Supplier Information Pack

SUPPLIER
INFORMATION
PACK
ALDI SUPPLIER INFORMATION PACK 2
Welcome
to Aldi
The following document provides a guide for
new suppliers about the history of Aldi – how
we started, our growth and plans for the future.
Contents
Overview 4 Account management 15
Our philosophy 5 Terms & Conditions 17
Our journey so far 6 Administration 21
Who’s who in Aldi? 8 The supply chain 23
Pre-tender. Tender. Launch! 11 Quality & CR 25
Product life-cycle 12
Artwork & packaging 13

Overview
Our store model is built on creating efficiencies

at every level – from store construction, to
Every aspect off
distribution, to the specific products we stock.
our operation has
haas
Our success shows we are as much a philosophy
been rethought
htt
as we are a supermarket.
d to
and reinvented t
Every aspect of our operation has than 700 stores in the UK and over maximise the quuality
quality
been rethought and reinvented to 120 in Ireland.
Ir By focusing on the
tss
of our products
maximise the quality of our products integrity of our business plan and
and savings for our customers. the satisfaction of our customers, orr
and savings for
employees and partners, we’ve our customerss
We began our UK operation in 1990 become the nation’s leading
with our first store in Stechford
discounter
nter and the fifth largest
in the West Midlands. Since then,
supermarket
rmarket with a 7% share of
we’ve grown into a multi-billion the market.
pound retail business with more
Our philosophy
Our unique business model

enables us to provide the highest
quality products at the lowest
possible prices.
This value stems from the numerous efficiencies

and innovations we’ve introduced at every level
of our operation.
Our stores offer our customers over 1,800 of the most

commonly purchased fresh and ambient products,
in a smaller, more manageable environment
designed with sustainable, long-term savings
in mind.
Our journey so far

(or a ‘potted history’!)
1914 1954 1962 1967 1990 1999 2017 2022

Anna Albrecht They opened their “Albrecht Discount” More than 200 Aldi Opened our first Opened our first Aldi becomes Aldi to have opened
opened a small first self-service was shortened South locations. store in the UK. store in Ireland. Britain’s fifth biggest its 1,000th store in
food store in store – a first to Aldi. supermarket. the UK by 2022.
Essen, Germany. in Germany.
Newest region in
By 1948, her sons Cardiff opens.
took over the
business and
expanded to
four locations.
ALbrecht + DIscount ALDI

Where you’ll
find us… 700+
UK stores
120+
Ireland
Bathgate
Bathgate
stores
Darlington
Darlington
2
Ireland
Bolton
Bolton Goldthorpe
Goldthorpe
9
distribution UK regional
centres Naas
Naas Neston
Neston distribution
centres
Atherstone
Atherstone
Mitchelstown
Mitchelstown
Cardiff
Cardiff
Swindon
Swindon
Chelmsford
Chelmsford
1000
stores
by 2022
Who’s who in Aldi?

Buying
Our UK Buying Office is based in Our Buying Directors report to a

Atherstone, Warwickshire. We also Group Buying Director who is your
have a separate Scottish Buying “Senior Buyer” under the terms
Our Buying Directors
Office based in Bathgate, whose of The Groceries Supply Code of are supported by
focus is to source locally produced Practice (GSCOP) in the UK. Buying Assistants,
products for selling in our
Before we agree a supply
who will handle
Scottish stores.
agreement (contract) with you, your day-to-day
In Naas, County Kildare, we have our we will send you our Terms & enquiries
Irish Buying Office that concentrates Conditions of Purchase along
on buying Irish produced products with all supporting documents.
and products that are more suited to This will include the contact details
the Irish market than the UK. of our Trading Departments who are
responsible for placing day-to-day
Each of our Buying Directors are orders and maintaining availability
responsible for a number of product for our stores.
categories. They are supported by
Buying Assistants, who will handle
your day-to-day enquiries.
Trading
Each of our Regional Distribution Centres
has a Trading Department headed up by
a Trading Director.
Each Trading Director has numerous The Trading and Buying teams
Trading Assistants reporting to them work closely together to ensure
who are responsible for placing our forecasted volumes are as accurate
daily orders with you, confirming as possible and to discuss any
delivery times and handling any challenges that may occur.
delivery queries you may have.
Pre-tender. Tender. Launch!

