4. Recommendations:
According to the analyses of logistics management and the challenge of Tesco, there are several recommendations to be proposed to improve this problem.
First, current logistics improvement.
In terms of logistics management, there are several aspects to be improved. Firstly, Tesco needs to increase the visibility of the whole supply chain. Tesco needs to improve the information flow with suppliers, such as the sale and forecasting. Gaining more useful information is beneficial to take more effective decisions in each area, including the number of food supply to prevent an excess of waste. In addition, Tesco also need improve the technology of machines during the logistics process. Sometimes, the food waste may be caused by machines because of the lacking of technology. The food may be damaged during the packing process by machines. Tesco needs to constantly check the quality of machines. Moreover, Tesco also can collect some advice from staffs working in the logistics office. These staffs have their own experience about the managing food preservation and they know more drawback about the
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However, the charity activity is not well known enough. Tesco needs to expand more charity activity about the surplus food. It is not only helpful for Tesco’s food waste problem but also beneficial for Tesco’s improvement of corporation social responsibility.
Fifth, improve forecasting.
The lack of selling forecasting is the important reason for the food waste. It causes the supply exceeds the demand because of the wrong and lacking forecasting of the food market. Therefore, Tesco need to improve its food market forecasting to avoid providing overmuch fresh food to market. Tesco should proceed the frequent market forecasting to get a relative accurate results about the food demand in different time.
5.
I worked at Real Canadian Superstore from last five months and the amount of food they throw away every day is pretty huge. I don’t feel good throwing food every day but I have to do it on regular basis. Supermarkets throwing away vast amount food every day and on the other side some people are not getting two meals a day. Once I asked my manager why we throw this much food if we can donate it? The answer I got was shocking, he told me that we are here to do business, not community service. Not only supermarkets but farmers and individuals too are responsible for increasing food waste problem. This has both negative on the environment and the waste of our resources. Food
Have you thought about how much food is wasted? Just think about your supper last night did you throw any food away if you did have you ever thought about where it goes or what happens to it? Many people don’t realize that there is a lot of food that is thrown away every year. Not only do people in their homes throw away food but grocery stores also throw out a lot of food too. “Most people believe that grocery stores should donate their food instead of throwing it away but the reason why many stores don’t donate their food is because many stores either don’t want to get sued or many grocery stores don’t know that they should be donating it.” ( Jacobs)
During last two decades, the importance of logistics has been noticed around the world. In global markets, the effects and further developments of logistics and supply chain management for corporate success has increased significantly that result in a large amount of companies have taken actual benefits in logistics, such as reducing costs, enhancing customers ' satisfaction and increasing sales. However, some people are confused with the relationship between logistics and supply chain management. Therefore, this essay will argue that logistics management and supply chain management are not exactly the same in operations because of the scope where utilized and some specific activities are similar, but some are different. In the end, this essay will also talk about the reasons for logistics management is an important strategy to manufacturing or service companies.
This assignment will be discussing about when I was working as a logistics manager for Morrisons and we will be talking about how Morrisons distribution system works and evaluating the system. Morrisons' market share as of August 2013 was 11.3%, making it the smallest of the "Big Four" supermarkets, behind Tesco (30.1%), Sainsbury's (16.6%) and Asda (16.4%), but ahead of the fifth place Co-operative Group, which had a share of 4.4% - http://en.wikipedia.org/wiki/Morrisons. There is currently 569 stores across the UK and this means that the distribution system must be effective and be able to deliver goods to the Morrisons stores in time.
One in seven American households lack a proper amount of food to maintain a healthy lifestyle. United States waste 133 billion pounds of food yearly. In 2010, supermarkets and grocery stores in the US tossed out 43 billion pounds, or $46.7 billion worth of food. (Dvorsky) Even with so many people in need of food it is unbelievable the amount of food going to waste at markets and restaurants. Given how many people go hungry in the United States each year, it is clear that an immediate change is necessary. There are many reasons why grocery stores should be forced to donate there pre-expired food, mainly to help those people not getting enough food, to reduce the amount of waste going to landfills.
