Woolworths Vendor Capability News - Woolworths wowlink

Issue 4 December 2010
Woolworths Vendor Capability News
Merry Christmas To All Of Our Trade Partners
With the busiest time of year upon us we extend our warmest wishes for a safe and happy
festive season to all of our Trade Partners and their families. We also thank our Trade
Partners for their efforts in improving their level of logistics conformance into our Woolworths
DC’s. In the last six weeks total conformance has shown positive signs which is a credit to
everyone in the supply chain.
Congratulations To Our Crossword Prize Winner… FAVCO! Thanks to
Last months crossword was very popular and thank you to all Trade Partners who submitted
entries, but there can only be one winner. We congratulate Michael Wilson from Favco
based in Queensland who was the correct entry drawn out of the barrel and is the recipient of
the free onsite GS1 Pallet Label Assessment Service.
Congratulations Gabby!
Our Vendor Capability Assistant, Gabriella Luccitti was recently
inducted into the 25 year club. 25 years service with Woolworths
is a wonderful achievement. Gabby attended a celebratory lunch
where she and other 25 year inductees were presented with a
certificate by our CEO Michael Luscombe. Well done Gabby!
Questions and comments always welcome
Email us at vendorcapability@woolworths.com.au or call us on (02) 8885 3361
Merry Christmas from the
Vendor Capability Team!
Front row L to R: Mike Pa’a,
Gabriella Luccitti, Adam
Cairns. Back row L to R
Michael Romanous,
Matthew Lowe, Lynda
Heeley, Fred Weiss

Understanding Non-Conformances
Pallet Issues: Plastic Wrapping / ‘Dags’
Many Trade Partners nominate Plastic Wrapping / Dags as the non-conformance
that is the most difficult to eliminate. This may be due to the fact that Plastic
Wrapping / Dags can occur in transit or can occur after the pallet has been wrapped
and left the site… But they are preventable.
Most dags are caused by the forklift tines piercing the stretch wrap, creating a dag.
This is why our specifications state that if you are wrapping pallets, the stretch wrap
is to cover the top 1/3 of the pallet only. This enables forklifts to access the pallet
without creating dags, but still secure the wrapped cartons to the pallet.
The easiest way to ensure your stretch wrap covers the
top 1/3 of the pallet each and every time is to install a
roller bar device at the base of your wrapping machine
(shown right).
When the stretch wrap moves over the roller, it delivers
the additional benefit of roping the stock to the pallet.
This adds strength to the base of the wrap and prevents
the wrapping extending down more than the top 1/3.
Roller bar in use
Total Pallet Issue Non-Conformance Last 13 Weeks
Poorly wrapped pallet
A4 Loose
Paper/Non
WOW Label
6%
Incorrect
Temperature
Damage 1%
0% OverHang /
Load Shifted
14% 13%
Plastic
Wrapping /
'Dags'
70%
Pallet Damaged
10%
Of 9,151 Pallet Issue
Non-Conformances Reported…
Well wrapped pallet

Plastic Wrapping / Dags: DC Impacts
How Does a Piece of Stray Plastic Impact Our Distribution Centres
es
In our automated sites, pallets move along conveyors on the way to the high bay
warehouse storage. During this process they are subjected to a series of checks, one
of which is ensuring that no foreign object is protruding from the pallet. This is where
Plastic Wrapping / Dags cause issues.
Pallet Profile Scanner
Dags
Dags
The Pallet Profile Scanners detect any object
protruding from the pallet, for example:
• Overhanging cartons
• Loose plastic wrapping (dags)
• Nails
• Pallet boards
If the pallet shows any signs of a foreign object it
is rejected from entering the high bay warehouse
causing our staff to re-work the pallet.
Pallet Profile Scanner
Rejecting a Pallet
In extreme cases, dags can become caught on racking
and cause significant damage to plant and equipment. It
is for this reason we ask that the ends of stretch wrap be
tucked in or taped down.
The pictures below show how in extreme cases dags
can occur and cause damage when retrieved by the
crane, even though the pallet initially passed through the
pallet profile scanner.
Extreme Dag
Damage to Plant and Equipment

Keeping Things M ving
This Christmas
Christmas time is easily the busiest time of year for everyone
connected to the Retail industry. Follow these tips to allow us to
turn your trucks around as fast as possible!
• Ensure the driver has been inducted at the site to which they are
delivering
• Ensure all loads are secured correctly with gates, boards, straps
etc
• Keep paperwork simple… and correct!
Avoid multiple invoices, 1 invoice per Purchase Order
will make checking off your deliveries easier
No packing slips or drivers run sheets are accepted
No excessively sealed envelopes
Accuracy and integrity
• Ensure the driver has the Purchase Order numbers ready when
arriving at the gatehouse & quotes ALL PO’s
• Remember; No child under the age of 15 permitted on site
• No speeding on site, safety at all times
• Plan for additional transport if expecting increased volumes over
the Christmas period
• Ensure new staff or hired labour are trained on Woolworths
requirements… Have they seen the Vendor Capability DVD
• Arrive within the ‘on time’ booking window!
NOTE: All new drivers or transport companies can pre-arrange site inductions with
the DC prior to deliveries by contacting the relevant DC in advance

