PDF (3.6 MB) - Valora

26 ANNUAL REPORT VALORA 2009
effICIenCy
sWITChInG froM road To raIl
The waste paper recycling
process at Valora’s
logistics facility in
Egerkingen is highly automated.
Once the returned
newspapers and
magazines have been
processed for returns accounting,
a conveyor belt
takes them to designated
goods carriages. An ultrasound
device is used to
ensure that the carriages
are properly and evenly
filled. Once loading is
complete, a text message
is sent to Swiss Federal
Railways’ cargo division.
The consignment is then
taken to a paper mill located
some 65 kilometres
The press market is facing major challenges. The paradigm shift brought about by
the rapid development of electronic media has caused sales of newspapers and
magazines to contract. To compensate for lost turnover, Valora must achieve lasting
improvements in efficiency. Measures within individual business areas are
not enough. A major transformation is required.
The retail press market has seen sales volumes contract
continuously for years. This trend has been particularly
pronounced for daily newspapers, which
have been most affected by the public’s changing media
usage which the internet and freesheets have brought in
their wake. Valora Media also saw its 2009 press sales decline
on their 2008 levels. This was partly due to the price increases
newspaper publishers in other countries implemented
during 2009 to compensate for lower sales, some of which
were substantial. Price increases in Switzerland, conversely,
were more modest.
One element of Valora’s strategy programme is to focus
its press wholesaling activities more assiduously on the requirements
of its retail partners and their end consumers. To
support this initiative, the present sales and service offerings
will be extended and speeded up. A number of further
streamlining measures are intended to facilitate the transition
to a new era in press market history. Valora Media’s new
strategic direction in this area is designed to achieve an optimal
balance between the interests of consumers, publishers
and retail outlets.
The division will mark this change by renaming itself
Valora Services. This new name is already in use in Austria
and will now be introduced in Switzerland.
whereas the perioD from Depot
Delivery to final Distribution
for magaZines was previously between
48 anD 72 hours, this has
now been cut to 21, an improvement
of more than 50%.
evoluTIon
away. This enable Valora
to eliminate 5 return
journeys by road haulage
truck each day, thus reducing
road traffic and
promoting railway transport.
175
raIl Goods CarrIaGes Were
dIsPaTChed froM The eGerkIn-
Gen loGIsTICs CenTre beTWeen
1.6. and 31.12.2009 TakInG
WasTe PaPer for reCyClInG.
imProVed Product management – more efficient system use. Improved
product management techniques will be used to ensure,
based on all relevant point-of-sale data, that each outlet
is supplied with a range of products optimally attuned
to its requirements. Further developments of Valora’s pressspecific
IT systems will help to ensure that the press titles
delivered to individual outlets are more appropriate and attractive,
thus enabling them to increase turnover and customer
loyalty. Currently, 22 wholesalers in Germany, Austria
and Switzerland, who in turn supply some 55 000 outlets,
are working with the PVG software. In addition to the usual
standard industry data, this system supports a number
of special applications, such as daily analysis of till scanner
data.
Additional development investments in the software will
enable improved market coverage through the integration of
a data warehouse and interfaces to a geographical map system.
Regional newspaper and magazine sales data will be
linked to socio-demographic statistics with a view to identifiying
additional sales potential.
imProVed logistics quality driVes significant cost saVings. Valora’s
modernisation of its press logistics already represents a major
investment in higher quality, more efficient processes.
More intelligent distribution management and shorter press
throughput times have made for significant improvements
in quality. Whereas the period from depot delivery to final
distribution for magazines was previously between 48 and
72 hours, this has now been cut to 21, an improvement of
more than 50%. In future it should also be possible to deliver
foreign magazines to Swiss retail outlets the same day they
first go on sale in their home market.
These more efficient, higher-quality processes pave the
way for stronger growth.