See discussions, stats, and author profiles for this publication at: https://www.researchgate.

net/publication/349635224

Operation Strategy Overview- Dominos

Article · February 2021

CITATIONS
READS
0
25,567

1 author:

Ashwani Kumar Dhingra

Poppy Seed communication
4 PUBLICATIONS 0 CITATIONS

Some of the authors of this publication are also working on these related projects:

Operation Strategy Overview- Dominos View project

strategic management impacts View project

All content following this page was uploaded by Ashwani Kumar Dhingra on 26 February 2021.

The user has requested enhancement of the downloaded file.

Operation
Strategy
Overview
 1. Executive Summary
This assignment has been written to demonstrate the analytical processes and strategies with a
lens of operation management & operations of Dominos India. We have applied theoretical
frameworks to evaluate the operational strategy with its product and services. This report
focuses on the daily operations of Dominos India’s Connaught Place unit specially, wherein
their staff and manager helped a lot to prepare this report. Team research, interviews and
insights from Dominos existing employees have been documented in this report.

Dominos India has been a leader in its market segment in India.

2. About Dominos India

On 26 March 1995 Domino's Pizza India Private Ltd operation began in 1996 with its’
first store in New Delhi. In January 2016, Domino's opened its 1000th outlet in New
Delhi. The company opened 53 new restaurants between January–March 2018 and
150 outlets in the in financial year 2017-2018 (works, 2016)
Domino's pizza is delivered to its customers with seasoning sachets.
A) Domino’s pizza is a well-established and known pizza brand over the last 57 years
They deliver pizza along with garlic bread and a combo deals with Coke as the
beverages partner.. They have more than 11000 corporate and franchise restaurant
stores in all over 70 countries. And India is the second biggest market for this US
based pizza company (source : Wikipedia). In India They were the first to bring in
the concept of 30 minutes delivery. This has become a benchmark now in India as
people say that Domino’s pizza reaches before police reaches at the spot. Along
with this its excellent customer service, frequent products introduction with
variable topping options as per the customer choice , many outlets close to your
location, soft spoken & trained staff and a peculiar taste have become a driving
force for them. Even though there are many players including Pizza hut, Papa
John, Johnny Rockets and local players, Dominoes is still number One In India.

B) Because of their exceptional operation strategy they have been performing very
well in this cluttered and competitive food market in India.

C) Mission Statement : Exceptional franchisees and team Exceptional franchisees and

team members to be the best pizza delivery company People first Initiative :
Excelling to make loyal customers.
 Objectives: Competitive growth
A) Establishing an extremely fast and reliable delivery model
B) Establishing an effective network of company owned stores as well as
master franchises stores.
C) Establishing new innovation for both product quality and technology
D) Focusing minutely on local market penetration by stores networks and local taste
knowledge management (Foodworks.com, 2018)

3. Operations Strategy
An Intro
Dominos is the largest player in the pizza category in India and globally. Its one of its kind
model has been a benchmark and first n the quick fast food industry. Since 1995, Dominos
Pizza India has successfully reached the milestone and opened 1180 stores across India And
as it has been used globally they use the franchise model. Dominos Pizza LLC’s parent
company is head office is in Michigan, USA. Their philosophy is to have the quality control
on the sourcing and hence to supply the raw materials including ingredients too to the master
franchises and setting parameters of quality always. (Marketing, 2016)

Below structure of the Dominos franchise model in the India.

Figure 1: Domino's Franchise Model: India

Vision
Order : Qualifier and Winner
The selling needs the basic criteria to have the product quality for selling. The customers
purchasing criteria are Order Winners criterias. Figure 3 shows the same.

