What types of material
consolidation programs does
Bruce Barton: Bunzl performs various consolidation activities including
just in time fixture rollouts for new
store and remodel locations, signage
rollouts, special projects and reverse
What is a reverse logistics
Bunzl developed a reverse logistics
program to aid retailers in managing obsolete fixtures and equipment
within their retail locations. This
program allows the retailer to recover
real dollars from their obsolete
assets. Bunzl manages the removal
of the assets from the store and
consolidates them throughout its
network. Assets are then redeployed
back into the chain as replacement
items, sold for salvage value or
Describe some of the ways Bunzl
can remove costs from a new
This process is a true partnership
with the retailer. Every program
we manage has custom features
specific to the needs of the retailer.
We start by identifying where Bunzl
can add value and determine which,
if any, net costs can be taken out
of the process. Cost savings are
often created from improving in and
outbound freight. Shipping full truck-
loads instead of LTL, small parcel
or airfreight is more cost effective.
Labor savings at the project site can
be significant as consolidated loads
from many vendors are delivered
at a 100 percent fill rate, sorted by
department on time.
We find that many retailers
struggle with receiving at the project
site. A typical new store site involves
shipments from well over 100
vendors. This often leads to lost or
misplaced items needed for assembly by construction contractors. If
missing parts need to be reordered
and overnighted to the site that adds
significant cost to the project. Bunzl
can eliminate these costs through
How would Bunzl manage a wave
of store remodels or new store
openings using consolidation?
Bunzl would meet with the retailer
and review all of the items for a
typical project store and code those
items into one of three categories:
items to be cross-docked, items to
be inventoried and items to be direct
shipped to the construction site.
Bunzl would manage all three flows.
All items would be ordered to arrive
at Bunzl with the proper lead-times
to meet the retailers desired delivery
date to the project site. Bunzl would
receive all inventoried and cross-docked items into one of its sites.
Two weeks before the project ship
date Bunzl begins building truckloads
of items in the order needed at the
project site. Many retailers have the
items presorted by store location or
department to help stage the items
on the project site.
How often can retailers view the
status of the items needed for a
given project site?
Retailers have real-time access to
all inventories in the supply chain via
a web portal into Bunzl system. The
Bunzl system also has the ability to
email custom status reports on any
To help retailers track when fixture
deliveries arrive, we ship scan guns
with cellular communications that
transmit receiving information back to
Bunzl. We can then EDI the data to
the retailer to close the loop on the
What is the greatest feature of this
Remodel store locations can experience significant sales reductions
during the construction period. The
Bunzl program gets stores open two
to three weeks sooner than projects
that don’t use the Bunzl system.
Stores that experience reduced
construction times get back to full
revenue generation faster.
Every program Bunzl manages has custom features specific to the needs of
the retailer, says Bruce Barton, vice president, strategic sourcing retail.
This process is a true
partnership with the retailer.
Every program we manage
has custom features specific
to the needs of the retailer.