← Business Models: Industry Specific (Consumer, Services & Financial) (all topics)
Commissary / supply chain
What it is
A central kitchen that prepares, portions and distributes food to outlets, so stores assemble rather than cook from scratch. It standardises taste, cuts store-level labour and skill requirements, and centralises procurement
It is the operational backbone that makes rapid outlet expansion possible
Impact on industries
- Delivers consistency across hundreds of outlets, which is the entire proposition of a branded chain versus independent restaurants
- Centralised procurement gives scale buying power and lets smaller, cheaper store formats work because less happens on site
- Capital-intensive and geographically constrained - a commissary serves a defined radius, so entering a new region needs new infrastructure before the first store opens
- Creates a single point of failure for food safety and supply across every outlet it serves