Dominos India’s Core Competencies

Dominos India’s competencies at the core have been evolving over time with their
unmatchable sets of strengths. This has helped them to be dominate player in the pizza food
service industry, and becoming a largest player in the home delivery / take away in India. We
will see in pages next how they rule the Indian market in fast food service industry.
(Marketing, 2016)
Existing Value Chain
Dominos India’s need to create the product is driven the needs of the customer. The value
chain which drives the customer is:

1) Reliable take away restaurant,

2) Right price, right quality & hot food and
3) Menu which has variety

These key customer needs have been the focus area of Dominos India since beginning of
their operation in India. And haven’t changed majorly like the competition like pizza hut and
other local players have done. For example not focusing on sitting arrangement or parties like
others have been evolved up to. Dominos India focuses on - Takeaway or Home delivery. It
has been adopted from its global model which settles for lean stores, well-skilled staff and
menu wise a very flexible local approach to match customer tastes. Operational requirements
have prompted the use of technology to make the customer experience more enriching,
Dominos India were the first to bring in the branded Pizza to India and were the first to be on
TV media in India and that very heavily to become a household name all across in India.
(Marketing, 2016)
Value Chain of Product
As per the Porters model, exhibited above that 5 primary activities that are primarily
connected with the product production and the external customers services. These can be seen
as activities adding values, such as inducting mobile app technology to book their orders by a
simple text message which will make this very convenient. Dominos India ensures accuracy
of the orders to 98%.
(Marketing, 2016)
 PRODUCT VALUE CHAIN (Marketing, 2016)
1.

Franchisees Acquisition & Infrastructure

Human Resource management

Use of Technology Margin

Supporti

Product Development & Improvements

ve

Delivery of MaterialTaking
to stores
orders Delicvery of Orders to cusotmers
Advertising & marketing
Ordering Ingredients

Primary

Figure 6 Product Value Chain: Dominos India (Marketing, 2016)

Operations Strategy Implications (Store Level)
With a committed and prime focus on the quality and speed, store plays an important
role in all this.

A). Reducing operating expenditure improving stores efficiencies.

B). To have good profit, store location should be done strategically. This will also
ensure 30 min delivery which is the committed USP.

c) Stores Design to improve production as well it lets its customers see the kitchen, its
hygiene which plays big role in marketing.

D) Floor efficiency from preparation, cooking & packing which are done proficiently
to complete operational process.

E) Dominos has efficiently adapted its operations in PULSE helps to be cost effective
by giving easy access to entire marketing & financial. This is also called point of sales
marketing method.

F) To choose from varieties of toppings keeping in mind the local region al taste of
people has given Dominos a huge advantages over its competitors which also
makes its menu wider.

G) Regular audit programs for overall and specific improvements. (Marketing, 2016)
 Competitor Analysis

Figure 8: Dominos versus its Competitors India (India, 2016)

Currently Dominos is placed at 12th rank among all the top quick food chains .
Dominos India must have new strategies to be implemented so that maintain a higher
ranking with other food chains.
3 Product & Service Design
Introduction
Dominos India has saluted themselves as core Pizza product company but also have
included many other add on items like, wings, chicken strips, chicken bites, garlic bread
and many localized variations made out of potatoes. An offer of combo by choosing a
various sizes pizza with suitable toppings for flavours has been the benchmark of
customisation suiting to your taste. PLUS tie-up with soft drinks majors is additional; ass
per the choices of drinks. Dominos India like the global model has successfully
implemented the model of your choice your pizza across the globe and is also been
implemented in India. A standard taste across the world proves that quality and taste are
standard irrespective of the geo locations.

Its important to analyse the product performance to evaluate how successful is the
product justifies the product design cycle.

Figure 11 Evolution of Dominos US/UK (Wikiepedia, 2015)

Figure 12 New Product Development
 4 Process Design
Dominos India as an entity with a product element is very unique since it covers Service
package and Service based and both are the product based.