“The Right Product at the Right Price”
STAGE
NPD & Market

Pre-tender Tender Buy & Deliver Launch
Opportunities
1 New Idea 1 Scope out market/ 1 Create tender and 1 Award business 1 Go live
2 Refresh existing Competitive set issue to supply base 2 Engage design agency 2 Monitor performance
2 Scope out supply base 2 Communicate benchmark and Technical Service
GOAL
3 Quality/Cost improvement 3 Review performance

3 Establish product 3 Tender sample Provider (TSP)
4 Discontinue lines/gap fill
“must haves”
4 Determine benchmark
• Range analysis to • Identify: • Tender sent via Aldi • Supplier confirmed • Fixed date review
highlight issues - the opportunity Tendering Platform • Design and artwork • Review:
• Market data to - the market position • Final product/ process starts: - week 1 sales
highlight trends - commodities position supplier selected - artwork sign off - month 1 sales
- the benchmark - technical sign off
• Full competitor review • Fit for use/ • Provide performance
- the product specification
TASK
to identify gaps benchmark testing • Full product approval update

- merchandising
• Supplier info to highlight - case mix including production • Regional feedback
New Product Development - design elements samples and technical file
• Customer service feedback
NPD/specification • Inspection at source (non-
• Set out goals/objectives
improvements food special buys only)
• Retrieve initial commercials
• Regional communication
Packaging Service Provider Buying Director
Who’s
Technical Service Provider Buying Assistant
Project Manager involved
Supplier in the QA Department
product
Packaging Specialist life cycle? Technical Service Provider
Advisory Assistant
Designer Photographer
Artwork &
packaging
Technical Service Provider What is the Brand/

generates clearance Packaging benchmark?
to supply (CTS)
Final Colour Accurate Design stage 1/2/3 =
Proof (CAP) approved Design, Buying Director approval
1st artwork amendsÎBuying

artwork and Buying Assistant raises
Director, Supplier, Technical
Service Provider approval
packaging – Product Advice Sheet (PAS) –
include all product claims
1st artworkÎBuying the process Service Provider
Director, Supplier, Technical generates critical path
Service Provider approval and sends to supplier
Technical Service Provider Supplier to complete electronic

generates pack copyÎBuying specification (eSpec) including
Director approval all nutritional, Corporate
Responsibility (CR) and
cooking information
Account
management
Account management
To assist Aldi in an efficient manner, we appreciate the
following qualities in our supplier Account Managers:
Familiarisation with Taking Responsibility and

Proactive Not Reactive Meeting Deadlines
Aldi Procedures Accountability for Supply Issues
• Who’s Who (responsibilities) • Inform Buying of availability • Sample requests • Ensure availability through
issues in a timely manner proactively monitoring Aldi
• Pre-tender/Tender/ • Pre-tender/Tender
stock holding at platforms
Sampling timescales • New product development
• Design Agency and Technical
• Goods Receiving Guidelines • Provide regular updates on retail Service Provider critical path
activity within the market
• Design Agency and Technical • Regional booking slots
Service Provider process
Product Development (NPD)

Communication to be In-depth Category Knowledge Accessibility During and in line with the Market,
Clear and Concise and Provision of Market Data Outside of Working Hours Understanding Our Business
Strategy
• Provide regular market data • Providing an emergency
contact for out of hours
• Responding to requests
in a timely manner
Terms
& Conditions
Terms & Conditions

& Ancillary
Documents
Aldi asks all new suppliers to sign The Terms also incorporate the
up to its Standard Terms and Groceries Supply Code of Practice,
Conditions for the Purchase of the Irish Regulations and the Bribery
Goods and the associated Ancillary Act 2010. In addition to the Terms
Documents. These will be sent to and Conditions, you will be asked
you by the Buying Department at to review a number of Ancillary
the beginning of the new supplier Documents which provide more
process. Aldi’s Terms and Conditions detail on the day-to-day policies
lay out how Aldi does business with involved in supplying goods to Aldi.
its suppliers on the ground.
Document Register
Program (DRP)
Document Register Program (DRP) is used to
e-mail all official documentation to suppliers.
All of the e-mails you receive will come from the DRP e-mail address:
document.register@aldi.co.uk
Some examples of documents you can expect to receive from the DRP are:
• Terms & Conditions and Ancillary Documents

• GSCOP Documents
• Aldi’s Quarterly Supplier Bulletin
• Christmas and Easter Delivery Windows
• Supplier Guidelines for our Corporate Responsibility
Groceries Supply The Groceries Supply Code of Practice (GSCOP) came into
force on 4th February 2010. It applies to all retailers with
Code of Practice grocery sales over £1 billion and ensures that retailers
deal with their suppliers fairly and lawfully at all times.
(GSCOP) Aldi takes pride in its compliance with the code, ranking as the best
performing supermarket for compliance for the e fourth year running.
ru
Aldi employees who have regular contact with suppliers receive GSCOP
All
training on a yearly basis and regular meetings are in place between

