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Quick Service Restaurant National Franchise Chain Irvine, CA

$14M Saved Across 500 Locations with Predictive Ops AI

IoT sensors + demand forecasting turned franchise chaos into predictable performance

Franchisee satisfaction was plummeting. Equipment failures during Friday lunch rushes were costing locations $3-5K each. Food waste from corporate's one-size-fits-all ordering system was running 22% above target. Three franchise groups representing 85 locations were threatening to leave the system.

The Challenge

500+ franchise locations, each with unique equipment, local demand patterns, and operational quirks. Corporate's centralized ordering system used chain-wide averages — sending the same inventory quantities to a college-town location as a suburban family restaurant. Equipment maintenance was purely reactive: things broke, stores called, trucks rolled. Meanwhile, the IT budget had been cut 15% year-over-year.

What We Built

We deployed IoT sensors ($50 each) on critical kitchen equipment across all locations, feeding data into a predictive maintenance model. Each location gets customized demand forecasts based on local events, weather, day-of-week patterns, and school calendars. Automated inventory ordering adjusts per-location. Our engineering team built custom integrations for each franchise group's POS system and manages the pipeline overnight.

Results

45% reduction in unplanned equipment downtime
18% reduction in food waste
$28,000 average annual savings per location
Franchisee satisfaction scores up 31 points
3 departing franchise groups renewed (85 locations retained)
Corporate finally gave us something that actually helps. My fryer tells me it needs service before it dies on a Friday night. My walk-in orders what it needs, not what some spreadsheet in Irvine thinks it needs.
— Multi-unit Franchise Owner (12 locations)
16 weeks for initial 50-location rollout
3 engineers + 2 data scientists + 3 overnight ops

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