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Aldi Prezi_edit_23_09_2014

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by

John Barlow

on 25 March 2015

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Transcript of Aldi Prezi_edit_23_09_2014

Specification/Deviations
Process
Process
Process
Process
Process
Process
Process
Process
Process
Process
Process
Process
Process
Process
Process
Process
Annual day at RDC intake?
People
Process
Performance
Progress
Produce
the year
Retailer of
Promotion
Price
Product
Price change
Structure
Development
Annual day in store?
Away day at Supplier and Team Building Activity?
Suppliers
Selection
Top 5 suppliers in each commodity group
Style
Treat them as an extension to the team
Continue to be market relevant
Explore new opportunities (for example
store specific range of ethnic lines)
Objectively evaluate trials and seasonals via a designated person
Quality
Benchmark Waitrose/ M&S
Maximise shelf life in light of Chillers and
packaging innovation
Understand detail on COO and varieties on all relevant products
Specification/Deviations
Monitor - impact of re-design
Look at cost in wider aspects (Service levels, Wastage, Admin)
Explore all areas of cost (Pre-tenders/Tenders) (case size, logistics, Top 5 suppliers)
Better use of data and use effective evaluation
Reference points (International costs, market leading suppliers)
Never be beaten on the basket
Super 6 basket to remain 30% cheaper than Tesco, Asda and Morrisons
Competitive – always 30% below Tesco/Asda/Morrisons
Exciting – new products, meal solutions, limit repetitiveness
Profitable – in the sense of min. zero margin overall
SALE
Use of AMS / Mutual respect and support
Ourselves
Celebrate success
Reduce unnecessary admin
Eliminate duplication
Duplication
Duplication
Duplication
Duplication
Duplication
Duplication
Efficiency
Aim: review our systems and processes
Streamlined (where appropriate)
Use of Internal departments/TSPs
Risk Based
Dynamic focus on high risk areas
Spot check low risk areas
Re-look at specifications in line with competition
Reduce - film thickness, tray thickness
Use - Modified atmosphere, CO2 rates – shelf life opportunities
Cost
Retail
React to the market within 4 days
Super 6
Dynamic – flexibility to adjust. Collective Responsibility
Performance
Hard and Soft KPIs
Automated
Sampling
Fava?
Reporting?
(Greenlight)
Tenders/Pre tenders?
Drivers
Understand them in full - case size, temperature, packaging, weather, logistics, ordering, retail changes, victim lines, key events, seasonality, merchandising
Get into the detail – analyse wastage as a cost
Supplier comparison – performance management (FAVA)
CR
Market share
Reduce Christmas under trade (Retail, Availability, Pack Size)
Produce Retailer of the year
Why?
Evolution from discount outlet to destination retailer for both customers and suppliers
Market leading specification
Re-introduction of chillers and complete chill chain– further improve quality and shelf life for customers
New ambient merchandising for easier customer navigation
Unique S6 campaign (encourage 5 a day consumption) incl. TV advertisement
Market leading retail – deflation for customers across whole market
Double range in two years – lower purchasing barrier for customers (Premium singles, Organic)Packaging re-design
Local and UK sourcing in line if not better than industry
Long term tenders with suppliers
Buying with Integrity
Doubled market share over two years
Logistics efficiency – reduced food miles and use of returnable crates
4th year of consecutive +30% volume growth in a declining market
Produce Team Structure
2BDs to Dec 2014
3 BDs from Jan 2015
4 BDs from Sept 2015
13 BAs
1 Shopping/ Sampling Assistant
2 Apprentices?
1 Data Analyst?
Style
Always checking that what we do matches our goals
Risk Based Approach. Intensively supervise weak areas and spot check the strong.
Delegate to Suppliers/Stakeholders
Playing to people’s strengths
Collective Responsibility –Individual Ownership
Maximise volume and value KPIs across line cap of 160
Range
Packaging
Extend specification into new areas such as packaging
Utilisation of Greenlight to enforce supplier compliance
Minimise deviations through delegated authority to the supply base
Maximise savings of variable date codes in Q2
Accurate and relevant review of the market each week. Selection of the right comparable product
Consider a 25p S6 on April 16th to coincide with 25 year centenary
Aim: objective and automated performance analysis
Product
Suppliers
AMS – Self assessment and ownership/accountability
Quantitative target setting and reporting
Availability close supervision
Collective responsibility – individual ownership
International
comparison and understanding (Ireland)
Support Internal department
QA
Due Diligence - be in line with industry (Automated CTS system, Market leading TSPs)
Reduction
Become the 4th largest Produce retailer in the UK (Volume)
Produce
Full transcript