The food industry is a fast growing industry today in any part of the world. It is one of the industries which produce the most evolving and innovative products to suit the customer needs and desires. We have products ranging from raw food to ready to eat packs and cold storage to hot storage. Food Industry always thrives to lower the costs due to heavy competition and easily lost customer satisfaction.
In such a scenario it is always essential to maintain the best possible relationship between the partners in food industries which include manufacturers, wholesalers and retailers. In order to establish the same, it is highly important to understand the functioning of each other and be able to tune one’s functionality.
Problems …show more content…
The location of the Central Distribution system is very critical. It should be strategically planned at central Europe or for example in FRANCE. All the products from each of the manufacturing plants should arrive at the Central Warehouse, where the customer could place the order and it would be dispatched. In order to forecast the supplies to the Central Warehouse, we can use the Weighted Average or Exponential Smoothing Method as these methods prove best with changing trends in product demand. With better forecast a better production planning can also be achieved.
Characteristics of the Central Warehouse:
1. The warehouse could be managed by a 3rd party Logistics Partner (3PL) to have an efficient flowing system. When outsourced, the experience of the 3rd party partner becomes handy and an added advantage to Food Freeze LLC.
2. A raised loading/unloading bay for faster loading/unloading of trailers.
3. RFID enabled warehouse system to track the product locations.
4. High raised shelves with access on both sides of the shelves to maintain the FIFO system at