Delivering Service Exellence In The Supply Chain
A Kraft Foods UK case study

Page 1: Introduction

As consumers, we expect our favourite brands to be available wherever we want to buy them and to be of the highest quality. For example, we expect fruit, vegetables and dairy products to be fresh and appetising and we want confectionery to be attractively packaged and clearly labelled. Most people, however, are unaware of all the activities that are involved in bringing these products to...
Read full page

Page 3: Accelerating The Growth Of Its Power Brands

In the modern global economy a Power Brand is a brand which delivers a competitive advantage based around three key areas; quality, value and trust. The four key Power Brands in Kraft Foods' UK business are, The Kenco Coffee Company, Philadelphia, Dairylea and Terry's Chocolate Orange.
Read full page

Page 4: Driving For Improved Quality And Service At The Lowest Effective Cost

The Kraft Foods Supply Chain function is challenged with providing excellent operational support which helps to deliver continued Power Brand growth. This is reflected in the Supply Chain goal of 'exceeding customer expectations in quality of product and service at lowest effective cost'. This is the basis for their 'Golden Triangle' model.
Read full page

Page 5: Service Excellence Programme

To help in consistently delivering against its objectives, Kraft Foods has developed a model known as the Service Excellence Programme which creates a strong supply chain relationship between the company, as the supplier and its customers, the retailers. The programme interlinks a series of proven, simple concepts that drive customer service up and cost out from the joint Supply Chain.
Read full page

Page 6: The Service Excellence Programme Jigsaw

Kraft Foods has developed a jigsaw model to represent its Service Excellence Programme pictorially. The 9 component pieces establish a framework around which Kraft Foods and its Supply Chain partners can build, implement and evaluate projects with the aim of improving day to day operational efficiency. Each component piece captures the processes, activity and behaviour that will deliver...
Read full page

Page 7: Service Excellence Programme ´piece by piece´

Perfect ordering Focuses on the successful management of a customer order from the moment it is compiled at the customer, its processing through Kraft Foods's order systems to the point of delivery at the customer warehouse. Any 'waste' that could cause delay or disruption should be eliminated. The order should be compiled correctly using accurate data, sent at agreed timings with jointly agreed...
Read full page

Page 8: Benefits Of The Service Excellence Programme

Through implementing these programmes with its customers, Kraft Foods has been able to substantially improve the quality of service through: Improved understanding of the total supply chain. More efficient order and delivery processes. Better management of change such as promotions. Skilled people focused on the right things. Additionally through delivering operational excellence, cost savings...
Read full page

Page 9: Conclusion

In the modern business world, Consumers and Customers are rarely satisfied with anything less than 'The best'.  For a company like Kraft Foods to provide the best brands of coffee, chocolate, cheese and many other products, it needs to make sure that every part of its Supply Chain is working at its best. The process that Kraft Foods has designed to ensure it delivers that service...
Read full page