The Groceries Code Adjudicator (GCA) and Aldi to ensure our continued
compliance with the Code. Aldi sends its GSCOP newsletter to all suppliers
twice a year, explaining any changes to
o thecode as well as updates on Aldi’s
performance in the yearly GCA Survey.
Administration
Electronic Funds
Transfer/BACS Invoicing Orders & Invoicing
Aldi prefers to pay its suppliers As a supplier of Aldi, you can expect We work with our supply base to
electronically. Enclosed in your to be invoiced for all reasonable ensure all orders are provided in a
new supplier pack, you will receive costs, fees and expenses properly timely manner to enable availability.
an invoicing information form incurred in relation to the supply You will receive orders and will
which you will need to complete agreement (contract) and product, be asked to invoice for delivered
and return. Once the setup is this can include product design, products using Electronic Data
complete, your invoices will be packaging design, artwork, product Interchange (EDI). We offer our
paid electronically with the funds testing, etc. suppliers the option to integrate
released on the due date. The funds our EDI solution or, for those
can take up to three working days ALDI’s nominated brand suppliers who trade less frequently,
to clear. management team and technical to use our Web EDI solution.
service provider will invoice you,
the supplier, directly upon If you have any questions
completion, of design, artwork related to EDI, please contact
and product testing. EDIcoordination@aldi.co.uk.
The supply chain

Availability Deliveries Logistics

At Aldi, availability is paramount. At Aldi, we are continuing to We work with our supply base to
With only 1,800 SKUs in our range, develop our estate as our business ensure that they have an efficient
not having stock on the shelf for grows from strength to strength. and cost-effective delivery solution
even a day can make the difference In the UK, we
e have ten RDCs when working with Aldi. Whether
for customers being able to pick up including eCommerce and two in that is using your own logistic
their full shop or not. That can affect Ireland. You will be asked to deliver partners or Aldi’s preferred primary
our customer satisfaction, our sales seven days a week to an agreed network – there is a simple solution
and our reputation. That’s why we Minimum Order Quantities (MOQ) if for all your products, no matter
take availability so seriously. you supply. where they come from in the world.
Regional
Quality Control Communications Questions
Our Regional Quality Control teams Continued engagement and If you have any concerns, queries or
are on hand to ensure that only the communication is at the heart of what need any support with developing
finest produce and highest quality we do. Working with our Corporate the right solution in your supply
products make it to our stores. This is Logistics Team, we can ensure that chain then please ask your Buying
the final check before the products you have the right information when Director to put you in contact with
leave the RDC. starting your journey with Aldi; if our Corporate Logistics Department.
it’s challenges with case mixing to
getting the product to the right port -
they have the expertise you need to
deliver these requests.
Quality & CR
Quality & CR: food

Aldi is committed Ethical Sourcing Certification Requirements
to maintaining the Aldi is committed to human rights and fair labour
for Site Manufacture
highest quality practices throughout our supply chain. We expect
You will be requested to provide the following:
of materials and all suppliers to comply with the Social Standards
in Production contained within Aldi’s Corporate • All sites of manufacture producing Aldi brand food
production processes. Responsibility Principles and to adhere to all products must be certificated to a Global Food Safety
It fully expects that requirements of the Aldi UK and Ireland Social Initiative (GFSI) benchmarked scheme, e.g. British Retail
this commitment is Monitoring Programme (SMP). Consortium (BRC) Global Standard for Food Safety
followed throughout • If your site of manufacture, packing or bottling

Product Specification does not have certification to a GFSI scheme, please
its supply chain. As a inform your Aldi Buying Director immediately
Product specifications are captured in an Electronic
socially responsible Specification (eSpec) system managed by the TSP on • GFSI certification in English
company, it is of critical behalf of Aldi. Product specification information must
• GFSI audit report in English
importance for Aldi to relate to the site of the manufacturer. Information
must be accurate as this will be used to generate pack • Site manufacturing details
know that our products copy & substantiate product claims. • Site packing details
are safe for our (if different to the manufacturing site)
consumers. • Certificate must be within scope and
valid for manufacture
Quality & CR: food

Clearance To Supply (CTS) Aldi Polices Product Testing
The CTS is issued once the TSP is Suppliers must comply with all Aldi has a comprehensive product
satisfied that: relevant Aldi policies. It is the testing due diligence programme.
supplier’s responsibility to make Products are tested for compliance
• The site of manufacture meets sure they familiarise themselves with the agreed specification and
Aldi certification requirements with our policies and in turn brief legality at first production and whilst
• Legal requirements and Aldi their manufacturing sites. on sale. You must provide product
policies are complied with samples from first production for
• The product is supported by an
Costings testing by the Technical Service
approved specification Provider. You will be notified of any

