finest foods case study solution
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8/3/2019 Finest Foods Case Study Solution
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HEART of ENGLAND fine foods is the regional food group for the West
Midlands representing local producers.
HEART of ENGLAND fine foods (HEFF) consulted with 250 regional food
producers and conducted a survey with 100 current and potential customers
for regional food products to determine the demand for a consolidateddistribution initiative.
The initiative was developed in response to producer requests and an
understanding that the market required a less cumbersome solution to
working with smaller µlocal¶ food and drink producers.
How the issue was tackled
By consolidating deliveries from producers into a µone order, one delivery,
one invoice¶ system, the goal to save miles and take vehicles off the roads is
realised.
The partnership offers a more effective route to market for SME regional
food producers and a simple solution for independent and multiple buyers
whilst reducing administrative inconveniences for both parties.
By creating a network of satellite hubs, to coordinate shared deliveries and
backhauls into a central depot before consolidated orders are delivered to
the producers¶ shared customers, it brings savings in overall miles travelled.
Benefits and impacts
With a common customer profile the initiative has significantly reduced thenumber of deliveries and the associated administration, which has resulted
in securing and cultivating growth in sales for all producers.
The initiative consolidates customer orders so that goods are delivered in
one multi-temperature vehicle from almost 100 food and drink suppliers.
While the total miles saved by the initiative are unknown, HEFF conducted a
study on just two of the accounts over a six-month period and this showedsavings of 60,600 miles between the previous delivery methods where
suppliers worked independently.
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Other benefits include:
y For the participating producers and the buyers there is a considerablecost saving in the time associated with placing and processing orders,
the raising and payment of invoices and the delivering and receiving of
goods.
y The HEFF Delivery Service provides participating producers with a
telesales function to call customers for orders as well as taking on theresponsibility of invoicing. This more proactive approach has resulted
in growth of sales in some accounts.
Next steps
In the short term, HEFF continues work with more small, regional suppliers
to develop the range of producers available, adding further value to the
customer.
In the longer term, HEFF will continue to market the service to a wider
customer base on behalf of regional producers.
Whilst the current customers are predominantly retail, HEFF recognises thatthere is a huge scope in the foodservice sector.