Presentation Sainsbury's

Sainsburys
Identify a Wholesale or Retail organisation to study that uses 3PL contract logistics.
Amanda Bremner Amlie Chazal
About Sainsburys
Founded in 1869, Sainsburys is one of the most recognised brands in the country Number of employees : over 150,000 staff across the UK Number of retail stores and supermarkets : More than 900 Number of customers per week : 16 million
This company consists of Sainsburys Supermarkets, Sainsburys Local, Bells Stores, Jacksons Stores and JB Beaumont, Sainsburys Online and Sainsburys Bank. So : in addition to its retail stores, Sainsburys has numerous corporate offices across the UK to manage its operations, logistics and merchandise supply chain

Sainsburys prides itself on providing excellent customer service and quality shopping experience, with products at fair prices
Logistics Approach
To move goods from suppliers to depots, and then to stores, there is a need to transport by sea, air, rail and road this contributes to the companys carbon footprint Aim : Link the right stores geographically to the right depots to reduce transport miles
Some delivery options : Example for non food goods :
Standard Delivery Next Day Delivery Named Day Delivery Saturday Delivery Click and Collect
http://www.sainsburys.co.uk/sol/iw_container_page.jsp?pageRef=sites/www/site_fu
3PL Contract Logistics

Sainsburys is a great customer for 3PL providers : Of Sainsbury's network of 20 distribution centres :
6 are operated in-house The remaining are outsourced to a range of logistics service providers.
Sainsbury's is outsourcing more of its network to third party logistics providers than Asda and Tesco. Various providers including Unipart and Allport Example of Unipart :
Chosen in 2009 by Sainsbury's to be its non-food fulfilment provider Unipart employs over 8,000 people worldwide, Turnover of over 1billion and is one of Europes leading logistics companies In 2011, Sainsburys signed up international logistic s & supply chain firm Allport to also run its freight management service One of the biggest provider for UK retail.
Example of Allport

Rationale for the Approach
Providers can :

offer something different and focus on continuous improvement bring commercial advantage to the Sainsbury's Logistics division support Sainsburys long term strategy for growth of non-food ranges and provide a broader shopping experience
In general, Providers :

are experts in area and are therefore more efficient reduced number of Sainsbury-owned depreciating assets
3 examples of the use of Third Party Logistics Providers by Sainsburys :

Transportation Order
Entry, processing & fulfilment Packaging
Transportation
Selection of providers like :

CEVA Logistics for home delivery Allport for non-food goods
What was done by providers ?

Train drivers to drive efficiently, and introduced double-decker lorries, which transport more goods in a single journey Through primary transport operations (supplier to depot) and secondary transport operations (depot to store) Sainsburys are cutting CO2emissions In primary operations, Sainsburys use empty trucks to collect goods from suppliers on their way back from store deliveries - the number of collections has now reached over 140,000 per year In secondary operations, a focused project on vehicle fill has led to improvements of more than 1.5 per cent across entire store delivery flee Achieved a reduction of over 1,800,000 vehicle kilometers this year, by using fleets more efficiently An help to meet the green challenge (by using all types of transportation : air, water, rail, road)
Order Entry, processing & fulfilment through video conferencing

Sainsburys Logistics selected AVM and BCS Global to expand their video infrastructure : tool = Virtual Presence video conferencing Use of video conferencing to improve productivity of employees in logistics
Video conferencing an on-demand service It could be used :
any time for multipoint and point-to-point meetings with continuous presence and 24 hour customer support.
Prior to the implementation of Virtual Presence :
Lot of working travels across the UK to attend meetings (costs time and money) Employees can hold meetings instantaneously, When they finish the call, simply get on with their work.
Now by using Virtual Presence video conferencing :

Packaging after sale
An example of the Jutexpo Ltd company which provides green bags for almost all the major retailers in the UK ( Sainsburys, TESCO, ASDA)
http://www.youtube.com/watch?v=x6UOWlmdqhI
ANY QUESTIONS ?
Thanks for your attention

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Sainsburys

Amanda Bremner Amlie Chazal

Some delivery options : Example for non food goods :

3PL Contract Logistics

Rationale for the Approach

3 examples of the use of Third Party Logistics Providers by Sainsburys :

Entry, processing & fulfilment Packaging

Selection of providers like :

CEVA Logistics for home delivery Allport for non-food goods

What was done by providers ?

Order Entry, processing & fulfilment through video conferencing

Video conferencing an on-demand service It could be used :

Prior to the implementation of Virtual Presence :

Now by using Virtual Presence video conferencing :

Packaging after sale

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