Topic of presentaion

Supply Chain Management in Pizza HutPresented By:Sadaf Ishrat

HISTORY OF PIZZAHUT

• The first Pizza Hut is located in Kansas at the Wichita State University Campus. It was opened in 1958 by Frank and Dan Carney, 2 brothers who studied at the university.

Company Overview

• Around 34,000 location in world.

• Annual sales of $ 10 billion.

• Pizza Hut is YUM food brand.

Company OverviewComplete Supply Chain Network of

Pizza Hutt

• Direct Suppliers• Pepsi company• Bake parlour• Habib oil mils• Indirect suppliers • Meat market• Vegetable market• Sauce Companies

S1

Pepsi Company

S2Bake parlour

S3

(Habib oil Mills)

S4

Sauces Company

S5

Meat Market

S6

Mandi (Vegetables)

Weekly Basis

Commissary

(Ware house)

Wednesday

Orders

Orders

Delivery Service

Customer (Pizza Hut)

Dough

Filling

Topping

Bake(Cheese melts)

Adjusting capabilities of supply chain members

• Managers audit the supply chain members capabilities.

• Pizza hut continually reassess performance with respect to requirements.

• The best SC performers are more responsive to customer needs, quicker to anticipate changes in the markets, & control costs much better.

Ware house

• Biggest ware house at Bahadurabad Karachi.“Commisary”

• Data ware house of millions of customers.

• Pizza Hutt uses product called Teradata(ware house miner)

Mode of Transportation

•Bikes are use in delivery services.

• Trucks which bring material from ware house to pizza hut

•9 cities •36 outlets•Karachi (17 outlets)•Lahore (10 outlets)•Hyderabad( 1 outlets)•Islamabad ( 2 outlets)•Rawalpindi ( 2 outlets)• Peshawar ( 1 outlet)•Multan ( 1 outlet)•Sialkot ( 1 outlet)•Faisalabad ( 1 outlet)

Operations/Production

• Estimates demand on daily basis. (10% buffer)• Operation process from: 8am to 11 am.Preparation of pizza DOUGH • Customers are welcomed from 11 am till 3 at

night.• Serving time is max 16 minutes.• Home delivery for 24 hours.• No inventory left concept.

Pizza Hut Study

•For home delivery 40 minutes•For regular customers 20 minutes

Order fulfillment lead time

Supply Chain Responsiveness

70% but errors are not from our side they are from their side when they want to order

something else and ordered else.

Perfect order fulfillment

95%Delivery performance

Supply Chain Delivery

Reliability

PerformancePerformance Metric

Performance Attribute

SCORE: Customer FacingSCORE: Customer Facing

FACTS ABOUT PIZZA HUT• Pizza hut are the world's largest user of cheese, one of their

secret recipes is the Insider pizza and that alone uses a pound of cheese. on each pizza. Over the course of a summer it is estimated that Pizza hut uses a 100 million pounds of cheese. Pizza Hut uses more than 300 million pounds of cheese annually.

• To make that amount of cheese requires 360 million gallons of milk.

• Pizza Hut purchases more than 3 percent of all cheese production in the United States , which requires a herd of about 170,000 dairy cows to produce it.

• They also use 700.000.000 pounds of pepperoni and 525.000.000 pound of tomatoes in one year.

• In 2010 Pizza hut history was made again, when they were the first national pizza franchise to allow their customers to order online in Spanish.

• In 2001 Pizza Hut sponsored a pizza delivery to the international space station.

• The oldest Pizza Hut that is still functional is in Wichita, Kansas

QUESTIONS????

THANK YOU!!