Supply Chain Efficiency and Strategic Fit Analysis of Y Donuts & Coffee: Toward Network Optimization in Indonesia’s Archipelagic Market

Abstract

Y Donuts & Coffee has established as one of Indonesia’s leading donut and café chains through a centralized production system and extensive cold-chain distribution network that supports high outlet density across urban and suburban markets. As the company expands into geographically dispersed regions, it encounters increasing challenges in logistics efficiency, transportation costs, and supply chain responsiveness while maintaining product freshness. This study aims to evaluate the alignment between Y’s supply chain design and its strategic requirements for quality, freshness, and market responsiveness. The research employs a descriptive-analytical case study approach, applying Chopra and Meindl’s Supply Chain Management (SCM) driver framework (facilities, inventory, transportation, information, sourcing, and pricing) and the Strategic Fit Framework to assess the company’s current operations. Analysis draws on secondary data from company reports, industry literature, and operational insights. Findings indicate that while the centralized kitchen model effectively ensures product standardization and quality consistency, it creates high transportation dependency, elevated logistics costs, and cold-chain vulnerabilities, particularly when serving remote islands beyond Java. Strategic fit is strong in dense core markets but weakens in peripheral regions due to longer lead times and reduced responsiveness. This study concludes that establishing regional production hubs, integrating IoT-based cold-chain monitoring, adopting predictive analytics for demand forecasting, and implementing hybrid distribution models are essential to optimize Y’s supply chain network, reduce costs, and enhance resilience in Indonesia’s competitive food and beverage sector.