Supply Chain Compliance Audit

A large retail group currently operating in 33 countries with more than 10,860 stores, including hypermarkets, supermarkets, convenience stores and wholesalers, with a volume of 13 million people passing through its stores every day, required the support of RGIS.

REQUIREMENT

The large retail group specialising in hypermarket, supermarket and convenience stores which are a long-standing customer of RGIS since 2003, wanted to audit the order preparation process in two of the warehouses in Île-de-France, in order to achieve the following:

  • Identify the number and type of errors during picking and packing (bad references or errors in quantities taken) and limit them
  • Facilitate the reduction of stock shrinkage in warehouse and in store (in quantity and in value)
  • Make order preparation more reliable
  • Improve the productivity of the teams and the quality of service to the stores
  • To limit stock differences in warehouse and in store

SOLUTION

By working with RGIS, the retail group benefited from a specific quality control process to verify the compliance of orders in its supply chain:

  • For one month, a team of two experienced RGIS auditors visited the store or warehouse to randomly check a sample of five pallets per order
  • RGIS teams were assembled according to the schedule of shipments and receptions
  • Computer entry of products prepared in the shipping area (warehouse) or delivered in the reception area (warehouse). To reconcile with the delivery docket
  • Verification of the differences was generated between the delivery docket and the prepared order (warehouse). Or between the order received and the delivery docket (warehouse)
  • Development of software to analyse the shrinkage
  • The following data was fed back weekly in the form of an Excel spreadsheet:
  • The rate of anomalies per controlled order
  • Shrinkage (rate and valuation) per order, per warehouse and per store
  • Priced products

RESULTS

By outsourcing the compliance audit of orders for two warehouses to RGIS, the French large retail group achieved the following results:

  • Reduced the processing time of disputes between warehouses and stores by 30%
  • Reliable results in shrinkage and stock numbers
  • Improved productivity by outsourcing order checks
  • Improved the quality of service to stores
  • Reduced order picking errors and disputes

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Related Services: Supply Chain Audits