Reducing foodservice complexities in a well-known West End store

The Challenge for the Client

With more than 20 in-store foodservice outlets under his control, the Director of Restaurants needed to improve the management of ingredient costs, menu control and new product development.  Thousands of SKUs together with process complexity challenges meant duplication, stock control difficulties, supplier ordering challenges and a clear-cut opportunity for margin improvement.

Practical Support

Acert was engaged to assist in the required process analysis and SKU consolidation work, to establish an accurate rate of SKU churn, map the relevant systems architecture and propose optimal SORP processes.

Following the success of the first phase, we were then engaged to lead the project for delivery of the recommendations, covering supplier renegotiations and process change.

Tangible Savings

With a percentage of risk taken into account, predicted savings of 7% would return a significant six-figure sum.  At the end of our involvement, negotiation and consolidation, SKUs with the highest spend had returned a 9% saving with more to come, as well as a further 2% in supplier management savings to be derived from a future EDI implementation.