise that is an intrinsic part of the cold string. "Initially, lettuce could only be cultivated during the winter months but with McDonald's intervention, it is currently able to expand the crop over summer and winter, " says Bakshi. Also, a few of its suppliers with concerns over ethnic sensitivities, segregated with another employees for the vegetarian and non-vegetarian handling lines.

Refrigerated vans for McDonald's

National inbound - Supplier to DC: 20 vehicles + 2 for Kolkata

Outbound north - DC to restaurant: 13 vehicles

Outbound western - DC to restaurant: 11 vehicles

Outbound south - DC to restaurant: 1 vehicle

Proposed Kolkata - DC to restaurant: 1 vehicle

Incorporating chill zones

Setting up intensive cold chain distribution system sorts the lifeline of any junk food business. In this regard, McDonald's included state-of-the-art food control technology along using its international suppliers to pioneering Indian internet marketers, who are today a fundamental element of the cold chain, avers Bakshi. He says, "We have imparted complex training to all our suppliers on how to use the brought in machineries, informed them on the McDonald's school of thought of Quality, Service, Cleanliness and Value (QSCV) to be able to provide standardized food to your customers. "

The 'wintry chain', on which the QSR major has put in more than six years for establishing the same in India, has taken in regards to a veritable revolution, hugely benefiting the farmers at one end and enabling customers at retail counters. McDonald's finding the factor of wintry room being vital ensured that even before vegetable from farms enters the refrigerated areas, they are locked in a pre-cooling room to eliminate field heat. Fruit and vegetables are placed in the pre-cooling room within around 30 minutes of harvesting where swift cooling lessens the field temperatures of vegetables to 2C within 90 minutes. Then a large frosty room (a refrigerated vehicle) is employed for transport to the distribution centers. In the van, the temperature and relative humidity of crop is taken care of at 1-4C and 95 per cent, respectively and the flavours and freshness are locked at -35C.

Even in this field, McDonald's calls for the big pie of credit for growing the concept of cold string. Bakshi cases, "Prior to McDonald's arrival in India, the idea of a cold chain for the syndication of food and milk products from the farm to the end provider, in predetermined and stringently enforced climactic and hygienic conditions, was at an extremely nascent stage of development. For five years prior to beginning our first restaurant, McDonald's pioneered the effort to develop this aforementioned wintry chain so our high benchmarks would rest assured. Various Indian and international players later used this system to deliver quality fresh produce to consumers. "

McDonald's also placed a tab on quality control. McDonald's, as a rule, throws away burger puffs kept for more than 30 minutes after the final planning during service. In order to avoid any wastage, Bakshi says, "The team is trained and outfitted to forecast the requirements at various levels of the day. In the suppliers' level, care and attention is taken up to guard against any possible contaminants or interruption in the chilly string that can break the link and have a detrimental effect on the grade of our product. "

Vital Links in McDonald's Chilly Chain

All suppliers adhere to Indian government laws on food, health insurance and hygiene while continuously maintaining McDonald's identified requirements. As the ingredients move from farms to handling plant life to the restaurant, McDonald's Quality Inspection Program (QIP) holds out quality investigations at over 20 different details in the Freezing Chain system. Setting up of the Cold Chain has also allowed us to cut down on operational wastage

Hazard Research Critical Control Point (HACCP) is a organized method of food security that emphasizes reduction in your suppliers' facility and restaurants alternatively than diagnosis through inspection of health problems or presence of microbiological data. Predicated on HACCP recommendations, control tips and critical control factors for all McDonald's major food processing plant life and restaurants in India have been diagnosed. The limits have been set up for those accompanied by monitoring, saving and fixing any deviations. The HACCP verification is performed at least double in a yr and qualified.

The romantic relationship between McDonald's and its own Indian suppliers is mutually beneficial. As McDonald's expands in India, the supplier gets the opportunity to expand his business, have access to the latest in food technology, contact with advanced agricultural procedures and the capability to grow or to export. There are numerous conditions of local suppliers functioning out of small towns who've benefited using their company association with McDonald's India.

Trikaya Agriculture Dealer of Iceberg Lettuce

Implementation of advanced agricultural methods has empowered Trikaya to efficiently grow specialty plants like iceberg lettuce, special herbal selections and many oriental vegetables. Farm infrastructure features:

A specific nursery with a team of agricultural experts.

Drip and sprinkler irrigation in brought up farm mattresses with fertilizer mixing plant.

Pre-cooling room and a huge wintry room for post harvest handling.

Refrigerated pickup truck for transportation.

Vista Processed Foods Pvt. Ltd.

Supplier of Hen and Vegetable selection of products (including Fruits Pies)

A jv with OSI Establishments Inc. , USA, McDonald's India Pvt. Ltd. and Vista PROCESSED FOOD ITEMS Pvt. Ltd. , produces a variety of frozen hen and veggie foods. A world school infrastructure at their herb at Taloja, Maharashtra, has :

Separate control lines for chicken and veggie foods.

