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Name:HaithamMohamedIbrahim
Sub.:DistributionChannels
WARBURTONS
Q1-Give examplesofhow value is added to warburtons products
Value added isthe difference betweenthe costof inputswhichgointomakingthe productand
the price that consumers are willingtopay.
Througheach of the stagesinthe supplychainorganizationslikeWarburtonsworkhardto be
distinctive andaddvalue.
Value is addedin a numberof ways, for example:
1. convertingwheatintofinishedbakedgoods
2. packagingthemina way that keepsthemfresh
3. deliveringthemtoplacesthatare convenientforthe consumerstopurchase from
4. usingsustainable methodsandmaterials
5. Havingthe trustedWarburtonspremiumbrandname.
Q2-Explainhow one firm can contribute to the primary, secondaryand tertiary sectors within
the same supply chain?
Primary sector
Linking with farmers to produce the finest grain
Secondary sector
Milling of flour and the craft and sciences of baking
the bread
Tertiary sector
From bakeries across the country, delivering
the bread and providing services for retailing
in order to meet customer needs
WarburtonsCompanyhas a strongsupplychainproductionsystem, the chainof productionsees
a differentmove throughthe 3sectorsof industry.
1- Primary sector
Thisis concernedwithnatural resourcesandthe extractionof raw materials.ForWarburtons,
thismeansworkingwithfarmerswhogrow the grainthat is requiredtomake itsbreadand
bakeryproducts.
2- Secondary Sector
Thisinvolvesthe manufacture orrefiningof goodsfromthe raw materialsobtainedinthe
primarysector.The millerswhoturnthe grainintoflourbelongtothissector,asdo activitiesof
the Warburtonsorganizationasit usesscience andtechnologytocreate the products
consumerswant.
3-The tertiary sector the third one, this is where servicesare providedtobusinessesand
consumers.The distributionof Warburtonsproductsfallsintothissector,asdothe services
providedtoretailersbythe organization.
Q3- Analyze how a manufacturing can ensure suitabilityin its supplychain?
The basisof Warburtonssustainable supplychainistoprovide 'qualitywithoutcompromise'.
Warburtonshas takena sustainable approachtorunningthe businessineachstage of supply
chainprocess
Primary sector:
Throughoutthe manufacturingprocess,sustainabilityandefficiencyare importantprinciples.
For example,
1. More than 95% of wheatforWarburtonscomes fromestablishedsources.
2. Workingwithfarmershelpstocreate the bestvarieties forWarburtonsbread.
3. It alsomeansthat Warburtonscan work withfarmerse reduceduse of fertilizers.
4. In itsaimto developlong-termsustainable relationshipswithitsfarmers,Warburtons
preferstopay a little more foritswheatto ensure high qualityconsistentsupplyof
materials.
Secondary sector:
1. Wheatis shippedtothe portsclosesttothe mills.The millsinturnproduce flourfor
theirclosestbakeries.Thisreducestransportcostsandhelpstocreate a responsible
supplychain.
2. Improvingenergyefficiencythroughincreasedoveninstallationandgasburnersthat
shutdownautomaticallywhenproduction stop.
3. Investigatingthe use of alternativeandrenewable source of energy
Tertiary sector
inthisstage to reduce itscarbonfootprint,Warburtonsusessoftware totrackdeliveryroutesto
ensure thattheyare as efficientaspossible.Italsomakesdeliveriesatdifferenttimesof the day
to avoidmuchof the congestiononthe road and save a substantial amountof fuel.
Q4- Discuss weather managing the supply chain responsiblyimprove customersatisfaction?
Definitelymanagingthe supplychaineffectivelyandefficiencywill leadtoimprove customer
satisfaction
The basisof Warburtonssustainable supplychainistoprovide 'qualitywithoutcompromise'.
It feelsithasa responsibilitytocontinue todeliverfresh,greattastingandhighqualityproducts.
As itsproductsdependonusingthe bestingredients,aclose involvementwithitsfarmersis
essential.
By workingwithfarmers,Warburtonscanspecifythe typesandvarietiesof wheatthatare
grown.Thishelpstoensure thatthe qualityof breadismaintained.ItalsohelpsWarburtonsto
bake breadthat is consistentintaste,softnessandfreshness.
Also,usingtechnologiesformixingandkneadingthe doughhelpstomake itmore elasticto
create the perfectloaf. Breadneedstoarrive withconsumersinperfectcondition.
The appearance and qualityof the packagingisimportant.Thishelpstocreate the standards
that shoppersexpect. Qualitytargetsare settoensure thatbakeriesbake the bestbreadevery
time.
Supporting retailersto increase customersatisfaction
Warburtonscustomersare retailers.These maybe large supermarketsorsmall local
independentshops.Providesthemwith marketresearchdata. Thisdata informsthemof selling
trendsand buyinghabits.Thisenablesthemtopredictthe week-by-weekstocklevelsthey
require.Italsohelpsthemtoallocate appropriate shelf space forproducts.
Warburtonsalsoprovidesretailerswithawide varietyof productsincludingloaves,rollsand
crumpets.Thisenablesthemtoofferconsumersgreaterchoice andmeettheirdemandsfor
differenteatingoccasions,suchasforsnacks,breakfastandlunch.
A bakeryisnot justaboutbaking. For Warburtons,managingitsbusinessinvolvestaking
responsibilityformanagingthe whole supplychain.Itdoesthisbyworkingwithfarmersand
supportingthemastheyplantthe seedsonfarmswithinthe UK and Canada.It alsoworkswith
millers.
Finally,itprovidesdistinctprofessional servicesthathelpretailerstoruntheirbusinessesmore
efficiently.The endresultisthe satisfactionfeltbyconsumersastheyfinish the lastcrumbson
theirplates.

