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Forming and Maintaining Strategic Relationships with Suppliers to Increase Efficiency & Achieve a Full Product Range Marketing Week Conference January.

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Presentation on theme: "Forming and Maintaining Strategic Relationships with Suppliers to Increase Efficiency & Achieve a Full Product Range Marketing Week Conference January."— Presentation transcript:

1 Forming and Maintaining Strategic Relationships with Suppliers to Increase Efficiency & Achieve a Full Product Range Marketing Week Conference January 14th 2005 Dr.Jo Head : Group Technical Director

2 Dawn Meats Group - a brief outline Part of Queally Group which is the largest privately owned agri-food business in Ireland Operations span abattoirs & boning to retail packing & added value ranges with sites in Ireland, UK & France with trading offices in Holland, Spain & Italy processing red meat Dawn Group turnover Euro 663m (2002) Serving major supermarket customers

3 : Beef, value added, frozen & rotisserie. : Lamb & value added. : Beef, lamb & value added. BUDGENS : Lamb & value added. : Beef, lamb, pork, value added & rotisserie. : Value added. RETAIL CUSTOMERS : Beef, value added, frozen & rotisserie. : Lamb & value added. : Beef, lamb & value added. BUDGENS : Lamb & value added. : Beef, lamb, pork, value added & rotisserie. : Value added. RETAIL CUSTOMERS

4 A full range of added value meats Garnished Joints & Steaks Fresh Ready to Cook Raw Prepared Joints, Steaks & Kebabs Comminuted Ranges Fresh & Frozen Cooked Ribs & Steaks Fresh & Frozen Cooked Centre of Plate Meats Fresh & Frozen Primal MeatAdded Value Foods Cooked Comminuted Ranges Fresh & Frozen Kits & Snack Ideas Fresh

5 Dawn Efficiency Improvements Integrated Group NPD Team Consolidated Business Function Group Supplier Technical Approval Group Specification Management Group Purchasing Electronic Solutions

6 Why ? We are only as good as our worst supplier We are liable for unsafe/illegal ingredients Suppliers can have as much (sometimes more) influence on our business than our manufacturing operation –Raw material quality is integral to product quality –Late delivery often leads to late delivery –Lead time has a significant influence on our ability to respond to customers –Purchased material is often the biggest single component of manufacturing cost

7

8 Supplier Selection Who: Development Chef & Purchasing Manager What: Competencies Cultural fit Innovation Commitment Efficiency Consistency How: Existing: - Review for suitability against brief New: - Reputation/Recommendation (Customers;Equipment Manufacturers) - Visit to verify suitability

9 Product Innovation Novel Packaging Facilitated development between 3 suppliers Solid Sauces New technology Increased efficiency Cost benefit

10 Purchasing/Supplier Performance Group -Vertical Integration External -Service -Cost -Quality Monitoring -Ad hoc. -Individual databases

11 Complete Suppliers List & approval status Records history of supplier problems Supplier correspondence recorded Supplier ratings calculated Classification search Highlights all actions due Detailed information on actions Reporting on departments or individuals Reduces time needed for Management Reviews Provides measurable outputs on system activities Graphical analysis

12 Customer Influence Pressure to use alternative suppliers Pressure on supplier management regimes Pressure to diversify Pressure to increase speed to market

13 Supplier Partnerships

14 Griffith Laboratories Manufacture dry ingredients & wet sauces Supplier of 8 years standing to Dawn Dawn is one of their top 10 customers Purchased 507 tonnes in 2004 Value of £1.2M across the UK & EIRE

15 Griffith Laboratories What They Do For Us Business Management Dedicated Team - Account Manager (1); NPD (3) Quarterly Review - Commercial; Service; Quality; Partnership/Relationship; Continuous Improvement Cost Savings - 42.5K in 2004 Global Support US & EU Market trends Market Visits Marketing Retail Reviews TNS Data Mintel Focus Groups

16 Griffith Laboratories What They Do For Us Technical Expertise European Technical Structure Anticipate Legislation Project Management Monthly Reviews Salt & Sugar Reduction Quality Improvement Ingredient Matching Preferential Treatment Policy Exceptions Queue jumping Innovation Supplier Consolidation

17 Griffith Laboratories What They Do For Us Training Seasoning Workshops Sensory Workshops Functionality Sensory Analysis Focus Groups Product Assessment

18 Supplier Partnership Provided business case to customer justify non-diversification into sauce manufacture Working together to build an electronic seamless information transfer regime Shelf life validation De-fused customer pressure on supplier management

19 Supplier Partnership- Retail pressure on Supplier Management Audit on behalf of customer identified 6 non- compliances relating to 2 sauces –Implication for supplier auditing alone amounted to 33 in total –UK (10); Belgium(1); Greece(1);Canada(1);USA (4); NL(1); Spain(4); Egypt(1);Morocco(2); China(1); France(1);Turkey(1);Tunisia(1); Albania(1) Meeting between Griffith technical manager and retailer Resulted in significant changes to a number of retailer Codes of Practice

20 Griffith Business Growth

21 Acknowledgements Alison Haselgrove Mark Pielou Helen Netherwood Dawn Head of Development Griffith Technical Manager Griffith Sales Account Manager

22 Any Questions ? jo.head@uk.dawnmeats.com


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