Capability to create iced foods at heat range as low as -35 Degree Cel. to keep total freshness.

International standards, types of procedures and support services.

Dynamix Diary

Supplier of Cheese

Dynamix has taken immense advantages to farmers in Baramati, Maharashtra by establishing a network of dairy collection centers outfitted with bulk coolers. Easy availability has enabled farmers augment their income by finding a new market for surplus milk. The manufacturing plant has:

Fully computerized international standard control facility.

Capability to convert dairy into cheese, butter/ghee, skimmed milk powder, lactose, casein & whey necessary protein and humanized baby food.

Stringent quality control actions and constant Research & Development

Amrit Food

Supplier of extended life UHT Milk and Milk Products for Frozen Desserts

Amrit Food, an ISO 9000 company, manufactures widely popular makes - Gagan Dairy and Nandan Ghee at its manufacturing plant at Ghaziabad, Uttar Pradesh. The manufacturer has:

State-of-the-art fully automated machinery necessitating no human connection with product, for total cleanliness.

Installed capacity of 6000 ltrs/hr for producing homogenized UHT (Ultra TEMPERATURE) processed milk and milk products.

Strict quality control supported by a completely equipped quality control laboratory.

Radhakrishna Foodland

Distribution Centers for Delhi and Mumbai

An integral area of the Radhakrishna Group, Foodland focuses on handling large volumes, providing the whole selection of services including procurement, quality inspection, storage space, inventory management, deliveries, data collection, saving and reporting. Salient advantages are:

A one-stop look for all circulation management services.

Dry and frosty storage center to store and carry perishable products at temps upto -22 Level Cel.

Effective process control for bare minimum circulation cost.

Cold Chain

The Cold Chain is necessary to maintain the integrity of foods and sustain their freshness and nutritional value. The Cold String is an essential area of the Supply Chain

Setting the Cold String has involved the transfer of state-of-the-art food control technology by McDonald's and its own international suppliers to pioneering Indian enterprisers, who have now become an integral part of the Cold Chain.

The term Freezing Chain explains the network for the procurement, warehousing, travelling and retailing of food products under controlled temperatures. McDonald's restaurants store products to be used on a daily basis, within a heat range range of -18C to 4C. About 52% in our food products have to be stored under these conditions before they are really used.

Local Sourcing

McDonald's is definitely focused on sourcing its requirements from local suppliers and farmers. This assurance is rooted in the idea of the company's creator, Ray Kroc. He securely believed in common benefits arising from a partnership between McDonald's and the neighborhood businesses, thus ensuring that McDonald's dedication to development was mirrored by that of its associates.

In maintaining this belief, we have carefully discovered local Indian businesses that take satisfaction in gratifying customers by presenting them with the best quality products. Adherence to Indian Federal government polices on food, health insurance and hygiene were a high priority.

McDonald's India today purchases more than 96% of its products and products from Indian suppliers. Even our restaurants are created using local architects, contractors, labour and maximum local content in materials.

The romantic relationship between McDonald's and its Indian suppliers is mutually beneficial. As McDonald's expands in India, the company gets the opportunity to expand his business, get access to the latest in food technology, get exposure to advanced agricultural tactics and the capability to grow or even to export. There are numerous cases of local suppliers working out of small towns who have benefited off their association with McDonald's India.

All suppliers abide by Indian government laws on food, health insurance and hygiene while continually maintaining McDonald's identified benchmarks. As the substances move from farms to producing plants to the restaurant, McDonald's Quality Inspection Program (QIP) holds out quality bank checks at over 20 different points in the Cold Chain system. Setting up of the Cold Chain in addition has enabled us to lessen operational wastage

Hazard Research Critical Control Point (HACCP) is a organized method of food safeness that emphasizes protection of illness or occurrence of microbiological data within our suppliers' facilities and our restaurants alternatively than its detection through inspection. Based on HACCP rules, control things and critical control things for all those McDonald's major food processing crops and restaurants in India have been determined. The HACCP confirmation is performed at least double in a season and authorized.

SUPPLIERS

Trikaya Agriculture - Company of Iceberg Lettuce

Implementation of advanced agricultural procedures has allowed Trikaya to efficiently grow specialty vegetation like iceberg lettuce, special herbal products and many oriental fruit and vegetables. Farm infrastructure features:

A specialised nursery with a team of agricultural experts.

Drip and sprinkler irrigation in raised farm bedrooms with fertilizer mixing plant.

Pre-cooling room and a large frigid room for post harvest handling.

Refrigerated truck for transportation.