Product Service Continuum of Dominos India

The Process of Conversion

Tangible and intangible elements are part of the process and where- in the customer is
important stages in the value chain. The first in its kind in India the introduction of open
kitchens, the Customer can experience the preparation of his order from time of the order
booking to the consumption of the food. (Marketing, 2016)

The conversion process

Dominos India, when it comes to the product they bake or cook or make, is also in a
unique position:

Volume: High volume – Modern kitchens justifies the overall volume and trained or skilled
staff who is working in the kitchen and the front counters management.

Variety: Various sizes of the Pizza along with choices of toppings

Variation in demand: variation of orders during peak hours of the day and peak seasons.

Degree of visibility: Home delivery customers cannot witness the open kitchen format of
the pizza making process where as the take away customers can see and experience the
making process and appreciate the processes adopted to deliver a quality pizza. The degree
of visibility here is very important for Indians as in our country where kitchen used to
always at the back of the restaurants or away from the customers visible side. Since the
kitchen was not visible, the staff were not so keen to keep it super neat and clean and was
never a selling proposition to customers. The selling proposition was only the product but
Dominos changed the scenario completely and this too has become a selling point to
convince people on product as well. Higher degree of visibility of Dominos has become a
higher degree of conviction about the quality of product and hence the taste as well.
Dominos India has selected a very unique Product / Service mix that can be seen below.

Volume and Variety Mix with its Assembly Line: Dominos (Marketing, 2016)
A high degree of quality and a high degree of consistency is needed in Pizza and other
food stuff , the assembly line approach has been selected by Dominos India to go with to
make delicious pizzas. At the same time maintaining & then by using the batch type
manufacturing process the flexibility remains. This has been explained above in a very
simple manner. It is important to mention here the using of the term the assembly line
approach which ensures the outlet to have the flexibility to deliver their orders during
known or unknown peak hours or busy hours. Dominos LLC names this assembly line the
as the “make line” which in India is also followed.

The Production Process

A Very streamlined and structured process is followed - from the order placement to the
final delivery to the end customer.

Step 1: The customer initiates the order. The phone, internet or a walk-in to the restaurant
are the various options available

Pix : Order Taking Counter of one of the stores

Step 2: The retail booking person enters it into PULSE system after booking the order
(Order process is streamlined by this proprietary system) (India, 2016)

The key functions of the PULSE system increases efficiencies at a store level : Its key features are:
(a) Touch screen ordering ensures a faster yet more accuracy in order booking which in-turn
increases the efficiency in needed hours.
OPM 1901

(b) Bikers routing system significantly improves delivery efficiency.

(c) MIS reports making capabilities are significantly improved.

Step 3: The screen in the assembly line shows the customer orders with ordered
specifications

Step 4: The designated person of the picks up the work order, starts the working by
flattening the required size of the dough, sauce and cheese is applied.
Step 5: Another team member after the previous step in this assembly process adds the
appropriate amount of ordered toppings before placing it in the oven
Step 6: The third team member of staff takes out the ready pizza from the oven after the
set time required to bake the pizza and places it in the right size box and stickers generated
out of the order machine which has all the control data like the type & phone number of the
customer and other details which facilitates accuracy). Pizza is ready now to be sent to
customer. (US, 2016)

Packing Division : Dominos

Step 7: A specially designed hot-bag is used here to put the pizza in and is dispatched
through a delivery biker to the customer place or handed or given to the front counter
guy who calls the customer in waiting in the outlet itself for the pickup.
Store Layout:

A process dominated store layout is adopted by the Dominos India which is very specific in nature and
which has clubbing of processes together since the product moves always between these stations. This
facilitate the movement of products on the integrated floor plan and respective team members between
each and every station to manage capacity the work load during peak hours and minimize issues which
we call them as bottlenecks.
Every retail outlet is equipped with a small cold storage which has enough capacity to have ingredients
to be fresh for 4 days. This unique design enables the appropriate and optimized use of the available
space and baking and other equipment thereby enhancing the skills-set and competent -efficiency of the
team members, it also enables and allows team members to adapt to different level of production of the
food. Dominos India as specified by the company and government are strictly followed for a very safe
working environment and conditions for the entire working staff. The interiors standardization
principal is adopted across all the stores in India to have same look and convenience to create a
workable environment for the staff which should be seen a nicer place to work which further enhances
the reputation of the brand and image too in front of the customers.

