Bunzl : Business case

BUSINESS CASE

APRIL 2019

BUNZL OVERVIEW

Consistent and proven compounding strategy

UNIQUE, CUSTOMER	BALANCED BUSINESS	ATTRACTIVE CUSTOMER
FOCUSED BUSINESS	PORTFOLIO	MARKETS
MODEL
GLOBAL SOURCING	ORGANIC GROWTH	OPERATIONAL FOCUS

ACQUISITION STRATEGY	OUR PEOPLE	STRONG FINANCIAL
& TRACK RECORD		DISCIPLINE

Bunzl plc is a focused and successful specialist international distribution and services group providing customised solutions to B2B customers in 31 countries and six market sectors

Headquartered in London and listed on the London Stock Exchange - FTSE100 ; Support Services sector

BUSINESS CASE

APRIL 2019

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BUSINESS MODEL

One-stop-shop
for essential		SOURCE
everyday items
supported by:
3,000					INDIVIDUAL RANGES
sales specialists		CONSOLDATE
and						a
2,600					CONSOLIDATED OFFER
locally based
customer service
specialists		DELIVER	Foodservice	Grocery	Cleaning & hygiene	Safety
BUSINESS CASE	APRIL 2019

•Global suppliers

•Low cost sources

•Commodities

•Own brands

•Direct to site

•Cross dock

•Warehouse replenishment

RetailHealthcare

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VALUE PROPOSITION

Outsourcing to Bunzl adds value for our customers

COST TO ACQUIRE

PRODUCT COST

COST TO PROCESS	INVENTORY INVESTMENT
	CASH FLOW
	DIRECT LABOUR & OVERTIME
	INVENTORY FINANCE COST
	EXPEDITED ORDERS
	INBOUND FREIGHT
	PURCHASE ORDER ADMINISTRATION
	INVENTORY DAMAGE & SHRINKAGE
	ACCOUNTS PAYABLE ADMIN
	STORAGE SPACE
	CAPITAL EMPLOYED

•In-houseprocurement and self-distribution is costly

•Bunzl applies its resources and expertise to reduce or eliminate many of the "hidden" costs ofin-house procurement and self-distribution

•The benefits to customers are a lower cost of doing business and reduced working capital and carbon emissions

BUSINESS CASE

APRIL 2019

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BUNZL UNIQUE SERVICE OFFERING

RANGE

RATIONALISATION

SUSTAINABLE

PRODUCT

SOLUTIONS

INDIVIDUAL

PRODUCT

KNOWLEDGE

HEALTH AND

SAFETY

REQUIREMENTS

INDUSTRY

LEADING

SPECIALISED SALES FORCE

LOCAL

CUSTOMER

SERVICE

SPECIALISTS

DIRECT TO SITE

X DOCK

WAREHOUSE

REPLENISHMENT

DESIGN /

BESPOKE /

MINIMISE

FULL RANGE

CUSTOMISED

PRINTED PRODUCT

INSTALLATION

CUSTOMERS'

MANAGEMENT

SERVICES

STOCKED

WORKING

DELIVERY SLOTS

CAPITAL

PRODUCT

INNOVATION

BULKY LOW

PRODUCT

ESSENTIAL

TRAINING

VALUE

CENTRES

AVAILABILITY

PRODUCTS

ITEMS

CONTRACT

MOBILISATIONS

DELIVERY

VALUE ADDED

ON-TIME

BEYOND BACK

MATERIAL

ONE-STOP-SHOP

IN-FULL

DOOR

CONSOLIDATION

SERVICES

DELIVERY

EXPERT

ONE ORDER

KNOWLEDGE

ONE DELIVERY

AND ADVICE

CUSTOMISED

ONE INVOICE

SOLUTIONS

DELIVERY

DIGITAL

CUSTOMISED

OPTIONS

SOLUTIONS

LOCAL AND

COMPETITIVELY

CUSTOMISED

PRICED

MANAGEMENT

NATIONAL

USAGE

PRODUCTS

INFORMATION

DISTRIBUTION

CONSUMPTION

NETWORK

VS CUSTOMER

OWN BRAND

BUDGET

MANUFACTURER

MARKET

BRANDED

COMPLIANCE BY

INTELLIGENCE

MULTIPLE

UNITS TO HEAD

DELIVERY

ECONOMIC

BENEFIT OF

ASIA SOURCING

OFFICE

SUPPLY CHAIN

LOCATIONS

EXCLUSIVE

DENSITY

BUNZL SCALE

CENTRE -

ANALYSIS

STUDIES

DISTRIBUTION

QC/QA

DEDICATED CALL

CENTRES

PRODUCTS

STOCKED IN

BUNZL

WAREHOUSE

EDI

APP

WEBSHOP

EXCEED BUDGET

ALERTS

VALUE

ALTERNATIVE

OWN BRAND

"QUASI

MANUFACTURER"

OWN BRAND

BUSINESS CASE

	NATIONAL		OWN FLEET		DIRECT DEALS WITH
							RIGHT PRODUCT
	FOOTPRINT				MANUFACTURERS		RIGHT PRICE
APRIL 2019					DELIVERED BY BUNZL

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