The Hershey Co. has entered into an alliance with The Ferrero Group in North America through a joint warehousing, transportation and distribution initiative.
This alliance is part of Hershey's ongoing efforts to improve supply chain efficiency and enhance competitiveness. According to statement from Hershey, the two companies will also work together to maximize corporate social responsibility efforts with the expectation of reducing carbon dioxide emissions and energy consumption in warehousing and freight, with fewer vehicle journeys needed to move products to customers.
Hershey is known in specialty circles for its Scharffen Berger and Dagoba chocolates, which are available through its wholly owned subsidiary, Artisan Confections Co.
The Italian-based Ferrero is best known for its namesake chocolates, Tic Tac Mints and Nutella Hazelnut Spread. “Collaborative supply chain operations are a growing trend across industries as companies seek to fully leverage their logistics infrastructure” says John Bilbrey, Hershey’s president and CEO. “Although we are initially focusing on one region of our business, we are excited about the full potential of this project.”
The companies expect to reap productivity improvements in 2012. This alliance doesn’t encompass manufacturing, selling or marketing activities.