Ace Dairies
Ace Dairies
• Wholesaler : Unigate depot act as a wholesaler for milkmen, which is 150 km away fromroger’s
in wales and southwest of England. They take orders from Rogers and transportgoods through
refrigerated trucks to cold store in Hyle.
• Customers : Roger’s have 500 customers on regularly basis and special ordersoccasionally.
they take orders from them and deliver it to their doorstep
Q2: Where does Ace Dairies fit into this? What specific activities form the logistics in
Ace Dairies?
• Receiving : There is an information system which contains full details of all Roger's 500
customers, including their regular orders, special orders, where to deliver, how they pay, and so
on. They make sure that materials delivered match an order, acknowledges receipt. Every day
system calculates the likely scale of all products in two days time.
•Storing : They move materials from the receiving area into storage and makes sure that they
areavailable when needed. it is to giving the right conditions, treatment and packaging to keep
themin good condition. This is particularly important for perishable food or milk.
•Order picking: They find and removes materials from stores. Typically, materials needed for
acustomer order are located, identified, checked, removed from racks, consolidated into a
singleload and moved to a departure area for loading onto delivery vehicles. At 5.30 the
followingmorning Roger collects the order from his cold store and starts delivering to customers.
Thisusually takes until 1.30 in afternoon, but on Fridays he spends more time collecting money
andoften finishes after 5.00 pm.
•Packaging : They wrap goods to make sure that they are properly protected during movements so that
damage is kept to a minimum.
Q3: What are the main problems that Ace Dairies has with logistics?
There are a number of specific problems facing Ace Dairies. There is, for instance some
difference in daily demand, so Roger has to carry spare stock. He cannot carry too much, as
dairy products have a short life and anything not deliverd quickly is thrown away. Roger aims at
keeping this waste down to 2 percent of sales. There is also effort maintaining a service during
holidays, or when Unigate has difficulties with their deliveries.
I would suggest them to forecast the demand of their daily orders so they don’t have to keep the
waste and have their big span of control, it will be good enough to cater a huge market. As
Roger’s major concern is maintaining his sales over long term. Order for doorstep deliveries is
declining, as people but more milk at supermarkets.The Number of milkmen in Hayle has
declined from 10 in 1987 to 2002. As of Roger’s customers have been with him for many years,
he can generate new customers by canvassing, delivering leaflets, special offers, carrying range
of other products and so on. Other than keeping all these facts roger must outsource or
collaborate with other delivery parties to work as a team.