Historically, Hall & Woodhouse was handling both the paperwork and the invoicing for its entire estate, numbering some 270 outlets, through their Head Office. As each pub buys its supplies from local suppliers 150,000 invoices were being generated annually which were then processed by hand. This not only made it difficult to control costs but also gave rise to unnecessary administrative overheads. Three years ago Freshnet Systems Limited approached Hall & Woodhouse regarding an online purchase and invoicing system they were in the process of developing. Peter Ellis, Project Development Manager (Retired) at Hall & Woodhouse commented, "After evaluating a number of options, we found that Freshnet was the only true alternative to central purchasing and distribution.

Freshnet Systems didn't want to upset the buying patterns of our outlets...therefore they approached all the existing wholesale suppliers, inviting them to come onto Freshnet. We are still doing business with 90% of our original suppliers who now have the opportunity to supply other Hall & Woodhouse outlets. Eddee Bowley
Group Purchasing Manager
Hall & Woodhouse

Eddee continues, "Previously, chefs tended to place orders by telephone or fax without having any real detail on current market prices. It would only be when an invoice came in that you had a complete picture of the costs, which made budgeting difficult. With Freshnet, all prices are listed alongside the product and we get notified if any particular goods have dramatically risen in price, with alternatives given. This gives us more control on costs and we don't get any nasty surprises when the invoices come in!"

"We have, through natural wastage, reduced our administrative team from 5 to 3 members who also now have the capacity to absorb other tasks," comments Martin Scott, Finance Director. "Our managed outlets generate 100k invoices annually with 50% currently being processed via the Freshnet System, but by the end of 2005 we intend to increase that to 90%. The direct cost saving per invoice is nearly 70% which is dramatic and does not account for savings on postage and filing space."

Eddee continues, "This data interrogation is incredibly helpful as it allows us to analyse our purchasing activity in real time and to the penny, rather than having to wait until month end. This enables Hall & Woodhouse to negotiate directly with our suppliers with a complete and accurate picture, rather than having to rely on the supplier to provide the data."

Prior to using Freshnet, Claire would order all her fresh produce via telephone from a number of suppliers. "I used to call round each of my suppliers and get costs for the specific goods I wanted to order. I'd then compare all the costs and order from those wholesalers with the best price offerings. Having full visibility of prices for all goods on Freshnet is of particular benefit, as the comparisons are there for you on screen. I am very involved with the food side of the business and we change our menus on a daily basis. Freshnet allows us to view prices and special offers, so we can base our menus around what fresh produce is the right quality at the right price. It has made me very conscious of price fluctuations, which you tend not to notice when ordering via phone."

"The general acceptance of Freshnet has been high, particularly when the pub manager realises he can order what is needed when it's needed at the touch of a button." reflects Eddee. "The training gave us an opportunity to prove to everyone what a difference Freshnet would make to the entire purchasing process, as well as the cost saving implications everyone would experience." Martin adds "It's a simple way of processing an order and has taken the pressure off to order at times to suit the supplier because they can order at the end of the day when they know what they need, rather than guessing."

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