Sainsbury is trialling a new pallet labelling initiative for mixed supplier pallets after complaints that its one supplier per pallet' initiative could increase costs.
As part of an overhaul of its supply chain, Sainsbury had asked individual suppliers to deliver goods to its distribution centres on separate pallets.
However, suppliers handling freight for other manufacturers on their trucks said this unfairly discriminated against smaller players and increased costs.
One said: "The impact of this is potential under-utilisation of vehicle space and pallet obviously the aim would be to use as few pallets as possible. We are talking to Sainsbury at the moment to find out what the solution is."
A Sainsbury spokeswoman confirmed that the new system meant "hauliers who are consolidating loads for a number of suppliers must ensure all pallets are discreetly labelled, which is a change to the current procedure."
However, the company was trialling an initiative that allowed hauliers to create composite labels for mixed supplier pallets that could be scanned in at depots as part of a new paperless supply chain system.
The paperless system allows suppliers to pre-notify Sainsbury of goods going to its depots and generate pallet labels that can be scanned in at the depots.
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As part of an overhaul of its supply chain, Sainsbury had asked individual suppliers to deliver goods to its distribution centres on separate pallets.
However, suppliers handling freight for other manufacturers on their trucks said this unfairly discriminated against smaller players and increased costs.
One said: "The impact of this is potential under-utilisation of vehicle space and pallet obviously the aim would be to use as few pallets as possible. We are talking to Sainsbury at the moment to find out what the solution is."
A Sainsbury spokeswoman confirmed that the new system meant "hauliers who are consolidating loads for a number of suppliers must ensure all pallets are discreetly labelled, which is a change to the current procedure."
However, the company was trialling an initiative that allowed hauliers to create composite labels for mixed supplier pallets that could be scanned in at depots as part of a new paperless supply chain system.
The paperless system allows suppliers to pre-notify Sainsbury of goods going to its depots and generate pallet labels that can be scanned in at the depots.
{{NEWS }}
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