Any store layout will have a reception area, the assembly line area, Oven area, Packing area, back -
office, Mini Cold Storage, and cleaning and washing Area. (US, 2016)
 Storage Cleaning & Washing Designated Area

Cold Storage

Offce
Place of Oven Assembly
-Line

Packing / Ready for Delivery area

Recep. Area Customer Waiting Area

Typical Store Layout: Dominos

Areas of Suggested Improvement

Process Oriented:
Dominos India has been facing problem with its make line is which is not the balanced,
Reasons are:

(1) Time is not same for each activity

(2) Individual efficiencies & competency of team members matters a lot to have
smooth work flow because the process is not automated.

The above two reasons cause issues in term of creating bottlenecks. The delivery biker
drivers if are not given a new age GPS based navigation system, which will certainly ensure
an efficient on-time deliveries and other issue is some time the drivers don’t have good
knowledge about the locations or the better route to reach to avoid failing to deliver the pizza
in 30 min. So here if a training is conducted on every driver with trials will solve the
problems to an extent. (works, 2016)
 Production and Store Layout:
The designated work-floor of the store and its layout enhances degree of optimization of
the floor area available and to minimize the serious health and safety hazards. The team
members will work perform efficiently and will be working safely in close proximity area
to the baking oven specially There has been burn cases in the past. The Connaught place
new Delhi store which is a busy always outlet we visited handles high volume of sales as it
has sitting tables also for people to eat pizza in store itself. Space crunch issue doesn’t give
enough work area for team sand chances of accidents are higher.

In the given limited space only one oven with two conveyor belts can be
accommodated which creates a serious bottleneck when the one of the conveyor belts
oven fails.

Also the parking issues of delivery motorcycles, because of not enough and dedicated
parking the drivers park their vehicles without the marking which creates issues legally and
also for the customers.

Proposed Improvements
Process:
The inefficiencies are bound to happen when we do the manual movement of products. The
blue tooth enabled mobile phone will certainly increase overall efficiencies because it has
the navigation system to reduce the delays in the delivery times, and thus driving up.

Store Layout:
The store space must be re-planned and re-layouted to have more space for the movement
of goods and people especially during peak hours. Consideration should be given to the
idea of separating the operations of the Dominos store for Connaught place, New Delhi and
adjoining areas to manage the demand.

A better location of the baking oven will surely be better with an objective to be very safe
people working around the oven. Specially keeping in mind the health and safety of the
people during heavy load of work hours or in the peak seasons. A very learly marked
parking for dominos India bikers people is also very must to be done. The drivers should be
instructed to use the designated loading area only to eliminate the potential accidents and
hazardous circumstances.

We are sure if we follow the above and create and design a layout and plan, which
will certainly increase the efficiency and minimize the accidents.
These things will also bring in a healthy working environment which also in turn will deliver
more margin for the outlet.
 5 Planning and Control in Operation Management
Application of Goldratt’s theory of (Constraints:

18 Pizza is the maximum capacity to bake pizza simultaneously, which creates a
bottleneck during heavy load hours / peak seasons or in busy hours of the day.


The load should be shared in case an outlet faces a huge peak in the orders and can’t
be managed to meet the stipulated 30 min time. This will also maintain the retained
reputation of the brand – Dominos India

Production and Controls Constraints: Dominos India Store

Dominos Demand Strategy

 Lean Management Operations: Demand Forecasting
Dominos India uses the global dominos tool known as ‘Ventura’ which is a distribution-
planning suite to accurately forecast its inventory and demand planning (forecasting)
primaril . This tool helps Dominos India to create a solution by taking the “Matched
receipts to demand module generation”. This enhances, increases and maximizes the
overall supply chain efficiency by a very good margin facilitating Lean Management
operations.

