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Case Study Of Dominos

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1. Economies of scale: Dominos is also able to use its large buying power to hedge better costs when commodity prices fluctuate, it also gives it a better bargaining power with suppliers.

Even at a master franchisee level, Dominos has been able to standardize and centralize the supply chain services. Taking the UK‟s supply chain as an example, we look at the country level supply chain works:

1. All the raw materials and food stuffs (dough, ingredients) are prepared at a central commissary in the UK – located at Milton Keynes.

2. The commissary, then supplies to distribution centers which are located in Milton Keynes, Penrith and Nass.

3. The distribution centers then supply to the individual stores once in 3 days (to ensure a JIT philosophy)
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The company’s key focus areas have always been to deliver pizza on time. Over time, Dominos has not been focusing on its service aspect, and in a increasingly customer centric world it is critical that Dominos improves its hiring / training practices and deliver world class customer service along with the best in class product that it currently offers.

References
• Geoff Riley, Domino’s Pizza - Growth & Strategy (Part 2) - Innovation, Service and Smart, Operations, http://tutor2u.net/blog/index.php/business-studies/comments/dominos-pizza- growth-strategy-part-2-innovation-service-and-smart-operation/

• Dominos Corporate profile http://phx.corporate-ir.net/phoenix.zhtml?c=135383&p=irol-homeprofile

• Global Logistics & Supply Chain Strategies, Planning, Sourcing, Replenishment Are Easy as (Pizza) Pie, http://www.supplychainbrain.com/content/industry-verticals/food-beverage/single- article-page/article/planning-sourcing-replenishment-are-easy-as-pizza-pie/

• Dominos annual report http://www.dominos.com.au/corporate/investors/investors.aspx

• Stephanie Clifford, The New York Times, Video Prank at Domino’s Taints Brand,
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