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June 2010
    www.ecraustralasia.org.au




Inside this issue:
                                   2010 ECRA Conference
201...
ECR Extra - June 2010
Winning with Promotions - improving promotional on-shelf
availability
Your input is vital

Improving...
ECR Extra - June 2010
Logistics Label Quality - industry investigation
ECRA has partnered with GS1 Australia to examine th...
ECR Extra - June 2010
Global Suite of Standard KPIs for Industry Developed
A global group facilitated by Global Standards ...
ECR Extra - June 2010
ACCC Report - Product Recalls
In a major report, the Review of the Australian product safety recall ...
ECR Extra - June 2010
ECR Australasia Board
The ECR Australasian Board comprises senior executive representatives from foo...
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ECR Australasia Newsletter (June 2010)

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Transcript of "ECR Australasia Newsletter (June 2010)"

  1. 1. June 2010 www.ecraustralasia.org.au Inside this issue: 2010 ECRA Conference 2010 ECRA 2010 Conference 1 Promoting Effectively and Efficiently to the Winning with 2 Shopper Promotions Product Recall Portal - 2 REGISTER NOW! GS1RecallNet Melbourne 21 to 22 October 2010 Logistics Label Quality 3 - industry investigation Registrations are now being taken for the 2010 ECRA Conference, ‘Promoting Effectively and Efficiently to the Shopper’. Loss Prevention 3 Promotions in Australia have become a major component of the marketing mix Global Suite of 4 resulting in volumes of sales on promotion dramatically increasing as retailers and Standard KPIs for suppliers alike have adopted a policy of using promotions to bring in new shoppers, and Industry Developed encourage shoppers to buy more volume and consequently use more product. Retail Ready Packaging 4 In an environment where the Australian consumer is demanding value, the big Toolkit question is how to make these promotions effective and efficient: an essential component to any proficient operating strategy moving forward. ACCC Reports - 5 Product Recalls Five great Reasons to Attend: Overseas Spotlight 5  Hear directly from your key trading partners, Coles Group, Woolworths Ltd and ECRA Board 6 Metcash Trading on critical elements of executing efficient and effective promotions that deliver benefit to all participants along the supply chain, Publications 6 including the shopper. Contact ECRA 6  Network and be part of exclusive consumer goods business environment.  Gain understanding and clarity on the key issues and challenges facing promotional effectiveness and efficiency and how now and in the future these challenges can be met with input from industry senior executives, academics, ECRA Website experts and specialists. The ECRA website  Learn about strategic concepts, latest thinking, shopper insights and industry priorities for your business to deliver and execute promotional excellence that contains, along with this will drive real business benefit. newsletter, information and presentations from  Bring home actionable insights for operating your business in a changed and ECRA projects, consumer led world reports and seminars. Download your copy of the conference program from the ECRA website. Don‟t miss We encourage you to out BOOK HERE. visit us at www.ecraustralasia. We look forward to welcoming you to the 2010 ECRA conference - „Promoting org.au Effectively and Efficiently to the Shopper’. ECRA supported by the Australian Food and Grocery Council Page 1
  2. 2. ECR Extra - June 2010 Winning with Promotions - improving promotional on-shelf availability Your input is vital Improving the availability of products on shelf provides a sizeable opportunity for both retailers and suppliers to better meet the needs of their customers and in doing so to maximise sales and profits. By increasing demand, promotional activities magnify and intensify the effects of supply chain challenges. To respond and deliver improved on-shelf availability on promotion, the industry is working together to find ways to maximise responsiveness and flexibility across the value chain. ECRA is conducting a survey to identify what is working, what isn‟t, where the pain points are and what could be done differently to improve promotional on-shelf availability with your key trading partners. By completing the industry survey you will be providing valuable insight into the current practices and future directions. Your input is vital! This is a crucial opportunity to review the impact of promotional execution and supply chain efficiencies. Responses to the survey are anonymous. Companies can submit more than one survey. Its success depends on comprehensive responses from the industry. Suppliers and manufactures are encouraged to complete the 10 minute survey on line http://www.surveymonkey.com/s/ ECRA_Promotional_OSA_Survey. Product Recall Portal - GS1 RecallNet COMING SOON A better way to manage recalls and withdrawals notifications in the Grocery, Liquor and Food Services sectors is on its way – GS1 Recallnet! What is GS1 Recallnet? GS1 Recallnet is a standardised, industry-driven communication tool enabling manufacturers, wholesalers and importers to share real-time product recall and withdrawal notifications with their trading partners in a secure and efficient manner. Based on the current ECRA notification form developed by the Australian Food and Grocery Council, this industry-driven online tool has been developed using industry best practices and according to the needs of Australian food and liquor businesses. What are the Benefits of GS1 Recallnet?  