Food & Drink Process & Packaging Issue 17 2018 - Page 39

Greggs optimises distribution operation as part of investment programme Greggs is using Paragon’s routing and scheduling software to optimise the performance of its distribution operation as part of a £100 million investment programme that is reshaping its supply chain within the UK. Most recently, the UK’s leading bakery food-on-the-go retailer was able to model transport requirements following the consolidation of its Edinburgh and Glasgow bakeries to improve fleet utilisation by over 30% and remove almost 900 miles a week from its local plans. “Following the decision to develop a centre of excellence that would service all shops in Scotland, we had the opportunity to examine our transport plans to target cost reductions and improve standards,” explains Richard Penna, Group Logistics Manager at Greggs. “The Paragon routing and scheduling software quickly enabled us to identify where improvements could be made and create highly-efficient multi- drop route plans that would better serve our retail network.” Greggs had previously operated 35 18-tonne rigids, split between the Despite the distance of many vehicle planning to achieve optimum performance journeys increasing since the site and support our transformation into consolidation – with 80 Edinburgh stores the leading food-on-the-go retailer,” now being fulfilled direct from Glasgow concludes Penna. – Greggs has been able to significantly reduce the overall mileage travelled through improved planning. This has contributed to a fuel saving of more than 2%, equating to reductions of around 35 William Salter, Managing Director of Paragon Software Systems commented: “The food-on-the-go sector is rapidly expanding in the UK, with retailers tonnes of CO2 emissions per year. investing heavily in product and service serviced each of the 260 shops twice a “We are using the Paragon software to at different times of the day. Specialists day. With the planned expansion of the regularly review the efficiency of our such as Greggs face growing pressure Glasgow site to cover all Scottish shops , multi-drop route planning across the on their supply chains to ensure their the company used Paragon’s Multi Depot UK, as well as remodel specific areas of customers have the choice and availability software to undertake a strategic review the operation as part of a larger major they demand. The flexible nature of the transport operation. As a result, change project. We are making record of Paragon’s routing and scheduling Greggs has been able to resize its fleet to levels of investment in our infrastructure software means that Greggs can use it just 24 commercial vehicles by optimising to create a blueprint for logistics that can both operationally and strategically to multi-drop route plans, realigning driver be applied across the business. This needs achieve the highest levels of efficiency, shifts and removing a trunking operation.  to be backed-up by best-practice route utilisation and service performance.” Edinburgh and Glasgow bakeries, that innovation, often targeting peak demand FDPP - 39