Our Supply Chain
Our extensive supply chain gives us a competitive advantage that is underpinned by resilience, responsibility and partnerships that help us serve customers better.
Operational and supply chain efficiency play a critical role in ensuring our products remain affordable and accessible, while, at the same time, reducing our environmental impact. Our continued investment in technologically enabled systems and infrastructure ensures we maintain and enhance efficiencies throughout our supply chain.
Our supply chain has been designed to support the growth of the Group by improving efficiencies, enabling business growth, minimising waste, mitigating risk, and advancing our overall centralisation levels.
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DISTRIBUTION CENTRES
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WITH SOLAR PV PANELS
Our focus areas
Diligently managing our supply chain includes planning, forecasting, procurement, warehousing, and distribution.
We manage efficiencies by focusing on three areas:
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Building a resilient supply chain
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Managing scale in our operations
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Transparency and accountability
Building a resilient supply chain
Building and maintaining a resilient supply chain keeps our business operations running smoothly. We do this through:
- Local supplier support
We support local suppliers wherever possible as this enhances our ability to contribute to local economies and develop local and small suppliers while reducing our environmental impact. Because we invest in these relationships, our suppliers have a deep understanding of our operating environment and the challenges we face.
- Managing challenges through proactive engagement
A high level of collaboration exists in our supply chain, from our suppliers to our stores, which supports us in managing crises. Exercising a high level of control over our supply chain allows us to rapidly implement changes, when necessary, which is how we remain agile and resilient.
- Diversifying our supply chain
The volumes and range of products we need to procure necessitate that we work with a wide variety of suppliers, from large multinational companies to SMMEs. In a changing climate, increasing adaptability through diversification is essential in building a resilient supply chain.
Managing scale in our operations
Operating efficiently is part of our DNA. To uphold this sentiment in all supply chain operations, we aim to:
- Improve forecasting and replenishment
Our AI-enabled forecasting and replenishment tool has improved our replenishment process through automation. Optimising the products available on shelf while reducing overstocking reduces waste and decreases the resources needed to transport and store products.
- Build a reliable and efficient distribution network
Our extensive DC network brings us closer to a wide variety of suppliers and ensures our DCs in turn are closer to our stores. By reducing the distance travelled from supplier to DC and DC to store, we have developed the shortest and most responsive supply chain in South Africa.
Transparency and Accountability
Beyond minimising our own impact, we work with suppliers to improve the overall social and environmental impact of our supply chain.
- Supplier engagement on social and environmental issues
Our supplier code of conduct covers a range of social and environmental issues. Prospective suppliers are taken through the supplier code of conduct and need to commit to it before becoming a supplier to the Group. Our suppliers increasingly support initiatives in responsible sourcing and sustainable packaging and are eager to assist the beneficiaries of many of our CSI Programmes.