METRO SUPPLY CHAIN MANAGEMENT & LOGISTICS SERVICES

As one of the core business functions of METRO CASH & CARRY VIETNAM - a leading modernized wholesaler in Vietnamese market, Supply Chain Management Dept. now is one of the “biggest” dept. of the company, which comprises of 25 full time and more than 25 other out sourced employees, covering all fields of Supply Chain Management & Logistics Operations. Together with more than 20 Logistics Service Providers, METRO Logistics national network is linking METRO outlets in all cities with more than 1,000 suppliers via 4 METRO Distribution Centers (DC) and in charge of dozens of delivery vehicles from DCs to stores every day, while together with other local service providers, it is in charge of hundreds free deliveries per day from METRO outlets to core customers not only in the main cities but also in adjacent provinces through out the country.
 

The key missions of Supply Chain Management and Logistics are:

1. Efficiently improve our performance to satisfy internal and external customer’s needs by achieving the main objectives of supply chain management and logistics management in our daily business, including:

• Right product
• Right quantity
• Right time
• Right place
• Right cost
• Right condition
• Right information
  

2. Effectively coordinate with and support other functional departments within company as well as outside partners to accomplish our strategy, project, assignments and task and to achieve our common target.

3. Continuously train and learn to develop a competent supply chain management and logistics team who have good knowledge, experiences and skills, encourage the behavior that promote the honesty, fairness, trust and respect of the people, strengthen the team spirit and unity between the team members , between the team and the company.

METRO Main Distribution Centers (DC):

1. Fruit & Vegetable DC in Da Lat:

Located in Lam Dong province, the main temporate fruit & vegetable production area of the Southen Vietnam, Da Lat DC is focally invested by METRO Cash & Carry Vietnam (MCCVN) and strongly supported by METRO Group and other international organizations (belongs to Dutch Government), in order to:

• Enhancement of the knowledge and cooperation between all parties in the supply chain.
• Exchanging experiences, transferring expertise, new cultivation and harvesting techniques between the farmers
• Introduction of new varieties and new products.
• Develop “brand” products for professional customers and exportation.
• Definition and classification of quality standards and product grade.
• Changes of packaging materials and packaging model.
• Implementation of full cold chain control from farming region to consumption region.
• Improvement of storage facilities and conditions.
• Implement food and hygiene practices to meet HACCP regulations.

2. Fresh DC in Binh Duong:

Located in one of the industrial zone of Southern Vietnam (Vietnam Singapore Industrial Park – VSIP), the Fresh DC is a biggest contractual DC dedicated for all kinds of fresh products such as: fruit & vegetable, fish, meat, dairy & frozen, including all import fresh foods. From this DC, goods are received, checked, sorted, packed, labelled and delivered to all METRO Stores. Together with Da Lat DC, via Binh Duong DC, METRO Vietnam aims to:

• Combine the efforts of all business partners involved in the whole supply chain by optimizing the working processes, sharing the facilities and information and pooling the economic scale.
• Strictly control the operational, delivery and storage conditions to fulfill the food safety and hygiene  regulations from supply to consumption stage.
• Consitently control the quality of products delivered to all METRO stores.
• Support to small producers, farmers and fisherymen who have limitted capability to assure the proper logistics facilities and cold chain control.

3. Dry DC in Ho Chi Minh City:

Located in the same location with METRO Head Office in Dist.2- Ho Chi Minh City, Dry DC is owned by METRO, dedicated for all kinds of dry and non-foods, including all import ones. From this DC, goods are received, checked, packed and labelled (if necessary) then delivered to all METRO Stores. Through Dry DC, METRO aims to:

• Optimizing the delivery and transportation conditions.
• Support to small and midium suppliers to deliver their products to all METRO stores in the country with the possibly shortest lead time and lowest transport cost.
• Improve the product availability in METRO stores.

4. North DC in Hanoi:

Located in Quang Minh industrial zone of Ha Noi, the North DC is a contractual DC covering all kinds of fresh, dry and non-food products. From this DC, goods are received, checked, sorted, packed, labelled and delivered mainly to all METRO North Stores but also transported back to South DCs for delivery to South Stores. Together with other DCs, METRO Vietnam aims to:

• Complete build up the national logistics network.
• Improve the operational, delivery and storage conditions in the North supply.
• Consitently control the quality of products delivered to all METRO stores.
• Support to small producers, farmers and fisherymen who have limitted capability to assure the proper logistics facilities and cold chain control.

a) Working Space: flexible from 500 – 1,500 sqm
b) Facilities: frozen storage rooms (< -18°C)
                   cool storage rooms (0 - 10°C)
                   dry room (ambient codition)
c) In/out Volume: 100 - 200 tons per month
d) Delivery: # 3 – 5 trucks of 1.5 - 10 tons per day 

Temperature Controlled Transportation:

The modernized domestic transport system is one of the most important innovation of MCCVN, which is the key success factor to achieve the stable quality, unchanged freshness, therefore, prolong the shel-life during the transportation and distribution of fresh products:

• Goods are delivered from METRO DC to METRO Stores by multi-chamber trucks or containers with the loading capacity around 40 - 60 CBMs/trip (equal 10 - 20 tons/trip).
• Every truck or container has 2 to 3 chambers, equipped with a cooling system and thermo-recorders to assure the well maintained of different temperature condition in different chamber.
• Depending on the characteristics of each kind of products, goods are kept in the dedicated chamber maintained at proper temperature from -20oC to 30oC. The size of each chambers can be adjusted thanks to the mobile partitions so that the loading capacity is improved remarkably.
• The thermo-recorder is running continuosly from the loading to unloading time of the truck. The temperature chart then can be printed out to check and prove the stable storage conditions during transport phase. 
• Trucks is equipped with a tail-lift to support for loading and unloading either using hand pallet truck or manually handle box by box.