Since the introduction of the concept in 1993, Efficient Consumer Response (ECR) continues to impact much of the grocery industry
But, ECR has not yet fully realized its expected benefits. There is still a lack of integration throughout the supply chain
One possible cause for this lack of integration is the need for the formally definition of the process
Questions that still remain unclear: – Is ECR a brand new concept? – What are the main differences and similarities between ECR and other time based efficiency concepts, like Just in Time? – Is there the possibility to unify these concepts, developing essential characteristics of all these systems?
Literature review to investigate the main differences and similarities between Efficient Consumer Response (ECR) and Just-in-Time (JIT)
Methodology
Effort to unify these time based efficiency concepts
Literature Review: main characteristics of ECR and JIT concepts were reviewed • Comparison between the two concepts was conducted • Proposed framework was developed to highlight the similarities and differences and to attempt to unify both concepts
Efficient Consumer Response (ECR)
(1) Consumer driven, react
dynamically
(1) Ensure continuous
improvement of consumer satisfaction, products and quality
(2), (3), (4), (5) Reduction of
both costs and response times
– Cost: product categories and ABC costing – Times: automation of information flows and product flows – elimination of redundancy decreases overall inventory
(2), (6), (7), (8), (9), (10)
Planning and decision should be made in a collaborative way at the supply chain – better relationships – Information sharing – reduce variances and uncertainties – need of measurement
