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Goodman Fielder

GOODMAN FIELDER – National sub-contracted bakery delivery optimisation

COMPANY BACKGROUND

Goodman Fielder, Australasia’s leading listed food company, is one of the biggest bakery companies in Australia, delivering to 14,000 outlets throughout the country every day from a nationwide network of depots. It manufactures in multiple locations, and supports an intricate network of depot and interfactory trunking operations and local deliveries.

WHY THEY CHOSE US

  • The company uses independent contractors (all of them small local businesses) to do its final deliveries – a unique system that has brought major economies. In addition to the distribution work, the contractors handle merchandising and represent the company to retailers. National supply chain business analyst Paul March comments: “We incentivise them to work hard for us, and the results have paid dividends in cost savings and improved sales.”
  • However, the company was keen to take a good idea and make it even better. “We wanted to make delivery routes more sustainable for our contractors,” Paul March explains, “to ensure that they had an optimal mix of larger and smaller customers, and were using the right vehicle types.
  • Following a pilot exercise in Sydney and Melbourne using a basic in-house mapping application, the company saw that there was potential for major change. It therefore drew up a tender document and invited bids from a dozen solution providers on three continents, giving them real data to model so that their proposals would all be based on the same objective parameters.

WHAT THEY USE IT FOR

  • Goodman Fielder used a matrix of performance indicators to evaluate potential system suppliers. Most scored above 80 per cent, but Truckstops from CACI came out well ahead with a rating of 96 per cent, and was the company’s unmistakable first choice.
  • It then embarked on a wide-ranging project to streamline contractor operations, using the Geoconcept mapping and geographical information system with HERE streetlevel data. It was able to see customers visually differentiated by size and type and use this ability to map out territories.
  • It was also able to map traffic flows. Using features such as Geoconcept’s “find nearest” and isochrone travel-time calculations, it was able to re-balance territories, and even out the distribution load among contractors.
  • These structured delivery lists were then ready to pass to Truckstops to verify and produce viable delivery rounds with the best possible mix of customers.
  • The reports output by both Geoconcept and Truckstops delivered compelling evidence of the savings to be made by pursuing these new optimised territories.

BENEFITS

  1. Opportunity to optimise fleet size and mix.
  2. Reduction in mileage and fuel costs.
  3. More sustainable earnings for local delivery contractors.
  4. More efficient loading practices.
  5. Using line-haul carriers to make selected local deliveries.
  6. “Line-haul” (trunk) movements have also benefited. “We found that in some cases, our line-haul carriers could slot deliveries into an existing journey, freeing local contractors for other work” Paul March reports.

Further information

If you want to hear more about how CACI's Logistics expertise can help you, get in contact now on +44 (0)20-8568-7000

"This exercise has been a true paradigm shift for us. Truckstops has given us the ability to add science to our decision-making, helping us to make really good commercial decisions".

Paul March, National supply chain business analyst
Goodman Fielder
UK Headquarters
Kensington

Kensington Village
Avonmore Road
London
W14 8TS View Kensington office map

 

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Goodman Fielder