By: Allison Ray, Niki Oldham, Guenter Kryszon, Mark Stalvey, Adam Polak About • ARAMARK is a 7.2 Billion dollar world leader in providing managed services: » Food and Support Services » Uniform and career apparel » Child care and early education programs • Consists of 160,000 employees and serves 15 million people every day. • ARAMARK operates at more than 500,000 locations in 15 countries with the headquarters located in Philadelphia, PA. ARAMARK Uniform Services • Focusing specifically on Uniform Services in Atlanta Region Our contacts: • Jim Bone, General Manager, Atlanta Distribution Center • Tammie Palmer, Plant Manager, Atlanta Market Center ARAMARK Uniform Services • Provide Laundry Services • Pick-up/Delivery Services • Uniform Repair • Wash/Dry • Rent/Sell/Lease Uniforms to Customers ARAMARK Uniform Services Customers • Big Retail/Department Stores: • Office Depot, Wal-Mart, T.J. Maxx and Sears Home Central • Restaurants: • Roadhouse Grill, Fuddruckers, Inc., Hometown Buffet • Large Factories: • Johnson Controls, Lipton, Pepsi Company-Owned Bottlers, Goodyear and Harley-Davidson ARAMARK Uniforms •Types of products that ARAMARK offers: • 65/35 blend of Polyester/Cotton, lasts up to two years • Cotton shirts, which last a year • Executive wear, which includes a button down shirt and pleated slacks. • Coveralls and Aprons, which butchers and supermarkets use • Mops, Mats, Shop towels, and Bar towels. Monday Week 1 Business Customers give Aramark route drivers a uniform order... Aramark route drivers deliver uniform orders back to Monday businesses, Week 2 cleaned.. . Supply Chain Aramark Market Center Laundrys try to fill most orders from good used uniforms. .. Aramark Companyowned manufacturin Uniform g in Mexico Vendors and Puerto 15% Rico 85% Aramark Distribution Centers ship new uniforms to Aramark Market Centers Commercial Shipping Aramark Market Center Laundrys Companies Trucking Companies and UPS ARAMARK Market Center Atlanta, GA • Customer Orders taken by Route Driver • One new employee - delivery within one week • Entirely new account - delivery within 4 week ARAMARK Market Center Atlanta, GA • 2500-3500 Customers • 35 ARMARK-owned Trucks • 35 Routes per day • 1-40 Stops per Truck per day ARAMARK Market Center • New customers are added to routes based on proximity to others • Each stop varies between 12 minutes and 8 hours • Customers picked by volume • Current routing system has been in place for over 20 years • Reluctant to change due to cost ARAMARK Market Center • 250,000 processes per day • Wash • Dry • Sort • Automated Sort System • items sorted 3 times • Current system is at 99% capacity ARAMARK Market Center • Inventory • when a worker quits their uniform is placed in inventory at market center • Damaged Items • 2,000 items are sent to be repaired daily, of those 12% are beyond repair ARAMARK Market Center • Uniforms sorted into appropriate Route at Market Center • Delivered to Customer during weekly service route ARAMARK Distribution Center • Located in Lawrenceville, GA • Only 2 DC’s in the U.S, split between the North & the South • Services 100 Market Centers only (30 in the Southern Region) Distribution Center Division across U.S ARAMARK Distribution Center • Fabric shipped in from outside suppliers and cut in the Distribution Center. • Lead Time • Receive Fabric = 12 Weeks • Sew Fabric = 12 Weeks ARAMARK Distribution Center • Suppliers: • Materials purchased through bidding system • Use fabric companies such as Milliken and ENSIGN for labels ARAMARK Distribution Center • 85% of manufacturing in ARAMARKowned facilities in Mexico and Puerto Rico • Fabric cut at DC and shipped to MX for sewing • 15% obtained from Uniform Vendors (Non-regular sizes) ARAMARK Distribution Center • Inventory • Forecasted using 12-month moving average • Approximately 10 million pieces on shelf • Annual Throughput at 80 million for Atlanta Distribution Center • AS/RS Inventory System ARAMARK Transportation • Use Common Carriers • USF Holland and AAA Cooper • UPS used for 5% of daily business • Shipped LTL to Market Center • Uses leverage for priority delivery ARAMARK Improvements • High Handling Cost • One order requires 42 people to complete • Goal is to reduce this handling cost while maintaining high level of customer service • No Formal Routing System