Vista PROCESSED FOOD ITEMS Pvt. Ltd. - Company of Fowl and Vegetable range of products

A joint venture with OSI Business Inc. , USA, and McDonald's India Pvt. Ltd. Vista Processed Foods Pvt. Ltd. produces a range of frozen hen and vegetable foods. A world class infrastructure at its plant at Taloja, Maharashtra, has :

Separate control lines for hen and veg foods.

Capability to produce iced foods at temps as low as -35 Degree Celsius to preserve total freshness.

International standards, methods and support services.

Dynamix Journal - Provider of Cheese

Dynamix has brought immense advantages to farmers in Baramati, Maharashtra by setting up a network of milk collection centers outfitted with bulk coolers. Easy accessibility has enabled farmers augment their income by finding a new market for surplus milk. The stock has:

Fully computerized international standard handling facility.

Capability to convert milk into cheese, butter/ghee, skimmed dairy powder, lactose, casein & whey protein and humanized baby food.

Stringent quality control actions and constant Research & Development

Amrit Food - Provider of long life UHT Dairy and Milk Products for Frozen Desserts

Amrit Food, an ISO 9000 company, companies widely popular makes - Gagan Milk and Nandan Ghee at its factory at Ghaziabad, Uttar Pradesh. Its seed has:

State-of-the-art fully automated machinery needing no human connection with product, for total hygiene.

Installed capacity of 6000 liters / hour for producing homogenized UHT (Ultra High Temperature) processed dairy and milk products.

Strict quality control recognized by a completely equipped quality control lab.

Radhakrishna Foodland - Circulation Centre

An integral part of the Radhakrishna Group, Foodland specializes in handling large quantities, providing the whole selection of services including procurement, quality inspection, storage area, inventory management, deliveries, data collection, saving and reporting. Salient strengths are:

A one-stop shop for all syndication management services.

Dry and frigid storage facility to store and transport perishable products at temps up to - 22 Diplomas Celsius.

Effective process control for minimum circulation cost.

McDonald's exposed its first store in India in October, 1996 and currently has 113 stores, spread over the North, Western & South of the united states.

We have the sole responsibility of McDonald's entire supply chain all across India.

We cope with their entire range of services including procurement, quality inspection, safe-keeping, inventory management, deliveries, data collection, documenting and confirming.

Over the years, subsequent to the commencement of the relationship, Foodland has regularly acquired the Best Company Award from McDonald's.

McDonald's - Challenges

Full Supply Chain responsibility

Multi Temp. Products - Over 65 % temps controlled

Stores so far as 500 - 1000 kms

Drops per month - Over 1000

Movement mainly by road

Regular movements of perishables by air

Routing Challenges

No margin for error - Operations critical client

No Stock Outs at store

On time delivery record - above 97 %

Clean delivery record - above 99 %

Unfailing inbound supply chain

Foodland: how it can help in supply chain of McDonald's?

Foodland provides Customized Syndication & Logistics services encompassing the complete supply string, such as safe-keeping, handling and circulation answers to various clients. The services are customized to suit each client's requirements, such as organizations such as

McDonald's and Radhakrishna Hospitality Services Pvt. Ltd. (RKHS)

Objective

To provide a cost effective solution to your customers ensuring product integrity throughout the source chain.

Platter Of Services

Supply Chain Structuring

Inventory Planning & Replenishment Management

Warehouse Management

Customer Order Fulfillment

Logistics - Heat range Controlled

It grips bulk travel of temperature delicate products.

Key Features:

Dedicated to 'wintry string' movement

The only logistics solution professional with skills in managing agri - produce

Total kilometer run monthly is - 7, 00, 000 km

Perishable tonnage dealt with monthly - 7, 000 tons

Robust quality systems & processes

First in the country to utilize multi temperatures vehicles

Use of innovative solutions to ensure temps integrity during transit

Experienced staff - The BEST in the industry.

Its experience of over a decade in the logistics & syndication industry has led us to think that there is still one area which remains terribly serviced - that of movement of small quantities of perishable items across the country.

Our experience also says us that lots of companies, for want of an cost-effective and reliable logistics solution, wrap up deciding never to market their products which are of an perishable nature in certain markets, thus losing out on potential earnings opportunities. And because presently, there is no reliable provider to focus on this need, companies have to go goods either by air, which is expensive, or through mass carriers with hardly any control on the delivery program. Given the existing scenario, combined with our domain skills in the logistics & distribution area, we have launched a new service - Fresh Rush. Fresh Rush is a temp controlled transport service addressing the needs of small size cargo.

