Following reports this week that Asda is close to completing its £1bn Project Future IT separation from Walmart, it has now been revealed that food and drink manufacturers are complaining about problems with the supermarket’s new supplier portal.
According to trade publication The Grocer, Asda is in the process of speaking to groups of suppliers to try to tackle issues with the new system, with one supplier describing the situation as “an utter mess”.
The report stated that major problems have been reported with Asda’s transition to its new ADR system, which is used by suppliers for forecasting, sales data, and stock control issues. This system has been introduced to replace Walmart’s Retail Link system.
Former Asda buyer Mervyn Jones, who runs a consultancy supporting companies on how to use new systems, said that the transition from a system buyers knew “inside out” to Asda’s new system was beset with problems.
“ADR is so bad I don’t know where to start with it,” Jones posted on LinkedIn. “I have a number of contacts within Asda. Some of them are telling me not to use Retail Link anymore and to move completely across to ADR. ADR, however, says to use Retail Link for historical data.
“Other contacts in Asda say to continue using Retail Link for forecasting and that ADR’s data is incomplete. It’s a mess. A complete and utter mess, and the training Asda is offering online is not up to scratch.”
Another source quoted by The Grocer said: “Moving to a new system at the same time as Asda is going through other major changes as a business was always a recipe for complexity.
Suppliers rely on these systems for key information on stock movements, waste and stock control, and historically, Asda’s system has been top of the tree.
“That’s not the case anymore, and suppliers are not getting the same speed of information. Data on products they use to get at the start of the day is now coming much later.
“To Asda’s credit, they are being transparent about these problems and talking to suppliers to try to tackle these issues, but at the moment, it is causing a lot of issues.”
The report noted that Asda was engaging with suppliers as they transitioned from Retail Link to the new supplier portal.
A company source told The Grocer that Asda had expected a “period of adjustment” and was actively working with suppliers to ensure they were supported throughout this period, including offering training and guidance materials.
NamNews Implications:
- Already in a race against the clock.
- Asda could have done without ‘teething troubles’ associated with a £1bn IT conversion project..
- At a time when willing suppliers are trying hard to lend support to a key retail player…
- Whose rival retailers present increasingly appealing trade investment opportunities..
- These unprecedented times tick on remorselessly…
- ...fast leaving Asda with the option of going for broke, regardless.
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