Reducing apple waste and loss in the Sainsbury’s supply chain: a demonstration project Sainsbury’s wanted to understand how much waste there was in their apple supply chain, and where it was occurring, in order to reduce it. In a project with WRAP, Sainsbury’s looked at their supply chain to map key sources of apple waste and loss, and to identify and trial solutions to reduce this waste. It was found that levels of waste were actually fairly low, indicating good practices, yet opportunities to reduce this further were identified, trialled and are being rolled out across all stores. Key benefits achieved: Primary and secondary packaging changes have the potential to reduce Sainsbury’s apple waste by over 125 tonnes and save over £100,000 The packaging changes are directly applicable to other produce lines, meaning significant further opportunities for Sainsbury’s and other companies to reduce waste. Summary Waste ‘hot spots’ mapping “This project demonstrates that even in retail supply chains with relatively low waste (like Sainsbury’s apple supply chain) by collecting data and challenging every element in the supply chain there are always improvements to be made.” Dr Theresa Huxley, Product Technologist, Top Fruit & Stonefruit, Sainsbury’s Supermarkets Ltd. Opportunities and trials Further actions Resources Page 1 page 1 Distribution damage / loss and wastage ‘hot spots’ mapping Distribution damage / loss and wastage ‘hot spots’ were identified by following the apple supply chain from controlled atmosphere (CA) storage at the pack house through to retailer shelf in store. Each process step was sub divided into individual process operations and the handling, storage conditions and arrangements, transportation mechanisms, notes on packaging, packed quantities, process conditions and supplementary comments from supply chain partner staff were noted. At each operation within each process step the distribution hazards likely to cause damage to the fruit were assessed visually and categorised on a scale from minor through moderate to severe. The orange suns mark the losses and red suns mark the waste hot spots, and their relative size indicates their relative magnitude. The bracketed sun around cleaning, sorting and packing is to indicate that losses or diversion from primary uses to juicing or peeling (pie filling etc.) is primarily due to the natural fruit variation. Summary Waste ‘hot spots’ mapping Opportunities and trials Further actions Resources Page 2 page 2 Identifying waste reduction initiatives The results of the damage mapping, ‘hot spots’ analysis and apple loss quantification exercise were reviewed by a multifunctional team including product technologists, marketing, logistics and packaging along with proposals for waste reduction initiatives. Nine waste/loss reduction initiatives were proposed. Having considered feasibility, timescale and potential impact, four were chosen by the project team to focus on. Two of these were taken forward to trials and two are still under investigation. Bag format Flow wrap Flow wrap packaging trial Using flow wrap packaging allows apples to be packed into a single layer rather than jumbled up in a bag. The trial resulted in an 11% reduction in apple waste in store due to: Improved packing in crates - less localised loading of apples by crate sides or bases and load is spread more evenly Reduced staff and consumer handling damage - visibility of the apples is improved thus reducing the need to 'rummage' to check apple quality Flow wrap results Greater rigidity in the pack means reduced movement of apples during transit or handling. At least 11% reduction in apple waste 38.5 tonnes less waste per year Over £40,000 financial savings per year This trial is being rolled out across Sainsbury’s. Summary Waste ‘hot spots’ mapping Applicable to a variety of other produce. Opportunities and trials Further actions Resources Page 3 page 3 Obvious date code trial A new crate topper for UK apples has been designed to accommodate ODC. As well as improving the appearance of the trays, the previous plastic crate liner has now been eliminated, leading to additional packaging savings. ‘Obvious date code’ (ODC) is a new idea at Sainsbury’s to remove ‘Best before’ coding from the bags on bagged apples and code the crate or tray only. The ‘Best before’ coding is marked on the tray using an orange triangular self-adhesive label. Visibility of the ‘Best before’ date is retained in the supply chain and at point of purchase, but not visible on packaging in the household. The trial resulted in at least 24% reduction in apple waste in-store due to reduced handling – it is now easier for replenishment staff to check for short/out of date produce and consumers don't need to check individual bags to seek longer shelf life. WRAP research shows that a small percentage of apple waste in the home is due to date labels being ‘cited’, so it may be possible to influence levels of household waste by making changes to date coding, however the focus of this project work was on supply chain waste and didn’t include any elements of consumer research. Until we are able to conduct further research, WRAP’s current recommendation is to include a ‘Best before’ date on pre-packed produce. See WRAP’s full labelling recommendations for details. Summary Waste ‘hot spots’ mapping Obvious date code results 84.7 tonnes less apple waste in store per year Over £60,000 financial saving per year Packaging savings on UK apples Applicable to a variety of other produce This trial is being rolled out across Sainsbury’s. Opportunities and trials Further actions Resources ODC on imported crates Page 4 Further actions being investigated Reducing damage at depot The project found increased apple damage when plastic crates (UK apples) are packed on top of corrugated trays (imported apples). Despite training staff not to do this, the practice still does occur. A potential solution is to incorporate the type of crate into the IT stock management system to allow improved planning. This would ensure pickers always have plastic crates below corrugated trays. As well as reducing damage, it is likely pick efficiency would also be improved. As investment is needed to alter the IT system, a full business case needs to be established, taking into account that this would benefit all produce being handled. A new system for recording damage at depots and fruit hubs, using a fixed, drop down menu, has been proposed. With better understanding of where waste is occurring, Sainsbury's will be able to identify solutions and take action to reduce waste for all produce lines. Further information and resources WRAP have created a handy ‘Digest’ of all of our guidance, tools and research regarding fresh produce, see: http://www.wrap.org.uk/content/food-waste-preventiondigests-and-webinars. Improving data recording of damage Damaged apples returned from Sainsbury's distribution centres to growers/packers via the fruit hubs, are logged and a reason given for the damage. This is currently a 'free' field in a database and has resulted in a diverse range of reasons, variations in wording and spelling mistakes, making analysis very difficult. This means Sainsbury's do not have a clear idea of what type of damage is occurring. Further actions Summary Waste ‘hot spots’ mapping Opportunities and trials Resources Page 5 WRAP’s vision is a world where resources are used sustainably. It works in partnership with governments, businesses, trade bodies, local authorities, communities and individuals looking for practical advice to improve resource efficiency that delivers both economic and environmental benefits. Our mission is to accelerate the move to a sustainable resourceefficient economy through: - re-inventing how we design, produce and sell products, re-thinking how we use and consume products, and re-defining what is possible through recycling and re-use. First established in 2000, WRAP is a registered charity. WRAP works with UK Governments and other funders to help deliver their policies on waste prevention and resource efficiency. WRAP is a registered Charity No. 1159512 and registered as a Company limited by guarantee in England & Wales No. 4125764. Registered office at Second floor, Blenheim Court, 19 George Street, Banbury OX16 5BH. Find out more about our work www.wrap.org.uk WRAP Second floor, Blenheim Court, 19 George Street, Banbury OX16 5BH Tel: 01295 819 900 Fax: 01295 819 911 E-mail: [email protected] Published October 2015 MAR102-305
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