Domino's Pizza has successfully established itself as a leading global brand through a strong operational strategy that emphasizes excellent customer service, rapid delivery, and tailored menu offerings. Their business model focuses on optimizing store efficiency, maintaining quality through strict supplier agreements, and leveraging technology for enhanced customer interaction. The company is advised to continually innovate, monitor competition, and adapt its strategies, particularly in emerging markets and digital initiatives, to sustain its competitive edge.

1. DOMINOS OPERATION STRATEGYDOMINOS OPERATION STRATEGY
Ninad Nigam

2.  Domino’s pizza is a well-known pizza brand
 Over the last 55 years dominos serving pizzas and other fast
food items to their customer success fully.
 More than 11000 corporate and franchise restaurant stores in
all over 70 countries.
 In US it is 2nd largest pizza selling brand
 So what makes dominos so successful in fast food business.
 The answer is its excellent customer service, frequent
products introduction as per customer’s tastes ,its 30 min
pizza delivery challenge, comfortable stores setup ,trained
staff ,cooks, sound Cooking equipment, relationship with
customers. Unique recipes, & sauces, target customers
include kids to adults. There are lot more things where
dominos doing well.
ABSTRACTABSTRACT

3. But how they perform excellent in all of
this area very well?
What is the core strength of their
business?
What are the essential factors of their
success?
How they compete in a highly competitive
fast food market.
All the answer lies in their operation
strategy They have excellent operation
strategy.

4. ““Exceptional franchisees and teamExceptional franchisees and team
members on a mission to be themembers on a mission to be the
best pizza delivery company in thebest pizza delivery company in the
world.”world.”
1.1. People firstPeople first
2.2. Excelling to make base of loyalExcelling to make base of loyal
customers.customers.
3.3. Getting every day excellenceGetting every day excellence
Global Strategic ObjectivesGlobal Strategic Objectives
 Competitive growth
 Establishing fast and reliable delivery model
 Establishing network of company owned stores as well as master franchises stores.
 New innovation both terms of product quality and technology
 Focusing on local market penetration by stores networks and knowledge management.

5. DOMINOS BUSINESS MODELDOMINOS BUSINESS MODEL

6. STRATEGIC RECONCILIATION MODEL OR RESOURCE USAGE MODELSTRATEGIC RECONCILIATION MODEL OR RESOURCE USAGE MODEL
Quality of
product &
services
Raw material quality Improved order taking quality
Hot pizza delivery
Enhanced customer
services
Trained staffs provide
speedy operation during
peak hours
Speed
&reliability of
delivery of
product
. Location & number of
stores provide quick
delivery of pizza
Delivery driver routing system
improves delivery efficiency
Flexibility of
response to
customers
Easily accessible
stores by customers
Accurate & facilitate order
taking
Cost
minimization in
terms of
operational
cost, working
capital, capital
cost
1.Store location minimize delivery cost
2.Stores layout minimize stores
operational expenses
For e.g.. At Raipur domino’s stores
cover all four Direction and situated at
malls and main road ways of city
Central location gives
frequent home
delivery order
Minimize administrative cost Sales data helps to
minimize wastage of
products.
Capacity:
Location of stores
Size of store
Layout of store
Supply Network
Number of stores
(company owned &
franchise)
Order fulfillment and
stock replenishment
Process Technology
Hot bag
Assembly line of pizza baking
Pulse point of sales
Pizza tracker apps, android
apps for online orders through
mobiles
Development and
organization
Master franchises
system
Supplier & employee
relationships, product
innovation

