Annual Integrated Report 2019

Intellectual capital Intellectual capital Bidfood UK set their sights on growing freetrade volume, maximising National margins, growing our own brand offering, driving more business through ecommerce solutions and delivering operational and business support ef ciencies. This was achieved, delivering record breaking results for the year ended June 2019. Bidfood UK has committed to offering healthier and sustainable choices. This is actualised by increasing the responsible sourcing credentials of the offered product range, with particular focus on plastics, palm oil, seafood, aquaculture and modern slavery. Through meeting the diverse and ever-increasing needs for products which offer enhanced nutritional and dietary/allergen criteria and do our part to help tackle obesity. Customers (#) 37 643 6% 2018: 35 634 Expanding our manufacturing offering The launch of Punjab Kitchen (now Simply Food Solutions) products in Bidfood has been extremely well received by customers across the healthcare sector but also with interest across the traditional ready-meal range with our other customers. A limited range was of cially launched in July with 60 texture modi ed products but with customer interest growing, this is expanding with further texture modi ed and traditional meals. August 2019 will see our rst set of results with a fully stocked range. Bidfood UK IT investment Signi cant focus and spend in the year under review included the migration of Bidfood UK’s Catering Equipment business to Re ex and Bidfood Direct, and the implementation of payment cards to BidDirect. The delivery of IT infrastructure for our new Liverpool Depot, which included the installation of voice picking, has been delivered to support the depot go-live in early July We are continuing to support the business wide operational ef ciency programme. The rst pilot of the Driver App and Delivery Performance Management system has been completed in Chepstow Depot. This pilot has identi ed a number of additional developments which will be delivered in advance of any further roll-out. The design and build of our route planning system has been slightly delayed but testing is now underway. The project to upgrade of our existing voice picking system is underway and we are aiming to begin the roll-out in November 2019. The extended use of WMS Automation, to include goods in, replenishment, put away and PI, is currently in development. Own brand 21% of 2019 divisional revenue Own brand Farmstead Steak Range, Bidfood UK. Bidfresh – transport & logistics Bidfresh ensures the delivery vehicles are fully maintained, ef ciently routed to reduce mileage and driven carefully to reduce fuel consumption and emissions. Using a monitoring system we improve our drivers’ safety and ef ciency. We also operate a bonus scheme to motivate responsible driving, e.g. discouraging hard braking and accelerating. Responsible sourcing: circular economy Bidfresh endorses the circular economy concept, that is recognising that the earth is a closed system with a nite amount of resources, and that the current prevailing linear economy (‘take > make > waste’) goes against this – and is therefore not sustainable. The circular economy challenges us to keep resources in use for as long as possible, extract the maximum value from them whilst in use, then recover and regenerate products and material at the end of each service life. www.wrap.org.uk/about-us/about/ wrap-and-circular-economy Bidfood UK launches a new depot in Worthing Customer mix ● Independent ● Chain ● Logistics ● Retail and other 41% 59% 2019 Product portfolio 32% 27% 36% 5% 2019 ● Frozen ● Chilled ● Ambient ● Non-food Hensons Food rebranded to Hensons Meats, and launched the campaign “Have you got beef with Hensons” . Bidfood UK new liquor brand Unity Wines continued to strengthen its market position. Ecommerce platform sales 49% 2018: 43% An industry-leading online ordering facility, myBidfood. The Bidfood difference Divisional review Bid C orporation Limited Annual integrated report 2019 / 39