The Ventura planning suite which we call it as primary monitoring tool in inventory and
which efficiently determines and tells when a specific kitchen or centre needs a specific
product or products. Optimization rules is applied to maintain the inventory of products or
ingredients in stores.

Retail outlet stores requests are received through PeopleSoft Enterprise Resource Planning
(ERP) of the company system this and it uses the captured data to collect and aggregates all
of these received requests are documented to establish and initiate refill requirements. It
also sees carefully and also considers any bottlenecks and limitations such as purchase per
order amount – next purchase orders are issues with same terms & conditions as were in the
earlier ones.

Promotions Planning Forecasting

This Ventura- planning tool efficiently manages promotions schemes as well, this tool
helps to increase the supply chain demand for specific products accurately.

Dominos India plans promotional forecasts along with its marketing communication
agency by considering and looking at 4 months of saved and documented historical
informations. This system also contains promotion profiles in a tabulated library form for
the real-time analysis of the current period, which further can overlay new knowledge from
the corporate marketing department which is most likely to influence the new promotion. it
provides recommendations for promotion adjustments accurately based on this captured
data. (Academia.edu, 2015)

Innovation and Improvements

In more than two decades, Dominos India has introduced many new products for the
menu and processes hence has been successful in increasing its quality and efficiency in a
big way . The Dominos India has developed its innovative approaches in four main areas
of paradigm, position, process and product innovations.

Figure 25 below depicts the each combination of the products as per the Market based
called Eureka and Resource Based sources.
 Innovation Chart: Dominos India

The Paradigm Innovation

The Radical innovation: Need pull effect
The Dominos India company implemented the radical innovations to handle the pressure of
expansion for the business which has created a super need for the company to develop its
own system - A vertically integrated supply chain. We will explain in detail and more this
under the supply chain section of this assignment. The need pull factor can be looked as a
more effectively innovative approaches to save in the cost and time used or resulted in this
strategy for the shift of procedures. (Academia.edu, 2015)
The Position Innovation
The Radical innovation: Eureka moment
Being the first to this invent this marketing technique was a Eureka moment for Dominos
which is a radical approach and is an innovation where in Dominos India invented the
innovative three dimensional car top signs.. A very well implemented effective marketing
initiatives which may become viral, Dominos India must do efforts reach out to as many as
possible their customers and should retain the leadership position in the QSR category in
this country. Their Hungry Kya campaign became a super hit campaign which positioned
the company as to fulfilment your hunger with Dominos Pizza. (Academia.edu, 2015)
The Process Innovation
The Radical innovation: Need Pull & Eureka moment
Several innovative approaches developed by the company in their processes. The more
efficient and a super multi-functional tools need resulted in the development of the another
innovative tool called Spoodle that combines a spoon and a ladle. Their “eureka”
innovation which got innovated and implemented internally with the mesh introduction in
Dominos USA that helped cooked the pizza crust more evenly crispy. And plus which has
been a very unique and established benchmark 30-minute of guaranteed delivery.
(Academia.edu, 2015)
Again, Dominos Globally and in also India were the pioneer to introduce the never before
ways like these. The company also improved significantly further after the feedback and
experiences the its routing optimized the in cost for running these bike delivery by using
an effective routing software. The need to outperform the competition in terms of quality,
cut costs and operate more efficiently encouraged the company to develop this.

Product Innovation
Radical innovation: Eureka moment
Another radical innovation was applied to Dominos product. The packaging departments
also took a leap to design a attractive and useful Corrugated pizza box. The strength of
this box very well protects the pizza and its shape from physical damage, Moisture
weakening, to prevents cheese from sticking to the top. The “Heat Wave” bags which
have a patented insulation technology to keeps pizzas both hot and crisp which become a
promise fulfilled quality delivery to the customers. (Academia.edu, 2015)

Incremental innovation: Need pull: Knowledge push

The unrelated previously mentioned variables – price and delivery time. effective
Designing and implementing an effective higher value proposition and the need for the
customer. The increased value can be used to established relation between price &
delivery. The Company has also expanded its core product to suit to the local target
audiences to include products such as Garlic Cheese bread and range of sauces to choose
from.

