ECR Committee 1 October 2013

© 2010 GS1 © 2012 GS1 Antitrust Caution ECR Belgilux will not enter into any discussion, activity or conduct that may infringe, on its part or on the part of its members and participants, any applicable competition laws. By way of example, members and participants shall not discuss, communicate or exchange any commercially sensitive information, including non-public information relating to prices, marketing and advertisement strategy, costs and revenues, trading terms and conditions and conditions with third parties, including purchasing strategy, terms of supply, trade programs or distribution strategy. This applies not only to discussion in formal meetings but also to informal discussions before, during or after meetings. 2

© 2010 GS1 © 2012 GS1 Agenda 1.Approval of previous meeting report & To do’s (30 min) 2.Project Update (90 min) 3.Budget (30 min) 4.ECR Europe (10 min) 5.AOB 3

© 2010 GS1 © 2012 GS1 1. Approval of previous meeting report Remarks to the previous meeting report (pre-read 1) Approval of the previous report 4 What?Who?Timing? Status Investigate the extension of the SSCC manual to non- food & consult with non-food suppliers BABM/ECR /Carrefour Next ECR Committee ongoing Contact French counterpart of VIB for speed docking and ECR award ECRasap No response Investigate RFID pilot Marko & DHLECRNext ECR Committee ongoing Finalize ECR award juryECRasap Wait for ECR Europe Contact retailers to find out more details on the display positioning on a mother pallet ECR/Retail ers asap done Organize OSA workshopECRQ4 ongoing Organize speed docking feedback sessionsECRQ4 done

© 2008 GS1 © 2012 GS1 2. PROJECT UPDATE 5

© 2010 GS1 © 2012 GS Small and valuable items See pre-read 3 page 11 in footnote GS1 manual for labeling logistic units makes an exception for small and valuable items. A separate working group was installed: General rule remains valid aim for full layers & minimal product height of 30 cm. Order pattern and quantities should be optimized in bilateral discussions. Alternatively 1 mixed pallet can replace a stack of uniform pallets. no remarks from ECR community 6

© 2010 GS1 © 2012 GS Small and valuable items Decision to be taken: do we accept the proposal of the working group 7

© 2010 GS1 © 2012 GS Update SSCC labeling in other sectors Can we extend the manual to non-food products? Request supported by Colruyt, Delhaize and Carrefour Documentation on advantages for suppliers was sent to BABM Input from BABM non-food members Decision to be taken: next step? 8

© 2010 GS1 © 2012 GS How to stack display pallets? 9 Request from retailers to stack display pallets back to back. This requires manual picking procedures For some suppliers (that use automated picking) this is a huge cost investment Proposal: place displays back to back when picking is done manually. Bilateral negotiations for automated picking. Decision to be taken: adapt the ECR Recommendations accordingly?

© 2008 GS1 © 2012 GS Speed docking in Europe Speed Docking is going abroad: ECR Europe Activation Projects: Belgilux The Netherlands Czeck Republic Switzerland Ireland Poland Support from ELA? Part-time project manager from ECR EU 10

© 2008 GS1 © 2012 GS Speed docking Belgilux Evaluation with all organizing suppliers, 3PL’s, VIB, GS1/ECR and Caroz 3/09: A lot of variance in cycle times  difficult to plan Average weighted cycle time of the winner is1,5h versus average time slot = 1h DC with more full trucks = lower average cycle time Total cycle time for a truck with 15 pallets or 32 pallets is almost the same Different definition of time slots 11

© 2008 GS1 © 2012 GS Speed docking & SSCC/DESADV See pre-read 4 Are cycle times linked to using SSCC and DESADV? This data is not readily available – will need to be collected Focus on top 10 retailers and wholesalers Cost: € Decision to be taken: do we invest in this research? Adaptations to the proposal? 12

© 2008 GS1 © 2012 GS Sustainable transport Bundling of loads to Colruyt On hold Budget 2013: 5000€ Bundling of loads to Spar Data collection Analyses Selection of potential pilots Contact suppliers Conduct pilot(s) Evaluation and best practice sharing: Q Budget 2013: € 13