7. ORDER QUALIFIERS ,LOSERS & WINNERSORDER QUALIFIERS ,LOSERS & WINNERS

8. DOMINOS CORE COMPETENCIESDOMINOS CORE COMPETENCIES

9. PRODUCT VALUE CHAINPRODUCT VALUE CHAIN

10. OPERATIONS STRATEGY AT STORE LEVEL – IMPLICATIONSOPERATIONS STRATEGY AT STORE LEVEL – IMPLICATIONS
Dominos prime focus is on excellent quality service to its customers and its stores play
a major role at that as they are the retailers for dominos catering directly to dominos.
1.Continuously thriving at improving stores efficiencies to reduce operating
expenditure.
2.Strategically stores are located to improve services and on time delivery which
results in profit maximization.
3.Stores are designed in such a way to improve production as well it lets its customers
see how it’s done at store level , increasing visibility and from marketing point of view
a masterstroke.
4.From the moment order are placed to the moment customer receives its delivery all
the intermediate steps like preparation, cooking & packing are done proficiently to
complete operational process.
5.Dominos has efficiently adapted its operations in PULSE point-of-sales system which
gives its stores comparative advantage as it well helps it to be cost effective by giving
easy access to entire marketing & financial.
6.Attractive, focused as well as opportunity for its customers to choose the ingredients
of their own PIZZA give its competitive advantage as well as flexibility to stores to cater
to wide variety of customers in its region. At the same time it also helps in improving
order.
7.Regular audit programs at stores helps in continually improving standards of store
and improve its performance in catering to its customers.

11. DOMINOS PRODUCT SERVICE IN TERMS OFDOMINOS PRODUCT SERVICE IN TERMS OF
4VS4VS
 High VolumeVolume
 High VarietyVariety
 High Degree of visibilityvisibility
 Huge VariationVariation in demand

12. DOMINOS PRODUCTION PROCESSDOMINOS PRODUCTION PROCESS

13. Dominos have batch
processing for
consistency as well as
flexibility in its
kitchen
Dominos calls it
assembly line as
“make line”
This processing helps
in catering high
volume at peak hours
and maintain
operational
efficiency.

14. SUPPLY CHAIN MANAGEMENT..SUPPLY CHAIN MANAGEMENT..
Following steps are followed by dominos
1.Make-to-Stock approach
Though at times it leads to over stock
1.Lean production is supported by Inventory management & Just-in-
Time (JIT).
2.Centralized sourcing for consistent quality and it also give dominos
buying power over its suppliers.

15. QUALITY MANAGEMENTQUALITY MANAGEMENT
For quality management dominos follows the
following
1.Tight agreements with suppliers
2.Food technologist are hired for high quality
check to ensure the legality , safety & consistency
3.Regular food audit program to ensure quality of
food.
4.Regular consumer feedbacks
5.Service delivery excellence in ensuring quality.

16. QUALITY MANAGEMENTQUALITY MANAGEMENT
For quality management dominos follows the
following
1.Tight agreements with suppliers
2.Food technologist are hired for high quality
check to ensure the legality , safety & consistency
3.Regular food audit program to ensure quality of
food.
4.Regular consumer feedbacks
5.Service delivery excellence in ensuring quality.

17. INNOVATION AND IMPROVEMENTSINNOVATION AND IMPROVEMENTS
Dominos focus majorly on product innovation &
process innovation to improve both quality and
speed of its offerings.

18. CONCLUSION & RECOMMENDATIONSCONCLUSION & RECOMMENDATIONS
 They can look to move toward E-SCM.
 E- SCM may be described as the integrated management approach for
planning controlling the flow of materials from suppliers to end users
using internet technologies
 E- SCM refers to the complex network of relationship that organization
maintains with trading partners to source, manufacture & deliver the
products.
 Quality of food taste should be more focused as one of its performance
objective
 By changing menu items like sandwiches and beverages dominos should be
more cautious about their operation management .speed and reliability of
delivery should not be diluted by adding items in menu
 Setup of stores layout have generally targeted children’s and youth customers
dominos should set the stores layout in order to attract adult customers.
 Dominos strategy works because dominos continue scanning itself and focus
more on building new competitive advantages without losing old competitive
strategies.

20. CONCLUSION & RECOMMENDATIONSCONCLUSION & RECOMMENDATIONS
 Cost is the one of the vital factor to be controlled in Dominos. As the staff
should be trained more about cost optimization i.e. during day to day
operational activities how they can reduce wastages and how they do
faster activities in peak business hours.
 Local pizza restaurant and shop are big threat to dominos and as well as
other branded pizza chains .in order to be competitive dominos should
focus more on price and convenience.
 Dominos definitive competitive advantages over its competitors are its It
capabilities that is more efficient by its competitors. In India tier 3 city
dominos stores are not much IT capable as with digital India campaign
dominos should align its IT strategies and increase the services in tier 3
cities stores.
 Dominos opened B2B portal to strengthen its supply chain order system
for its independent franchise stores in December 2014 at North America
.it’s an excellent steps taken by Dominos. Dominos should implement this
initiative for Indian retail customers also.

21. THANK YOUTHANK YOU
INDIAN INSTITUTE OF
MANAGEMENT RAIPUR
Jan 10, 2017 21