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The Supply Chain Challenges for Integrated

Resort – Learnings from the Hospitality Industry

Peter Woon
Vice President, Procurement and Supply Chain
Marina Bay Sands

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© 2011 Marina Bay Sands PTE LTD
Takeaways

Introduction Key
to Supply Initiatives to
Chain at tackle the
MBS challenges Q&A

Supply Chain Food Safety


challenges at and Hygiene
MBS Program at
MBS

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© 2011 Marina Bay Sands PTE LTD
THE VENETIAN
USA, LAS VEGAS (1999)

LAS VEGAS
BETHLEHAM
MACAO

SINGAPORE
A Global Business… MARINA BAY SANDS
SINGAPORE (2010)

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© 2011 Marina Bay Sands PTE LTD
THE VENETIAN SANDS COTAI CENTRAL
MACAO (2007) MACAO (OPENING APRIL 2012)
What do these mega structures have in
common?

Dubai Pearl Marina Bay Sands

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© 2011 Marina Bay Sands PTE LTD
The “Race to Get In”

Deliveries 600/day 800/day

Infra 2500 rooms, 5 Hotels ,


Casino, Retail, Offices ,
MICE retail etc
Urban Road Closures Daytime
Traffic (F1), ERP Traffic Ban

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© 2011 Marina Bay Sands PTE LTD
Supply Chain at MBS – An
Introduction

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© 2011 Marina Bay Sands PTE LTD
Marina Bay Sands Integrated Resort …

• > 2500 Rooms, Largest Hotel


Hotel in Singapore

• Mall Mgt., 20 F&B


Retail Mall + F&B Establishments

• > 600 Tables , 2300 Slots


Casino

• 2 Theatres and a Museum


Entertainment

• 1.3 Million sq. ft. of meeting


MICE space , Asia’s Best MICE Hotel

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© 2011 Marina Bay Sands PTE LTD
$$ Spend $$ @ MBS
Direct vs. Indirect

Others F&B
25% 24%

Indirect
(Services)
51%

• approx 50 – 50 Split between direct and indirect


•The spend is divided between 8 key categories.

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© 2011 Marina Bay Sands PTE LTD
F&B Procurement at MBS

Gourmet Dining

Banquets &
Outlets
Team Member
Dining

Eggs
2.5 million eggs = 1 football field
50,000 in a week
7,000 in a day

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© 2011 Marina Bay Sands PTE LTD
F&B Procurement : Meat

1,500 Tons in 2012 = 15 x 100-Tons Jetliners


30 Tons in a week
4 Tons in a day

X 15

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© 2011 Marina Bay Sands PTE LTD
F&B Procurement : Wine

Sourced from 16 225,000 bottles


4500 Labels bought
countries

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© 2011 Marina Bay Sands PTE LTD
Supply Chain Operations

Business
Activities of sub-departments within the Team
Cases Off-site On-site Warehouse & Distribution Transportation Planning &
Warehouse Mgt Dock Management (Milk Run) Management Support

• Overall • Dispatch to • Freight services • Consumption


OS&C • Dock Mgt dock traffic internal reporting
• Receiving control users • Customs issues
• Receiving • Stock replenishment
• Inspection (gate in/out)
FF&E • Storage • Warehouse • New vendor • Inventory planning
• Replenish & Storage • Advance support and management
Mgt booking
• Coordinate delivery,
system
Gaming RTV
•Supplier Quality
Management
Retail, &
other • Self-collect
• Pre-arranged
Users • Dock Mgt & dispatch
allocation

MICE

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© 2011 Marina Bay Sands PTE LTD
5 Locations Loading Docks over three levels
Level B04 Retail Dock Level B03
(South Podium)

Entry via
Bayfront Link RETAIL Dock
(North Podium)

MICE Dock Theater Dock

Level B02M

HOTEL Dock

Entry via
Sheares Link Level B01
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© 2011 Marina Bay Sands PTE LTD
Supply Chain Challenges

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© 2011 Marina Bay Sands PTE LTD
Infrastructure Challenges : Inbound Traffic

 Demand for Stock Keeping Units (SKUs), Orders


 27.5 % Increase in New SKU addition
requests in 2012 YoY
 200 % Increase in the # of Purchase Orders
between 2010 and 2013
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© 2011 Marina Bay Sands PTE LTDMarina Bay Sands PTE LTD
© 2012
Infrastructure Challenges : Inbound Traffic

 On an average 8500
Vehicles pass through
our gates every
month in 2012
through two entry
points.

