Imperial wins contract for Diageo South Africa’s 3PL logistics services
May 18, 2017: Imperial has won the national contract for Diageo South Africa’s 3PL logistics services on tender. The company’s unmatched reputation for being cost effective, efficient and going the extra mile for its clients contributed to the contract win, says Imperial Logistics chief strategy officer Cobus Rossouw. He stresses that collaboration has been the key to the success of this partnership.
“Out of stocks have been reduced by collaboratively identifying concerns, effective reporting, visibility and daily communication between the teams.”
Imperial has also turned around Diageo’s KPIs (key performance indicators). “KPIs in this unrivalled partnership are not only addressed monthly, weekly, or even just daily. Our team meets three times a day to discuss KPIs, and ensure that these are constantly prioritised and reported on,” Rossouw says. Imperial reports on a testing 38 KPIs daily for Diageo, and there are an additional 64 KPIs on the contract.
Imperial’s collaborative approach was evident at the outset, in the regular project meetings that formed part of this contract’s initiation processes. Standard operating procedures were revisited and redefined, and detailed cutover plans were followed. Working closely together, Imperial and Diageo ensured that best practices were in place for all of Diageo’s logistics activities. Imperial assisted with technology and administration integration, and had a dedicated team on standby for Diageo 24/7, to ensure that nothing was left to chance.
The continuous improvement initiatives that have been implemented and are currently being rolled out by Imperial include retail centralisation for Diageo, which will entail consolidating stores to their distribution centre for replenishment needs. A minimum order value initiative that has been put in place is delivering the benefit of a reduction in the number of drops, which translates into cost and time savings, Rossouw reveals.
A pilot project in which Imperial is delivering direct to home depots, thereby by-passing the Elandsfontein warehouse, is underway, and he explains that by replenishing stockholding home depots directly from the factory, Imperial is reducing storage, transport, handling and security costs for Diageo.
“Imperial has also proved that it has the ability, flexibility, scale and reach to successfully manage Diageo’s peak trading periods (and volumes), which are notoriously testing in the alcoholic beverages sector,” Rossouw states.
“The peak period of October, November and December accounts for approximately 38 percent of Diageo’s annual volumes. Imperial supported direct deliveries for larger volume orders to Diageo’s customers, which freed up resources across the supply chain. This ensured that despite heightened activity we still delivered against the demand.”
Reflecting the truly collaborative nature of this partnership is the contract’s gain share model, which provides a potential benefit to both parties based on the net cost savings that can be achieved on transport and warehouse costs. “This encourages both parties to strive for continuous improvement, and to ensure that the best solution is implemented. We are proud to have proved why Imperial is a leading FMCG logistics provider, and look forward to our partnership with Diageo going from strength to strength,” Rossouw concludes.
You may also like:-
India’s Chhatrapati Shivaji Maharaj International Airport (CSMIA) has witnessed movement of 72000 tonnes of general cargo in the April-August period.
The airline continues to gradually and safely restore its network, delivering on its health and safety promise as it responds to growth in passenger demand across the globe.
All of them are certified by the IATA CEIV Pharma or by the British MHRA, making them benchmark operations in the Swissport network.
The airline’s variety of fuel-efficient efficient aircraft and strategic network management has enabled it to quickly resume flights and expand services in line with passenger demand.
As Boeing's first chief sustainability officer, Raymond will be responsible for further advancing Boeing's approach to sustainability that is focused on environmental, social and governance priorities, stakeholder-oriented reporting and company performance.
Eastern Airlines has roped in Mike Duggan as director of International Cargo Business Development. Duggan will also be responsible to lead and support the carrier’s move into freighter operations.
Amid over 18 per cent and 19 per cent drop in the overall market tonnage and FTK (freight tonne-kilometres), respectively, the Group managed to hold on to 5 per cent and 10 per cent decrease.
The announcement on September 16 was welcomed by the country’s beleaguered airline sector, which has been lobbying for months for the reopening of international travel.
From a more efficient baggage-handling system that accommodates luggage of all sizes and shapes so skis don’t need to be dropped off at a special coun
The company has been well established for many years in both countries through network partnerships and decided to open its own offices in each location to offer customers a full spectrum of multi-modal services.
FAA approval officially enables reciprocal EASA (European Aviation Safety Agency) approval, which is anticipated in the very near future.
The global rollout of CargoWise across a. hartrodt operations in Asia, South and North America, Oceania and Europe, will be a staged process with completion by March 2023.
The hospital which included generators, tents, HEPA filters and medical equipment, can facilitate up to 200 people to receive potential lifesaving treatment.