Post on 14-Apr-2018
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Supply Chain of
C Donalds
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A supply chain includes the chain of entities involved in planning,procurement, production and distribution of products and services.
The process includes:
Plan Source Make Deliver
WHAT IS SUPPLY CHAIN MANAGEMENT ???
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1. Inbound Supply Chain: The inbound supply chain pertains
mainly to providing raw materials and components to anorganization. It includes supplier development, supply
management, joint cost reduction, target costing, value
engineering, import substitution.
2. In house Supply Chain: It relates to the physicalconfiguration of the conversion process. It includes demand
management, master production scheduling, materials and
capacity planning, distribution requirement planning, lay out
and facilities management , materials and handling, co-
ordination with supply chain partners.
3. Out bound supply chain:The outbound chain pertains to the
distribution of goods and services to the end customers. It
involves logistics management, ware housing, distribution
and channel management.
SUPPLY CHAIN COMPONENTS
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Entered in India 1996
McDonald's India is a 5050 JV
partnership between MCDONALDSCORPORATION (U.S.A) and twoIndian businessman Amit Jatia andVikram Bakshi
Localisation: DONT OFFER ANY BEEF OR PORK
ITEM IN INDIA
IN PRODUCT LIKE MC ALOOTIKKI,MC VEGGIE, PIZZA MCPUFFETC.THEY USE SPICES FAVOURED BY
INDIANS SOFT SERVES AND MCSHAKES ARE
EGGLESS
Actively Involver in many social activities likeCHILD EDUCATION, PULSE POLIO etc.
McDonalds History INDIA
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SUPPLY CHAIN
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Technological Development
Human Resource Management
Firm Infrastructure
Procurement
Outbou
nd
Logistics
Marketing
&Sales
Service
Operations
Inboun
d
Logistic
VALUE CHAIN ANALYSIS OF
MCDONALDS
8
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A cold chain is a temperature-controlled supply chain. Anunbroken cold chain is an uninterrupted series of storage
and distribution activities which maintain a given
temperature range. It is used help extend and ensure the
shelf life of products such as fresh agricultural produce,processed foods.
It was started by McDonalds in India.
It took 6 years. Benefited to both consumers as well as farmers.
Helped to maintain freshness and nutritional value of raw
materials.
CONCEPT OF COLD CHAIN
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Steps involved in cold chain:
Procurement
Warehousing
Transportation
Retailing
All the above activities took place in temperature
controlled atmosphere
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Mc Donalds India sources its ingredients from local suppliers ware an integral part of the cold chain. Refrigerated trucks with mu
temperature facility divided into 3 zones- freezer, chiller, and ambi
to ferry product demanding varying temperatures from supplier
location to the distribution centre
.
Reference: National Retail Federation-Case Study
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Distribution centre is also divided into multi-temperature zones ,
as are the trucks for storing products. With freezer at 0 degree F to
33 degree F , chiller at 33 degree F to 40 degree F, and room
temperature.
Reference: National Retail Federation-Case Study
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Consumer/outlets
38 suppliers
across
the country
Procurement
logisticFood /nonfood:
Frozen , chilled &
any dry goods
Warehousing & packaging
Distribution logistics
Food /nonfood:
Frozen , chilled &
any dry goods
C Donalds Supply Chain(160 restaurants across
the country)
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Supply of ingredients:
Sesame seeds
Ghaziabad, UP
Buns
Shah & sons,Khopoli ,MH &
Cremica Industries,
Noida
Iceberg lettuce
Trikaya Agriculture , Talegaon MH
Meena Agritech ,Delhi
Ferrocoa Farm, Dehradoon
Special vegetarian sauce
(Eggless)
Quaker Cremica,
Phillaur,Punjab
Batter & BreadingCremica Industries
, Ludhiana ,Punjab
Vegetable Patty
(Made from fresh Peas,
Carrots, Green beans,
Potatoes and Rice)
Kiltran foods, Taloja MHReference: mcdonaldsindia.com
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Supply Chain
Trikaya Agriculture - Supplier of IcebergLettuce.
successfully grows speciality crops like
iceberg lettuce, special herbs and
many oriental vegetables. Farm
infrastructure features:
A specialized nursery with a team of
agricultural experts.
Drip and sprinkler irrigation in raised
farmbeds with fertilizer mixing plant.
Pre-cooling room and a large cold
room for post harvest handling.
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Vista Processed Foods Pvt.Ltd. - Supplier of Chicken and
Vegetable range of products.A joint venture with OSI Industries Inc.,USA, and McDonald's India Pvt. Ltd. Vista
Processed Foods Pvt. Ltd. produces a rangeof frozen chicken and vegetable foods. A
world class infrastructure at its plant atTaloja, Maharashtra, has:
Separate processing lines for chicken
and vegetable foods. Capability to produce frozen foods at
temperature as low as -35 Degree
Celsius to retain total freshness.
International standards, procedures
and support services.
Supply Chain
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Supply ChainDynamix Diary - Supplier of
CheeseDynamix has brought immense benefits to farmers
in Baramati, Maharashtra by setting up a network
of milk collection centres equipped with bulk
coolers. Easy accessibility has enabled farmers
augment their income by finding a new market forsurplus milk. The factory has:
Fully automatic international standardprocessing facility. Capability to convert milk into cheese,
butter/ghee, skimmed milk powder,lactose, casein & whey protein andhumanised baby food. Stringent quality control measures andcontinuous Research & Development.
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Supply Chain
Radhakrishna Foodland - Distribution
Centre.
An integral part of the Radhakrishna
Group, Foodland specialises in handling
large volumes, providing the entire range of
services including procurement, qualityinspection, storage, inventory management,
deliveries, data collection, recording and
reporting. Salient strengths are:
A one-stop shop for all distribution
management services. Dry and cold storage facility to store and
transport perishable products at
temperatures up to - 22 Degrees Celsius.
Effective process control for minimum
distribution cost.
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AMRIT FOODS
An ISO 9000 company
Manufactures widely popular brands Gagan Milk and Nandan
Ghee at its factory at Ghaziabad, Uttar Pradesh.
Supply Chain
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Facilities- they are the actual physical location in the supplychain network where the product is stored, assembled, or
fabricated. The two main facilities are production sites and the
storage sites. In McDonalds, because the products are perishable,
storage time was minimal so as to reduce the wastage. Transportation- it is the process where the inventory is moving
from place to place. Refrigerated vans are used here in this case.
Inventory- it includes raw materials, work in progress, and
finished goods within a supply chain
3 LOGISTICAL DRIVERS
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PUSH AND PULL PROCESS:
Various suppliers supplies the materials
Products delivered to distribution centers
Products delivered to restaurant
Push stops here pull
starts here
Customer order at restaurant
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FOOD ITEMS OFFERED BY
MC DONALDS
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THANK YOU