case   /   large food retail chain

Large food retail chain operating different formats from convenience store to hypermarket with owned transportation fleet and established supply chain. With over 19,000 stores, the supermarket chain featured in world’s top 250 retailers list and world’s largest public companies in Forbes’ Global 2000. Its supply chain network consisted of 37 distribution centres and 35 transport hubs with extensive long-haul and local fleet.

challenge

Supply chain structure required optimisation to achieve best in class delivery platform within 5-7 years timeframe. We were retained to calculate cost effectiveness of each unique scenario of logistics development, as well as tactical requirements at each stage of the process.

solution

Our approach was based on processes analysis, creating optimised logistics models within each leg of delivery. Taking long-term strategic viewpoint, we reviewed all hypothetical models and levers affecting transportation efficiencies as well as delivering best cost-saving at each fulfilment centre.

results

The project delivered on identifying several potential vectors in long-term development of supply chain network. We have provided extensive recommendations on utilising existing infrastructure and re-routing current fleet to better serve the network. Each scenario was optimised to incorporate revenue levels of each particular product category. In addition we have created centre of excellence within the company to further research and develop strategic optimisation of future supply chain.