Creating A Winning Team

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					                                       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


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Description: "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."
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