Table 8.4 List A: Retail change relating to the fresh food supply
chain – List A3: Retailers set the pace in logistics
What success looks like: the retailer is in a commanding position with extensive,
even global, control and reach and can create an administrative vertical
integration of the supply chain.
1 Drivers and critical success factors
1a Increase in scale of retail organizations.
1b Strength of retail branding.
1c Concentration and use of retail power to meet consumer demands.
1d Retail internationalization of sourcing and retail operations.
2 Barriers to success
2a No leadership within the supply chain.
2b Fragmented components or players in the value chain.
2c Suppliers using a ‘push’ method of deciding what to send out of their
production.
2d The pace required by consumers not being achieved by the whole supply
chain.
3 Solutions to overcome barriers
3a Raise the issues to board level and obtain top-level backing.
3b Transform the supply chain into an integrated group of partners.
3c Change to a ‘pull’ method of determining quantities and products for
consumers.
3d Set up workshops with partners to sort out how to achieve the correct pace.
Table 8.5 List B: Packaging change relating to fresh food retail
logistics – List B1: Rapid handling along the supply chain from
supplier to retail store
What success looks like: the whole fresh product supply chain is operating at a
high throughput and short transit time from the supplier to the consumer at the
retail store for both domestic and global sourcing.
1 Drivers and critical success factors
1a Zero stock holding in the supply chain.
1b Interstackability of fresh products from different suppliers.
1c Traceability of product through the supply chain route back to the supplier.
2 Barriers to success
2a Lack of product availability or timing mismatch of supply and order.
2b Lack of the right kind of capacity in logistics for movement not storage.
2c The organization not being set up for this rapid pace of action.
2d Inappropriate methods of handling that are neither interstackable nor fast.
3 Solutions to overcome barriers
3a Multifunctional review of supply and order processes and timing.
3b Learn from successful benchmark companies and how they have changed.
3c Examine root causes of the problem and set up workshops with partners.
3d Set up the required traceability controls from supplier to retailer.