Presentation Transcript

1. Supplier Webinar

   Topic: National Supply Chain Execution
2. Agenda National Supply Chain Execution Components RDC Supplier Selection Process – Presented by Susan Jacobs, Sr. Manager of National Supply Chain Compliance Supply Chain Operations / Compliance Requirements – Presented by Susan Jacobs, Sr. Manager of National Supply Chain Compliance Supply Chain Inventory Management Information – Presented by Maria Ortiz, Sr. Manager of National Supply Chain Inventory Management National Supply Chain Transportation Information – Presented by Yvonne Robinson, Supplier Development Manager National Supply Chain Forward Warehouse Network – Presented by Andrew Cafcalas, Sr. Manager Forward Warehouse Network Frequently Asked Questions (FAQ’s)
3. RDC Supplier Selection Process Designed to Realize Maximum Benefit Determination of Volume
4. RDC Supplier Selection Process Major Costs Considered to determine Supply Adoption Savings Savings from Handling and Transactions Cost Transfers from Current State Freight, Unloading, Transshipment and Warehouse/Inventory Network Modeling Tools Vetting Process
5. RDC Supplier Selection - FAQ How much will it cost a supplier to participate? There are no fees to participate in the RDC. Sysco wants to drive costs out of the supply chain and share in that savings with the supplier. Are there any requirements for a supplier to participate? Yes. All RDC suppliers must be cooperative billed through BSCC. There are other requirements like, e-commerce and labeling requirements that are discussed at length during supplier adoption meetings. Through the adoption process, we develop a plan to match each supplier’s capabilities to the requirements for participation. Sysco has a complete Supplier Compliance program, which clearly defines the requirements, on the Sysco website.
6. RDC Supplier Selection - FAQ How can a supplier ensure that they are included in the RDC? We expect that approximately 40% of the total case volume will flow through the RDC, so not all suppliers will participate. We believe that there are opportunities to be more efficient with every supplier, but will focus our efforts on finding the efficiencies for the RDC volume. Any supplier, who is interested in the benefits of the RDC, should be open to a discussion of changes to improve the Sysco/supplier supply chain.
7. National Supply Chain Operations/Compliance Central Liaison Supply Chain Operations (SCOPS) Role SCOPS Goal SCOPS team members can be reached by e-mail at suppliercompliance@corp.sysco.com
8. National Supply Chain Compliance All suppliers participating in the RDC Network should read and agree to comply with the requirements outlined in RDC Network Compliance Manual These requirements include, but are not limited to: CHEP Pallets are required for all shipments into the RDC All loads are shipper load, count, and seal Electronic Advance Ship Notices (ASN) including Lot Number, Expiration Date, and/or Manufacture Date must be generated for every Purchase Order Lot Number and Dating must be physically printed on the case License Plates (LPN) corresponding to the ASN must be applied to every pallet in approved locations Individual SKUs must be placed on their own pallet Shelf Life at the time of receipt must be sufficient to redistribute through the entire supply chain Data integrity
9. National Supply Chain Compliance The National Supply Chain Operations / Compliance team collaborates with participating suppliers in two distinct areas: Ramp Execution Item Attribute and Supplier Document Collection Data Validation Compliance Requirement Readiness License Plate and Exception Approvals Steady State Operational, Shelf Life, and ASN Reporting Item Attribute Updates and Data Clean Up Product Quality and Shelf Life Returns Compliance Issue Arbitration
10. National Supply Chain Operations/Compliance - FAQ What is acceptable shelf life if we cannot achieve 80% for all items? We expect to receive the freshest product possible from our suppliers. If you have concerns about meeting 80%, we will work with you during your transition into the RDC to reach agreeable shelf life requirements. How do I get set up on CHEP pallets? CHEP pallets are required at the RDC. If you currently are not shipping on CHEP, we suggest you contact your CHEP representative. If you do not have a CHEP representative you can dial 407-355-6609, extension 6334, to reach a CHEP Insides Sales Associate. What lot / date information should be transmitted on an electronic ASN? The lot / date information shown on the case is the information that needs to be transmitted with the exception of Julianne dates which need to be converted to an actual date.
11. National Supply Chain Operations/Compliance - FAQ If partial pallets of product are ordered, do items have to be separated by a CHEP pallet? Yes. A pallet should be placed under each unique item of one layer or greater. Does product ordered in less than full pallet quantities require a label per layer? No. One unique label is required for any quantity greater than one layer up to a full pallet.