Provides a standard notification form and process for recalls and withdrawals allowing greater effectiveness & compliance  Uniquely identifies each notifications in the system, globally  Ensures that only authorized notifications are issued  Allows you to target which recipients receive notifications securely  Allows recipients to receive notifications immediately and respond to you  Enables recipient specific information to be provided  Complements and enhances existing industry notifications processes For further information contact Samantha Blake (samantha.blake@afgc.org.au). ECRA supported by the Australian Food and Grocery Council Page 2
  3. 3. ECR Extra - June 2010 Logistics Label Quality - industry investigation ECRA has partnered with GS1 Australia to examine the current level of compliance in the supply chain with Serial Shipping Container Code (SSCC) labels and their application. Why are SSCC‟s important?  SSCC labels provide vital information used to uniquely identify the pallet.  SSCC enables order and delivery tracking throughout the supply chain  Accurate SSCC labels facilitate speedy goods-in and put away processes.  Eventually the use of accurate SSCC will lead to automated goods-receiving. Recent audits have resulted in a reported industry non compliance to retail requirements of up to 48%. Of the 48% non conformance the top three causes were:  Incorrect label position 28.8%  No label in use 19.3%  Duplicated / Mismatch 14.8% A small working group is currently focussing on further understanding the root causes of error rate; a review guidelines and rules; and to develop best practice guidance for the industry. In the mean time manufacturing companies are encouraged to review their internal processes and procedures for SSCC label application. Further information is available from Samantha Blake (samantha.blake@afgc.org.au ) Loss Prevention The ECRA Loss Prevention Group has been developing information kits and tools for industry, some of which are due to be released in July. Two of these are:  The ECRA One Page Guide (OPG) to Shrinkage is a document designed to assist both retailer and supplier personnel in the development of their knowledge of the topics of Shrinkage and Loss Prevention. The OPG can be used in 2 ways. As a printed document it serves as a quick reference guide introducing some of the key concepts and facts in the areas of shrinkage and loss reduction. In electronic form on line, it provides links to a wide variety of documents and tools facilitating real world knowledge building and action planning for business partners.  The ECRA Role Specific Guides to Shrinkage are documents designed to assist both retailer and supplier personnel in the development of their knowledge of the topics of Shrinkage and Loss Prevention ECRA supported by the Australian Food – specifically as it relates to their functional role/job and to use when setting work plans to help address and Grocery Council shrinkage Shrinkage is a topic for which many people are stakeholders within their roles – whether they realise it or not! A person‟s role may be impacted by shrinkage as a result of their actions or the actions of others. Similarly, people may make decisions in their own roles that contribute to shrinkage impacts on other people‟s roles. Further information is available from John Cawley (john.cawley@afgc.org.au). Look out for both these initiatives on the ECRA Website in July www.ecraustralasia.org.au ECRA supported by the Australian Food and Grocery Council Page 3
  4. 4. ECR Extra - June 2010 Global Suite of Standard KPIs for Industry Developed A global group facilitated by Global Standards Management Process (GSMP), the pre-eminent worldwide collaborative forum where GS1 standards are built and maintained, has recently completed work on the development of Trading Partner Performance Management (TPPM). The TPPM provides comprehensive, unambiguous metrics and definitions which:  “represent diverse trading partner performance measurement requirements, including revenue, margin, market share, inventory, logistics, data quality, product quality, order management, invoicing and payment”, and  “are precise enough that independent companies working with the same underlying data will derive the same metrics result” Many commonly used KPIs and measures are included in the TPPM suite. These include:  Sales Growth (%)  Share (%)  Retail Item Gross Margin (%)  Retail Gross Profit Margin (%)  Service Level / Fill Rate (%)  On Time Delivery (%)  Finished Goods Inventory Cover (Days)  Sales Forecast Accuracy (%)  Out of Stock (%) A downloadable version of the TPPM document is available at the ECRA website www.ecraustralasia.org.au. Companies are encouraged to consider whether the TPPM measures could be adopted in their businesses, particularly if looking to establish new KPIs or revise calculation methods and/or terminology of current KPIs. Retail Ready Packaging Toolkit - Available for download Since the publication in 2006 of the Retail Ready Packaging – A Focus on Shelf Ready Packaging an Industry Toolkit significant changes have taken place in the Australian and New Zealand markets. Many of these factors have had a direct impact on the implementation and adoption of Retail Ready Packaging (RRP) solutions into the market. The updated Retail Ready Packaging Toolkit  addresses these current market issues  provides guidance on engagement and implementation, and  outlines standard specifications for the industry. ECRA supported by the Australian Food and Grocery Council Download your copy here. Supporting Organisations ECR Australasia would like to thank the following organisations for their ongoing support, along with all major Australian and New Zealand retailers and wholesalers.  Australian Food and Grocery Council www.afgc.org.au  New Zealand Food and Grocery Council www.fgc.org.nz ECRA supported by the Australian Food and Grocery Council Page 4