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Warburtons Case Study

  • 1. Name:HaithamMohamedIbrahim Sub.:DistributionChannels WARBURTONS Q1-Give examplesofhow value is added to warburtons products Value added isthe difference betweenthe costof inputswhichgointomakingthe productand the price that consumers are willingtopay. Througheach of the stagesinthe supplychainorganizationslikeWarburtonsworkhardto be distinctive andaddvalue. Value is addedin a numberof ways, for example: 1. convertingwheatintofinishedbakedgoods 2. packagingthemina way that keepsthemfresh 3. deliveringthemtoplacesthatare convenientforthe consumerstopurchase from 4. usingsustainable methodsandmaterials 5. Havingthe trustedWarburtonspremiumbrandname. Q2-Explainhow one firm can contribute to the primary, secondaryand tertiary sectors within the same supply chain? Primary sector Linking with farmers to produce the finest grain Secondary sector Milling of flour and the craft and sciences of baking the bread Tertiary sector From bakeries across the country, delivering the bread and providing services for retailing in order to meet customer needs
  • 2. WarburtonsCompanyhas a strongsupplychainproductionsystem, the chainof productionsees a differentmove throughthe 3sectorsof industry. 1- Primary sector Thisis concernedwithnatural resourcesandthe extractionof raw materials.ForWarburtons, thismeansworkingwithfarmerswhogrow the grainthat is requiredtomake itsbreadand bakeryproducts. 2- Secondary Sector Thisinvolvesthe manufacture orrefiningof goodsfromthe raw materialsobtainedinthe primarysector.The millerswhoturnthe grainintoflourbelongtothissector,asdo activitiesof the Warburtonsorganizationasit usesscience andtechnologytocreate the products consumerswant. 3-The tertiary sector the third one, this is where servicesare providedtobusinessesand consumers.The distributionof Warburtonsproductsfallsintothissector,asdothe services providedtoretailersbythe organization. Q3- Analyze how a manufacturing can ensure suitabilityin its supplychain? The basisof Warburtonssustainable supplychainistoprovide 'qualitywithoutcompromise'. Warburtonshas takena sustainable approachtorunningthe businessineachstage of supply chainprocess Primary sector: Throughoutthe manufacturingprocess,sustainabilityandefficiencyare importantprinciples. For example, 1. More than 95% of wheatforWarburtonscomes fromestablishedsources. 2. Workingwithfarmershelpstocreate the bestvarieties forWarburtonsbread. 3. It alsomeansthat Warburtonscan work withfarmerse reduceduse of fertilizers. 4. In itsaimto developlong-termsustainable relationshipswithitsfarmers,Warburtons preferstopay a little more foritswheatto ensure high qualityconsistentsupplyof materials. Secondary sector: 1. Wheatis shippedtothe portsclosesttothe mills.The millsinturnproduce flourfor theirclosestbakeries.Thisreducestransportcostsandhelpstocreate a responsible supplychain. 2. Improvingenergyefficiencythroughincreasedoveninstallationandgasburnersthat shutdownautomaticallywhenproduction stop.
  • 3. 3. Investigatingthe use of alternativeandrenewable source of energy Tertiary sector inthisstage to reduce itscarbonfootprint,Warburtonsusessoftware totrackdeliveryroutesto ensure thattheyare as efficientaspossible.Italsomakesdeliveriesatdifferenttimesof the day to avoidmuchof the congestiononthe road and save a substantial amountof fuel. Q4- Discuss weather managing the supply chain responsiblyimprove customersatisfaction? Definitelymanagingthe supplychaineffectivelyandefficiencywill leadtoimprove customer satisfaction The basisof Warburtonssustainable supplychainistoprovide 'qualitywithoutcompromise'. It feelsithasa responsibilitytocontinue todeliverfresh,greattastingandhighqualityproducts. As itsproductsdependonusingthe bestingredients,aclose involvementwithitsfarmersis essential. By workingwithfarmers,Warburtonscanspecifythe typesandvarietiesof wheatthatare grown.Thishelpstoensure thatthe qualityof breadismaintained.ItalsohelpsWarburtonsto bake breadthat is consistentintaste,softnessandfreshness. Also,usingtechnologiesformixingandkneadingthe doughhelpstomake itmore elasticto create the perfectloaf. Breadneedstoarrive withconsumersinperfectcondition. The appearance and qualityof the packagingisimportant.Thishelpstocreate the standards that shoppersexpect. Qualitytargetsare settoensure thatbakeriesbake the bestbreadevery time. Supporting retailersto increase customersatisfaction Warburtonscustomersare retailers.These maybe large supermarketsorsmall local independentshops.Providesthemwith marketresearchdata. Thisdata informsthemof selling trendsand buyinghabits.Thisenablesthemtopredictthe week-by-weekstocklevelsthey require.Italsohelpsthemtoallocate appropriate shelf space forproducts. Warburtonsalsoprovidesretailerswithawide varietyof productsincludingloaves,rollsand crumpets.Thisenablesthemtoofferconsumersgreaterchoice andmeettheirdemandsfor differenteatingoccasions,suchasforsnacks,breakfastandlunch. A bakeryisnot justaboutbaking. For Warburtons,managingitsbusinessinvolvestaking responsibilityformanagingthe whole supplychain.Itdoesthisbyworkingwithfarmersand supportingthemastheyplantthe seedsonfarmswithinthe UK and Canada.It alsoworkswith millers. Finally,itprovidesdistinctprofessional servicesthathelpretailerstoruntheirbusinessesmore efficiently.The endresultisthe satisfactionfeltbyconsumersastheyfinish the lastcrumbson theirplates.