Appleby Westward Ltd
£125k Savings PA in Warehouse Labour and Reduced Store Claims
Appleby Westward Ltd provides a dedicated warehousing and transport service to approximately 400 SPAR franchises in the South West of England. Appleby Westward supplies approximately 5,000 ambient sku's (including tobacco, wines & spirits) and over 1,000 frozen and chilled sku's. On average all customers receive a minimum of two deliveries per week.
The
distribution configuration consists of own-account warehousing and transport
for the ambient operation, with a primary warehouse facility in Saltash and a
satellite transport depot in Ludgershall.
The frozen and chilled operation is completed by a third party service provider Gregory Logistics Ltd, the primary warehousing facility being in Cullompton which is supplemented by satellite transport depots at Saltash and Ludgershall.
On average 155,000 ambient packs and 35,000 frozen & chilled packs are delivered weekly.
With the introduction of an improved operating methodology, standardised warehouse-operating procedures and performance measurement against key result areas, Appleby Westward Ltd achieved a net saving of £125k per annum in their warehouse operations.
This was the result of reducing the direct resource requirement by increasing overall productivity and utilisation, with the added benefit of a significant reduction in claims for damaged and lost products.
Contact:
Ian Connell - Managing Director, Appleby Westward Group plc
Telephone: 01752 854000
Nichols plc
Vimto Soft Drinks "Refreshed" by Six Figure Annual Saving
The group consists of four operating companies with an approximate turnover of £55 million PA and provides soft drinks and foods to the vending and retail market sectors, with a portfolio of major retailers and large independents; at the heart of which is the world famous Vimto brand.
With
a direct reporting line to the Board, the twelve week project was to examine,
identify and evaluate the warehouse and physical distribution requirements of
the group and two of the individual operating divisions, Vimto Soft Drinks and
Cabana Soft Drinks.
The review considered a period of five years 2004 to 2008, and recommended a solution that would accommodate growth plus maintain current lead times and service levels as a minimum, and optimise the supply chain in the light of both internal and external sources of change.
The overall process comprised...
- detailed data collection and validation
- documenting the current operation
- identification of future requirements for the logistics operation
The use of leading edge software CAST-dpm for supply chain modelling and Cirrus Class for warehouse design and activity simulation assisted in the evaluation of the alternative operating scenarios.
Our brief was to select the optimum solution, that would identify and incorporate the correct type and level of resource to achieve an effective and efficient operation. A comprehensive document was produced that detailed the proposed operation, processes, resources, forecasted volumes, service levels, performance levels, costs, perceived benefits and transitional process from current to proposed operational specification.
The physical distribution Strategic Development and Master Plan report delivered the projected forecasted annual saving, and as a result the warehousing and transport operations were contracted out to a leading third party logistics service provider.
Contacts:
John Nichols - Executive Chairman, Nichols plc
Brendan Hynes - Group Financial Director, Nichols plc
Telephone: 01925 222222