SlideShare a Scribd company logo
If you don’t know
where you going,
you will probably
end up somewhere else.
Lawrence J. Peter
Educator and management theorist
Together influence
the biggest challenges
in supply chain
London – 6 June 2017
What to expect today?
• Who is Ben Boone
• Vision & why
• Challenges
• Co-creation on second placements
• Showcase
• Next steps
Who is Ben Boone?
Short bio
• 38 years old
• 2 kids (one boy of 2 years, one girl of almost 6)
• Will be living in the city of Mechelen, after 3,5 years of renovation
• Not a supply chain background, I am a bio engineer, specialised in forestry and nature
conservation with additional degrees in culinary arts and general management
• Working at Delhaize since 2009
What incentivizes me
• Always interested in learning something new
• Getting results
• Maintain a living planet for future generations
Delhaize
Belgium
Challenges
Delhaize background – Supply chain challenges
Growth of socially engaged consumption Mix of affiliates and store owned stores
Growth in choices and alternatives Pressure on asset optimization
Growth mainly in smaller store formats Cost inflation
Development of online channel in groceries Increasing level of centralization
Core requirements
Vision
Key strategic intents
E2E Cost
efficiency
De-
averaged
service
Capacity
aligned w/
demand
Reduce
environmental impact
Collaborate with key suppliers via integrated forecasting
Supplier consolidation and supplier DC co-location
Maintain national network
Increase DC automation
Increase customer friendliness
Offer modular delivery packages (standard + optional)
adapted to banner requirements
Drive Supply Chain by sales forecast
Cost efficient reverse logistic
Increase store efficiency
Improve On shelf availability
Improve customer satisfaction on availability, quality and
freshness
Suppliers
Inbound
DC
Network
Outbound
Stores
Customer
Creating a shared vision in co-creation
Why co creation
• not supplier vs. retailer
• Define a better solution
Context
• Review of guidelines for display in 2014
(weight, no more staples, no more glue, …)
• Desire to implement a more store
friendly solution
• Maintain a living planet for
future generations
Solution defined
• New display guidelines
• Move from static displays to display solution
on wheels, all provided by the one pool
provider selected by Delhaize
• Including traceability of displays
Challenges encountered
• Strong supplier opposition
• Long implementation time
• Sub optimal solution
Co creation
second placements
Supported by Participants
Shared vision & ambition
Value/effort matrix
Standard
Modular
Standardized
Display Collaboration
Projects
Reusable
Display
Digital
Display
Best Practice
Sharing
Geo Location
Display
Permanent
Fixed Unit
Cross Selling
Merchandising
Shared
value
Cost
Effort (time * costs)
Reusable
Standardized
Display
Teams
The market challenge
Create a second placement which meets the market needs:
• Reusable standard display
• Unique modular frame
• Easy setting up and compacting
• Fits every product range by format and weight
• Flexible communications
• Big Data & IoT Technology to gain new insight on supply chain, sales &
marketing
Proteus Smart Display
Movie
Next steps for Delhaize & the value chain
• Evaluate pilot results
• Define implementation plan together with all stakeholders in the market
• Define optimal supply chain for second placement solutions
(DSD vs. DC delivery)
• Explore integration of on shelf availability for promotions
Join the movement towards 85% of cardboard reduction
and create value for every stakeholder in the chain
Retailers &
Brand Owners
Chain Partners
Institutional
Partners
All these companies are actively involved in the co creation & roll out of Proteus.
Open innovation platform on
standardisation in the value chain
Steered by retailers & brand owners
Close collaboration with
supply chain & institutional partners
Strive for the lowest cost in
combination with the highest value
Shared ambition Movement:
Together, create a value chain that
is sustainable, social and valuable
for every stakeholder
We never lose.
Either we win,
or we learn.
Nelson Mandela
First black president of South Africa
Thank you for your invitation!
Meet me at the NeoGrid stand for further discussions!

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Challenges in Supply Chain

  • 1. If you don’t know where you going, you will probably end up somewhere else. Lawrence J. Peter Educator and management theorist
  • 2. Together influence the biggest challenges in supply chain London – 6 June 2017
  • 3. What to expect today? • Who is Ben Boone • Vision & why • Challenges • Co-creation on second placements • Showcase • Next steps
  • 4.
  • 5. Who is Ben Boone? Short bio • 38 years old • 2 kids (one boy of 2 years, one girl of almost 6) • Will be living in the city of Mechelen, after 3,5 years of renovation • Not a supply chain background, I am a bio engineer, specialised in forestry and nature conservation with additional degrees in culinary arts and general management • Working at Delhaize since 2009 What incentivizes me • Always interested in learning something new • Getting results • Maintain a living planet for future generations
  • 6.
  • 8. Challenges Delhaize background – Supply chain challenges Growth of socially engaged consumption Mix of affiliates and store owned stores Growth in choices and alternatives Pressure on asset optimization Growth mainly in smaller store formats Cost inflation Development of online channel in groceries Increasing level of centralization
  • 9. Core requirements Vision Key strategic intents E2E Cost efficiency De- averaged service Capacity aligned w/ demand Reduce environmental impact Collaborate with key suppliers via integrated forecasting Supplier consolidation and supplier DC co-location Maintain national network Increase DC automation Increase customer friendliness Offer modular delivery packages (standard + optional) adapted to banner requirements Drive Supply Chain by sales forecast Cost efficient reverse logistic Increase store efficiency Improve On shelf availability Improve customer satisfaction on availability, quality and freshness Suppliers Inbound DC Network Outbound Stores Customer
  • 10.
  • 11. Creating a shared vision in co-creation Why co creation • not supplier vs. retailer • Define a better solution Context • Review of guidelines for display in 2014 (weight, no more staples, no more glue, …) • Desire to implement a more store friendly solution • Maintain a living planet for future generations Solution defined • New display guidelines • Move from static displays to display solution on wheels, all provided by the one pool provider selected by Delhaize • Including traceability of displays Challenges encountered • Strong supplier opposition • Long implementation time • Sub optimal solution
  • 13. Shared vision & ambition
  • 14. Value/effort matrix Standard Modular Standardized Display Collaboration Projects Reusable Display Digital Display Best Practice Sharing Geo Location Display Permanent Fixed Unit Cross Selling Merchandising Shared value Cost Effort (time * costs) Reusable Standardized Display Teams
  • 15.
  • 16. The market challenge Create a second placement which meets the market needs: • Reusable standard display • Unique modular frame • Easy setting up and compacting • Fits every product range by format and weight • Flexible communications • Big Data & IoT Technology to gain new insight on supply chain, sales & marketing
  • 17.
  • 19.
  • 20. Next steps for Delhaize & the value chain • Evaluate pilot results • Define implementation plan together with all stakeholders in the market • Define optimal supply chain for second placement solutions (DSD vs. DC delivery) • Explore integration of on shelf availability for promotions
  • 21. Join the movement towards 85% of cardboard reduction and create value for every stakeholder in the chain Retailers & Brand Owners Chain Partners Institutional Partners All these companies are actively involved in the co creation & roll out of Proteus. Open innovation platform on standardisation in the value chain Steered by retailers & brand owners Close collaboration with supply chain & institutional partners Strive for the lowest cost in combination with the highest value Shared ambition Movement: Together, create a value chain that is sustainable, social and valuable for every stakeholder
  • 22. We never lose. Either we win, or we learn. Nelson Mandela First black president of South Africa
  • 23. Thank you for your invitation! Meet me at the NeoGrid stand for further discussions!