The Franchisee
In 2021, Alshaya Group, the Cheesecake Factory franchise operator in the Middle East running more than 10 high-volume restaurants faced steep challenges in supply chain management. Import delays, rising global food costs, and inconsistent vendor quality were threatening the ability to deliver the brand’s famously large and diverse menu consistently.
The Challenge
Managing multiple Cheesecake Factory locations created significant operational hurdles:
- Inventory Complexity – With more than 250 menu items, stocking every ingredient was costly and error-prone.
- Rising Import Costs – Global logistics disruptions increased the cost of key ingredients.
- Consistency Issues – Variation in supplier quality impacted customer satisfaction.
- Waste Management – Over-ordering on perishable ingredients drove food waste and eroded profits.
The Strategy (2021–2023)
The franchisee launched a supply chain transformation initiative to bring order and efficiency across all units:
- Centralized Distribution Model
Partnered with a single regional distributor to standardize shipments to all 10+ restaurants, ensuring consistent delivery schedules and reducing costs. - Menu Prioritization
Streamlined menu availability by focusing on high-demand, high-margin items, reducing reliance on hard-to-source ingredients while retaining Cheesecake Factory’s signature appeal. - Inventory Management Technology
Implemented a cloud-based stock control system across all units, providing real-time visibility into ingredient levels, usage trends, and forecasting. - Vendor Quality Audits
Introduced quarterly vendor audits, requiring suppliers to meet Cheesecake Factory’s global standards for freshness and consistency. - Waste Reduction Initiatives
Rolled out portion-control systems, tighter prep monitoring, and daily food waste reporting to hold each unit accountable.
The Results
By the end of 2023, the franchisee achieved measurable outcomes:
- Cost Savings – Food costs dropped by 11% annually through consolidated buying power.
- Consistency Restored – Guest satisfaction surveys reflected a 20% improvement in food quality consistency across units.
- Reduced Waste – Food waste per restaurant declined by 25%, directly improving margins.
- Operational Efficiency – Managers cut ordering/admin time by an average of 7 hours per week.
- Expansion Readiness – With the new supply chain model, the franchisee prepared to open two additional Cheesecake Factory restaurants in 2024.
Key Takeaways for Franchise Leaders
- Centralization Drives Savings – Multi-unit operators must leverage distribution hubs for efficiency.
- Technology Unlocks Visibility – Real-time inventory tracking reduces errors and waste.
- Menu Focus Improves Flow – Simplifying offerings helps manage supply complexity.
- Vendor Standards Ensure Trust – Strong auditing maintains brand quality at scale.
Conclusion: How Restaurant Franchise Master Can Help
At RestaurantFranchiseMaster.com, we highlight stories like The Cheesecake Factory franchisee’s supply chain transformation to help you optimize multi-unit operations. We guide franchisees to:
- Build centralized distribution systems.
- Adopt digital tools for smarter inventory management.
- Standardize quality across multiple locations.
- Develop scalable supply strategies to support growth.
With the right supply chain practices, franchise owners can reduce costs, maintain quality, and expand confidently.
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