Supply Chains Help Foodservice Industry Weather Economic Storm

The importance of supply chain management has never been more important, especially for restaurant chains.

Restaurants such as Arby’s are not only expected to recover in 2012, but evolving supply chains will give fast food companies like Arby’s an additional 4.4 percent in growth, according to the International Franchise Association (IFA).

The rising cost of staple ingredients used at drive-thru restaurants have made for a difficult road to recovery, considering that consumers have been conditioned to get their eats on the cheap.

Instead, franchised restaurants are turning to innovative supply chain solutions such as E-sourcing to help them weather the storm of increasing costs. E-sourcing a.k.a electronic RFP process has gained in popularity over the past ten years for companies in the foodservice industry. The biggest advantage to using E-sourcing for companies has been managing realistic market prices. Additionally, these companies have been able to keep its suppliers happy-which can make or break a successful supply chain.