Independent Purchasing Cooperative (IPC), a Subway® Franchisee-owned company, is responsible for the supply chain processes for the more than 43,000 Subway restaurants globally. IPC needed a system to enable full supply chain visibility to optimise its operations. The Cooperative was focused on ensuring food safety for Subway guests and finding business efficiencies that end-to-end traceability would bring.
To achieve this challenging initiative, IPC developed a strategy for getting all of its suppliers and distributors on board. The company collaborated with its supply chain partners to implement GS1 standards for quality data to meet the information transparency needs of its restaurants and consumers alike. Today, suppliers and distributors use GS1 standards to uniquely identify their products and locations as well as exchange product information through the Global Data Synchronisation Network™ (GDSN®). Subway Franchise Owners use a specialised app to capture and use product data at restaurants for the benefit of their operations and customers.
IPC has been able to quantify US $1.3 million in annual cost avoidance by maximising truckload capacity based on accurate product data enabled by GS1 standards. In addition, standardised product data drives operational efficiencies, reduces supply chain costs, and saves time and labour. By using quality product data, Subway restaurants can improve their inventory management and ensure enhanced food safety practices with faster and more precise responses to product recalls and withdrawals. IPC and its independently owned Subway restaurants are looking to further differentiate and enhance consumers’ experiences with customised offers and other innovative approaches to supply chain management.
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