McDonald’s China is set to launch a major expansion of its cutting-edge smart supply chain project, aimed at transforming the domestic restaurant landscape through heightened efficiency and transparency. The announcement was made during the China International Supply Chain Expo in Beijing, underscoring a significant advancement in the company’s logistics operations.
The initiative, titled “One Case, One Code,” will be implemented nationwide and incorporates innovative technologies from Cainiao, alongside collaborations with key suppliers like Bimbo and Tyson. This project will integrate over 100 supplier factories throughout the nation and assign each product a distinct digital identity using radio frequency identification (RFID) and similar technologies.
As a result of this initiative, restaurants are reporting a more than 30% increase in efficiency when it comes to receiving and checking inventory. By providing clear visibility into inventory levels, the entire supply chain stands to benefit from improved demand and supply planning.
Phyllis Cheung, the CEO of McDonald’s China, emphasized the value of the expo for fostering relationships with supply chain partners, driving innovation, and contributing to sustainable development for better product offerings. She highlighted that the company’s enduring success is anchored in collaboration among employees, franchisees, and suppliers.
Beyond technological advancements, McDonald’s China is also making strides in sustainability and consumer engagement. Their latest initiative, the McFarm Calendar, celebrates green agricultural practices and shares the experiences of farmers involved in their regenerative agriculture plan. Limited to just 5,000 sets, these calendars are available through the official app.
The company is also engaging in the transformation of 20 restaurants across 15 cities into McFarm-themed locations, providing immersive experiences related to sustainable agriculture. Since the launch of its regenerative agriculture plan in 2023 with nine suppliers, nearly 5,000 farmers have received training to adopt these practices.
Animal welfare is another key focus for McDonald’s China, which announced its first cage-free chicken logo set to debut in June 2024. The chickens are raised in controlled environments that encourage natural behaviors, allowing them ample space to roam.
At the expo, the company showcased a unique art installation crafted from recycled paper bags, symbolizing its commitment to sustainability in cage-free chicken production.
In summary, McDonald’s China’s comprehensive approach not only aims to revolutionize supply chain efficiency but also highlights their commitment to sustainability, consumer engagement, and animal welfare. This initiative is a significant step forward, promising better service for customers and a positive impact on the local community. It’s hopeful to see a major corporation like McDonald’s taking concrete steps towards creating a more sustainable and transparent future in the restaurant industry.