Supermarket supply chain shows promise

Progressive Enterprises is rolling out an inhouse-developed supply chain system across its distribution centres, in the wake of its buyout of the Woolworths supermarket chain.

Progressive Enterprises is rolling out an inhouse-developed supply chain system across its distribution centres, in the wake of its buyout of the Woolworths supermarket chain.

Progressive is busy implementing the warehouse distribution management part of Promise, says IT manager John Donaldson.

“We’ve implemented it for a number of our distribution centres. Where there’s a Woolworths one, we’re installing Promise in it.”

Promise was developed by Progressive’s parent company, Perth-based Foodland Associated. “But it’s been quite majorly reworked by us,” Donaldson says, as the parent company is principally a wholesale company and Progressive is focused on retail.

Changes made include enabling Promise to handle multiple distribution centres and competitive pricing — the practice of pricing goods differently at different supermarkets depending on the level of competition in the area.

Progressive has already expanded its SAP R/3 3.1 financials system to replace Woolworths’ legacy Adabas system and loyalty cards common to Woolworths and Progressive’s Foodtown chains are interoperable thanks to back-end data migration to a Teradata data warehouse. Progressive operates four dry grocery warehousing and distribution centres, in Palmerston North, Christchurch and two in Auckland. Chilled and frozen goods are handled out of the same centres by P&O Logistics.

Progressive chief operating officer Ted van Arkel told Computerworld in February that SAP migration would take about a month, because it’s been running it for a long time in Progressive. “Supply chain will probably take the whole of this year.”

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Tags Supply Chain

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