12. Supply Chain Inventory Management After go-live your SCIM Replenishment Analyst is your primary point of contact for day-to-day changes RDC Order Fill Rates of 99.7% or better Supplier shortages may be required to be delivered at supplier expense Communicate PO quantity changes to your RDC Replenishment Analyst at a minimum of 48 hours before shipment Item substitution is not allowed without prior discussion and approval from the Replenishment Analyst
13. Supply Chain Inventory Management Provide four weeks advance notice for changes of any type such as packaging, changes in pickup locations, discontinuing items and/or new items Opportunity to reach an agreement of sharing forecast to assist in production and inventory planning through Collaborative Planning Forecast and Replenishment (CPFR) Opportunities to align ship dates with supplier production from plant facilities may be possible
14. National Supply Chain Inventory Management - FAQ What will the orders look like from the RDC? The RDC orders in full truckload, container or railcar increments in almost every instance. SKU level order increments are based on the industry average within Sysco’s supply chain. A supply chain model with plant direct locations may include a commitment to procure key items in vendor pallet increments. Most volume is procured in quantities that enable vendor pallet shipments. What does Replenishment Analyst mean? Replenishment Analyst is the team member within Supply Chain Inventory Management who is responsible for managing the procurement activity for the RDC network. Do orders from the RDC change after placement? Our goal is to reduce and minimize cost. Orders will rarely change after placement.
15. National Supply Chain Inventory Management - FAQ Will the orders be consistent? The order placement day of week and pick up day of week will be the same. The Replenishment Analyst will work to balance the demand to best meet the needs for all areas. Is there a way of knowing in advance what will be ordered? Through Collaborative Planning, Forecast and Replenishment a supplier can gain insight of future demand at a SKU level. Each week an updated file is provided which shows future demand by day out into the future. Contact your Replenishment Analyst for more information about this tool.
16. National Supply Chain Transportation Freight cost should be reflective of actual transportation cost which includes all delivery components such as line haul, fuel surcharges, unloading, detention, etc. Transportation requirements - apply to ALL products that are distributed from each ship point, whether sourced, non-sourced Pallets Shipper Load & Count Complete the Supply Chain Profile with your freight program along with freight rates or pick up allowances. This document consist of three tabs: Questionnaire TAB2 Contact information
17. National Supply Chain Transportation - FAQ If I am a FOB supplier will I need to complete the supply chain profile form? Yes. Please complete the questionnaire tab only on the supply chain profile form. This provides more than just rates but gives the Transportation Department current locations, warehouse information or rail capabilities, etc.
18. Sysco Forward Warehouse Network Suppliers in the network have access to all Sysco Operating Companies The Sysco Forward Warehouse Network (F.W.N.) offers suppliers a network of facilities to store products Network is available for new supplier additions Includes specialty programs – Imports Supplier can utilize network for non-Sysco business-Retail for private account sales Supplier has the ability to have private, consigned or owned products in F.W.N. Sysco site managers measure service level, metrics and facility audits monthly
19. Sysco Forward Warehouse NetworkFrozen-Chill-Dry capability 19
20. Sysco Forward Warehouse Network – FAQ How do I get a warehouse rate? Contact the Sysco Site Manager who will help facilitate the rate with the appropriate warehouse. Menu of program options Private account Owned account Consigned account Cross dock What is the difference between private, consigned and cross dock accounts? Private – Supplier account orders flow thru the supplier; Sysco has no visibility to the inventory. Consigned – Supplier account orders flow thru Sysco to the warehouse; Sysco has visibility to orders and inventory. Cross Dock - Supplier pays a pallet fee and delivers to the warehouse.
21. Sysco Forward Warehouse Network - FAQ Can you provide pictures of an inbound damage claim? The Sysco Site Manager, as part of our Standard Operating Procedures (SOP), has all warehouses take pictures of inbound damage and provide them to Sysco, the supplier and the Site Manager.
22. Addendum The RDC Supplier Selection Process and the National Supply Chain Operations/Compliance sections; Susan Jacobs responsibilities have been transferred to Angela Fay, Supply Chain Operations Manager The National Supply Chain Transportation section, Yvonne Robinson’s responsibilities have been transferred to Danny Nguyen, Supplier Development Manager
23. Wrap-up Download Linkshttp://sysco.com/supplier/supplier_compliance.html Supplier questions can be directed through Discussion Section in the eSourcing Tool