7 Supply Chain Management

Introduction
To supports lean production, Dominos India Pizza has adopted a very effective called the
Make-to-Stock (MTS). This is part of their Supply Chain Management and is based on just
in time (JIT) stock management to manage stock control.

Dominos India Supply Chain

Dominos India like globally has an innovative benchmarking supply chain model. It ensures
all purchases are to be managed vertically and centrally across all franchises around the
world. Jubilant Food-works is the core entity, which runs the supply chain network is
named as Dominos supply chain services – a fully owned subsidiary, which supplies the
dough, raw materials (the condiments, and ingredients that go into the food products), the
kitchen equipment / machinery etc.
This fully owned entity supplies to all the master franchises – effectively giving the
company a few key advantages: (India, 2017)

(1) With a centralized buying department, the company is able to leverage its negotiating
and buying power, and is able to negotiate hard to its best for the costs for its
purchases. This also ensures purchases on a high scale for vendors which makes
suppliers want to tie into the Dominos India supply chain services. For instance
Coca-Cola is integrated into Dominos India supply chain network, and is seen more
as a beverage partner rather than a supplier since all need beverages along with pizza
to eat.; Dominos India has agreed to have combo offer of Coke company products
centrally at all its outlets across India.

2) The Economies of scale: Dominos India s also able to use its large consolidated
buying power to hedge or negotiate better costs when commodity prices fluctuate,
it also gives it a better bargaining power with suppliers because of the huge orders
for across the products. (India, 2017)

PRODUCERS
FARMER
 Central Storage

kitche kitche kitche kitche

Outle Outle Outle Outle Outle Outle

Supply Chain Model: Dominos India (India, 2017)

Operations Management Assignment

Dominos India has been able to standardise and centralise the supply chain services even at
a master franchisee level,. Taking the India supply chain as an example, we look at the
country level supply chain works:

(1) All the raw materials and food stuffs (dough, ingredients) are prepared at a 4 central
commissary in India – Delhi, Mumbai, Bangalore and Kolkata.
(2) The wheat is sourced from Jalandhar, Punjab in North India and Cheese is sourced
from Karnal also in North part of India.
(3) The designated commissary supplies to distribution centres which are located in these
4 major cities mentioned above.
(4) The distribution centres supply these to the designated specific individual stores
which also has their mini cold storage enough to last the stuff for 4 days (to ensure a
JIT philosophy) – it could be on a more need basis, and this is tracked by the third
party software called Pulse system which keeps track of consumption at an
individual or specific store level

2
 Supply Chain at a Country Level

Critic and recommendations

When the demand has exceeded, it should be noted that, the predicted demand in the past,
the stores have faced issues with stock of not or more than enough dough, more side
orders and less or enough packing boxes It also taught them to do inventory check for each
items before any order inventory item is to be purchased case of any super needs. A
comprehensive, sophisticated, user friendly stock management tool to enable store to
estimate the upcoming demand and hence manage its stock is highly recommended which
can be fulfilled by adopting the evolving AI. (Academia.edu, 2015)

8 Quality Management
Introduction
Products quality and its service is very essential for Dominos India to retain its reputed
brand image and reputation as a company that serves known quality products. This
becomes even more in need requirements knowing the fact that pizza is often seen
historically as an “unhealthy” junky consumption specially for kids. The hygiene factor too
is very important which becomes a quality parameter for customers which over rules the
taste also. The open kitchen format is basically made so as to keep the kitchen visible to
customers who are coming to take away or want to sit there as have pizza in selective
outlets in India. The quality management starts from procurement itself form wheat to
cheese to toppings to making of it in the central kitchen to the retail outlet to the boxes they
pack in, the hot box they use to carry the pizza and even to the extent of giving tissue
papers.