Costs for approval and due
issues identified during the product
• Artwork is approved. The CTS will diligence will need to be met by testing due diligence programme.
be valid for a defined period you, the supplier.
Quality & CR: non-food & textiles

Aldi is committed Ethical Sourcing
to maintaining the Aldi is committed to human rights and fair labour
highest quality practices throughout our supply chain. We expect
of materials and all suppliers to comply with the Social Standards
in Production contained within Aldi’s Corporate
production processes. Responsibility Principles and, where relevant,
It fully expects that to adhere to all requirements of the Aldi UK and
this commitment is Ireland Social Monitoring Programme (SMP) and
Detox Commitment.
followed throughout
its supply chain. Supplier Approval
As a socially A Technical Service Provider (TSP) working on
responsible company, behalf of Aldi will contact you, the supplier, and
it is of critical request all relevant information relating to your
product. All suppliers must receive a Clearance
importance for Aldi To Supply (CTS) for each product before supply to
to know that our Aldi starts. New suppliers and/or production sites
products are safe for are subject to an Aldi approval audit.
our consumers.

Product Specification
• Complete and submit Supplier Questionnaire: Non-Food & Textiles
• TSP receives a Product Advice Sheet (PAS) from Aldi UK. TSP will provide
details of the product approval process and critical path and any applicable
quality manuals
• TSP will contact the supplier and request the following (this may vary
depending on product):
– Product specification - to also substantiate product claims
– Artwork
– Component List (Critical & Internal)
– Risk analysis - Hazard And Risk Management System (HARMS) and
Hazard Analysis and Critical Control Points (HACCP)
– Copy of instructions and user guides
– Warranty/guarantee details
– Physical sample of product
– Factory Quality Management Systems (QMS) / quality controls
– Any existing testing certificates (dated within 1 year of submission)

The CTS will be valid for a defined
Certification Clearance to Supply Costings
period. Where an Final Random
Requirements The TSP will confirm Regulatory Inspection (FRI) is performed and Costs for approval and due
for Site Manufacture Requirements and any non the result is acceptable, the TSP will diligence will need to be met by
conformance in the documentation issue the CTS for you to ship the you, the supplier.
Supplier manufacturing sites must supplied. The CTS is issued once the product.
comply with Aldi technical audit TSP is satisfied that: Product Testing
** Please note the Final Random Inspection (FRI)
requirements for all commodity
will be performed at the site of manufacture.
groups for non-food core/hard lines • The site of manufacture meets Aldi Any products submitted may be
and textiles. certification requirements subjected to ongoing performance
Aldi Policies
testing and evaluation.
• Legal requirements and Aldi
Suppliers must comply with the
policies are complied with
relevant Aldi policies. It is the
• The product is supported by supplier’s responsibility to make
an approved specification sure they familiarise themselves
and meets all relevant quality with our policies and in turn brief
performance requirements their manufacturing sites.
• Artwork and instruction manuals

are approved
For more information, please visit our supplier website at:
https://aldisuppliers.co.uk

Supplier Information Pack

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SUPPLIER

Our philosophy 5 Terms & Conditions 17

Our journey so far 6 Administration 21

Who’s who in Aldi? 8 The supply chain 23

Pre-tender. Tender. Launch! 11 Quality & CR 25

Artwork & packaging 13

Our store model is built on creating efficiencies

Our unique business model

This value stems from the numerous efficiencies

Our stores offer our customers over 1,800 of the most

Our journey so far

1914 1954 1962 1967 1990 1999 2017 2022

ALbrecht + DIscount ALDI

Who’s who in Aldi?

Our UK Buying Office is based in Our Buying Directors report to a

Pre-tender. Tender. Launch!

NPD & Market

3 Quality/Cost improvement 3 Review performance

to identify gaps benchmark testing • Full product approval update

Packaging Service Provider Buying Director

Technical Service Provider What is the Brand/

1st artwork amendsÎBuying

Technical Service Provider Supplier to complete electronic

Familiarisation with Taking Responsibility and

Product Development (NPD)

Terms & Conditions

• Terms & Conditions and Ancillary Documents

training on a yearly basis and regular meetings are in place between

The supply chain

Availability Deliveries Logistics

Quality & CR: food

followed throughout • If your site of manufacture, packing or bottling

Quality & CR: food

approved specification Provider. You will be notified of any

Quality & CR: non-food & textiles

Quality & CR: non-food & textiles

Quality & CR: non-food & textiles

• Artwork and instruction manuals

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