2021 SDP Transformation Tool Kit

8

SUPPLY CHAIN TRANSFORMATION: GUIDE FOR SUPPLIERS

CRITICAL ITEM CALLOUTS As this journey continues, there will be critical interactions, needs and contacts for various areas to support seamless transitions of facilities into the self-managed network. These are detailed on the following pages. Suppliers will have new and/or expanded connection points inside the self-managed supply chain. However, along the way, suppliers will continue to interact with third-party companies, like C&S Wholesale Grocers, until the transformation is complete or a facility transitions into the self-managed network. Each specific facility’s overview in this toolkit speaks to the purchase order conversion dates, as well as other specific information. DC REPLENISHMENT/PURCHASING As procurement of product transitions to a self-managed model, teams from ADUSA companies will manage day-to-day buying and demand planning. Through this model, ADUSA companies will have full alignment and integration of demand planning in support of each of the great local brands and across the supply chain. This will enable ADUSA companies to better partner with suppliers on demand planning and fulfillment. To make facility transitions easier for suppliers, we will be implementing a PO mirroring process . Open POs from C&S that are due after the facility transition date and cannot be received prior to that date will need to be canceled and then a new PO for the same items, same quantities, and same due date will be initiated by ADUSA Distribution. To provide context and assist with your internal forecasting and production planning, we have provided general information on the inventory flow path for each facility. There will be no changes to assortment at this time. The inventory process can differ by facility. Pay special attention to each facility’s overview on the following pages. The diagram below provides an overview of what we know so far for the flow of inventory for the go-live of each facility within the self-managed network:

FREETOWN GROCERY

D emand will transition from management by C&S Wholesale Grocers to management by ADUSA companies. ADUSA companies will purchase existing inventory and assortment will remain the same. Demand will transition from management by C&S Wholesale Grocers to management by ADUSA companies. ADUSA companies will purchase existing inventory and assortment will remain the same. Phase 1: Replenishment will first transition from C&S to ADUSA companies and the 62 stores will be serviced from existing in-network distribution centers. There would be no changes to assortment. Phase 2: Volume flows would be moved in phases to be sourced out of Mauldin. For these facilities, ADUSA companies are buying all product and building inventory from zero, as well as managing distribution and transportation. Demand will transition from management by C&S Wholesale Grocers to management by ADUSA companies. ADUSA companies will purchase existing inventory and assortment will remain the same. Demand will come from the Suffield and Newburgh facilities, and Manchester will be stocked through transfers from Suffield and Newburgh as well as POs directly from ADUSA Distribution. ADUSA companies will manage the distribution and transportation delivering to local brand stores that were previously serviced by Suffield and Newburgh distribution centers. This facility will leverage third party labor and transportation providers. Manchester will service the Stop & Shop brand and maintain the same assortment as is offered today. Demand will transition from management by C&S Wholesale Grocers to management by ADUSA companies. ADUSA companies will purchase existing inventory and assortment will remain the same.

FREETOWN FRESH

MAULDIN

JESSUP PERISHABLE

MANCHESTER

CARLISLE PERISHABLE

If you have any general questions about replenishment and purchasing activities at distribution centers, email SelfDistributionReplenishmentTeam@adusaprocurement.com .

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