Quality Assurance and Quality Control

Dominos India owns its own supply chain network, more than 95% of its Master
franchises source their ingredients and other requirements from this wholly owned entity,
which are then get stocked at central commissaries, which further then distribute the items
needed to the smaller franchises / stores directly by truck on a 4 days basis. The each and
every store has its own mini storage to keep this shelf life maintained to 4 days and also
ensuring a JIT type set-up. This central control on supplies ensures a promised and
committed consistency in the quality of the products which is maintained in all the raw
materials that go into the food produced by the restaurants. (Academia.edu, 2015)

Dominos India Pizza has a documented Non-Disclosures agreement and legally approved
and verified – Supplier- Approval- Procedure in its place and agrees with all the vendors

2
of their food ingredients and packaging to a detailed product specification to be maintained
for all the products supplied. A qualified food technologist is hired and is on board which
ensures that the product is safe, legal and consistently of high-quality meeting all the food
standard requirements of the government. The FSSAI is a regulatory body in India for
setting food standard for each category like frozen, cook, raw, beverages etc. and they keep
checking sample of the food time to time and sometime on the complaints received by the
customers. Recently Nestle Maggi was banned in India for almost 5 months for having
more than the required Lead and mono Sodium content in the Maggi. They had to modify
the product to get the approved license to relaunch the product again in the market. Before
this complaint and action, they kept selling the same for almost 20 years in Indian market.

Dominos India ensures that all food products checked and are risk assessed and their
production is either audited by a Senior qualified Food Technologist or is certified to the
FSSAI for Food Safety. A database of Dominos India approved products and suppliers is
maintained. Suppliers are continually audited and assessed in various ways by various
disciplines of people. The approved quality parameters and checks are carried out on each
delivery, product samples sent for testing and analysis or some time basis feedback
received from stores or consumers.

Critic and recommendations

Dominos India , as explained above in details the company is known for it’s high quality of
the set standards for the food, however its service quality is still a big issue which needs to
be seen carefully and analyzed for a good effective solution. Which should be more solid
and should be with tracked downable approach to ensuring quality of customer service is
recommended to maintain and strengthen customer trust.

9 Recommendations with Conclusions

Dominos India , when we studies its operations, and its global operating model – we
conclude that Dominos India is currently is confused or we call it in a situation of
flux.

A very good resilience has been shown by the company in the past and it has a very apt
ability to innovate to face the tough competition, This push-based strategy could have
rather a pull-based strategy. Dominos India has shown the ability to adapt and innovate but
still is too far to read the taste of the people fast and innovate the products. The competition
have gone way ahead in launching new kind of pizzas and growing their market share. The
reworking of the recipe in the US market in 2009 was a brilliant test case in a company
reacting to change, and Dominos India too should think something unique to show its
leadership and biggest market player capabilities.

There are some solvable and some unsolvable challenges for Dominos India listed below :

2
 🞄 Poor Infrastructure of Roads specially: food wastage in transporting from farmers to
end consumer. Logistic cost is 7-10% in India than globally 4-5%
🞄 Economic downturn: Labor problems, volatile Currency exchange fluctuate the
transportation cost
🞄 Above leads the companies to keep high buffer in inventory resulting in high in-cost
🞄 1 out of 30 times (3.3%), Pizza is delivered free because of not delivering in 30 min
because of poor tracking system to point out the problem
🞄 Wrong order is booked many times because of skill- set issues of the staff

Some of the above can be solved by:

🞄
🞄 Inbound: Need to reduce cost by having a one more (at-least) sourcing place to procure
Wheat & Cheese preferably in central India which is also a large wheat farming
region. Transporting it from up north Jalandhar & Karnal to down south in
Bangalore, the cost goes very high
🞄 Inhouse: Skilled people so as to reduce wastage and improve margins
🞄 Outbound: RFID led tracking devices to control the FREE Pizza wastage ( “30 min or
FREE” is the USP of Dominos India)
Dominos India needs be more intuitive to drive in customer led changes. This can be
different location to location, rather than going for one treatment for all which won’t be
effective as India being very large and diversified country.

