McDonald’s China has unveiled its ambitious plans to expand its innovative smart supply chain project, aiming to enhance efficiency and traceability in the domestic restaurant industry. This announcement came during the China International Supply Chain Expo held in Beijing, marking a pivotal enhancement in the company’s logistics framework.
The “One Case, One Code” initiative is set for a nationwide launch and features advanced technologies developed in collaboration with Cainiao and several major suppliers, including Bimbo and Tyson. This initiative will encompass over 100 supplier factories across China, implementing a unique digital identification system for each product package through radio frequency identification (RFID) technologies. As a result, McDonald’s has reported over a 30% increase in efficiency for receiving and inventory checks in their restaurants. This visibility into inventory will significantly enhance demand and supply planning across the entire supply chain.
Phyllis Cheung, CEO of McDonald’s China, emphasized the importance of collaboration at the expo, stating, “The expo offers an excellent platform to deepen exchanges with our supply chain partners, drive innovation and efficiency, and advance sustainable development to better serve our customers with fresh, natural and trusted ingredients.” She added that the company’s long-term success depends on a collaborative foundation among employees, franchisees, and suppliers.
Furthermore, McDonald’s China is prioritizing sustainability alongside technological advancements. The company has launched the McFarm Calendar, a cultural and creative initiative that celebrates sustainable agriculture practices, sharing stories of farmers involved in their regenerative agriculture plan. This special calendar is limited to 5,000 sets and is available through the official app.
Additionally, McDonald’s is transforming 20 restaurants in 15 cities into McFarm-themed locations, creating immersive experiences focused on green agriculture. Their regenerative agriculture plan, initiated in 2023 with nine suppliers, has already trained nearly 5,000 farmers. The commitment to animal welfare is also a priority; McDonald’s China has introduced its first cage-free chicken logo, ensuring that these chickens are raised in optimal conditions with the freedom to roam.
At the expo, the company showcased a unique art installation made from recycled paper bags to underscore their commitment to sustainable practices in chicken production.
This forward-thinking approach by McDonald’s China not only aims to revolutionize its supply chain but also sets a positive example for the industry, showcasing how technology and sustainability can work hand-in-hand for the benefit of all stakeholders. With its active engagement in regenerative agriculture and a focus on animal welfare, McDonald’s is paving the way for a more sustainable future in the food industry.