Value Chain Analysis of Panera Bread

Panera Bread is a fast-food and bakery café American retail chain brand. The company started its retail chain bakery, café, and restaurant business in 1998. Today, we’ll discuss the value chain analysis of Panera Bread supply chain analysis; primary and supporting activities in the process of value chain analysis Example Company. They are inbound and outbound logistics, operations, marketing, and customer service; infrastructure, HRM, technology, and procurement as an application of the value chain analysis process.

Key Facts about Panera Bread

• Bakers: 6000
• Bagels: 250 million 
• Baguettes: 50 millions 
• Stores: 2000 location points 
• Grocery stores: 50 

Ras Material and Supplies of Panera Bread

• Soy lecithin
• Ascorbic acid
• Enzymes
• Vinegar
• Lactic acid 
• Wheat gluten
• Cultured wheat flour
• Canola oil 
• Soybeans
• Brown sugar 
• Yeast 
• Water
• Rich wheat flower 

The Value chain analysis of Panera Bread supply chain analysis would analyze the primary and supporting activities in the process of value chain analysis. They’re inbound and outbound logistics, operations, marketing, and services; infrastructure, HRM, technology, and procurement. Here’s supply chain analysis of Panera Bread value chain analysis company example as follows;

Value Chain Analysis of Panera Bread

Let’s discuss the primary and supporting activities involved in the process of value chain analysis of Panera Bread supply chain analysis. It is an application of value chain analysis based on Porter’s model; some of the key elements and components of value chain analysis are as follows;

Primary Activities of Panera Bread

The primary activities are directly involved in the production of products and goods and adding value to the bakery retail chain company. Some of the five main primary activities in the value chain analysis of Panera Bread supply chain analysis are as follows;

Inbound Logistics of Panera Bread

I-Large Suppliers Network 

Panera Bread has established a very large and diverse supplier network in various countries across the globe. The large and diverse suppliers network helps the retail chain company to ensure the smooth supply of raw food supplies and ingredients for the production of bakery items. 

II-Suppliers Code of Conduct 

In order to ensure ethical sourcing and high-quality ingredients; Panera Bread has set up a clear code of conduct for suppliers and vendors. They need to comply with the rules, laws, regulations, and code of conduct of suppliers to keep working with the company. However, the supplier’s code of conduct comprises of following areas; 

• Complying with human rights and labor laws 
• Freedom of association and joining unions 
• No harassment or discrimination 
• Providing standard benefits and wages
• Legal working hours and no overtime 
• Health and safety of workers and providing sufficient training 
• No child labor and human trafficking 
• Complying with environmental sustainability regulations 
• Limited emission of greenhouse gases
• No Chemical usage of pesticides and other synthetic fertilizers 
• Bribery and corruption-free environment 
• Proper maintenance of the record 

Outbound Logistics of Panera Bread

I-Transportation & Distribution 

Panera Bread partners up with various transportation and 3rdparty logistics service providers for the distribution of bakery products and goods. The distribution channels move raw supplies and food ingredients from suppliers to the production and manufacturing facilities; and then to warehouses and retail location points and bakery stores. 

Operations of Panera Bread

I-Production and Manufacturing 

Panera Bread has employed approximately 6000 bakers in its dough preparation and baking factories across the US and worldwide. They receive raw food materials and ingredients from various suppliers and prepare the dough for baking. However, they ensure that the dough should be in the right quantity to avoid the wastage of material and over-production. 

II-Packaging 

After baking the dough in the production factories of Panera Bread, the next step is to slice the baked items and package the material and baked items in various quantities. It allows the company to deliver the required quantity of baked items to various retail chain stores of the bakery. 

Marketing & Sales of Panera Bread

I-Marekting & Advertisement

Panera Bread runs various types of marketing and advertisement campaigns for the promotion of its bakery production and retail chain brand stores. The bakery company employs various media channels to approach the end consumers and increase conversion. 

II-Retail Chain Stores 

Panera Bread has established a network of approximately 2180 retail chain bakery stores and cafés across the US and worldwide. It allows customers to visit the company’s café with friends and family members and enjoy the meal. 

Services of Panera Bread

Panera Bread offers a wide range of services along with bakery products and items. The additional services help the retail chain café store brand to improve the customer satisfaction level and user experience. However, some of the main services are as follows; 

• Lunch 
• Breakfast
• Apple car play 
• Takeout 
• Wi-fi
• Drive-thru
• Delivery service 
• Curbside and rapid pick-up

Supporting Activities of Panera Bread

Supporting activities are indirectly involved in the production of products and goods and adding value to the bakery retail chain company. Some of the main supporting activities in the value chain analysis of Panera Bread supply chain analysis are as follows;

The infrastructure of Panera Bread

Panera Bread has established a very large infrastructure of production and manufacturing factories, dough facilities, distribution centers, retail chain stores, and supplier networks. The large and well-developed infrastructure helps the company to smoothly perform its various bakery production and manufacturing factories, and timely deliver the bakery items to the retail chain stores and cafes of the brand. 

HRM of Panera Bread

Panera Bread has employed approximately 140,000 employees to manage its bakery chain store and café operations. The human resource management department of the chain café brand to build a diverse working environment; safe working conditions, and offering equal opportunities to all without any discrimination. 

Technological Development of Panera Bread

Panera Bread invests a significant amount of capital resources in technological development and updating the latest production tools and equipment. Employing the latest technological tools and equipment would help the company achieve efficiency in production with limited wastage of resources. 

Procurement of Panera Bread

Panera Bread is highly careful and cautious about ethical sourcing and procurement of raw materials and food ingredients. The company has set up suppliers’ code of conduct to ensure their compliance with the legal, human rights, and quality standards and requirements. 

Conclusion: Panera Bread Value Chain Analysis Example Company | Application of Value Chain Analysis Process 

After an in-depth study of the value chain analysis of Panera Bread; we have realized that Panera Bread is the world’s leading retail chain café and bakery store brand. If you are learning about the Panera Bread value chain analysis example company; then you should keep in mind the abovementioned primary and supporting activities. They’re inbound and outbound logistics; operations, marketing and sales, and services; infrastructure, procurement, HRM, and technological development as an application of the value chain analysis process.