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CHEP pallet pooling service brings financial and logistical benefits to Discovery Foods

Discovery Foods, the UK’s leading manufacturer and supplier of Mexican food and snacks, has achieved significant financial and logistical benefits through using CHEP’s outsourcing service – CHEP Equipment Management.

Discovery Foods, which has sites at Milton Keynes and Daventry, has been using the service for the past year. When it first appointed CHEP Equipment Management in July 2009, the agreed priorities were to reduce pallet losses and to cut overhead costs. After 12 months, pallet losses reduced to zero. Furthermore a significant reduction in stock requirements was achieved, including overall savings of £102K against the previous year’s costs

The CHEP Equipment Management service enables customers to outsource the management of their equipment to a dedicated control team. This delivers efficiencies and cost savings as it allows the customer to focus on its core business, while CHEP Equipment Management takes care of all the equipment.

CHEP Senior Manager Kathryn Orange said: "I am delighted that Discovery Foods has renewed its CHEP Equipment Management contract. Through using supply-chain mapping and enforcing strict documentation, we uncovered previously unknown pallet flows and now there is transparency throughout the supply chain. Discovery Foods knows where all its pallets are, costs are reduced and product flow is optimised."

Discovery Foods Supply Chain Manager Claire Lambert said: "The main reason we re-appointed CHEP Equipment Management is they are pallet experts while we are not. The benefits achieved during the first year clearly show that appointing them was the right move and I pay full tribute to the team at CHEP."

The CHEP Equipment Management team has been helping clients manage their equipment control for more than 15 years. Last year, the service was extended to cover other materials handling equipment in the supply chain, including non-CHEP equipment such as milk cages, beer kegs and bread baskets.

CHEP Equipment Management currently deals with 600 customer locations accounting for more than 12 million movements each year with clients ranging from major international corporations to independent local breweries.

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