AfriServ — Operations & Supply Chain Plan
The distribution-centre network, the refrigerated fleet, procurement and supplier network, cold-chain integrity and food safety, and operating metrics and SLAs.
Section 8 · Business Plan
Operations & Supply Chain Plan
The distribution-centre network, the refrigerated fleet, procurement and supplier network, cold-chain integrity and food safety, and operating metrics and SLAs.
AfriServ’s operations are organised around three asset classes
(warehouses, fleet, technology), four functional pillars (procurement,
inbound logistics, warehousing, last-mile distribution), and a
customer-service control tower that integrates the customer experience
across all touchpoints.
8.1 Distribution Centre Network
AfriServ will operate eight distribution centres at the end of Year 2
and 13 by Year 5 (in South Africa alone), expanding to 30 across the
continent by Year 7. Each DC is purpose-built or fitted out as
multi-temperature, with dedicated dock zones for ambient, chilled and
frozen receipts and despatch.
| DC | Province | Size (m²) | Open by | Coverage radius |
|---|---|---|---|---|
| Johannesburg (HQ) | Gauteng | 14,000 | Month 9 | 350 km — Gauteng, Limpopo, NW, MP |
| Cape Town | Western Cape | 9,000 | Month 14 | 300 km — Cape Town, Boland, Garden Route |
| Durban | KwaZulu-Natal | 9,500 | Month 18 | 300 km — KZN coast, Midlands, S.Coast |
| Port Elizabeth | Eastern Cape | 5,500 | Month 24 | 350 km — Eastern Cape coastal |
| Bloemfontein | Free State | 4,500 | Year 3 | Central SA hub for cross-docking |
| Polokwane | Limpopo | 4,000 | Year 3 | Northern SA + Botswana support |
| Nelspruit | Mpumalanga | 3,500 | Year 4 | MP, Mozambique route support |
| Kimberley | Northern Cape | 2,500 | Year 5 | Northern Cape, mining-camp coverage |
Each DC is sized for 2.0–2.5x current throughput to ensure capacity
headroom for organic growth before re-investment is required.
Cold-storage capacity is sized to maintain product quality at full
utilisation, with redundancy on refrigeration plant.
8.2 Refrigerated Fleet
AfriServ deploys a mixed-fleet model: heavy multi-temperature trucks
(16-tonne) for inter-DC transfers and high-volume customer drops; medium
trucks (7.5-tonne) for urban routes; and panel vans for last-mile and
time-window-sensitive deliveries. By Year 5, the fleet totals
approximately 220 vehicles across South Africa and the SADC operations.
All trucks are equipped with multi-temperature capability, real-time
temperature telemetry, and route-optimisation hardware.
| Vehicle category | Y1 | Y3 | Y5 | Function |
|---|---|---|---|---|
| 16-tonne multi-temp | 12 | 38 | 62 | Inter-DC + key account drops |
| 7.5-tonne multi-temp | 20 | 52 | 92 | Urban customer routes |
| Panel van (cold chain) | 6 | 18 | 36 | Last-mile + time-window |
| Cross-dock & relay (3rd-party) | n/a | 12 routes | 28 routes | Long-haul outsourced |
| Total fleet (owned) | 38 | 108 | 190 |
8.3 Procurement & Supplier Network
AfriServ’s procurement function is centralised at Group level for
category strategy, supplier negotiation and capital allocation, but
decentralised for tactical buying and demand-planning at DC level.
Supplier relationships span four tiers, each managed against specific
KPIs.
| Tier | Suppliers | Profile | Mgmt approach |
|---|---|---|---|
| Tier 1 — strategic | ~40 | Top-volume manufacturers (multi-year contracts, JBPs) | Group-led; QBRs |
| Tier 2 — preferred | ~140 | Category-leading mid-market suppliers | Regional-led; annual review |
| Tier 3 — opportunistic | ~280 | Spot, seasonal, niche suppliers | DC-level buying |
| Tier 4 — primary producers | ~600+ | Local farmers and small producers (ESG-aligned) | Regional; ESG-monitored |
8.4 Cold-Chain Integrity & Food Safety
Cold-chain integrity is the single most operationally consequential
metric in foodservice distribution. AfriServ implements a four-layer
cold-chain integrity framework:
- IoT temperature sensors on every refrigerated unit (DC and
vehicle), reporting in real-time to the central control tower; alerts
trigger within 2 minutes of any deviation outside the specified
band. - Documented receipt-to-despatch temperature logs for every product
line, retained 7 years for traceability and audit. - FSSC 22000 / HACCP-certified DCs and processing facilities, with
quarterly internal audits and annual external surveillance. - Trained cold-chain technicians on every shift; daily plant-room
inspections and preventive maintenance contracts with refrigeration
OEMs.
8.5 Operating Metrics & SLAs
AfriServ publishes the following operating SLAs externally and
monitors them daily through a balanced scorecard. By Year 3, all metrics
have moved to target.
| Metric | Y1 target | Y3 target | Definition |
|---|---|---|---|
| On-time-in-full (OTIF) delivery | 92% | 99% | Delivered within agreed window with 100% of order |
| Order-to-delivery cycle time | 36 hrs | 24 hrs | Cut-off to customer-dock arrival |
| Cold-chain breach incidents | <1% | <0.1% | Loads with temp excursion outside spec |
| Inventory accuracy | 95% | 99.5% | Cycle-count vs system |
| Customer complaint rate | <3% | <0.5% | Complaints / orders delivered |
| Vehicle utilisation | 62% | 80%+ | Loaded km / total km |
Confidential — this business plan is provided to prospective investors and lenders for evaluation purposes only and may not be reproduced or distributed without the written consent of AfriServ (Pty) Ltd.