The Challenge
A parent company operating 7 different QSR brands across 80 locations was struggling with escalating food costs:
- Food cost running at 40% - well above industry standards
- No unified view across brands - each operating in silos
- Vendor pricing inconsistent across locations
- No standardization of portion sizes or recipes
- Wastage data buried in spreadsheets, analyzed only monthly
- Inability to identify which locations or brands were underperforming
The Solution
1. Unified Multi-Brand Analytics
Integrated all 7 brands into one platform while maintaining brand-specific dashboards. This gave the parent company unprecedented visibility:
- Compare food cost % across brands, locations, and time periods
- Identify which brands were outperforming and why
- Spot outlier locations immediately
- Benchmark performance across the portfolio
2. Centralized Vendor Management
Consolidated vendor relationships across all brands:
- Identified 18 common ingredients used across multiple brands
- Negotiated volume discounts by pooling orders
- Implemented dynamic vendor selection based on price and quality
- Set up automated price variance alerts
- Saved 6-8% on common ingredients through consolidated purchasing
3. Recipe Standardization & Portion Control
Implemented digital recipe management with real-time cost tracking:
- Digitized all recipes with exact ingredient quantities
- Calculated theoretical vs actual food cost for each item
- Identified portion control issues - found some locations using 20-30% more ingredients
- Set up automated alerts when actual exceeded theoretical by >5%
4. Real-Time Wastage Analytics
Moved from monthly to daily wastage tracking:
- Digitized wastage logging at each location
- Categorized wastage by reason (spoilage, preparation errors, customer returns)
- Implemented staff training based on wastage patterns
- Set up inventory alerts to prevent over-ordering
The Results - From 40% to 36% in 3 Months
Food Cost Reduction
Across all 7 brands and 80 locations in just 90 days
Annual Savings
Based on current run rate with 4% food cost reduction
Vendor Cost Savings
On common ingredients through consolidated purchasing
Wastage Reduction
Through better forecasting and portion control
Month-by-Month Progress
Month 1: Implementation & Discovery
Integrated all systems, digitized recipes, established baselines. Food cost: 40% → 39.2%
Month 2: Optimization
Vendor consolidation, portion control training, wastage tracking live. Food cost: 39.2% → 37.5%
Month 3: Refinement
Fine-tuning processes, addressing outlier locations. Food cost: 37.5% → 36.0%
Client Testimonial
"Running 7 different brands was like managing 7 different companies. PhyloAI gave us one window into everything. When we saw that our burger brand had 38% food cost while the pizza brand was at 42%, we could dig in and understand why. The vendor consolidation alone was worth it - we didn't realize we were buying the same onions at different prices across brands. The platform paid for itself in the first month." - Chief Operating Officer