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Descriptive elements of the supply chain : How does ALDI SUPERMARKET Collaboration arrangements with suppliers, customers or 3PLs

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3Descriptive Elements of the Supply Chain

DESCRIPTIVE ELEMENTS OF THE SUPPLY CHAIN

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DESCRIPTIVE ELEMENTS OF THE SUPPLY CHAIN

ALDI Australia collaborates with its suppliers to provide consumers with products they require within the timelines set. The supermarket has partners with its suppliers through various initiatives to ensure that the suppliers are compliant. Additionally, the supermarket supports the suppliers by giving them clear guidelines on the standards that are required by the company. The suppliers’ facilities are actively monitored by representatives for ALDI supermarket to ensure that set standards are met. The partnering program with the suppliers also required to file a social monitoring report to ALDI to demonstrate how their production facilities are meeting social standards (ALDI 2016).

In terms of logistics, ALDI supermarket has over 300 stores which are integrated into one regional model. The stores are monitored for the headquarters which coordinates logistics. Apart from the outlet stores, ALDI also has close to 100 warehouses and distribution centers. These warehouses store goods in readiness for supply to the outlet centers across Australia (The Institute for Supply Chain and Logistics 2014, p.8).

Additionally, customers who purchase their products such as groceries can get them delivered at their homes. The company has collaborated with German start-up firm to help in delivering groceries to its customers. The customers are charged a fee on top of what they have purchased to facilitate the delivery of the groceries. The customers have to download a mobile application on their phones, registered as ALDI consumers and purchase their groceries. The delivery process takes less than one hour depending on the location of the customer (Chung, 2016).

BIBLIOGRAPHY

ALDI, (2016). Social Monitoring Program (SMP) — ALDI Australia. [Online] Corporate.aldi.com.au. Available at: https://corporate.aldi.com.au/en/corporate-responsibility/suppliers/social-monitoring-program-smp/ [Accessed 30 Aug. 2016].

Chung, F. (2016). How to get Aldi groceries delivered. [Online] NewsComAu. Available at: http://www.news.com.au/finance/business/retail/online-supermarket-shopwings-launches-app-expands-delivery-to-melbourne/news-story/a81a09b1029cab9c354319081064262d [Accessed 30 Aug. 2016].

The Institute for Supply Chain and Logistics, (2014). Food Australia map overview of food warehousing and storage services in Australia. Melbourne: Victoria University.