Wednesday 26th Oct 2016 - Logistics Manager

Asda consolidation saves suppliers £100,000

Pall-Ex reckons it has saved Asda suppliers some £100,000 with its nominated carrier service, and reduced the distance travelled by 340,000 miles compared to previous methods.

The pallet network has operated the consolidation service for the five years. It collects domestic palletised freight from ambient grocery and general merchandise suppliers and consolidates this at its network hub. It then delivers goods to Asda’s distribution centres in Lutterworth and Doncaster.

Andrew Robinson, Asda’s primary development manager for central supply, said: “Pall-Ex helps us to get products to our stores quickly and efficiently, which is key to maintaining availability and maximising sales. Shorter lead times make replenishment more reactive and reduces out of stocks.

“Not only has the partnership with Pall-Ex had a significant impact on our end-to-end supply chain costs, but it has also helped to lessen the environmental impact of our operations by reducing the number of vehicles on the road.”

Pall-Ex chief Hilary Devey said: “Our approach is to consolidate small consignments of freight and avoid journeys with empty trailers, which ensures supply chain efficiency, reduces costs and lessens environmental impact when compared to the retailer’s previous methods.”