Supply Chain Restructuring at Sainsbury' Supermarkets Limited

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Case Details:

Case Code : OPER094
Case Length : 18 Pages
Period : 2000-09
Organization : Sainsbury's Supermarkets Limited
Pub Date : 2010
Teaching Note :Not Available
Countries : UK
Industry : Retail

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Excerpts Contd...

The Changes Made

In the 2004 annual report of Sainsbury's, King noted, "Availability of products, our quality, and service in store have not been what our customers have come to expect of Sainsbury's. We've been distracted by huge changes made to improve many behind the scenes activities and these have made us inward looking rather than focused on serving our customers."...

The Results

Earlier, under Davis, Sainsbury's had split the supply chain and store facing functions in order to change the way they operated. King integrated them and made them act like a single team, whose core focus was to ensure availability of goods to the customers.

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Earlier, the distribution and logistics teams had also been operating separately. The logistics team was responsible for managing the flow of information along the supply chain and the distribution team was responsible for physical storage and delivery of goods. These two divisions were also combined and began working in tandem...

Exhibits

Exhibit I: Sainsbury's - Income Statement
Exhibit II: Operations of J Sainsbury's Plc.
Exhibit III: Sainsbury's Supply Chain - Key Performance Indicators
Exhibit IV: Hams Hall Fulfillment Factory - Plan
Exhibit V: Hams Hall Fulfillment Factory - Visuals
Exhibit VI: J Sainsbury Plc. Five Year Financial Summary (2005-09)

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