Managing the supply chain to meet customer needs
A Warburtons case study

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Page 5: Tertiary sector

The tertiary sector involves providing a range of services throughout the supply chain. Although the services themselves are not physical goods, they provide added value for customers linked with the products that they buy. For example, consumers expect a range of fresh bread products to be delivered to retailers daily.

From its 14 bakeries and 15 depots around the country Warburtons is able to meet this expectation. Warburtons has more than 900 delivery vehicles at its various bakeries. It manages the distribution to stores from bakeries across England, Scotland and Wales. This ensures that products are delivered on time. It also means that the products are fresh when they are delivered and that quality is guaranteed.

Managing environmental impact

To reduce its carbon footprint, Warburtons uses software to track delivery routes to ensure that they are as efficient as possible. It also makes deliveries at different times of the day to avoid much of the congestion on the road and save a substantial amount of fuel.

Supporting retailers

Warburtons customers are retailers. These may be large supermarkets or small local independent shops. Retailers will often require specialist advice on how best to service the needs of their customers.

As part of its support for the tertiary sector retailers, Warburtons, for example, provides them with market research data purchased from market research agencies. This data informs retailers of selling trends and buying habits. This enables them to predict the week-by-week stock levels they require. It also helps them to allocate appropriate shelf space for products.

Warburtons also provides retailers with a wide variety of products including loaves, rolls and crumpets. This enables them to offer consumers greater choice and meet their demands for different eating occasions, such as for snacks, breakfast and lunch.

Warburtons | Managing the supply chain to meet customer needs