This document summarizes McDonald's supply chain model. McDonald's has achieved market success due to their strong and effective supply chain, which helps maintain affordable prices. Their supply chain involves a few key suppliers that provide large volumes, allowing costs to be cut. These suppliers implement advanced agricultural practices, food processing technologies, cold storage, and distribution to meet McDonald's stringent quality standards. McDonald's intensive supply chain model and market research encourages innovation, cost reduction, and the development of domestic agriculture and food production in partner countries.

1. The McDonald’s
Way!
Presented by Group 1:
Nilesh Bhatt
Harsh Narula
Vinny Wadhawan
Vineet chauhan
Hitender Singh Khanna
Dileep Kumar

2. History
 McDonald's is the world's largest
chain of fast food restaurant
 McDonald's has been around since
1955, started by Ray Kroc in Des
Plaines lllinois
 Kroc had bought the previous
company from Dick and Maurice
(Mac) McDonald, who opened their
restaurant in 1940.

3. Facts
 McDonald's can be found in 119 Countries and territories around the
world.
 Head McDonald's Plaza, is located in Oak Brook, Illinois.
 They serve almost 54 million people each day.
 More McDonald's food is sold in the United States than in any other
area, which means that it is McDonald's largest market.
 Europe is McDonald's second largest market.
 Company provides a central source of supply for food items and
standardized menu.

4. SWOT Analysis
• Increasing trends towards healthy
eating
• Increasing competition fro m local
players and upcoming international
chains like Burger King etc.
• Currency fluctuations causing
impact on imports.
• Growing health conscious mass
• Home Meal Delivery
• Changing customer habits(Fast
food culture)
• 2nd and 3rd tier cities, since
McDonalds is famous for being
price healthy.
• Taste according to Indian market.
• Longer ROI
• Disrupts local eating habit in the
younger generation.
• Quality issues in some
franchises.
• High employee count as
increasing number of franchises.
• Unhealthy food menu
• Impeccable supply chain- Just
in time delivery
• Good brand value
• Partnership with local
suppliers- ecosystem
development, Technology
support
• Efficient cost control –
economies of scale
• Huge advertising budgets
• Target audience(children) Strength Weakness
ThreatOpportunity
Innovation by
healthy menu
options

5. Supply chain Model

6. Trikaya Agriculture
• Implementation of advanced agricultural practices has
enabled Trikaya to successfully grow speciality crops like
iceberg lettuce. Infrastructure features:
• Specialized nursery with agricultural experts.
• Drip irrigation, raised farm beds, fertilizer mixing plant,
good quality pesticides.
• Cooling rooms for post harvest handling.
• Refrigerated trucks for transportation.

7. Vista Processed Foods
• A JV between OSI Industries Inc., and McDonald’s India
Pvt. Ltd.
• Produces a range of frozen chicken and vegetable foods.
• Plant at Taloja, Maharashtra. Infrastructure details:
• Separate processing lines for chicken and vegetable roods.
• Capability to produce frozen foods at -35 degrees to retain
total freshness.
• International standards, procedures and support services.

8. Dynamix Dairy
• Dynamix has equipped milk collection centers with bulk
coolers. Provides a new market for surplus milk. The
infrastructure details are:
• Fully automatic international standard processing facility.
• Capability to convert milk into cheese, butter/ghee,
skimmed milk powder, lactose, casein and other products.
• Stringent quality control methods.
• Continuous Research & Development.

9. Radhakrishna Foodland
• Provides high range of services including procurement, quality
inspection, storage, inventory management, deliveries, data
collection, recording and reporting. Strong points:
• 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.
• Effective process control for minimum
distribution cost.

10. Summary
• Market success of McDonald’s can be credited to their strong and very
effective supply-chain.
• Maintain affordability with the help of efficient supply chain.
• Huge amount of stress on innovation and cost cutting.
• Complementary success model.
• Technological advances equips suppliers to venture out in different areas and
grow.
• Few supplier model provides them more volumes to be able to cut costs.
• Intensive supply chain model, extensive market research.
• Stringent food standards encourages suppliers to maintain high quality to
minimize rejections.
• Encourages domestic cultivation to cut import costs.

11. Hope you enjoyed your
bite!
Thank you!