Industry Opportunity. Revamp recall notification process for improved timeliness

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2 Industry Opportunity Revamp recall notification process for improved timeliness We knew there had to be a better way for receiving notifications from our suppliers. Michael Roberson, Director of Corporate Quality Assurance Source: Recall Execution Effectiveness: Collaborative Approaches to Improving Consumer Safety and Confidence, GMA, FMI, GS1 US, Deloitte, May Available from 4

3 Rapid Recall Exchange Created by the industry, for the industry Use electronic communication for instant, comprehensive notification Help standardize notification process for precise recall actions Uses global GS1 Standards 6

4 Features Standardized format Two-way communication between recalling firm and recipient Relevant information provided to take action Audit report of users actions Update information on initial notification Various classifications It is a one-stop source of data that definitely reduces the need for numerous follow-up s or phone calls to clarify information provided by manufacturers. Daniel Triot, Market Logistics Leader, North America Market Strategy & Planning

5 Industry Success Commitment to consumer safety suppliers, retailers and wholesalers Recognized by the industry 2011 Recipient of Food Safety Innovation Award Responding to changing market needs Meeting new requirements with enhanced features Sharing our collective successes Published success stories, speaking to the Industry 5

6 Before After Learn more at

7 Agenda Recalls End to End A manufacturer view Recalls and the Government The role of the Rapid Recall Exchange (RRE) Recalls and the Supply Chain

8 Birth of a recall

9 Analysis and Preparation

10 Taking Action

11 Getting ready

12 Recalls and agencies

13 So why not Rapid Recall Exchange? Our Process Our Sales Team Our Customers

14 And then it all changed

15 The upside 15-Feb :16:10 CST Approved Nestle USA Inc. 15-Feb :18:44 CST Live Nestle USA Inc. 15-Feb :26:27 CST Receiver Read Northgate Gonzalez LLC 15-Feb :26:55 CST Receiver Read Delhaize Group 15-Feb :28:26 CST Receiver Read Fairway Market 15-Feb :28:41 CST Receiver Read Unified Grocers, Inc. 15-Feb :29:13 CST Receiver Read K-VA-T Food Stores Inc. - Food City & Super Dollar Discount Food Stores 15-Feb :30:37 CST Receiver Read Associated Food Stores, Inc. 15-Feb :31:07 CST Receiver Read Winn-Dixie Stores, Inc. 15-Feb :35:40 CST Receiver Read C&S Wholesale Grocers Inc 15-Feb :36:12 CST Receiver Read Skogens Festival Foods 15-Feb :39:05 CST Receiver Read Fairway Market 15-Feb :41:13 CST Receiver Read The Kroger Co. 15-Feb :43:02 CST Receiver Read Wegmans Food Markets, Inc. 15-Feb :46:00 CST Receiver Read Target Corporation 15-Feb :48:04 CST Receiver Read H E Butt Grocery Company(H-E-B) 15-Feb :49:26 CST Receiver Read Target Corporation 15-Feb :55:51 CST Receiver Read Weis Markets, Inc.(Weis Markets, Inc.) 15-Feb :04:42 CST Receiver Read Walgreen Co. 15-Feb :05:58 CST Receiver Read Walgreen Co. 15-Feb :07:42 CST Receiver Read Harris-Teeter Inc. 15-Feb :26:48 CST Receiver Read Meijer, Inc. 15-Feb :33:36 CST Receiver Read Highland Park Market Inc. 15-Feb :52:25 CST Receiver Read K-VA-T Food Stores Inc. - Food City & Super Dollar Discount Food Stores 15-Feb :59:05 CST Receiver Read The Kroger Co. 15-Feb :59:29 CST Receiver Read Wakefern Food Corporation 15-Feb :31:32 CST Receiver Read Rouse's Enterprises, Inc. 15-Feb :49:13 CST Receiver Read Nash Finch Company 15-Feb :01:31 CST Receiver Read Smart & Final(Cash & Carry, Amerifoods Trading Co.)

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17 Fast and Efficient Effective Consistent

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19 BUSINESS ISSUE: When recalls happen it is important that fast, accurate information reach through to the point of sale so that bad or unsafe product can be removed and the consumer protected. Recall notifications must be done in the fastest, most efficient way. Today, manufacturers need to enter recall data multiple times, transmitting the same information different ways, duplicating work and opening room for error. Retailers do not receive the required information fast and accurate, often hearing about, and therefore reacting to, recalls via press releases and other web services. This project is intended to create a common one-to-many platform for brand owners to enter the data once and for retailers to receive complete, accurate recall data immediately. BENEFITS: Improvements in consumer safety and industry reputation. The elimination of duplicative work and the reduction of errors. The most immediate issue is to build adoption and usage. The project is focused on barrier identification and resolution. 6

20 WE NEED TO BUILD A CRITICAL MASS OF USERS Manufacturer obstacles appear twofold: Simultaneous communication versus we need to tell the buyer before they hear about it through RRE. While retailers manage recalls daily, manufacturer s usage is periodic at best. Processes are often reinvented each time and commitments to industry standards are forgotten. We need to create a framework for recall processes and practices Retailer obstacles: Need to extend participation beyond GMA-FMI member companies to fresh foods and private brands suppliers. Embedded proprietary recall systems ISSUE OWNERSHIP: Building retailer adoption: FMI Building Manufacturer processes for simultaneous communication: GMA FDA Reportable Food Registry and RRE: GMA RRE System improvements and Interoperability: GS1 US 6

21 INDICATED ACTIONS: FMI: Letter to members to build adoption and support simultaneous communication. RRE will now be a FMI member service offer included in member dues. Encourage members to ask all suppliers to communicate recalls via RRE. GMA: Letter to all members to build adoption and support simultaneous communication. GMA (working with GS1) will build on-going training and help desk capability. Training session to begin April Board / member support needed to send those within the organization to this training as part of role onboarding and annual refreshment. RFR-RRE Alignment: Initial RRE and RFR attribute mapping underway. Working data transfer capability. GS1: Ensure interoperability with continual evaluation of current global, open standards. 6