Advanced Supply Chain: Driving Efficiency and Sustainability in the Retail Supply Chain

This session at DELIVER Europe 2024, presented by Stuart Greenfield, Sales Director, Advanced Supply Chain & Simon Sexton, VP Sales Europe, Advanced Supply Chain, focused on the challenges and opportunities for retailers in today's dynamic market, emphasizing the importance of efficiency, speed to market, and sustainability.

The Evolving Retail Landscape: Key Challenges

The presentation highlighted three key priorities for retailers in the current landscape:

• Cost Pressure and Market Volatility: The cost of living crisis and ongoing disruptions, such as COVID-19, the Suez Canal blockage, and geopolitical events, have led to increased costs and uncertainty.
• Consumer Demands: Consumers expect faster and more convenient deliveries, with increasing emphasis on sustainability.
• Net Zero and Circular Economy: Growing environmental awareness and new legislation are driving the need for sustainable practices throughout the supply chain.

Advanced Supply Chain: A Partner for Sustainable Solutions

Advanced Supply Chain, part of the Reconomy Group, is a leading provider of innovative supply chain solutions, with expertise in fashion, e-commerce, and omnichannel fulfilment. The company's focus on sustainability and circularity is evident through its various divisions, including:

• Compliance: Ensuring products and packaging meet environmental regulations and standards.
• Reuse: Offering solutions for returns, repairs, and refurbishment to extend product lifecycles.
• Recycling: Providing end-of-life management and recycling solutions for various materials.

Optimising Inbound and Outbound Logistics

The presentation emphasised the importance of optimizing inbound and outbound logistics to improve efficiency and speed to market. Key strategies include:

• Pre-Retail Compliance: Ensuring products meet retailer requirements for labelling, packaging, and delivery to avoid penalties and delays.
• Consolidated Transport: Consolidating shipments from multiple suppliers reduces costs, transportation time, and environmental impact.
• Quality Control: Implementing robust quality control processes ensures product quality and compliance.

Establishing End-to-End Transparency

Advanced Supply Chain highlighted the importance of data transparency and visibility across the supply chain. This includes:

• Control Tower View: Tracking every item from source to final destination provides real-time visibility and enables proactive decision-making.
• Data Accessibility: Making data accessible to all stakeholders facilitates collaboration and informed decision-making.
• Product Placement: Understanding product placement within the supply chain enables efficient fulfilment and inventory management.

Achieving Cost Reduction and Sustainability

The presentation discussed strategies for achieving cost reduction while meeting sustainability targets:

• Consolidated Transport: Reducing the number of vehicles on the road through consolidated transport lowers costs and emissions.
• Improved Salvage Rates: Optimizing returns processing and implementing salvage strategies for damaged or unwanted goods reduces waste and maximizes value recovery.
• Technology-Driven Solutions: Leveraging technology to improve compliance, track sustainability metrics, and optimize processes enhances efficiency and reduces environmental impact.

Key Takeaways

• Holistic Approach: Addressing the challenges of cost, speed, and sustainability requires a holistic approach to supply chain management.
• Collaboration and Transparency: Collaboration and data transparency across the supply chain are essential for optimizing efficiency and sustainability.
• Pre-Retail Compliance: Investing in pre-retail compliance ensures smooth inbound logistics and avoids costly penalties.
• Returns Management: Optimizing returns processing and implementing salvage strategies maximizes value recovery and reduces waste.
• Technology and Innovation: Leveraging technology and innovative solutions drives efficiency, transparency, and sustainability across the supply chain.

Greenfield and Sexton affirmed that by focusing on these key areas and partnering with a provider like Advanced Supply Chain, retailers can navigate the complexities of the modern market, achieve cost savings, improve speed to market, and contribute to a more sustainable future.