Fresh Rush - Features

Multi temps products, such as Frozen (below -18C) and Chilled (1C to 4C) can be transported

Flexibility of load movement - A minimum of 500 kgs to maximum of 5000 kgs can be transported

In transit heat range tracking

Fixed schedule of pickup and delivery

Well trained and experienced manpower

Adherence to tight hygiene standards

Consignment can be monitored through Gps unit system

1. Food Park, Kalamboli

First of its kind in India

Designed according to global standards

The centre procures, value provides, stores and distributes various kinds of perishable and non-perishable food products

Food Area - Features

Spread over 33, 000 sq meters

Multi Heat range Zones

Integrated Service - Safe-keeping and Value Addition features under one roof

Ensured / Guaranteed Food Safety

Paradigm shift in the way food is taken care of in the resource chain in India

First of its kind in the region

Benchmarked against global standards

Codex / USDA / PFA compliant

Scalable

Dedicated storage for specific categories

Sanitation / Health standards - Trash handling

Air / Water Quality - Treatment Herb / ETP

Ripening Rooms, Crate Wash Facilities, Blast Fridge, Flake Ice Machine

Value Added Services - Processing of Vegetables & Fruits, Meats, Sea Food and Poultry

Controls - Building Management System (BMS)

100 % Electric power Back Up

Food Playground - Capacity

Capacity to manage over 6000 SKUs

Can store 70, 000 cases with 1, 700 pallet positions and over 4, 000 pick and choose faces

Processing

 

Vegetable & Fruits - 21 tonnes per day

Meat - 3 tonnes per day

Fish - 3 tonnes per day

Blast Freezing - 6 tonnes - per day

Ice Machine - 2. 4 tonnes per day

2. Kanjur Marg DC

Spread over 3, 500 sq meters

Dry Procedures DC

Capacity to manage over 9000 SKUs

Can store 80, 000 conditions with 1400 pallet position and 3, 600 find faces

3. Delhi DC (Noida)

Dedicated to operations in the North

Highly useful DC

Chiller / Freezer / Dry Storage

Capacity to control 576 pallet positions

FINDINGS

1. Every company, no matter how big or small in proportions, has its forecasting techniques. This is because without forecasting the demand and supply requirements, the orders cant be satisfied. Likewise, for order control, Mc Donald's forecast its requirements on a regular basis.

The study that we did in Indore, where there are three shops of Mc Donald's, each one in a multiplex, uncovered that their forecasting will depend on a few factors like the future movie release for the reason that week and its own response.

Likewise, we conducted this research in the month of March and the demand during this time is affected by the school and school examinations. The demand for different departments also ranges from one shop to some other.

2. Mc Donald's has its outlets in different aspects of the globe.

In India too, Mc Donald's has numerous retailers in different places, but they don't have any local seller.

They have a set vendor this is the Radhakrishna Foodland, which caters the range of 230 products that Mc Donald's require.

The Radhakrishna Foodland not only processes the food items but also cope with the logistics partially. The delivery centre is at Mumbai where from the mandatory stock is transported to different locations.

The worried person informed us, that due to the ephemeral shelf-life of tomato vegetables, it is the only product that they make obtain local marketplaces; specifically of four to five inches wide diameter which undergoes a thorough sanitization process, only after which it is used.

3. Every company has its inventory cycle. The Mc Donald's outlets do keep a basic safety inventory.

They keep carefully the buffer stock for a period of three days and nights, and their stock is stored at the outlet stores itself. Every product used in setting up the menu items come with an expiry time, like the French-fries served in Mc Donald's has a life of 2 hundred and seventy times. But once the menu items are cooked, they aren't kept for much more than

ten minutes, and they may be dumped as waste.

There are daily product basic safety checklist which is preserved by hand as well as by using computer software's too, assisting the personnel in examining the stock number by the end of every day.

4. Radhakrishna Foodland have been working with Mc Donald's for the past a decade and the terms and conditions for choosing the network design was made a decision by the head office of Mc Donald's itself. The food items are transferred via air conditioned trucks having different chambers. Each chamber is designed for different kind of stock at different temperature levels, as per the suitability and requirements of the stock. All of the raw material will come in a iced form. The trucks have pre-defined spots to reach every day. The resources at Mc Donald's informed us that the pickup trucks from Mumbai reach Indore on Mon, Pune on Thursday, Hyderabad on Wed and so forth at Bangalore and Gujarat too.

The items which should be procured from overseas territories come to India via boats, like the french fries are extracted from new Zealand via shipments.

5. They do examine their daily requirements via safe practices checklists. The rounding and arranging of productivity and input is performed by hand and through computer based softwares too.

6. Mc Donald's does not have any third party logistics.

7. Along with the evolvement of the new technology and convenient softwares, the conventional methods of maintaining supply chain data are now a passe`.

Mc Donald's too use a standardized visible FoxPro based program via which the outlets are associated with the head office and the Radhakrishna Foodland too.

8. Mc Donald's have confidence in the word "Customer is the King" and so the claims, if any, from the clients end are duly read and resolved according to the necessity of the situation.

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