With the product manufacturing approach the threat which exist for Dominos India is a
service-oriented entity. The company’s key focus and USP is to deliver pizza on time. In
past few years Dominos India has not been focusing on its service aspect, and in an
increasingly customer centric world it is critical that Dominos India improves its hiring /
training, skill set practices and deliver a reputed world class customer service along with
the best in class product with expanding menus items to freshen up the range with
innovations.

10 Dominos and AI (Artificial Intelligence)

2
Domino’s Pizza. globally known for embracing technology always to its heart and
changing the systems for up-trending customer experience. In year 2015, it announced that
customers would be able to order pizza just by texting a pizza emoji to Domino’s SMS or
Whatsapp number. Last November, it delivered a Pizza in New Zealand to a couple by
drone and claimed that it will be faster and safer as a drone delivery would not have to
worry about traffic and other unwanted issues.

Moving ahead of competition, Now, Domino’s is taking another leap towards the future as it
announced the DRU platform, which ZDnet mentions as an artificial intelligence (AI)-based
technology that will allow customers to use their voice to order a pizza. Customers would be
able to use their phone, computers, or virtual assistants like Amazon Alexa to order pizza,
find opening hours, and browse through a menu to enhance customer experience. (IDG,
2018)

I also see the google or Alexa from Amazon doing a lot to add in the AI in future. Recently
have seen even education lectures or booking movie tickets have started happening through
this voice enabled devices. Drone technique is also the future but seeing many-many players
will opt for this, the crowded air space will become prone to accidents. The ATC controls the
flights in the respective air space to avoid accidents. There would be similar needs of some
control system which will enable this new AI based system to function smoothly without
troubling or causing harms to people down below.

Also see a good role inside the store as well to maintain the quality levels of the ingredients
by recording the nutrients levels when they come and after 3-4 days so that quality in term of
the health should not suffer when getting delivered as pizza to customers. In coming times,
am sure that, the AI will take over many of the manual functions for better and more
efficiency. This will also control wastage and will increase margin for the corporates and
better rates as for the customers

Works Cited
works, J. F., 2016. Corporate Presentation. s.l.:s.n.
Foodworks.com, J., 2018. Dominos India. India: Dominos India.

2
 Marketing, D. I., 2016. Corporate Presenatation. India: Jubilant Foodworks India.
Markteting, D. I., 2016. Corporate Presentation. India: Jubilant Foodworks.
India, g., 2016. Google.com/images. [Online]
[Accessed 2019].
Wikiepedia, 2015. wikiepedia. [Online]
Available at: https://en.wikipedia.org/wiki/Domino%27s_Pizza
[Accessed 2019].
Marketing, D. I., 2016. Corporate Presentation. s.l.:s.n.
India, J. F., 2016. Annual Report 2016. India: s.n.
US, D., 2016. Dominos Process. s.l.:s.n.
works, J. F., 2016. Corpoarte Presentation. India: s.n.
Academia.edu, 2015. Dominos LLC. [Online]
Available at: www.academia.edu/
[Accessed 2019].
India, I., 2017. Dominos Logistic. [Online]
Available at: http://www.icmrindia.org/free%20resources/casestudies/Domino-
Logistics%20Management.htm
IDG, 2018. AI and Dominos. [Online]
Available at: https://www.networkworld.com/article/3175038/artificial-intelligence/how-
dominos-pizza-is-using-ai-to-enhance-the-customer-experience.html
[Accessed 2019].

View publication