© 2010 GS1 © 2012 GS ECR Award 2014 Planning for ECR award 2014 Jury and concept of the awards approved by ECR Committee Small changes in submission form & criteria to be expected from ECR Europe Next step: contact jury & send out call for submission (Q4 2013) Budget: 5000€ (award ceremony) 14

© 2008 GS1 © 2012 GS1 2.9.day catman training 3 day catman training for 995€ Contributions from Nielsen & GfK Profit: 3970€ Second edition planned: 26/09, 10/10 & 24/ participants 15

© 2008 GS1 © 2012 GS OSA workshop See report previous meeting Looking for a good teacher via Colin Peacock Specify scope General Out of stock problem & how to tackle it Focus on reducing shrink Budget: 6000€ 16

© 2008 GS1 © 2012 GS1 3. BUDGET UPDATE 17

© 2008 GS1 © 2012 GS1 3. Budget update 18 Assumption: 10 participating suppliers

© 2008 GS1 © 2012 GS1 4. ECR EUROPE 19

© 2008 GS1 © 2012 GS ECR NI meeting – Minutes see pre-read 5 and 6 Revisions on ECR Europe Award Criteria are slightly adapted Will impact local ECR award ECR Europe Conference Will not take place in 2014 (exceptionally) Expanded leaders’ Forum 29 & 30 April 2014 –Day 1: ECR Europe Awards –Day 2: Expanded leaders forum Proposal: ECR Europe newsletter 20

© 2008 GS1 © 2012 GS ECR NI meeting – Minutes see pre-read 7 Activation projects Collaborative supply chain management guide ? Speed docking Affordable benchmarking Shared logistics Annual category management benchmark survey 21

© 2008 GS1 © 2012 GS Collaborative supply chain management guide See pre-read-7 multistakeholder approach best practice business processes manage supply chains more efficient & collaborative –Merchandise planning models (VMI/BMI/CMI) –Models of flow of Goods (direct/Cross Docking 1+2/etc.) –Collaboration with Logistics Service Providers (information flow, responsibilities etc.) –Various business models (trading, consignment, concession, commission etc.) 22

© 2008 GS1 © 2012 GS Collaborative supply chain management guide Leverage to European scale & make compatible for other European markets Support from ECR Switzerland, ECR Baltics, ECR Ireland & ECR Italy The project bases are the Swiss ECR recommendations on SCM (pre-read 7). Output: published Guide Books incl. practical tools, charts, schemes, tables and a management presentation. 23

© 2008 GS1 © 2012 GS Collaborative supply chain management guide Guide book merchandise planning models (VMI/BMI/CMI) practical tools, charts, schemes, tables and a management presentation Stage 1 «Disposition & planning» 09/13 – 01/14 Models of flow of Goods (direct/Cross Docking 1+2/etc.) practical tools, charts, schemes, tables and a management presentation Stage 2 «Flow of Goods» 11/14 – 04/14 Collaboration with Logistics Service Providers (information flow, responsibilities etc.) practical tools, charts, schemes, tables and a management presentation Stage 3 «Collaboration with LSP» 04/14 – 06/14 Various business models (trading, consignment, concession, commission etc.) practical tools, charts, schemes, tables and a management presentation Stage 4 Business models 06/14 – 09/14 Joining forces to create values

© 2008 GS1 © 2012 GS Collaborative supply chain management guide Required investment: 1000€ per guide book (for graphic design) Marketing Final document –electronic version –NI’s and there members: free available –Non members fix fee of 100 € (no dumping) –Print version: decentralized production on demand –NI’s and there members: printing and shipping costs –Non members fix fee of 150 € (no dumping) 25

© 2008 GS1 © 2012 GS Collaborative supply chain management guide Decision to be made Do we participate in this project? Budget adaptation proposal: reduce OSA to 5000 Input from the industry is crucial: who will participate? 26

© 2008 GS1 © 2012 GS1 5. AOB? 27

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