Starbucks consolidates supply chain in Gist deal

Commercial Motor
July 13, 2011

Gist has signed an undisclosed deal with Starbucks to consolidate its ambient, chilled and dairy delivery across the UK and Ireland.

The deal means that the number of deliveries made to each outlet for the coffee chain will reduce from 16 to seven per week, with overnight deliveries a distinct possibility, as its combines three separate supply chains under one umbrella.

Gist chief executive Martin Gwynn says: “This will significantly reduce the amount of vehicles on the road for Starbucks and reduce the operational costs.

“It will also help Starbucks’ customer service proposition reducing the number of vehicles arriving at Starbucks’ sites at different times of day.”

Deliveries will be managed from six different distribution sites across the UK and Ireland, centred at Hemel Hempstead with five further regional sites providing onward distribution.

Gwynn, however, was reticent to put a value and duration to the contract that will see it deliver to 720 stores as well as 1,000 concession stands. Some 210 employees will work on what Gwynn describes as a “sizable contract”.

Ceva Logistics previously ran Starbucks’ ambient distribution with Dairy Crest providing milk and foodservice firm Food Partners supplying chilled goods.

A spokeswoman for Ceva says: “Starbucks has decided to integrate their ambient and chilled products into one supply chain to service their stores and as such they have chosen a chilled supplier for the future.

“Starbucks remain a key global customer of Ceva Logistics and we will continue to work closely with them to ensure continuity of supply for their customers.”

 

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