Supply Chain
McDonald’s stated that Rs. 50,000 crore (about U.S. $12.5 billion) worth of food produce
was “wasted” in India, mainly because of the lack of proper infrastructure for storage and
transportation under controlled conditionsxxiv. In it’s commitment to providing quality
products while supporting Indian businesses, McDonald’s spent a few years setting up a
unique supply chain, even before opening it’s first restaurant in India. McDonald’s stated
that it was critical to go beyond one’s immediate suppliers and customers to encompass
the entire chain, since hidden value often emerged once the entire chain was visualizedxxv.
Understanding the value to the downstream customer was a part of the supply chain
management process. The supply chain connected McDonald’s throughout India and
made McDonald’s ‘Indian.’. McDonalds in India focused on making a successful supply
chain strategy to implement its QSCV principle (Quality, Service, Cleanliness and Value),
pricing flexibility and new product launches from time to time.