Makro takes note of efficiency with new electronic system

Manufacturers supplying cash & carry firm Makro will in future be required to send electronic advanced shipment notes (ASNs) ahead of deliveries.

Upon receipt of an order, suppliers will need to send an electronic ASN detailing whether they can meet the order, what they plan to deliver and when. No mandates have been issued, but this may become a condition of doing business with Makro over time, said sources close to the firm.

Most suppliers should be geared up for this if they deal with Tesco, Asda or Sainsbury, which have been rolling electronic ASNs to selected depots, said Gillian Bricalli at electronic data interchange specialist Freeway Commerce.

However, they are not yet mandatory at Morrisons, the Co-op Group or Somerfield, she said. "At first, suppliers approach this kind of thing kicking and screaming, but they soon see the benefits, especially if the ASN is part of a suite of messages such as electronic goods in notes and proof of delivery notes.

"If you have an electronic 'paper trail' detailing exactly what was ordered, what was sent and what was received, when, it is far easier to resolve invoice disputes."

ASNs also helped retailers and wholesalers plan more effectively by immediately apprising them of discrepancies between what was ordered and what would be delivered, she said.

"It's more complicated if goods are co-packed or distributed by third parties, but there are solutions enabling intermediaries to receive ASNs and create their own consolidated ASNs by combining multiple suppliers' pallets into loads."