J Sainsbury PLC will continue to grow their local charity of the year program. They also strive to develop their national charity partnerships with Comic Relief and The Royal British Legion. This company plans to give back to local communities through volunteering, awareness-raising, food donation partnerships and donations from their stores’ community budgets. They plan to have active roles with groups that address issues relevant to their local communities including community partnerships and Drinkaware. This is evidence that Sainsbury’s PLC conduct philanthropic activities in order to support good causes and enhance their
America disposes millions of dollars in unsold and out of date food yearly. In fact, four billion tons of food is produced annually, and on average $165 billion of that is wasted (Frasz). Between grocery stores, restaurants, and personal households this total can add up rapidly. Society frequently complains about the unemployed, sick, and poor not having ends meet. However, Americans often contradict themselves by allowing this process of waste to continue daily. These wasted products could be beneficial in numerous ways. For example, donating to charity, food banks, or farmers for animal feed and compost are just a few ideas we could consider other than just throwing our leftovers out. Other countries, such as France are finally starting to counteract against this worldwide situation and the United States should follow in line. America should be implementing techniques to solve this excessive waste problem before the issue becomes out hand.
This report looks at the internal and external environments of Tesco, a British multinational grocery-retailer, through applying frameworks to assess strategic decisions taken by Tesco. The dynamic external environment was examined using a PESTEL analysis which highlighted key industry drivers for grocery-retail being enforcement of new labelling and regulation laws influenced by social 'healthy-eating ' trends as well as increasing focus towards convenience stores instead of hypermarkets due to consumers making larger purchases online. The Porter 's 5 Forces analysis identified high customer bargaining power due to high standardisation and low differentiation between products offered by Tesco and competitors, creating low switching-costs which led to high competitive rivalry.
Stores can implement greener policies to calculate the necessary quantity of food. For instance, forecasting software is a food saving method explained by TEDxManhattan spokesperson Diana Hatz. In her article on "End Food Waste Now” she explains that a traditional U.S. supermarket carries anywhere from 15,000 to 60,000 products in stock at any given time because it is difficult to
External factors Labour costs Labour costs relates to the wages which employees are being paid by their businesses. This factor usually relates the national minimum wage legislation which states all employees should be paid the full minimum wage in their age category. Tesco are labour intensive businesses due to they rely on customers and employees to make Tesco a successful business.
These two articles show that food waste is a major problem that needs to be solved. They also show that food waste can be reduced and would therefore save money. Saving money is important and could change our country. The United States could use the money and many different ways. Companies would also benefit from reducing food waste because it would reduce the amount of money that is wasted when food is thrown away. Many companies throw away food at the end of the night and therefore not only waste food but also money. Unsold food often gets thrown away and is wasted rather than
In this essay, I will evaluate the distribution systems in delivering goods and services for a selected organisation. The business I will use for this task will be Tesco. Tesco is a British multinational grocery and general merchandise retailer with its headquarters based in Cheshunt, United Kingdom. It is the third-largest retailer in the world measured by revenues (after
Food waste is a global problem and the United States is one of the biggest offenders. According to recent statistics, “Every year, the United States throws away one-third of all the food it produces — 133 billion pounds of food. And grocery stores are responsible for tossing 10% of that food” (Jacobs). While this may seem like an insignificant percentage, the cause of this waste is due to egregious and inefficient practices perpetrated by larger retail grocery chains designed to drive revenue rather than efficiently use resources. Due to grocery store’s focus on revenue driving practices, stores contribute to food waste by providing misleading product expiration labeling, overstocking displays, and feeble attempts at distributing unused goods
(Bowersox, D.J., Closs, D.J., and Cooper, M.B. (2010). Supply Chain Logistics Management. (3rd Edition) New York, NY: McGraw-Hill/Irwin.
The variability of logistics performance is quite relevant. ALP has not been able to guarantee a reliable service to its customers in the last years. There seems to be a lack of organization when providing the service to the customers, in the sense of establishing priorities and