Leading UK Biscuit Manufacturer

warehousing

This leading branded UK biscuit manufacturer asked us to undergo a full distribution review and tender across their UK network and outsourcing.

The scope involved their network of 3 factories in the UK serving a 3 DC network in the North-west, including outside storage and contract packing.

Requirements

For their distribution review and tender, UK Network review and outsourcing we addressed five core aspects:

  • Identify the benefits of moving to a shared user facility, with contract packing capability to meet the emerging market for new pack formats
  • Develop a cost model to mirror the complex of warehouses, movements and services operated on an open book basis across the 3 sites
  • Determine the optimal location and specification for a single multi-user site and the projected costs and saving to move to a new location.
  • Run a competitive RFQ tender process to select the best-fit partner and solution, refine the proposal to deliver the optimal cost and service to meet the future capability and budget requirements.
  • Create an implementation plan to manage the transition to the new site and negotiate the Heads of Agreement and Service Level Agreement to improve the service quality standards and performance, underpinned with clear penalties for underperformance

Benefits

 Business Development

Moving to a closed book agreement provided transparency of cost, linked to activity, with additional opportunities to mitigate on-costs through continuous improvement project and service improvements enforced by the Service Level Agreement

Savings & Improvements

SSC helped secure a provider and multi-user site that delivered more than the initial 15% synergy savings anticipated.

This new site developed a full contract packing capability and ‘flexible’ chambers to accommodate seasonal storage peaks and maintain service levels.

Contact Us

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E:  info@simply-sc.com