ECR

• 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