Edwin Wenink Programme Director Royal Flora Holland
CUSTOMER VALUE in the case of FLOWERS is in
The QUALITY of the flowers; delivering at minimum 7 DAYS of VASELIFE
An ACCEPTABLE PRICE LEVEL
SUSTAINIBILITY in the case of the DELIVERING of the product to the end customer
I would like to TALK in this MATTER about:
CO2 REDUCTION but also REACHABILITY of Cities LIFEABILITY
But before GOING INTO DEPTH, I would like to COME BACK to these FLOWERS
If we talk about the DUTCH CONTEXT,
Can you IMAGINE that these flowers could come out of 60 DIFFERENT COUNTRIES
And that these could be SUPPLIED by 4413 different GROWERS world wide and
That these growers are RESPOSIBLE responsible them selves of the SUPPLY of these goods to FloraHolland?
FloraHolland is a COOPERATIVE
The ownership lies with our 4.000 members, growers who own the company.
Members, Customers and Employees 4.000 members, 631 of them non-Dutch 2.439 customer 3.051 employees
FLORAHOLLAND offers a MARKET PLACE for these cooperatieve members to SELL their PRODUCT
And we EXPORT to 140 different countries
GERMANY is the most important, with an export value of 1.557 million in 2015
If you look at our TRADITIONAL SUPPLY CHAIN
This SC is UNABLE TO MEET the REQUIREMENTS set out on:
Price level Sustainability Quality
Airfreight is to expensive, to polluting And no quality control
Truck is also not optimal
So we NEEDED INNOVATION
So the question is:
How can we create CUSTOMER VALUE throughout the Supply Chain
Taking into mind 3 key drivers: PEOPLE PLANET PROFIT
And if the AMBITION is. A QUALITY PRODUCT with VASELIFE GUARANTEE A SUSTAINABLE Supply Chain An AFFORDABLE PRODUCT
We have to come up with NEW SOLUTIONS and INNOVATIONS for the future.
There for we needed to think OUT OF THE BOX
As EINSTEIN already said
WE CANNOT SOLVE OUR PROBLEMS WITH THE SAME THINKING WE USED WHEN WE CREATED THEM.
This is one of the REASONS why I have been very ACTIVELY SEARCING for NEW IDEAS OUTSIDE MY OWN SECTOR.
And that is why I am ALSO VERY EXITED that I can PRESENT HERE today.
P&G thinks ALIKE
THEREFORE we did SEVERAL PROJECTS: Rail Barge Deep Sea
All these innovations met our standards concerning People Planet Profit
THE RESULTS of these multi modal solutions are: A QUALITY PRODUCT meeting consumers EXPECTATIONS We are able to keep to product fresh CHEAPER and more SUSTAINABLE alternatives
But also More COOPERATION between STAKEHOLDERS A lasting MENTAL SHIFT
Here you can see the SAVINGS .
Perhaps for you NOT VERY NEW and NOT SO MUCH INTERESTING.
In our sector however these DEVELOPMENTS are a REVOLUTION.
TRANSPORT OF FLOWERS BY SEA???? Can this be DONE. -> SURE IT CAN!
But can you even IMAGINE the SCEPSISME we had to OVERCOME. -------- So by SHARING this with you. I wanted to STATE that INNOVATION in the Supply Chain CONTRIBUTED highly to DELIVERING VALUE to the customer.
But what I ALSO want to SHARE with you today is my LESSONS LEARNED.
INNOVATION and CREATING value in the supply chain can ONLY be ACHIEVED by: Technologic Innovation Proces innovation Social innovation / working together
Rest of my presentation I would like to go in MORE DEPTH on what I see as the BASICS of INNOVATION and as a NECESSITY for FUTURE.
First of all coming back to the SEA FREIGHT EXAMPLE
For ACHIEVING This INNOVATION in the SC
WE needed the RIGHT PARTNERS.
PEOPLE -> RIGHT KNOWLEDGE PEOPLE -> RIGHT ENERGY And PEOPLE who WANT INNOVATION to work
It is all about COOPERATION BETWEEN PEOPLE
And we had a WONDERFULL COOPERATION with a company you know well CHIQUITA
This and other PROJECTS gave me an IMPORTANT INSIGHT
PEOPLE and their WILLINGNES TO WORK TOGETHER, to CHANGE and to ADOPT to new INNOVATIONS make all the difference to bridge the gap between SUCCES and NO SUCCES
But the biggest lesson was: No INNOVATION without a MENTAL SHIFT or SOCIAL INNOVATION
Key Factor: you need to INVOLVE the PARTNERS and their EMPLOYEES
So INNOVATIONS is NOT ONLY: - having the right process - having the right technology It is more about having the willingness to change and adapt
My Secret weapons in doing the projects: KISS -> equipment -> infrastrucur, knowledge A clear concept Use of professionals and Involvement of the companies Understand -> same objective of goal Use of psychologist
Looking at the FUTURE,
I see a need for much MORE COOPERATION.
Not only the WILLINGNESS of PEOPLE to adapt, but especially the WILLINGNESS of COMPANIES to work together,
I feel this is most easily done in a NON COMPETITIVE ENVIRONMENT but it can also be done in a competitive environment.
As HAU LEE stated it.
“Instead of company to company competition, we are now in an era of supply chain to supply chain competition”
And how does this LOOK LIKE.
SHIPPERS should unite on a 5pl level!
DEVELOPING new concept, routes: finding out how to balance, bundel and synchronize transport flows.
Make clear what your business objectives are Make sure that you also organise this on a Strategic Tactical and Operational level.
So you have to discuss about Governance, pain and gain sharing, etc.
So very key in this matter is that shippers take full responsibility!!!! Shippers can not give this to a service provider, shippers have to do it themselves. And if shippers do not have the competences in house. They should hire people who have these competences.
This is the only way to get to the next level in logistics.
Do not ask what your service provider can do for your company, but ask yourselve what can you do for your service provider so that your services provider can perform the yob that you require him to do; executing an excellent Supply Chain.
The last thing I wanted to share with you today; our 10 lessons of succesfull collaboration.
This brings me to the end of my presentation:
Please keep in mind.
It is our mind which makes the difference!
So let us start working together and show shippers and people all over the world how cooperation and the adoption of Supply Chain innovations delivers true value end to end