In parallel to the major investment
made at retail level, SPAR Partners have made significant
investments in developing their supply chain capabilities. Examples
of such developments can be seen in most Countries as SPAR seeks
to continuously improve the efficiency of its operations.
The introduction of warehouse
management software, RF scanning and voice picking have contributed
hugely to improved performance in warehouses. We also see major
advances in transportation with the application of scheduling and
routing software and telemetrics. This results in significant
advances in service level and reduction in running costs and
SPAR has also seen the increasing
adoption of new approaches to working with suppliers. Here the
emphasis is placed on backhauling to increase the usage of vehicles
and reduce operation costs.
Over the last 5 years significant
investment has been made in adding capacity to match the growth of
the business. Investment has also been made in developing the food
supply chain capability to deliver chilled and frozen product.
The investment has allowed for
significant growth in the volume delivered to SPAR stores. This was
achieved by increasing capacity at existing distribution centres
and constructing new facilities.
Developments in SPAR
In the last year, SPAR Partners opened new distribution
centres, reflecting their commitment to growing their SPAR
business. The family owned and managed James Hall, the North of
England based SPAR United Kingdom wholesaler, opened a
35,000m2 facility. In the Netherlands, SPAR has
relocated to a new distribution centre and head office, which will
support improved service to SPAR retailers.
Investment in new warehousing
facilities has also been undertaken in new SPAR countries. This has
been most notable in China, where all the SPAR partners have
recognised the importance of investing in the development of their
supply chain, in the context of an underdeveloped industry supply
In 2011 SPAR Shanxi opened a
49,000m2 facility to service the rapid expansion of SPAR
in Shanxi and Inner Mongolia. We also see ambitious plans to
develop modern supermarket distribution centres by the SPAR
Partners in Russia.
Focussing on best practice in
the food retail supply chain and store
operations ensures that SPAR enjoys the advantages of a
low cost efficient supply chain. The continuing implementation of
international best practices is an important growth strategy for
SPAR worldwide. The SPAR
Connect intranet site is playing an increasingly
important role as a library and reference point to share this
Success Stories: SPAR
Netherlands open new Distribution Centre and Offices
SPAR Netherlands opened its
new distribution centre and head offices in September 2011. Sjaak
Kranendonk, Managing Director, SPAR Netherlands, underlined the
importance of the neighbourhood supermarket for local communities.
He emphasised that the SPAR neighbourhood supermarket played a
vital role in supporting social cohesion in small villages by
providing both local shopping and employment. This is reflected in
the slogan 'My neighbourhood, my SPAR'.
23,000m2 distribution centre is designed to meet the
needs of the independent SPAR retailer, by providing a regular
delivery of fresh and ambient products in a cost efficient manner.
The DC is environmentally efficient, with surplus energy from the
deep-freeze section used in the under-floor heating of the grocery
section and in the head office. The energy efficient theme also
applies to the new fleet of 50 low carbon trucks.