  5. 5. ECR Extra - June 2010 ACCC Report - Product Recalls In a major report, the Review of the Australian product safety recall system, released by the Australian Competition and Consumer Commission (ACCC) the effectiveness of current recall systems are analysed. Significant changes to the way in which consumers will be informed of product recalls have been foreshadowed. Click here to access the report. Overseas Spotlight Michael Luscombe Board Member of the Consumer Goods Forum The Consumer Goods Forum is an independent global parity-based Consumer Goods network. It brings together the CEOs and senior management of around 650 retailers, manufacturers, service providers and other stakeholders across 70 countries. The Consumer Goods Forum is governed by its Board of Directors, which includes an equal number of manufacturer and retailer CEOs and chairmen. Michael Luscombe, CEO Woolworths is a key retail representative on the Board. The Board provides a unique global platform for thought leadership, knowledge exchange and networking between retailers, manufacturers and their partners on collaborative, non-competitive issues. The Forum was created in June 2009 by the merger of CIES - The Food Business Forum, the Global Commerce Initiative (GCI) and the Global CEO Forum. Visit http://www.theconsumergoodsforum.com/ ECR Asia Pacific ECR Asia Pacific is calling for nominations for the ECR Asia Pacific Awards. The awards have been established to encourage cooperation and collaboration among trading partners, to recognise the efforts made in the ECR movement and stimulate sharing of learning. The key eligibility criteria includes  The project must support ECR Asia Pacific mission and objectives  It should be a new initiative or not yet presented at ECR Asia Pacific Conference  The project must involve collaboration and participation from both a retailer and supplier or logistics service provider in the pursuit of ECR best practice. For further information visit www.ecrasia.com The 12th ECR Asia Pacific Conference „Driving Sustainability of a Brighter Future‟ will be held at the Crowne Plaza Mutiara, Kuala Lumpur, Malaysia from October 4 to 6, 2010. The program has been released along with registration details which can be accessed at www.ecrap2010.org ECRA supported by the Australian Food and Grocery Council Page 5
  6. 6. ECR Extra - June 2010 ECR Australasia Board The ECR Australasian Board comprises senior executive representatives from food and grocery retailers, wholesalers and suppliers. The full membership of the Board is: Martin Drinkrow (Chair) Clorox Australia Pty Ltd Tristram Wilkinson Kimberly-Clark NZ Gary Tempany Metcash Trading Ltd Matt Swindells Coles Group Matthew Foster Procter & Gamble Australia Pty Ltd Kevin Jackson Sanitarium Health Food Co Gijs Faber Foodstuffs Auckland Ltd Dale Jordan National Foods Ltd Mark Payne Coca Cola Amatil Ltd Stephen Ray Nestle Australia Ltd Peter Elms Woolworths Ltd Katherine Rich, NZ Food & Grocery Council Murray Johnston Progressive Enterprises Ltd Alain Moffroid, Unilever Australasia Publications ECR Australasia publications are freely available to all AFGC, NZFGC, Board member companies and participating organisations. Available publications are listed below. Winning in January 2010 - improving product availability toolkit The On-Shelf Availability Improvement Road Map 2008-2009 Product Introduction and Delisting, improving the supply chain efficiency and effectiveness. Retail Ready Packaging - A focus on shelf ready packaging an industry toolkit. The On-Shelf Availability Challenge 2007-2008 How to Win in January - Improving service levels Accurate Product Measurement – Items and Trade Units within the Australia and New Zealand Grocery Industry 2006 Food and Grocery Industry Tracking Study A Guide to Collaborative Loss Prevention A Guide to Demand Forecasting within the Grocery Industry A Guide to KPI Development within the Grocery Industry The Profit Impact of ECR A Guide to Efficient Replenishment & Reducing “Stock Outs” Within the Grocery Industry Contact ECR Australasia How to join the AFGC Samantha Blake CEO, New Zealand Food & Manager, ECRA Grocery Council AFGC, NZFGC members and participating samantha.blake@afgc.org.au admin@fgc.org.nz retailers members can avail themselves free of John Cawley charge of the output of ECRA activities. Assistant Manager, PO Box 1925, Wellington 6001 ECRA New Zealand To join the AFGC please contact Patsy Dinnen john.cawley@afgc.org.au on 02 6273 1466 or patsy.dinnen@afgc.org.au. Ph: (64) 4473 9223 Fax: (64) 4496 6550 ECRA Secretariat Locked Bag 1 Kingston ACT 2604 Ph: (61 2) 6273 1466 Fax: (61 2) 6273 1477 Katherine Rich ECRA supported by the Australian Food and Grocery Council Page 6

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