Implementing Supply Chain Change
The team at ASCALi is adept at helping clients achieve change across their supply chain operations. In this case, the focus is on streamlining returns re-processing and accelerating product re-injection into the supply chain.
Challenge
The client business in this case study was a well known High Street FMCG retailer. The client’s supply chain had undergone a fairly radical overhaul, with the introduction of a new automated distribution centre at the heart of their revised supply chain operations. With the new solution came supply chain challenges about the handling and processing of products through the reverse supply chain for this organisation.
It was identified that to streamline supply chain operations there was a need to implement changes to the businesses reverse supply chain to introduce a new returns handling and processing centre. This processing centre most to be at a new facility not currently in the network, and two implement the solution there would be a requirement for a considerable level of change to supply chain IT infrastructure, operating processes, and interaction with retail estate.
Approach
ASCALi’s consultants Took full control of the implementation plan for this new solution. Our supply chain experts set up programme structure, and identified all responsibilities and accountabilities across abroad array of supply chain stakeholders. The objective was to ensure that all necessary parties were communicating at the right time on the right level to get the job done.
This approach did not require a large team of consultants to achieve the objectives. After the initial storming phase of the project consultancy support provided by ASCALi was kept to a minimum ensuring client cost was kept as low as possible.
Actions
Our team managed the evaluation and implementation process for this supply chain change. We worked with physical site operations leadership, IT leadership across a range of stakeholder parties, third party logistics service provider leadership, retail and commercial stakeholders.
All project communications lines and organisational flows were directed by our consulting team. Working parties were set up to control solution design and evaluation; IT requirements definition; operational readiness planning; physical fit out and installation; testing and go live preparations.
ASCALi’s consultants oversaw every stage of the process reporting frequently back to key stakeholders and the client business executive committee.
The Results
The returns processing centre went live on schedule and immediately enabled the business to start processing a backlog in customer and store returns that had previously built up. The support from the ASCALi team continued through post implementation review and support until the fledgling operation was fully integrated into the client’s overall supply chain.
The solution implemented has enabled the client to process in excess of 500,000 returns stock units, enabling clear disposition strategies for the stock to be implemented. Products assessed as fit for resale moved through the reverse supply chain back into primary warehouse for distribution. Other disposition routes welremanaged directly from the returns processing centre to prevent unnecessary handling and storage capacity challenges within the primary supply chain operation.