Following a detailed 6 month tender process, Howard Tenens have been successful in securing a 5 year logistics contract covering the entire ingredients supply chain for Costa Proud to Serve and Costa Express. The contract will drive further efficiencies and savings for the two brands, as well as cement Howard Tenens’ position as their supply chain partner.
Howard Tenens started working with Costa Express following a tender process in 2012 lead by Chris Clowes, Supply Chain Manager. Chris identified an opportunity to drive efficiencies through the supply chain and searched the logistics market for a potential new partner to undertake Costa Express’ ingredients delivery. Howard Tenens secured the business after clearly conveying their commitment to a long term, value for money relationship.
Howard Tenens were awarded the significant additional volume and business following a challenging tender process. However they were helped by delivering tangible results during the initial 12 months relationship between Costa Express and Howard Tenens which achieved:
– Successful implementation of both a new IT system and 3PL provider with no loss of service
– Centralisation of stock holding from 9 locations to 1
– Direct purchasing relationships developed with 15 suppliers providing in excess of 100 SKUs
– Stock availability of over 99.9% and 50% reduction in stock holding at partner sites
– Delivery refusals reduced by 50%
– Move from landed purchasing to ex-factory gate generating annualised savings in excess of 6 figures with some products
– Annual logistics costs reduced by 30% and annual CO2 savings of 70 tonnes
Chris Clowes notes “The additional Proud to Serve business will help us deliver even more in terms of efficiency gains through Howard Tenens’ sustainable logistics offering and is an exciting step forward in our supply chain strategy. Through our logistics partnership we can now sustain both UK and International growth and have turned supplier – customer relationships into true partnerships.”
Howard Tenens Commercial and Marketing Director Jamie Hartles states: “We are proud and extremely pleased to have secured the additional Costa Proud to Serve business and look forward to continuing to develop our relationship with Costa, ensuring our partnership goes from strength to strength.”
Howard Tenens
Tel: 08702 415640
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