Alan Heron

1. Alan Heron Senior Procurement Manager, CEL Group

2. What Would Make a Good Food Agreement?

3. …Each of our awarded suppliers have ISO accreditations, and long experience of providing quality of service to customers throughout the UK. Over 50,000 product lines in total are available from this agreement. Each supplier has an expansive range of products which is constantly developing and growing to include, for example, ethically-sourced and environmentally friendly foods . One of the key criteria in the tender exercise for this contract was customer support. With such a large portfolio of products and expansive nationwide delivery schedules, it was important that all the awarded suppliers could offer tangible assistance not only with ordering and delivery, but also with menu selection and nutritional advice. What Would Make a Good Food Agreement? • Data Managed Price ? Managed ? Data • Range • Price • Support ? Our 5 awarded suppliers have between them an unsurpassed logistics network and infrastructure offering delivery throughout the length and breadth of the UK. Each individual supplier has a strong network of depots and a large fleet of delivery vehicles. It is fundamentally important for any purchasing body, whether they be a Social Housing Provider, University, or Private Healthcare Provider, that they are able to have a full understanding of their costs. The provision of rich line-level management information allows us to provide that, and helped all 5 suppliers secure an award for this contract. We recognised the fact that the customers using this contract have core responsibilities, and would benefit from the management of this contract that CEL Procurement can provide. CEL Procurement will manage all aspects of the contract including supplier performance, price reviews, and SLA and KPI measurements. Pricing was absolutely pivotal in this agreement. I’m sure all the suppliers would agree that we spent around 4-5 weeks negotiating every aspect of pricing to ensure the best pricing of any such Ambient Food agreement in the UK was secured and available to CEL Procurement customers in PfH, IHP, and TUCO. Support ? Range ? Quality • Capacity Capacity ? Quality ?

4. Benchmarking Saving of £212,300 Or 36.87% £575,700 Benchmarking conducted on 5 organisations within this room Over 100 different product lines evaluated Exact matches only used in analysis The following results were produced: £363,400 Current Annual Spend CEL Procurement Annual Spend

5. What does the Ambient & Chilled Agreement Offer? • Negotiated Pricing • Core Lists • Up to 80% savings on some lines • Average saving of 15-30% on total cost Price Managed • Contract managed by CEL • Regular Supplier Meetings • SLA’s and KPI measured and reviewed • Benchmarking tool available Data • Central Billing available • Electronic Invoicing • Price Checking • Data analysis and interpretation Price: Managed Contract: Data: Support: Range: Capacity: Quality: Support Range • Supplier Assistance available • Advice on diet, hygiene, and menus • Food Market analysis and projections • Order fulfilment Capacity Quality • Core list of over 500 items • 60,000 + product lines • Continually expanding portfolio • Fair Trade / Ethical lines • Depots throughout UK • 1000’s of vehicles delivering daily • Strong logistics infrastructure • Increasing use of Bio-Fuels • ISO Accreditations • Hygiene Awards • BRC & CMI Certified • Consistently improving quality