BURGER KING
warehouse in an outsourced location which is already used by other QSR operators , meaning our overall costs will be reduced . We are also encouraging our distribution partners to invest in these areas eight to 10 months in advance , ready for when we enter those markets .”
An example of this is distribution partner Coldex Logistics , which has raised close to US $ 20 million to expand its infrastructure and support Burger King ’ s future business activity .
Another way of controlling cost of sales in an expanding business is to get involved further upstream . Burger King India has been negotiating with original ingredient suppliers on behalf of its own suppliers , speaking to farmers to ensure fair prices for higher volumes which will pass on savings further down the supply chain .
Technology is also helping Dey ’ s operations to become more cost effective . “ We are optimising inventory levels with the help of technology ,” he says . “ Instead of analysing bases individually one store and one warehouse at a time , we can see everything in one system . We can see what products are where and how much is at each place – this takes away the need to create buffers .”
By continuing to grow quickly , innovate and impress customers
82 September 2016