The traditional supply chain management between manufacturers and restaurants is not effective enough, considering its high costs, long turnaround times and reliance on third parties, which creates challenges to profitability and agility. This study aims to find out how this system helps optimise costs and supply chain management within the restaurant industry. Data was obtained through manager interviews for some middling and high-end restaurants presenting some operational issues confronted before and after the system was installed. A sample of 50 restaurants was selected using a stratified sampling technique, targeting various restaurant categories. A structured questionnaire was designed to interview restaurant managers on operational efficiency, cost reduction, and supply chain performance. The logistics costs, transaction costs and overall efficiency improvements, among other quantitative metrics, were monitored for the first and second intervals. To achieve this, the analysis used a difference-in-difference methodology, where restaurants before and after the implementation of the system were compared concerning specific performance indicators.Data was processed using SPSS Statistics 27, ensuring accuracy and reliability in the analysis. The findings show that wastage management cost efficiency has improved to 15%, while significant decreases have also been observed regarding transaction time and logistics costs. This also resulted in a substantial decline in time-to-order delivery which positively influences operational speed. Based on these findings, it is suggested that direct trade models would benefit the restaurant business in terms of cost savings and enhanced performance. The policy recommendations include promoting digital supply chain platforms using tax credits, assisting SMEs with government-sponsored projects, and facilitating direct interaction between producers and consumers.
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