Some of our most critical Christmas lines are chilled products such as Hams,
Turkeys, Custards and Creams. With the warmer weather approaching it is important
that our Trade Partners are focussed on maintaining cold chain integrity.
• Do - Service the units on your trucks as correct temperature
is the number one priority! 4 degrees max for chiller, minus 18
degrees for freezer
• Do - Arrive within your booking window at the DC (up to 60
mins prior or 30 mins after your booking time)
• Do - Remember maximum pallet height is 1.2 metres (some
exceptions, milk etc)
• Do - Temperature probes should be maintained and calibrated
regularly to eliminate rejection for being over temperature
Probe in use
• Don’t - Mix frozen or chilled stock with ambient stock on a
truck
• Don’t - Open doors until the receiving staff have asked you to
do so. Don’t break the cold chain!
• Don’t - Mix Use by Dates on a pallet… only one Use by Date
per line item, per pallet
• Don’t turn off refrigeration unit when parked

The Five Minute National
Ti Hi Audit!
Check your Ti Hi settings nationally to make sure your pallet configurations are correct…
- Login to wowlink and go to Supply Chain Reports – Replenishment
and run the Product DC Details report
- When the data has refreshed, export to Excel
as ‘Data Only (XLS)’
- When the export is complete, select ‘Open’
- Copy and paste the data into a new Excel sheet
- Delete rows 1 to 7
- Click on a single cell within the sheet and on the menu bar click on
Data, scroll down and select PivotTable and PivotChart Report
- Select PivotTable, and click Finish. You will be presented with a blank
canvas… Drag and drop the fields as shown below…
Opportunity
You will end up with a ref by DC table showing all Ti Hi’s for Woolworths DC’s
nationally. Any Ti Hi that is different across our sites should be investigated as
there could be logistical efficiencies available!
If you need help with these steps, call us and we can walk you through it Ph (02) 8885 3361
Need wowlink Send an email to wowlink_admin@woolworths.com.au

You may recall in our first newsletter we encouraged our Vendors to submit and
share ideas that would help other suppliers, and in turn help us all… This is a
fantastic idea that Linfox at Erskine Park use to make sure their SSCC Labels are in
the correct position on each and every pallet. Linfox are the 3PL for Proctor &
Gamble operating the Erskine Park DC. We thank P&G & Linfox Erskine Park for
sharing this idea with the Vendor community and hope this helps put an end to
SSCC Label Position Incorrect issues.
800mm
400mm
A solution to your Non-Conformance of SSCC Label Position Incorrect is the humble
broom handle shown here in use at the Linfox wrapping station. The broom handle
simply has red electrical tape applied up until the 400mm SSCC zone starts, then
green tape up to 800mm high with yellow tape right in the sweet spot 600mm high.
The broom handle is then finished off with red tape to the top. A simple but effective
tool.
The second requirement of the SSCC Label Position requires the label to be placed
between 50mm and 100mm in from the right hand edge of the pallet. This distance is
slightly less than the width of an SSCC Label (portrait orientation is 105mm). Use
this as a guide only, but if you have a different way of ensuring the SSCC Label is in
the correct position, let us know and we’ll share it in next months newsletter!

Vendors @ Woolworths
Vendor Q & A
Our December Q & A is with Kraft Foods Ian Bell
Q: Ian, what steps does Kraft Foods take to ensure
their operation is ready for Christmas volumes into
Woolworths DC's
A: Kraft Foods Confectionery start pre-planning
Christmas lines with Woolworths approximately six
months in advance. We work closely with Woolworths
Replenishment to agree when stock needs to be in DC,
when it will be shipped to store, and build delivery plans
around those dates. Given that a lot of our Christmas
volume goes through the Woolworths cold storage
DC's, space constraints mean it is essential we work
together to ensure product flows into and out of the
DC's smoothly.
Q: You've recently undergone a change of warehouse facility, what were the main
compliance challenges during that transition
A: As part of our DC transition, the compliance checks and processes have migrated further up the
supply chain. Previously the key compliance requirements were corrected when receiving our own
stock within the DC to meet the same crane tolerances at the Woolworths automated sites. With our
new DC, we are more reliant on getting everything right at the manufacturing sites.
Q: What advice would you give to other Trade Partners who are experiencing circumstances
outside those of their normal operation to ensure their conformance levels stay high
A: Spend time at your DC receiving and despatch points to identify the issues, then use that
knowledge to re-train in the right areas. It's essential to push the compliance as far back through
the supply chain as possible, as it is not feasible to correct everything at point of despatch.
Q: How do you think our Trade Partners can use the Vendor Capability Team to improve
their operations compliance
A: Develop a close working relationship with the Vendor Capability team and draw upon their
knowledge to better understand compliance opportunities. Take advantage of this knowledge by
having them conduct site audits - these will provide you with comprehensive feedback on how well
you are really doing, and help you to target the remedial actions necessary.
I N V E R T E D T W O
A F N A B N
T F G A T E H O U S E
I N I T I A T E D
P O C G Y
N I E V E R Y O N E
A E V D S
L A N G U A G E O N C E
L T G R U A
Y N E W Y E A R L
A O A
W O W L I N K T
E E F I F T E E N
Last months crossword: Answers
Wishing all of our Trade Partners and
their families a very Merry Christmas
Warm Regards,
Vendor Capability Team