Whitbread tightens supply chain
its steak supply chain has uncovered a new team-based approach to
customer satisfaction following the incorporation of Value Chain
Analysis (VCA) methods.
This is said to be the first time a foodservice company has carried out a supply chain analysis of this magnitude. It was delivered as part of the work of the Food Chain Centre and Red Meat Industry Forum, and involved processor Chitty Food Group and farmer Andrew Hodgson.
This VCA is the third of eight being carried out by the Food Chain Centre on behalf of the Red Meat Industry Forum, as part of the Lean Thinking Initiative. The results are set out in a case study published this week.
The team recommended the Perfect Steak Encounter (PSE) measure as a method of measuring consumer value throughout the Beefeater group of restaurants. The recipe for the PSE (%) = Availability (%) x Quality (%) x Cooking Performance (%). The measure brings together, for the first time, the three key elements of meat quality, cooking performance and product availability.
The group also identified an opportunity to make significant improvements to logistics, by eliminating top-up deliveries and roll-over stock. The results mean the steaks reach the restaurants in the freshest possible state with the maximum shelf-life available. The plan is being implemented as part of a series of system changes at Whitbread.
Deirdre Hutton, Food Chain Centre Chairman, said: "This case study shows how companies can work in partnership to improve efficiency and deliver better quality to the consumer. It supports our philosophy at the Food Chain Centre that by sharing best practice we can give farmers a better understanding of the issues faced by foodservice companies, and vice versa."
Peter Barr, Red Meat Industry Forum Chairman said: "We have a raft of work delivering change right up the supply chain. This work is delivering benefits where it matters, on the bottom line."
Andrew Hodgson of New Barn Farm explained "For the first time, I sat down not only with my customer, but with my customer's customer. Going through this process really helped me to understand what was wanted and why. I recommend this approach to any farmer."
The UK-based Food Chain Centre helps food manufacturers, farmers, caterers and retailers to identify maximum efficiencies for their supply chains. It specialises in the areas of fresh produce, dairy and red meat to provide benchmarking solution through a range of comprehensive measures that rely heavily on both strong communications and teamwork skills. In June 2003 the organisation received a UK government grant to help it drive efficiencies in the UK dairy sectory.
