Supply Chain Excellence Awards 2019: The CHEP Award for Supply Chain Strategy and Design

There were several high scoring entries in this category and Bentley with CEVA Logistics was right up there with the top runners. However, the two strongest ones were – Screwfix with Wincanton and Flex.

To support plans for growing its Trade Counter presence from 577 in 2018 to the current total of nearly 630 premises, Screwfix worked in close collaboration with its 3PL, Wincanton, to design and implement a new, aligned network strategy. Seven possible network options were researched with various configurations of how the network could evolve. Eventually, from a long list of potential sites, Lichfield in Staffordshire was selected for the construction of a 562,000 sq ft distribution centre.

The judges appreciated the detailed planning that was involved in developing the network and organising stock – particularly with five catalogue launches a year, each of which has existing and new products amounting to some 12,000 SKUs. The results were clear for the judges to see: volumes delivered to trade counters had increased while fleet and driver requirements had reduced. It wasn’t to be the winner, however, the judges decided to Highly Commend Screwfix with Wincanton.

The winning entry came from Flex with their Indirect Procurement organisation’s Re-imagine programme for the entire company. The project meant re-evaluating every process, every figure reported and every system activity.

Their approach to measuring performance and improvement over a year demonstrated to the judges their commitment to achieving great things. They focused on talent management, innovation & velocity, digitalisation and strategic partner value. The introduction of vending machines for dispensing single unit items reduced cost by $1.5m alone.

To curb the time and cost of administering PO’s they adopted a marketplace solution, removing several touch points in their processes. Standardisation of laptop and desktop computers brought further substantial savings. Cultural and behavioural change regarding travel had significant results and supplier consolidation of approved hotels yielded some $32m of cost savings.

Digitalisation proved successful too, with the creation of a new data strategy involving data cleansing and enrichment efforts. The list of changes, improvements and financial benefits went on and on.

The judges said, “This was an excellent submission, driven by a focused approach on standardisation and financial outcomes. They acted in a highly structured way to achieve a step change in performance.”

Lynn Torrel, chief supply chain and procurement officer at Flex, said: “We are thrilled to be recognised for this prestigious award, and we just aspire to do great things for our customers and suppliers we work with every day.”

Winner: Flex

Highly Commended: Screwfix with Wincanton

Shortlisted: Bentley with CEVA Logistics; Lavazza with Ahlers; Samworth Brothers Supply Chain; Travis Perkins and Ted Baker with XPO Logistics.

The 24th Supply Chain Excellence Awards will take place on 12 November 2020. The awards are a celebration of all things supply chain and all entrants are put through their paces – including presenting to a panel of their peers – to ensure only the best win the coveted award.

For more information, including how to enter and sponsorship opportunities, and to register your interest go to: Supplychainexcellenceawards.com