"For example, for holidays like Valentine's Day and Christmas they might want us to build special pallets with tailored cake flavors and frostings," explains [Joey Davidson], director of business development for DSC Logistics. "We can provide these end displays for retailers, which drives additional sales for Pinnacle."
Creating A Team With an eye to the bottom line, operational partnerships between 3PLs and their food customers are more comprehensive and innovative than ever. B Y A P R I L T E R R E R I T ODAY’S THIRD-PARTY LOGISTICS companies are more than He also advises giving your 3PL an accurate proﬁle of your business, just yesterday’s warehouses and trucks, storing and delivering including your product line and volumes and whether you require pallet products. These relationships are developing into highly sophis- picks or case picks, the latter requiring more labor. ticated and collaborative strategies for operational excellence re- Establish your mutual expectations, suggests Chris Kane, vice presi- sulting in some pretty impressive cost reductions for all parties involved. dent of sales and marketing for Kane is Able in Scranton, PA. Food and beverage companies and their third- “Set clear expectations between yourselves. We sat party logistics (3PL) counterparts together are dis- down with The Topps Co. to discover what services covering win-win successes being felt throughout they needed us to handle,” says Kane. “Then together the supply chain—right into the back ofﬁces of ﬁ- we developed a strategy so each of us could live up to nancials, sales, marketing and IT. our respective responsibilities. We manage our part So how do you develop these win-win relation- by measuring KPIs (key performance indicators) on ships? First and foremost, agree our experts, talk is a monthly basis to assure we are measuring up to not cheap and should not be taken for granted. Topps’ expectations.” “There has to be open communication between the Determine if your potential 3PL is ﬂexible enough parties,” says Bruce Siberski, director of dry distribu- to handle surges and special promotions. “One of the tion for Pinnacle Foods Corp. in Cherry Hill, NJ. “For biggest values is being able to offer your customers instance, we give our 3PL (DSC Logistics) a heads- product customization like building club packs, rain- up when we anticipate heavier-than-usual volumes— bow packaging, and pre-priced and pre-labeled pack- rather than blind siding them all of a sudden with ages,” says Tom Patterson, senior vice president of customer promotions.” warehousing operations for Saddle Creek Corp. in 18 MAY 2009 • F www.foodlogistics.com LOW COST, HIGH IMPACT FREIGHT MANAGEMENT SYSTEM Real Time Freight provides a live, centralized and closed–loop Freight Management System that enables efﬁcient and comprehensive communication across your organization and with your transportation partners. Over 3,400 direct shippers have managed their freight in the Real Time Freight community. REAL TIME FREIGHT, LLC CHICAGO, IL USA TOLL FREE: (800) 720-7837
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