Darden Restaurants

1
Darden Restaurants

• By
• Christian Blaicher
• Ryan Blankenship

2
Darden Overview

• Worlds largest casual dining restaurant
  company. (Based on Market Share)
• Over 1300 restaurants in the United States.
• Employ over 140,000 workers.
• Serve over 300 million meals each year.

3
What Is Darden??
Darden Owns and Operates Each of the Following
Restaurants
4
Push Marketing Strategy

• Primary focus is table turnover
• Create daily, weekly, and monthly projections
• Stock inventory/ Schedule employees accordingly
• High turnover allows them to rotate inventory
  frequently
• Ingredients stay fresh for longer
• Rarely out of any needed item

5
Supply Chain Suppliers
Starvin Marvins Seafood Dist.
Local Farms
6
Supply Chain Cont.
TT Produce
BB Liquor Dist.
7
Inventory Management

• Daily, weekly, and monthly projections
• Based on past years performance
• Hourly customer counts/goals
• Extra inventory for promotional items and
  specials

8
Inventory Management Cont.

• Managers perform daily food counts
• Restaurants are able to trade/share inventories
  in case of a shortage
• Deliveries arrive daily/weekly
• Shortage rarely a problem
• Food separated into easily countable units

9
Location of Production, Distribution, and Retail
Facilities

• Sysco (primary supplier) is based out of Houston,
  but has distribution centers all over the
  country.
• Uniform Elite is located in Georgia (other
  restaurants use different companies)
• TT Produce is based out of Knoxville
• Each district uses different produce distributors

10
Locations Continued

• Starvin Marvin Seafood Distributors located in
  Oregon and Florida
• cant always go to local producers because most
  restaurants are not near the coast.
• BB Liquor Distributors has distribution centers
  all over the country
• local distributors deliver to local restaurants.

11
Use of Information Systems to Coordinate Supply
Chain

• Most food orders made via the internet
• Produce orders are left with distributor the
  night before delivery
• Liquor, beer, and wine is ordered every Monday
  after first inventory is taken

12
Information Continued

• Most food orders arrive the day after the order
  is placed
• Smallwares (flatware/silverware/etc..) ordered
  from Sysco quarterly
• Broken or malfunctioned equipment is repaired
  immediately by Darden hired Technicians.

13
Logistics

• Darden employs direct shipment, consolidation,
  shared distribution, and coordinated
  transportation
• Deliveries are made according to district
• shipments made to various restaurants based on
  distribution schedule and necessity.
• Each truck contains ALL items from most recent
  order

14
Logistics Continued

• Darden owns over 750 tractor trailers used
  privately by the 4 restaurant chains
• In order to lower transportation costs, all
  trucks are equipped with refrigerators/ freezers
  as well as non-perishable storage

15
Third Party Logistic Companies

• Darden primarily uses company owned
  transportation for most shipping needs
• Suppliers such as TT Produce and BB Liquor
  supply their own means of transportation
• Use 3PLs more often with smaller deliveries.