One of the United Kingdom's largest speciality food trading groups had to reduce lead times and lower overall order cycle times - the services of KC Group Shipping consultancy team were employed to deliver the solution. The solution has allowed our client to optimise warehouse space and by providing a substantially improved supply chain cycle - deliver fresher product on a global scale.
Our client had concerns about the cycle of their supply chain, and initially worked with KC Group consultancy division to investigate its delivery process to a key overseas buyer based in New York, USA, with a view to identifying ways to increase efficiencies. The result of this review identified two main areas:
Reducing time taken to deliver product to USA Hotel Chains
Reducing transportation costs
The product was fresh salmon - freshly caught from northern Scotland which, once onshore, required immediate packing, transportation to UK Port Side and Shipping to New York. With a very limited life span the directive was simple – the supply chain cycle must be as short as possible from landing on shore in northern Scotland to landing on restaurant guests' plates in the hotels located in North America.
KC Group Shipping involvement from the earliest stages was essential in helping the project team develop a clearly defined solution with a solid return on any investment. From the outset it was imperative that the process met some key operating objectives that included;
24hour management and access to equipment in both countries.
Vehicles on standby awaiting immediate product availability.
24hour access to New York customs and port facilities.
Access to operational terminals outside standard working hours was a key challenge which required intense negotiations ensuring immediate access to each container and preventing unnecessary delays in handover.
Delivery schedules have improved on average by 17% and the product is more readily available to American Hoteliers as a direct result of cycle reductions. The benefits of such are the Supplier' cash flow has been improved by using the supply chain solution and increased responsiveness, constant availability of latest delivery schedule and order tracking visibility at all stages of the order process. In addition lead times have been reduced and the volume of orders has risen. As a result of more efficient and timely supply chain process, our client has raised both their sales revenues and profit.