supply chain

Topics: Pizza, Pizza Hut, Supply chain management Pages: 3 (497 words) Published: March 14, 2014
Company Overview:
Pizza Hut, Inc. operates a chain of pizza restaurants in the United States and internationally. It offers pizzas, pastas, wings, and drinks, as well as sides and desserts, such as stuffed pizza rollers, breadsticks, cheese sticks, baked desserts, and cinnamon sticks. The company also offers catering services. In addition, Pizza Hut franchises its restaurants. Further, it provides online ordering. The company was founded in 1958 and is based in Plano, Texas. Pizza Hut, Inc. operates as a subsidiary of Yum! Brands, Inc.

Supply chain network for Pizza

Supply chain of pizza hut starts from the suppliers of pizza hut. There are direct suppliers and indirect suppliers of Pizza hut. Direct suppliers of Pizza hut are:

-Pepsi Company
-Regional dough production companies (Pizza base)

Secondary materials (meat, vegetables, sauces) come from a warehouse that purchases on a “Commissary” basis. The purchase is via indirect local suppliers: -Local Meat markets
-Vegetable markets
-Sauce companies

Materials come every Wednesday from the warehouses via refrigerated trucks or, if at the end of the day the pizza hut manager gives their forecast on the next day's demands and believes more are required, an order is sent to the warehouses who will deliver it the following day.

Supply Chain of Pizza hut


Facilities are the actual physical locations in the supply chain network where product is stored, assembled or fabricated. The two major types of facilities are Production sites and Storage sites.


The base is prepared in the commissionaires and then transported to different retail outlets. The outlets keep the inventory stock of only three days because it is a perishable good. Hence, the inventory stock cost is reduced. As only the base is transferred to the store, in case of any particular item demand is increased, it does not...
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