Welcome Back to my Blog, Readers! This is Saradha Preethi doing an MBA in Amrita School of Business. There is no better feeling in the world than a warm Pizza Boxπin your lap. The Closest thing I use to Beauty Products is the grease on the Pizzaπfrom Domino's. In this blog, we will see "The Supply chain & Logistics behind Domino's Pizza delivery".
All About Domino's
Domino's Pizza is one of the World's Biggest Pizza chains which has approximately 17,000 outlets across various countries. Today's Domino's Pizza is the leader in the fast-food delivery segment. Domino's Pizza is an American Restaurant which is the second-largest Pizza chain in the US. While the majority of Domino's restaurants are in the US, the chain has been working on increasing its International market too.
In 2019, they recorded around 11,000 International stores. They also increased the Revenue of Domino's over the past 10 years. Domino's Pizza remained focused on delivering great tasting pizzas, outstanding quality, excellent customer service, and value for money. They have built a reputation as a home delivery specialist capable of delivering pizzas within 30 minutes or FREE to a group of loyal customers from all of their outlets around the country.
Domino's Supply Chain
Domino's Supply chain is primarily based on Hubs and Spoke Model. There are 4 commissionaires as Hubs in India - Delhi, Mumbai, Bangalore, Kolkata. Each commissionaires are responsible for providing their specialty products.
π Delhi - Pizza dough
π Kolkata - Tomato
π Bangalore - Spices
Wherein these specialty products are sent to the outlets in Refrigerated Trucks. And their Retail outlets are called Spokes.
Domino's Inventory Management
The Ingredients that are required for making Pizza in Domino's takes several days. We will see each ingredient's shelf life in detail.
π Dough Ball - 5 days
π Mexican wrap base - 3 to 4 days
π Cheese dip - 4 to 5 days
π Seasoning & Toppings - 4 to 5 days
π Capsicum, Onion, Tomato - 5 days
π Cheese blend - 4 to5 days
Domino's has around twenty distribution centers, which supply all Domino's stores with the requisite pizza ingredients and other items. These distribution centers of Domino's continuously supply pasta, cheese, sauce, and fine crust bread. Domino's also operates two dedicated distribution centers that meet the market for thin crust dough and toppings.
These distribution centers have the capacity to produce and supply daily dough to satisfy the demand of the Domino stores they serve. The dough produced at the distribution center will be placed in the tray box on the rack within the refrigerated portion of the distribution center before being delivered to the outlets.
Domino's Logistics Model
1. Commissary Level Operations:
π Procurement & Supply of Raw Materials
π Warehousing & Storage
π Stock Keeping
π Dough Preparation Process
2. Outlet Level Operations:
π Storage of Raw Materials
π Customer Order
π The Production Process of Pizza
π Packaging Process
π Pizza Delivery Process
π Over the past 5 years, Domino's Pizzaπhas been Ranked one for its Operation Process. Perfect Pizza from Edge to Edge - Domino's!
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