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© 2011 Marina Bay Sands PTE LTD
Distributed and Limited Storage
Wh2 WH1
Floral
Veg

HOTEL Loading Trash


Dock
Linen B01 Hotel All Day B02 Warehouse :
warehouse:2000 sqft Locked
Doors 4000 sqft
Unusable
space due
to low
ceiling air
ducts

B04 Warehouse :
6000 sqft

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© 2011 Marina Bay Sands PTE LTD
Warehouse Complexity

Dry
Wine
Goods

Frozen Chilled

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© 2011 Marina Bay Sands PTE LTD
Supply Chain Initiatives @ MBS

Receiving TAT

Demand
Offsite F&B Food
Consolidation Safety Program

Traffic Storage

Dock Scheduling

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© 2011 Marina Bay Sands PTE LTD
Demand
Receiving Cycle Time : Lean 6σ
Traffic Storage

30% 33%
15% 17%
5%

22% improvement in cycle time by rebalancing resources to reduce idle times


and improving the inspection process
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© 2011 Marina Bay Sands PTE LTD
Demand

Dock Management: Load Balancing


Traffic Storage

Online
Dock Balanced Traffic
Scheduler

Entry Permit

Dock 1 Dock 2 Dock 3 Dock 4 Dock 5 HOTEL DOCK RETAIL MICE DOCK
Theater Total

 The online dock scheduling tool helps in traffic forecasting


and load balancing
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© 2011 Marina Bay Sands PTE LTD
Dock Management: Load Balancing
7-10am

Event
Perishables

Event
10-2pm- CC
Perishables

Regular

Regular

Regular
2-7pm-
Urgent
Orders,
Non Food

7pm -7am
Event –
Load ins

 Traffic analytics helps manage major event load ins and traffic
disruptions
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© 2011 Marina Bay Sands PTE LTD
Demand

Offsite Consolidation
Traffic Storage

Consolidation
Center
JIT Milkrun

Perishables and Urgent Orders

 Helps Augment the Storage Space by 5 times


 Reduces the traffic load at MBS
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© 2011 Marina Bay Sands PTE LTD
Food Safety and Hygiene

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© 2011 Marina Bay Sands PTE LTD
Food Safety and Hygiene Program

Supplier Receiving Food Food Served


Selection Preparation

Farm to Fork
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© 2011 Marina Bay Sands PTE LTD
Food Safety and Hygiene Program

Supplier
Quality Sands
Assessment Supplier
Delivery and Sustainability Awards
Receiving
Qualification Incident
and Audit Reporting

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© 2011 Marina Bay Sands PTE LTD
Delivery and Receiving Standards

Food Safety & Hygiene Consistent Receiving Food Quality


Checks Procedure, SOP Inspection Technique

Receive and Store Products Training

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© 2011 Marina Bay Sands PTE LTD
Safety and Hygiene Specifications

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© 2011 Marina Bay Sands PTE LTD
Food Inspection Techniques

See Smell Touch

FOOD CATEGORY CHILLED FROZEN LIVE


Vegetables / Fruits
Seafood
Meat
Ready To Eat
Dairy
Dry Goods
Beverages
Eggs
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© 2011 Marina Bay Sands PTE LTD
Corrective Action Request Process
Root Cause
Containment Analysis Remediation
1 . Isolate 1. Analyze 1. Implement
2. Sort and root cause corrective
Recall 2. Identify action
3. Replenish Corrective 2. Evaluate
Action 3. Control

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© 2011 Marina Bay Sands PTE LTD
Takeaways

Introduction Key
to Supply Initiatives to
Chain at tackle the
MBS challenges Q&A

Supply Chain Food Safety


challenges at and Hygiene
MBS Program at
MBS

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© 2011 Marina Bay Sands PTE LTD
Thank You!

Questions ?

Peter Woon
Marina Bay Sands Pte Ltd
Peter.woon@marinabaysands.com

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© 2011 Marina Bay Sands PTE LTD

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