Supply Chain Issues

As I write there is more snow forecast for this week – let’s hope not!  We and other businesses are counting the cost of the terrible two weeks since the New Year.  Whilst some retailers have benefitted from the bad weather by being the only local shop that customers could get to, the majority, I suspect, have lost varying amounts of money in 2010.  Even Tesco has admitted losing £250m in revenue and Ocado were 5% down.  I think independents generally will be in more deficit than this.   However, let’s put it behind us, look forward, hope for better weather and that customers who haven’t been out much will have more cash in their pockets to spend in our tills.

What has been interesting over the last two weeks is the dedication of some staff in getting the job done.  There have been some home delivery drivers who have used their own 4 x 4s to get deliveries done.  Many of our staff have shown the same commitment, so it is a pity that many of our suppliers who rely on third parties to deliver their goods to us on pallets haven’t had the ability to keep their customers stocked up with product in the bad weather.  In fact, reflecting on just how bad some of the service is that we get from some of our suppliers.  It is impossible for us to give good service to our customers, when the lackadaisical attitude shown by some of our suppliers beggars belief.  Promised delivery dates are ignored, products arrive with short shelf lives and orders arrive incomplete – and some suppliers claim that they never make any mistakes! Astonishing!

As a fine food distributor we are dedicated to maintaining the highest service levels. Because the problem is not getting any better, we have now created a new position of “Supply Chain Manager” – mainly to ensure our suppliers give us as good service as we are aiming to give our customers.  If independent retailers are to maintain the growth they have experienced over the last few years we must get more professional and slicker in our supply chains.