Radhakrishna Foodland - Powering McDonald's in India*



Case Code : CLOM007
Publication date : 2006
Subject : Operations
Industry : Retailing
Teaching Note : Available
Length : 05 Pages
Price : Rs. 100

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Key words:

Collaboration, Partnership, Radhakrishna Foodland, McDonald's, AFL Logistics Ltd, Distribution Center, Procurement, Warehousing, Inventory management, Value added services, HACCP, Color coded tagging, Distribution, Logistics, Supply chain, Cold chain


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The caselet illustrates the importance of strategic partnership between McDonald's and Radhakrishna Foodland. It shows how mutual cooperation and coordination in supply chain operations can benefit the participants in different ways.


   Importance of changing supply chain strategies when entering foreign markets
   Nature of supply chain partnership between two organizations
   Operational efficiencies arising out of a successful supply chain partnership


In 2005, nine years after it entered India, McDonald's India (McDonald's) opened its 50th outlet at Faridabad. In the pre-liberalization era, it was difficult, if not impossible, for foreign fast food chain to set up operations in India. But post-liberalization, McDonald's was able to expand its chain of retail outlets in the country because of its careful planning of its supply chain operations in India.

McDonald's Corporation, one of the leading global food service retailers with more than 30,000 restaurants in 119 countries had to spend a lot of time planning its operations prior to its entry into the Indian market in October 1996...

Questions for Discussion:

1. What form of partnership exists between the McDonald's and Foodland? What in your view was the key behind the development of such an effective partnership?

2. Describe the benefits Foodland gained as a result of its partnership with Mc Donald's. How did Mc Donald's improve its operational efficiencies as a result of this partnership?