Professional Documents
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Challenges of Grocery Retail Logistics
Challenges of Grocery Retail Logistics
•Aditee Thale
•Moiz Zakir
•Ajinkya Targe
Getting the right product at the
right place at the right time…
Introduction to the industry.
Market share of European retail.
Supply chain Model & organizational
structure.
Best Practices
Example of World Top Retailer
Challenges
Learning from the visit (Regular practices)
Take back
The retail industry is a sector of the economy that is
comprised of individuals and companies engaged in
the selling of finished products to end user consumers.
The retail industry is one of the largest economic
sectors in Europe.
Employment to about 17 million people, and services
to some 480 million.
Investment volume of European logistic market is
above 10 billion Euros.
Germany, France and UK contribute to the major
chunk of Logistics turnover in Europe.
E-Retail supply chain model
Excellent communication and coordination is absolutely necessary as components and goods cross more
and more borders than ever before.
The GS1 System of standards is well known and widely used in the Transport and Logistics sector.
This includes a range of GS1 Identification Keys like
GTIN
GLN
SSCC
GSIN
GS1 Application Identifiers (GS1 AIs).
GS1 data carriers
▪ GS1 Barcodes,
▪ EPC/RFID tags
GS1 communication Standards
▪ GS1 eCom
▪ The GS1 Global Data Synchronisation Network,orGDSN®
Grocery Supply Chain Grows Greener with
Local Foods.
Internet grocery retailing.
1. CORA Groups and their Practice:
Cora is a retail group based in Belgium which owns several supermarket and hypermarket
chains internationally.
Formed in 1974, the corporation's brands include Match, Profi, Truffaut, Ecomax, Animalis,
Sovena and Houra, as well as Cora-branded hypermarkets.
CORA in Hungary has 7 stores and uses centralised distibution done by the third party
logistic Provider.
VMI
Preallocated Cross docking
Beneftis of centralised distribution
Saves Cost
Minimum Infrastructure with Maximum Value
Save Paper and delivery notes
From suppliers side merits are consistency, single delivery point,less documentation
Acquisition of Csemege-Julius Meinl in 1999
124 stores
Supermarkets („big Match”)
▪ 17
Proximity („little Match”)
▪ 107
Store-picking
▪ Follows the stock level and out-of-stocks
▪ Place the orders to the suppliers
▪ Improve the service level from the suppliers
▪ Improve the rentability of the logistic system
Line-picking
▪ Consolidates the needs of the stores
▪ Place the orders to the suppliers
Workshops
▪ With suppliers about logistic discount, service level
▪ With Marketing about assortment, promotions, stocks
Key to Wal-Mart's success is its ability to drive costs
out of its supply chain and manage it efficiently.
Its business model would fail instantly without its
advanced technology.
It has the largest IT systems of any private company
in the world.
It business model follows: Everyday Low Price
Strategy
Traditional
MANUFACTURE -> WHOLESALER -> RETAILER ->
CUSTOMER
Wal-Mart
MANUFACTURE -> WAL-MART -> CUSTOMER